SpaceX
SpaceX’s Starlink space internet gets new competitor with OneWeb satellite launch
The most viable competitor to SpaceX’s Starlink Internet constellation has completed a demonstration launch, placing the first six OneWeb satellites in a circular orbit 1000 km (620 mi) above Earth.
Designed as a constellation of approximately 650-900 satellites, OneWeb aims to provide uninterrupted Internet access across the world with a focus on affordability for those living without a basic communications infrastructure. Assuming OneWeb’s first six spacecraft operate nominally in orbit, the first phase of the company’s constellation could be completed by late 2020 or early 2021, leading to initial operations with customers actually able to access the internet through their spacecraft.
LAUNCH! Soyuz ST-B launches with the first batch of OneWeb satellites.
Follow Along Live:https://t.co/wpIrRq5QwC pic.twitter.com/nUuIs0vkI9
— NSF – NASASpaceflight.com (@NASASpaceflight) February 27, 2019
Compared to OneWeb, SpaceX’s Starlink constellation (even in its earliest phases) is dramatically more expansive, featuring anywhere from 2-7x as many spacecraft and an overall bandwidth that is likely even greater still. As a partial consequence, Starlink spacecraft will likely be more complex and expensive to mass-produce and operate. Combined with optical (laser) interlinks that could make Starlink truly revolutionary, it remains to be seen whether the costs of high-tech solutions can be outweighed by their intrinsic benefits.
6/6 – all 6 of the satellites have successfully separated from the rocket. They will now deploy their solar panels and begin generating power from the sun, to begin their journey to provide #ConnectivityEverywhere #OneWebLaunch
— Eutelsat Group (@EutelsatGroup) February 27, 2019
Thanks to the relative simplicity and lower mass of OneWeb’s spacecraft, as well as a partnership with industry heavyweight Airbus Defence and Space and the partial completion of a Florida-based satellite factory, OneWeb undeniably has several steps up on SpaceX, at least with respect to the goal of reaching initial commercial operations as quickly as possible. SpaceX has already gained experience operating its first two demonstration satellites – known as Tintin A and B – for a full year on-orbit, but all that is known Starlink’s first operational launches is that CEO Elon Musk is dead-set on commencing deployment no later than June 2019. Meanwhile, the status of SpaceX’s production facilities is unclear, with two mid-sized buildings in Redmond, Washington known to be dedicated to the program.
An array of job posts and brief hints from primary and secondary sources indicate that the Starlink program is already heavily focused on ramping up spacecraft production after several years of development. It’s unclear if a planned second set of prototype satellites is still on the books, hinted at by Musk in the months after the first pair’s February 2018 launch debut.
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- OneWeb’s preliminary satellite production line. (OneWeb)
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- A visualization of satellite deployment on-orbit. (Arianespace)
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- OneWeb’s first Soyuz 2 fairing. (Arianespace)
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- SpaceX’s first two Starlink prototype satellites are pictured here before their inaugural launch, showing off a thoroughly utilitarian bus and several advanced components. (SpaceX)
Aside from the satellites themselves, prospective global internet constellation operators must face the equally critical and challenging task of developing a simultaneously high-performance and low-cost user terminal, the antenna and associated electronics that turn spacecraft signals into an accessible and reliable internet connection. SpaceX’s work in this direction has been silent, while OneWeb founder Greg Wyler recently began teasing and describing the company’s own work in that direction, hinting that his team has already arrived at a $15 antenna prototype capable of supporting 20-60 Mbps (megabits per second).
First two Starlink demo satellites, called Tintin A & B, deployed and communicating to Earth stations pic.twitter.com/TfI53wHEtz
— Elon Musk (@elonmusk) February 22, 2018
Meanwhile, the hopeful success of the company’s first launch will pave the way for the first full launch of OneWeb spacecraft, potentially as many as 32-36 at once on Arianespace’s Russian Soyuz 2 launch vehicle. OneWeb has 21 launches manifested on Soyuz 2 rockets, scheduled to occur at a more or less monthly cadence between the first operational launch and the completion of Phase 1’s 650-satellite constellation. Shortly after the first launch was completed, Arianespace CEO Stéphane Israël announced that it had struck a deal with OneWeb as the official customer for the first two launches of its Ariane 6 rocket, meant to debut as early as 2020.
