Starlink Will Go Public When Cash Flow Stabilises – Elon Musk

Elon Musk has made clear his eventual intention for SpaceX’s Starlink fleet of satellites that provide broadband connectivity from space.

Musk said he will list the Starlink space internet venture, when its cash flow is reasonably predictable, and hopes to give long term Tesla shareholders an initial public offering (IPO) before that happens.

Earlier this week SpaceX president Gwynne Shotwel said that Starlink will deliver continuous global coverage by around September.

A stack of flat Starlink satellites prepares to deploy in Earth orbit. Image credit: SpaceX

Starlink venture

Shotwell also revealed that SpaceX now had a total of 1,800 Starlink satellites, which is enough to provide global coverage.

At the moment, Starlink operates a beta service in 11 countries, priced at $99 a month.

In May SpaceX revealed it had already received more than 500,000 orders for the satellite internet service.

In addition to the monthly charge, the user also has to pay $499 upfront for the equipment needed to connect to the service. The best Internet speed that can be achieved seems to be approximately 209.2 Mbps, which was the fastest speed recorded by a beta-test subscriber.

SpaceX intends to place up to 12,000 satellites in orbit, with approximately 2,000 satellites launched per year.

It will eventually place up to 42,000 satellites into orbit by mid-2027.

Elon Musk has previously made clear that he sees the Starlink service as a way of funding SpaceX’s development of a spacecraft (i.e. Starship) that can carry passengers to the moon, and eventually colonise Mars.

Indeed Musk has previously said SpaceX could make up to $30 billion a year from the Starlink venture.

Public listing

But now Elon Musk had provided a bit more clarity about the future of the Starlink venture, which is currently operated by SpaceX.

Musk responded when a Twitter user asked him: “Any thoughts on Starlink IPO we would love to invest in the future. Any thoughts on first dibs for Tesla retail investors?”

Musk replied: “At least a few years before Starlink revenue is reasonably predictable. Going public sooner than that would be very painful. Will do my best to give long-term Tesla shareholders preference.”

It should be noted that this is not the first time that spin off of Starlink has been mooted.

Last year SpaceX President Gwynne Shotwell said Starlink could be spun off from SpaceX for an initial public offering.

Tom Jowitt

Tom Jowitt is a leading British tech freelancer and long standing contributor to Silicon UK. He is also a bit of a Lord of the Rings nut...

Recent Posts

Google Staff Question Layoffs After Record Earnings

Staff at Google question CEO Sundar Pichai over 'significant decline' in workforce morale amid ongoing…

12 hours ago

OpenAI To Announce Google Search Competitor Next Week – Report

Google's search domination to be challenged next week, with OpenAI reportedly set to announce its…

16 hours ago

Biden Admin Set To Impose Tariffs On Chinese Electric Vehicles

America reportedly set to announce next week import tariffs on strategic Chinese sectors, including electric…

17 hours ago

TikTok To Label AI-Generated Content From Other Platforms

AI-generated content such as video and images are going to be labelled by TikTok using…

1 day ago

Neuralink’s First Human Brain Implant Develops Malfunction

Neuralink brain implant embedded in 29-year-old patient named Noland Arbaugh develops a fault, but is…

1 day ago

Tesla Ordered To Provide NHTSA With Autopilot Recall Data

US agency seeks data from Tesla on Autopilot recall, amid reports US prosecutors are probing…

1 day ago