Published on
May 21, 2026
SpaceX Announces Plans for IPO Following xAI Merger
SpaceX files S-1 to list as SPCX after xAI merger; revenue, Starlink growth, losses, and Musk's voting control disclosed.
SpaceX has taken a significant step toward entering the public market by filing an S-1 registration statement with the Securities and Exchange Commission. The move, which sets the stage for the company's debut on the Nasdaq exchange under the ticker symbol SPCX, comes in the wake of its February merger with xAI, the artificial intelligence startup founded by Elon Musk.
The company's regulatory filing outlines the financial framework for what could become one of the largest initial public offerings (IPOs) in history. Goldman Sachs has been named as the lead underwriter for the transaction, alongside major financial institutions such as Morgan Stanley, Bank of America, Citigroup, and JPMorgan Chase.
Mixed Financial Results Highlight Challenges and Opportunities
The prospectus reveals that SpaceX achieved $4.694 billion in consolidated revenue for the first quarter of 2026. However, the company also reported a net loss of $4.3 billion during the same period, reflecting the financial challenges tied to its ambitious endeavors. For the full year of 2025, SpaceX generated $18.674 billion in revenue, marking a 33% increase year-over-year, but still posted an operational loss of $2.589 billion.
A closer look at the company’s operations shows a diverse yet financially demanding portfolio. The Connectivity segment, driven primarily by the Starlink satellite internet service, brought in $3.257 billion in revenue in the first quarter of 2026, doubling its subscriber base to 10.3 million from 5 million a year earlier. However, the average revenue per user declined due to international expansion and lower-cost service tiers.
Conversely, the company’s rocket launch business under the Space segment generated $619 million in revenue during the same period but incurred an operating loss of $662 million. Development of the Starship megarocket has consumed over $15 billion to date, surpassing initial budget estimates.
Meanwhile, the newly created artificial intelligence segment, now branded as SpaceXAI, recorded $818 million in revenue during the first quarter of 2026. However, it experienced significant losses, with $2.469 billion in operational losses for the quarter and $6.355 billion in losses throughout 2025.
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Business Risks and Strategic Initiatives
SpaceX’s filing highlights potential business risks and growing scrutiny over its operations. The Grok chatbot, a product of the company's artificial intelligence division, is currently under multiple regulatory investigations related to nonconsensual sexualized deepfakes. Despite these challenges, the company has secured a major deal with Anthropic, which has committed to paying $1.25 billion per month through May 2029 for exclusive use of the Colossus 1 data center in Memphis, Tennessee.
The regulatory documents also revealed executive compensation figures. Gwynne Shotwell, SpaceX President and Chief Operating Officer, received $85.8 million in total compensation in 2025, with a base salary of $1.08 million and the remainder in stock options. Upon the IPO’s completion, Elon Musk is set to maintain 85% voting control over the company while retaining his roles as chairman and chief technology officer.
Retail Investors to Buy In
In a move aimed at broadening participation, the IPO will allow retail investors to purchase shares at market debut through platforms such as Schwab, Fidelity, Robinhood, SoFi, and E*Trade. This approach could mark a significant milestone for everyday investors looking to be part of SpaceX’s journey as it aims for a trillion-dollar valuation.
As SpaceX prepares for its public debut, the company is pushing forward with its ambitious plans. An updated version of the Starship megarocket is scheduled for its twelfth test mission later this week. Beyond the IPO, the company expressed its broader vision: "We aim to evolve X into an ‘Everything App,’ integrating real-time information, communications, media, payments, banking, commerce and more within one consumer experience", stated the filing.
With its bold initiatives and high-profile merger with xAI, SpaceX is positioning itself as a multi-faceted leader in aerospace, connectivity, and artificial intelligence. The upcoming IPO is poised to be a defining moment for the company and the market at large.
