Besides the possible merger between Tesla, SpaceX, Neuralink, The Boring Company, and Twitter into a single super-conglomerate, how might rising costs affect the future of Elon Musk’s enterprises, particularly SpaceX? A potential storm is brewing with operating cost hikes that don’t appear to slow down the progress. If anything, the rapid pace of production seems to have increased along with the company’s overall financial valuation. According to PitchBook researchers, recent amendments have driven SpaceX’s valuation from USD 100 billion in 2021 to around USD 125 billion, gaining 25% in one single year!
In tandem with the meteoric rise in valuation, Space Exploration Technologies Corp. (SpaceX) is rocketing upwards with multibillion-dollar projects, having raised a fresh round of funding of approximately USD 1.5 billion. SpaceX’s capital-intensive efforts include Starship, a rocket system for deep-space missions, and Starlink, a satellite internet service.
The space exploration company has been building out its infrastructure for Starship at a site located near the southern tip of Texas. The company has been testing and manufacturing engines and other hardware for its vehicles. SpaceX intends to launch orbital demonstration flights from this site, a proposal that the Federal Aviation Administration is currently reviewing. If successful, the company will make moves to begin conducting Starship’s orbital demonstration flights from the location in Texas.
In February 2022, Elon Musk stated that SpaceX could also test its Starship rockets from Florida. Elon Musk has described the development of the rocket system, designed to be fully reusable, as complex, pointing to the cost savings achieved by optimizing the engines that will undergird it. SpaceX is also spending significantly on Starlink, which features a unit that uses a fleet of satellites to power its high-speed broadband internet service. The company said earlier this year that it is now capable of building up to 45 satellites per week and has sought permission to launch tens of thousands of additional satellites in the near future.
As of May 2022, Starlink has launched more than 2'400 of these satellites, according to the documentation filed recently with the Federal Communications Commission. Elon Musk stated last year that SpaceX was likely to invest between USD 5 billion and USD 10 billion in Starlink’s ambitious operations, with subsequent ongoing investments to fuel further endeavors.
Therefore, despite rising costs and global inflation, SpaceX and Starlink appear to have emerged unscathed and in even greater shape this year compared to the previous year. Those who seized the chance to invest in SpaceX with Moonshot back in November 2021 are now able to watch their portfolio value increase. Whether you’re reaping the rewards of your wise earlier investment decision or wishing you’d jumped on board sooner, the good news is, SpaceX is still skyrocketing day by day! Join Moonshot so you don’t miss out on these incredible investing opportunities!