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The Ontario Teachers’ Pension Plan (OTPP) stands to reap one of the most extraordinary returns in pension fund history thanks to a bold 2019 investment in SpaceX.
According to a recent report from The Globe and Mail, the Toronto-based fund invested roughly $300 million CAD (~$220 million USD at the time) in Elon Musk’s space company as its inaugural deal through the Teachers’ Innovation Platform.
At SpaceX’s anticipated $1.75 trillion IPO valuation, set for a mid-June debut on Nasdaq under ticker $SPCX, that stake could now be worth up to $11.6 billion USD. This would represent a roughly 50x return and easily become OTPP’s most successful single investment ever.
The fund manages $279 billion in assets for approximately 346,000 working and retired teachers in Ontario, potentially delivering an average boost of around $33,500 per member if fully realized.
SpaceX has filed its S-1 and plans to price shares at $135 each, aiming to raise a record $75 billion in what would be the largest IPO in history, surpassing Saudi Aramco. The company reported $18.67 billion in revenue for 2025, driven primarily by Starlink satellite internet growth and NASA contracts, though it continues to post significant losses tied to ambitious R&D in Starship and AI initiatives.
Important pieces moving forward include:
- Starlink Expansion: The satellite broadband service is scaling rapidly, targeting global connectivity, especially in underserved rural and remote areas. This segment offers massive recurring revenue potential as numbers climb.
- Starship and Reusability Leadership: SpaceX’s fully reusable Starship aims to slash launch costs dramatically, enabling frequent missions, Mars ambitions, and lucrative government/defense contracts. Success here could unlock exponential growth.
- AI and Diversification: Recent moves, including ties to xAI, position SpaceX in high-growth AI infrastructure, broadening beyond traditional aerospace.
- Validation Scrutiny: While the $1.75 trillion target excites investors, analysts like Morningstar value the company closer to $780 billion, citing high multiples (around 90x trailing revenue) and execution risks. A 180-day lockup period will prevent early investors like OTPP from selling immediately post-IPO.
The irony has not been lost on observers. Ontario’s government previously canceled a Starlink rural internet contract amid political tensions involving Musk, yet the pension fund’s savvy investment, made when SpaceX was valued around $33-36 billion, and Starlink was nascent, delivers outsized gains independent of politics.
For OTPP, this windfall strengthens its already solid 111 percent funding ratio and underscores the value of patient, innovation-focused capital allocation.
For SpaceX, the IPO marks a new chapter: greater transparency, access to public markets for talent retention and growth capital, and heightened pressure to deliver on its multi-planetary vision.
All eyes are fixed on whether SpaceX can justify its lofty valuation through sustained execution. For Ontario teachers, the returns are already stellar, but SpaceX, like other Musk companies in the past, has plenty of things to prove. Perhaps the most ideal person for the job is at the helm, hoping to bring the company to a massive valuation.
Elon Musk
SpaceX’s amended S-1 is sparking a major Tesla merger conversation
A single line in SpaceX’s amended S-1 just sent Tesla stock down 5% in one day.
A single line buried in SpaceX’s amended S-1 filing is doing more to move Tesla’s stock price than anything Tesla itself has announced in months. The clause, disclosed as SpaceX prepares for what could be the largest IPO in Wall Street history, states that the company “may issue a significant amount of equity in connection with future transactions.” While this may be seen as boilerplate language in S-1 filings, the historical ties between SpaceX and Tesla, and with Elon Musk reportedly discussing a possible merger with close colleagues, investors are interpreting it as something closer to a signal.
The concern among institutional investors like Gary Black, managing director of The Future Fund, pointed directly to the amended filing on X, saying it “strongly suggests more SPCX equity will be issued,” which could potentially be used to acquire Tesla. He estimated such a deal could be 28% dilutive to Tesla shareholders since SpaceX would likely command a significantly higher valuation multiple. Black added that institutional investors he knows hate the idea of a combination because they prefer pure plays over conglomerates, which he said “nearly always gravitate to the lowest common multiple.”
