Google set for $100B gain from SpaceX IPO
What's the story
Google is poised to rake in a massive windfall of over $100 billion from its early investment in Elon Musk's SpaceX. The potential wealth is based on a new disclosure filed by the space start-up in Alaska, where companies are required to report shareholders with stakes of 5% or more. As of end-2025, Google held a 6.11% stake in SpaceX.
Dilution details
Stake likely diluted after merger with xAI
Google's stake in SpaceX has likely been diluted after the latter's merger with xAI, Musk's artificial intelligence and social media company, in February. The current estimate is that Google owns about 5% of SpaceX following the merger. At a $2 trillion IPO valuation, this stake would be worth around $100 billion.
IPO impact
SpaceX's IPO expected in June
SpaceX has confidentially filed for an IPO, aiming for a June listing. The company is expected to raise up to $75 billion in what would be the biggest-ever IPO. If it hits a $2 trillion valuation, even a 0.05% stake could turn an investor into an instant billionaire. The listing would also make Musk the world's first trillionaire and significantly boost the fortunes of his long-time associates like President Gwynne Shotwell.
Investor gains
Early investors to see massive returns
SpaceX's early investors are likely to see huge returns on their investments. PitchBook senior research analyst Franco Granda, who covers SpaceX, said even those who invested five years ago will be happy with the outcome. He added that investors who got in at 2021 will have life-changing or career-defining returns.
Investment journey
Google first invested in SpaceX in 2015
Google first invested in SpaceX in 2015, along with Fidelity Investments, in a $1 billion funding round that valued the company at $10 billion. The pair got a 10% stake. However, both Google and Musk have seen their ownership shrink over time due to dilution and secondary share sales. Despite this, many investors and long-term employees who have been loyal to SpaceX are expected to reap huge rewards from the IPO.