The IPO of Starlink is the most anticipated offering that many investors have been looking forward to. Starlink is a satellite communications system that includes 4,000 satellites with an expected internet bandwidth of up to 23 Tbps. The system gets directly connected to the customer gadgets through user terminals. In March 2024, 50% of the satellites are scheduled to be launched; by 2027, all of the devices will have been launched into orbit.
The project has been developing in the US for 5 years and the total investment exceeds $10 billion. Elon Musk notes that the total investment in the project will be around $20-30 billion.
Starlink's Pre-IPO Financial Performance
Testing of the satellite system began on 26 October 2020 and lasted until October 2021. Customers, however, can already purchase its equipment for $499 and pay $99 monthly to get satellite internet connection.
In December 2020, it was reported that the project would raise $885.50M the next year in order to provide web access to the remote locations in the United States. As of January 2021, Starlink network included 10,000 terminals.
The project is being financed by its shareholders, whose number is growing rapidly. As this is private investment, however, we are only aware of the amounts raised. For instance, it is known that in 2019, the project raised $1.02B, while in 2020 this amount reached $2B. As of February 2021, Starlink was valued at $72bn.
The IPO date for Starlink is not yet known. Experts predict an IPO in 2022.
Starlink IPO Outlook and Target Market
As Elon Musk said that high-speed satellite internet access cannot be free, one may assume the project does cost money. The final cost of all the company's equipment will range between $10B and $15B. The business plans state that the earnings should rise by $30B per year, and the number of customers, to 40M, by 2025.
How to invest in IPO Starlink?
Interested in investing in IPO Starlink? Starlink is currently a non-public company. We will notify you if a securities prospectus is issued and there is an opportunity to buy Starlink stocks.