In January 2015, Alphabet invested $900 million in SpaceX, securing an estimated 7% to 7.5% stake when the aerospace giant was valued at $12 billion. A decade later, that position has appreciated roughly 100-fold, with current estimates placing its value between $100 billion and $111 billion.
SpaceX is targeting a public listing in June 2026, with projections suggesting a valuation between $1.5 trillion and $1.8 trillion. Even accounting for dilution from subsequent funding rounds, which reduced Alphabet’s ownership to approximately 5% to 7.4%, the stake could reach $122 billion at the higher end of these valuations.
The relationship extends beyond equity. Alphabet has committed to a $29 billion contract with SpaceX, paying $920 million monthly for AI compute capacity. This 32-month agreement runs from late 2026 through mid-2029.
For Alphabet investors, the upcoming IPO introduces new dynamics. The company will be required to mark its SpaceX position to market quarterly, potentially introducing significant volatility to earnings reports depending on post-listing stock performance.