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SpaceX is progressing with its next-generation Starship V3 rocket following recent successful ground tests, while simultaneously expanding its business into artificial intelligence, compute services, and wireless spectrum. The company's launch dominance continues, having delivered 82% of the world's orbital mass in 2025. An IPO that could value SpaceX between $1.5 and $2 trillion appears to be on the horizon.
Facts First
- Starship V3 completed a successful full-duration static fire test in early May after earlier test anomalies.
- SpaceX merged with xAI in a deal valuing the AI firm at $250 billion and sold compute to Anthropic, signaling a major expansion beyond rockets.
- The company launched 82% of all mass to orbit in 2025 with 165 Falcon 9 launches, maintaining its market dominance.
- An impending IPO could value SpaceX at approximately $1.5 or $2 trillion, based on estimates.
- NASA's Artemis III program plans to use Starship for lunar landings in 2027 and 2028.
What Happened
SpaceX has been conducting a series of development tests for its Starship V3 rocket. After a V3 booster unexpectedly exploded during a pressure test in November 2025 and experienced a hard shutdown during an engine test in early February, the company completed a successful, full-duration static fire test in early May. The Starship V3 design includes a Raptor engine with reduced mass and a redesigned upper stage to increase propellant volume. Separately, SpaceX has expanded its business scope, merging with artificial intelligence firm xAI in a deal that valued xAI at $250 billion and selling ground-based compute to Anthropic. The company also paid $17 billion to EchoStar for wireless spectrum to boost its Starlink network.
Why this Matters to You
SpaceX's advancements in rocket reusability may help lower the cost of accessing space for satellites that provide global internet, Earth observation, and scientific research. The company's expansion into artificial intelligence (AI) and compute services could increase competition in those high-tech sectors. For investors, the potential IPO represents a major upcoming opportunity to invest in a company that is central to both space infrastructure and AI development.
What's Next
SpaceX is likely to proceed with an orbital test flight of the Starship V3 following the successful static fire test. The company aims to ramp up its launch rate, with former Starbase manager Kathy Lueders stating that Elon Musk would like the company to have 25 Starship missions a year in 2025. NASA is counting on Starship for its Artemis III lunar landing missions planned for 2027 and 2028. However, one industry estimate suggests Starship may not be widely available for commercial purposes until 2028 or 2029.