SpaceX, led by Elon Musk, is planning a massive initial public offering (IPO) in 2026, aiming to raise over $25 billion. This move could elevate the rocket company’s valuation beyond $1 trillion, as reported by a source familiar with the details to Reuters on Tuesday.
The decision for a public listing, potentially one of the largest globally, is fueled by the swift growth of SpaceX’s Starlink satellite internet division, which includes plans for direct-to-mobile services and advancements in the Starship rocket program targeting lunar and Mars missions.
SpaceX has initiated conversations with financial institutions about launching the IPO around June or July, according to the source, who requested anonymity due to the sensitive nature of the information.
The company has not yet responded to Reuters’ inquiries for comment.
The IPO discussions are happening as the IPO market shows signs of recovery in 2025 after a three-year lull.
Top Wall Street executives anticipate this trend will continue into 2026, bolstered by high-profile companies preparing to gauge investor interest.
“SpaceX is one of the most anticipated opportunities in the global IPO market and has been on many investors’ wish lists for years,” said Samuel Kerr, head of equity capital markets at Mergermarket, to Reuters.
“It’s a genuine growth sector, with space technology considered a crucial frontier in defense, satellite expansion, and overall tech infrastructure, including the rise of orbital data centers.”
Many large startups have delayed going public, choosing instead to secure funding privately, but SpaceX’s IPO could encourage others to follow suit.
According to Crunchbase, SpaceX is the world’s second most valuable private startup, trailing only ChatGPT creator OpenAI. Both OpenAI and competitor Anthropic are reportedly exploring IPOs next year.
“Should these deals proceed, the U.S. IPO market will see a real resurgence, signs of which have already appeared this year,” Kerr noted.
The IPO news arrives shortly after reports of a secondary share sale valuing SpaceX at $800 billion, which Musk dismissed as inaccurate.
To date, Saudi Aramco is the only company to have achieved a valuation exceeding $1 trillion through an IPO, debuting in December 2019 with a market cap of $1.7 trillion.
Bloomberg News reported that SpaceX intends to use IPO proceeds to develop space-based data centers, including acquiring necessary chips.
Billionaires and private companies are investing heavily in the new space race, directing funds into rockets, satellites, and moon missions, with SpaceX and Jeff Bezos’ Blue Origin at the forefront.
With NASA increasingly relying on commercial partnerships and defense budgets rising, the space industry is becoming a key battleground for technological leadership, national security, and economic potential.
Nonetheless, analysts suggest that concerns about Musk’s ability to manage multiple trillion-dollar companies could make investors wary.
“SpaceX might become one of the most controversial stocks to enter the market in years,” Dan Coatsworth, AJ Bell’s head of markets, told Reuters.
“If SpaceX goes public, there could be mounting pressure on Musk to focus on either Tesla or SpaceX. It’s challenging to envision one person managing two $1 trillion+ companies simultaneously.”
