Key Points:
- SpaceX is planning a massive IPO for later this year.
- The company may use a dual-class share structure to protect Musk’s control.
- A recent merger with xAI could push the valuation over $1.5 trillion.
- Musk wants to avoid the voting power issues he currently faces at Tesla.
Elon Musk is preparing to take SpaceX public, but he wants to ensure he remains the boss. According to a report from Bloomberg News on Friday, the rocket company is considering a “dual-class” share structure for its upcoming initial public offering (IPO). This move would allow Musk and other early investors to keep control over major decisions even after selling stock to the public.
A dual-class structure creates two different types of shares. One type is sold to the general public, and these shares usually carry very little voting power. The second type is reserved for founders and insiders. These shares carry much more weight, sometimes giving the holder 10 times the voting power of a regular shareholder. This setup is common among tech founders who want to raise money from the stock market without losing their grip on the company’s future.
The IPO is shaping up to be one of the biggest in history. Reports suggest the listing could value SpaceX at more than $1.5 trillion. This massive price tag follows the company’s recent acquisition of Musk’s artificial intelligence startup, xAI. By combining rockets, satellites, and advanced AI, SpaceX is positioning itself as a dominant force across multiple high-tech industries.
To prepare for this major transition, SpaceX is actively looking to add new members to its board of directors. These new leaders will help oversee the complex IPO process. They will also assist in managing Musk’s expanding goals, which go far beyond just launching satellites and now include ambitious AI projects and Mars colonization plans.
Musk likely wants to avoid the specific issues he faces at Tesla. At his electric car company, all shares have equal voting rights, which dilutes his power when he sells stock. Musk has frequently stated he needs to own about 25% of Tesla to feel comfortable leading it. By setting up SpaceX with dual-class shares from the start, he can secure his influence without needing to own a massive percentage of the total stock.
Discussions are still ongoing, and the final details could change before the company officially files its paperwork. SpaceX did not immediately respond to requests for comment regarding the report.
