Elon Musk on Wednesday denied a report that his rocket company SpaceX is discussing an initial public offering (IPO) for its satellite internet business, Starlink, as soon as 2024.
He called it “false” in response to a post on social media platform X that shared a Bloomberg News report that SpaceX is moving the unit’s assets to a wholly-owned unit that will eventually be shut down.
The billionaire entrepreneur had previously said he wanted to list Starlink when revenue growth and cash flow became smooth and predictable. Earlier this month, he said Starlink had achieved a cash-flow breakeven.
SpaceX is worth an estimated $150 billion and is the first private company to send humans into orbit. Its successes have left rivals, including Jeff Bezos’ Blue Origin, scrambling to keep pace as reusable rockets significantly lower launch costs.
Starlink Unit is the world’s largest satellite operator. On Wednesday, it secured an agreement to offer free internet in Mexico until the end of 2026.
“I believe he (Musk) will take Starlink out, not next year, but maybe 2025, 2026. He’s waiting for a level of stability or predictability in revenue,” said Justus Parmar, founder and CEO of venture capital firm Fortuna Investments.
