SpaceX's Starlink could become a Publicly Traded Company one day, says Elon Musk

SpaceX's Starlink could become a Publicly Traded Company one day, says Elon Musk

Image: Starlink Dish Digital Illustration By @ErcXspace via Twitter

SpaceX started accepting preorders for its Starlink broadband internet service this week. “Available to a limited number of users per coverage area at this time. Orders will be fulfilled on a first-come, first-served basis,” the company announced via SpaceX is building the world’s most advanced satellite internet constellation in low Earth orbit to provide connection worldwide. With approximately 1,085 satellites already deployed SpaceX says it currently provides data speeds varying from 50 to 150 megabits per second and latency from 20 to 40 milliseconds “in most locations over the next several months as we enhance the Starlink system. There will also be brief periods of no connectivity at all,” the company states, “As we launch more satellites, install more ground stations and improve our networking software, data speed, latency and uptime will improve dramatically.” Starlink service is currently used by customers in portions of the United States, Canada, United Kingdom and will soon be offered in other European countries.

On Monday many SpaceX supporters preordered the Starlink Kit to join the network. The kit is priced at $499USD includes a technologically advanced phased-array antenna dish, mounting equipment, power supply, and Wi-Fi router device. The Starlink internet monthly service fee is $99USD. Individuals who preordered shared SpaceX just charged $99USD, the rest of the price will be charged to customers as the orders are fulfilled. SpaceX founder Elon Musk said Starlink is “the same price in all countries. Only difference should be taxes & shipping.” You can preorder via A Twitter user asked Musk if they could “offer Starlink at a lower price in some developing countries…” to which he responded, “SpaceX needs to pass through a deep chasm of negative cash flow over the next year or so to make Starlink financially viable. Every new satellite constellation in history has gone bankrupt. We hope to be the first that does not,” Musk wrote on February 9.

Musk also shared that Starlink could become a publicly traded company one day. “Starlink is a staggeringly difficult technical & economic endeavor. However, if we don’t fail, the cost to end users will improve every year,” he said. “Once we can predict cash flow reasonably well, Starlink will IPO [Initial Public Offering],” Musk stated. Its not the first time he mentions the potential of turning Starlink into a separate company to pursue an IPO, “We will probably IPO Starlink, but only several years in the future when revenue growth is smooth & predictable," he said in September last year. "Public market does *not* like erratic cash flow haha. I’m a huge fan of small retail investors. Will make sure they get top priority. You can hold me to it,” he wrote via Twitter in September last year.


During the Satellite2020 conference Musk said that Starlink could one day provide additional funding to colonize Mars if Starlink obtains a percentage of users in the global telecommunications market. If Starlink is successful, SpaceX could net $30 billion to $50 billion in revenue annually. “The whole purpose of SpaceX is really to help make life multi-planetary... But the revenue potential of launching satellites to the space station, that taps out about $3 billion dollars a year. But I think providing broadband is more like an order of magnitude more than that, probably $30 billion a year as a rough approximation,” Musk said in 2020.  

Featured Image Source: Starlink Dish Digital Illustration By @ErcXspace via Twitter

About the Author

Evelyn Arevalo

Evelyn Arevalo

Evelyn J. Arevalo joined Tesmanian in 2019 to cover news as a Space Journalist and SpaceX Starbase Texas Correspondent. Evelyn is specialized in rocketry and space exploration. The main topics she covers are SpaceX and NASA.

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