Elon Musk’s space and artificial intelligence company, SpaceX, is preparing for a historic initial public offering, but Bloomberg reports the firm is now targeting a valuation of at least $1.8 trillion. That figure would still place SpaceX among the most valuable public companies worldwide, but is below earlier talk of a valuation exceeding $2 trillion.
Why the shift matters
According to the reports, SpaceX has held intensive discussions with investors and advisors in recent weeks and adjusted its pricing expectations based on their feedback. Such revisions are common in the run-up to IPOs: final valuations are often shaped by investor demand and input before listing begins.
Bloomberg says the transaction could raise as much as $75 billion in new capital, which would make it the largest equity offering on record. For context, Alibaba’s 2014 IPO raised $25 billion, and Saudi Aramco’s 2019 listing raised $29 billion.
Timing
SpaceX is expected to start its official IPO roadshow in early June, and pricing could occur as soon as June 11, according to the report.
Company shift and growth narrative
Over recent years the company has evolved: once primarily known for reusable rockets and the Starlink satellite internet service, SpaceX is increasingly positioning itself as an AI infrastructure and digital-services platform. Its investor presentation reportedly includes plans such as orbital data centers, and the company estimates the total addressable markets it targets could reach $28,500 billion.
A significant corporate development was the acquisition of xAI: in February, Elon Musk announced the Grok-chatbot developer xAI and the X social platform would become part of the SpaceX group. At the time of that transaction, SpaceX was valued at $1,000 billion and xAI at $250 billion.
Financial picture: rising revenue, worsening profitability
Reported revenue rose to $18.7 billion from $14 billion the prior year. At the same time, profitability deteriorated: the company reportedly earned $791 million in profit in 2024, but posted a $4.94 billion net loss last year.
This combination—rapid revenue growth alongside deteriorating profitability—reflects that SpaceX’s growth story carries significant investment and operating costs, even as investors appear willing to pay a premium for Musk’s AI, space and digital infrastructure vision.
What the $1.8 trillion target signals
A Bloomberg-reported IPO target of $1.8 trillion suggests investors are still prepared to ascribe substantial value to SpaceX’s ambitions, but the reduced figure compared with earlier >$2 trillion talk indicates a more cautious market approach. The pricing process shows the market will scrutinize valuation levels rather than accepting them automatically, even for a company led by a high-profile entrepreneur like Elon Musk.
This article does not constitute investment advice or a recommendation.
