SpaceX Raises Record $75B in IPO, Valued at $1.77T

SpaceX completed the largest initial public offering in history on Friday, raising $75 billion by selling shares at $135 each and achieving a valuation of $1.77 trillion. The listing under the ticker SPCX on the Nasdaq immediately positioned the company among the most valuable public firms in the United States, ahead of Elon Musk's electric vehicle company Tesla. Musk, who already ranks as the world's wealthiest individual with a fortune estimated near $696 billion, stands to become the first trillionaire through his roughly 42 percent stake in SpaceX.

The offering comes as SpaceX shifts focus from its origins in reusable rockets toward artificial intelligence infrastructure. The company acquired Musk's xAI startup earlier this year, incorporating data centers and AI models into its operations. Plans outlined in regulatory filings include launching over 100,000 satellites for communications and placing AI data centers in orbit. Starlink, the satellite internet division, remains the primary source of current profits, while the broader enterprise has accumulated a $41.3 billion deficit since its founding in 2002.

Analysts at firms including Oppenheimer have set price targets as high as $190 per share, reflecting strong institutional demand. Retail investors have shown similar interest, with trading volumes surging in related stocks such as EchoStar and AST SpaceMobile as proxies for exposure to SpaceX. Exchange-traded funds tied to space companies have also faced supply constraints from the rush. Yet most ordinary shareholders will gain access only after the initial allocation to large asset managers, limiting early gains for non-professional participants.

The timing raises questions about broader exposure for American workers. Market index funds and many 401(k) plans will automatically hold SpaceX shares in proportion to its weighting, linking retirement savings to the company's performance regardless of individual preferences. Recent polling indicates widespread public unease with artificial intelligence, with eight in ten Americans expressing concern and more than half believing it will harm daily life. Over two-thirds anticipate job losses from the technology.

SpaceX president and chief operating officer Gwynne Shotwell, who has overseen day-to-day operations since 2008, acknowledged in interviews that the company had long delayed going public to maintain focus on long-term projects rather than quarterly results. She noted synergies with Tesla but downplayed immediate merger discussions. Musk retains 85.1 percent of voting power at SpaceX, with allies dominating the board, a structure that limits shareholder oversight.

A protest gathered in Times Square near the Nasdaq as trading began. The company's governance drew criticism from some investors who described the control provisions as extreme. SpaceX's move precedes anticipated IPOs from other AI-focused firms, including Anthropic and OpenAI, which could further embed the sector into major stock indices.