Company Valuation Rockets
A year ago, in December 2023, Space X was valued at Almost $180 Billion then in June of 2024 it was given a value of $210 Billion, and again in November of 2024, the space exploration and satellite technology company was valued at $255 Billion, making it the most valuable private start-up company globally.
Come December 2024 and a new evaluation has just been given at an astounding $350 Billion, according to new figures relating to an internal company share purchase offer to staff.
The so-called tender or secondary offering, through which employees and some early shareholders would be able to sell shares they hold, provides investors in the closely held SpaceX a way to generate liquidity amid growing successes and expansion at the company.
At roughly $350 billion in value, SpaceX would also be on par with some of the world’s largest publicly traded companies in terms of market capitalization.
What Is Driving the Value?
Essentially Elon Musk has created the first entire space eco-system, that can actually create sustainable revenue and profit, including reusable rockets that can self-land, a global low-orbit satellite connectivity network that includes inter-satellite communication via laser, plus the foundation for interplanetary travel via the SpaceX Starship programme.
Starlink’s Growth Impressive
Starlink’s subscriber number stood at 1 million as of the end of 2022 and more than doubled to 2,3 million by the end of 2023 while revenue increased to $4,2 Billion for the year, providing it’s first year of break-even cash-flow.
SpaceX has already launched more than 80 Starlink missions so far in 2024. The huge, ever-growing LEO constellation currently consists of 6,799 operational spacecraft and controls the bulk of satellites in orbit today.
Starlink’s Gen 3 satellites are set to increase bandwidth by 50x current levels with low latency rates anticipated. Laser-links between satellites allows for a full communication network at high speeds with the capacity to transfer hundreds of Gigabytes per second.
The Texas based Starlink factory has scaled this year form a capacity of 150 000 receptor dishes per month to 500 000, a growth of magnitude underpinning the growth in sunbscribers.
Communication Break-through Disruptor
Yesterday also marked the completion of SpaceX’s satellite direct to Mobile phone facility that allows direct connection with satellites directly to mobile phones without the need for a mobile network.
“The first Starlink satellite direct-to-cell phone constellation is now complete,” SpaceX founder and CEO Elon Musk said via X early on Thursday morning (Dec. 5). “This will enable unmodified cellphones to have internet connectivity in remote areas. Bandwidth per beam is only ~10Mb, but future constellations will be much more capable.”
This together with the lowest orbit satellites in operation today with others planned for even lower orbit heights next year, will create the world’s first completely private and independent global communication network that does not rely on any other communication network link.
This is a momentous disruption in the telecoms arena that could potentially make Starlink and SpaceX a world dominant communications platform.
This technology is already delivering fibre-like internet speeds to over 80 international passenger aircraft, with an order book of 400 more currently
Space Profit Break-through
What Elon Musk has achieved, for the first time ever in space-exploration and developments, is to have made it profitable.
Major space programmes across the globe have seen budget cuts due to its increasing price-tag without the scope of making any profit out of the venture.
SpaceX and Starlink have created the eco-system that has made all else before it pale into insignificance and be the path-changer and industry disruptor that is making Space incredibly exciting once again with unmatched opportunity.