The Tesla and SpaceX merger everyone is talking about is quietly building
The bull case runs the math differently. Tesla influencer and retail shareholder advocate AleXandra Merz pushed back on what she called a widespread misunderstanding of how merger-of-equals deals actually work. Rather than simply splitting the difference between two market caps, a merger exchange ratio is negotiated based on relative fair market values, meaning the lower valued company typically sees its stock reprice upward toward the deal value.
Under her model, SpaceX enters at a $2.5 trillion valuation and Tesla at $1.6 trillion, producing a combined entity worth $4.1 trillion split evenly between both shareholder groups. That implies Tesla’s side of the deal would be valued at $2.05 trillion, a gain of roughly $450 billion from its current market cap. She cited Dow-DuPont and CBS-Viacom as historical examples of how markets reprice both companies toward the announced exchange ratio after a deal is unveiled.
What does a Merger of Equals mean to Elon’s compensation packages?
Well, it changes everything.
Enjoy https://t.co/uekCldyITw pic.twitter.com/kolq1C9qTu
— AleXandra Merz 🇺🇲 (@TeslaBoomerMama) June 1, 2026
The SpaceX S-1 amendments also revealed just how much financial infrastructure already binds the two companies together. As Teslarati has reported, SpaceX purchased $697 million in Tesla Megapacks, $131 million in Cybertrucks, and the two companies have shared supply chain resources, and semiconductor fabrication plans since well before any merger conversation became public. A retail poll by Tesla influencer Sawyer Merritt is finding that 36% of respondents do not plan to buy SpaceX shares at IPO and 15.3% saying their decision depends on the valuation.
Do you plan on buying @SpaceX stock at its IPO?
— Sawyer Merritt (@SawyerMerritt) June 1, 2026
Whether the merger happens or not, the amended filing is seemingly moving markets and sharpened a debate that is no longer theoretical. SpaceX is weeks away from trading publicly, and Tesla shareholders are now watching every word of every filing for clues about what Musk plans to do next.
Elon Musk has firmly denied recent media reports suggesting that SpaceX has reduced its target valuation for an upcoming initial public offering.
The denial came directly from the SpaceX and Tesla frontman on his social media platform X, where he responded with a single word, “False,” to a post from ZeroHedge that cited Bloomberg sources.
This swift rebuttal underscores Musk’s ongoing effort to manage speculation surrounding one of the most anticipated market debuts in recent history.
False
— Elon Musk (@elonmusk) May 29, 2026
According to the disputed reports, SpaceX had lowered its IPO valuation goal to at least $1.8 trillion from previous ambitions exceeding $2 trillion.
The claims emerged amid growing anticipation for the company’s confidential S-1 filing, which positions it for a potential public listing as early as June.
Some had pointed to strong revenue growth, particularly from the Starlink satellite internet service, which contributed heavily to the firm’s 2025 figures of $18.7 billion. Yet challenges persist in other areas, including substantial investments and losses tied to ambitious projects like Starship development and artificial intelligence initiatives, which plan to make life multiplanetary eventually.
Musk’s response highlights a pattern in which he actively counters what he views as inaccurate portrayals of his companies’ trajectories.
SpaceX, already valued privately at extraordinary levels, stands as a cornerstone of Musk’s empire alongside Tesla and xAI. The entrepreneur has long emphasized the transformative potential of reusable rockets and global broadband access, factors that fuel investor enthusiasm despite operational hurdles.
By rejecting the valuation downgrade narrative, Musk signals confidence in SpaceX’s fundamentals and its readiness for public markets on terms favorable to its long-term vision. People have been waiting a very long time to invest in SpaceX, and the valuation, as well as the introductory share price, is not going to need adjusting.
They’ll have plenty of suitors.
This episode reflects broader dynamics in the technology sector, where rumors often swirl around high-profile entities. Musk’s direct engagement with media narratives serves to maintain transparency and control the narrative around his ventures.
As SpaceX prepares for greater scrutiny in public markets, the founder’s denial reinforces optimism about its prospects. Supporters argue that the company’s innovative edge positions it for enduring success, far beyond short-term valuation debates. With the denial now public, attention turns to forthcoming regulatory filings that could provide clearer insights into SpaceX’s strategy and financial health.
The coming weeks promise to reveal more about how SpaceX will transition into a publicly traded powerhouse.
SpaceX IPO set to provide massive $11.6B windfall for teacher pension plan
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