Starlink: towards an IPO in 2025 for Elon Musk’s satellite Internet?

Will Starlink take its independence from SpaceX and go public? This hypothesis is increasingly credible for the firm CCS Insight, which estimates that an IPO of the satellite Internet network could take place by 2025, reports CNBC. The operation would allow Elon Musk to further grow the activities of his empire. As a reminder, Tesla is worth nearly $700 billion on the Nasdaq, while SpaceX saw its valuation hit $125 billion in the spring after raising $1.5 billion.

A Starlink IPO seems increasingly credible, as SpaceX executives have been discussing such a deal for two years. In addition, Elon Musk estimated as early as 2019 that he would be “logical to take Starlink to the stock market in three years”, in an email sent to company employees that CNBC has seen. However, this project has still not materialized in 2022 and the billionaire let these same employees know earlier this year that an IPO was unlikely before 2025.

To propel his satellite Internet network on Wall Street, Elon Musk indicated in 2021 that the IPO process would be launched with the company’s revenues becoming more predictable. The operation could accelerate its development. CCS Insight believes that an IPO is a lever for “raise capital to expand its constellation of satellites”. “We think it makes perfect sense [puisque] Starlink will have to invest massively”said Ben Wood, head of research at CCS Insight.

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