The space industry is bracing for a seismic event. Elon Musk has confirmed that SpaceX is preparing to go public in 2026, and according to Bloomberg reports, the company is targeting a valuation of approximately $1.5 trillion—which would make it the largest initial public offering in market history.

When asked about reports of the company's plans to go public this year, Musk simply replied that they were "accurate." The confirmation sent anticipation through both Wall Street and the broader investment community, where SpaceX has long been considered the crown jewel of private markets.

The Path to $1.5 Trillion

SpaceX's valuation trajectory tells the story of exponential growth. In July 2025, a tender offer valued the company at $400 billion. By December 2025, that figure had doubled to approximately $800 billion based on a tender offer in which the company and other investors purchased $2.56 billion in stock from insiders.

Now, with Bloomberg and Reuters forecasting 2026 revenue between $22 billion and $24 billion, a $1.5 trillion IPO would value SpaceX at roughly 63 to 68 times forward sales—a premium that reflects expectations of continued hypergrowth.

Timeline and Underwriters

The current timeline targets mid-to-late 2026 for the public debut. Lead underwriters Morgan Stanley and Goldman Sachs are reportedly managing the process, though both have cautioned that the date could potentially slip into early 2027 to ensure optimal market conditions.

Starlink: The Valuation Engine

While SpaceX's rocket launches capture public imagination, it's Starlink—the company's satellite internet constellation—that drives the majority of its valuation.

By the end of 2025, Starlink surpassed 8 million subscribers globally. The company estimates its 2025 revenue at approximately $15 billion, with Starlink contributing the lion's share. Projections for 2026 call for revenue growth to $22-24 billion, again predominantly from the satellite internet business.

The subscriber growth shows no signs of slowing. Starlink has achieved coverage across more than 100 countries and continues to penetrate both consumer and enterprise markets. Aviation partnerships, maritime services, and government contracts have diversified revenue streams beyond residential internet.

The Orbital AI Gambit

Perhaps most intriguing is SpaceX's emerging pivot toward orbital computing. Internal company documents from late 2025 suggest plans to host AI processing units directly on Starlink satellites—a concept that could revolutionize the data center industry.

By moving compute to space, SpaceX aims to bypass Earth-bound constraints: power grid congestion, massive water requirements for cooling traditional data centers, and geographical limitations on latency. If successful, this initiative could add an entirely new revenue pillar to an already diversified business.

Historical Context: Breaking Records

If SpaceX achieves its $1.5 trillion valuation target, it would shatter the previous record for largest IPO. Saudi Aramco's 2019 debut raised $25.6 billion at a $1.7 trillion valuation, but that was an existing oil giant going public rather than a growth company.

Among technology companies, Alibaba's $25 billion IPO in 2014 held the record for years. SpaceX's offering is expected to raise over $30 billion while commanding a valuation that would instantly rank it among the world's ten most valuable companies.

What Investors Should Consider

The Bull Case

SpaceX has achieved what no other company has: making space access economically viable. The Falcon 9's reusability has driven launch costs down by an order of magnitude. Starlink has proven that satellite internet can compete with terrestrial providers. And the company's Starship program promises to further revolutionize heavy-lift capabilities.

Mark Boggett, CEO of Seraphim Space, called the potential 2026 IPO a "seismic event" for the global space economy, predicting it could help drive the sector to $1.8 trillion by 2035.

The Risks

At 63-68 times forward sales, SpaceX would be priced for perfection. Any stumbles in Starship development, regulatory challenges, or increased competition from Blue Origin, Rocket Lab, or Chinese competitors could pressure the valuation.

Additionally, SpaceX operates in a capital-intensive industry with significant regulatory oversight. Launch failures, satellite collisions, or spectrum disputes could all impact operations.

How Retail Investors Can Participate

For investors eager to gain exposure ahead of the IPO, options are limited but not nonexistent. Several investment platforms now offer access to pre-IPO shares through secondary markets, though minimums are typically high and liquidity is constrained.

Alternatively, investors can position in companies that benefit from SpaceX's growth: suppliers, satellite component manufacturers, and space-focused ETFs that may eventually include SpaceX shares post-IPO.

"A SpaceX IPO would be transformational for the space sector. It would bring unprecedented attention and capital to an industry that's been starved for public market representation."

— Cathie Wood, CEO, ARK Investment Management

Looking Ahead

The SpaceX IPO represents more than just another tech company going public. It's a referendum on the commercialization of space, the viability of satellite mega-constellations, and the vision of making humanity a multi-planetary species.

For investors, the opportunity to own a piece of that vision has been limited to the ultra-wealthy and institutional players. The 2026 IPO could finally democratize access to what many consider the most compelling growth story of this generation.

Whether the $1.5 trillion valuation proves justified or excessive, one thing is certain: when SpaceX rings the opening bell, the entire investment world will be watching.