Starlink, the satellite internet technology made possible by Elon Musk's SpaceX company, is preparing for an initial public offering as soon as the second half of 2024, according to Bloomberg, citing sources familiar with the situation.
SpaceX has been shifting Starlink's assets to a wholly-owned subsidiary that would make it ripe for a spin-off ahead of the IPO, one person said, adding there is yet to be a concrete decision about going public. They said the upcoming listing could be postponed to 2025.
News of a Starlink IPO follows Musk's comment on social media platform X earlier this month: "Excited to announce that @SpaceX @Starlink has achieved breakeven cash flow!"
He continued, "Excellent work by a great team. Starlink is also now a majority of all active satellites and will have launched a majority of all satellites cumulatively from Earth by next year."
Excited to announce that @SpaceX @Starlink has achieved breakeven cash flow! Excellent work by a great team.— Elon Musk (@elonmusk) November 2, 2023
Starlink is also now a majority of all active satellites and will have launched a a majority of all satellites cumulatively from Earth by next year.
Musk has commented on the prospect of a Starlink IPO for several years, but the timing remains unclear. However, in 2021, the billionaire said that once the company can "reasonably" forecast cash flow, that would be a sign that a listing to the public markets would be nearing.
Last Friday, Billionaire investor Ron Baron told CNBC's Andrew Ross Sorkin that he expects SpaceX to IPO its Starlink in 2027.
Baron said, "We think that by the time they go public with SpaceX, with Starlink … in 2027 or so, four years, the company will be worth $250 billion to $300 billion."
Tesla blogger Sawyer Merritt recently posted on X a graph that shows Starlink's onboarding of new customers has been parabolic since June 2022. The service now has more than 2 million users worldwide.
BREAKING: @SpaceX has announced that there are now over 2 million active Starlink customers, up 500k from 4 month ago🛰️— Sawyer Merritt (@SawyerMerritt) September 23, 2023
It's now available on 7 continents and in over 60 countries. pic.twitter.com/3DvUzwH1vp
SpaceX currently has a $150 billion valuation. It has delivered 80% of all Earth's payload mass to orbit this year.
As we continue to point out, Musk is becoming the 'uncancellable' billionaire while radical Democrats in Washington weaponize government agencies against his companies.
In other news, SpaceX's Starship launch could be as soon as this Friday.