On April 16, Bloomberg reported, citing newly disclosed information, that Alphabet’s early investment in SpaceX is expected to yield returns of up to hundreds of billions of dollars, highlighting the enormous wealth effect of SpaceX’s IPO.
The documents show that as of the end of 2025, Google will hold approximately 6.11% of SpaceX’s shares. Based on the company’s planned valuation of $2 trillion, this stake would be worth approximately $122 billion . Due to the merger with xAI in February of this year, Google’s stake has been diluted to approximately 5%, corresponding to a value of approximately $100 billion.
Although Google has already invested in SpaceX, the specific percentage of its shareholding was not previously disclosed.
According to the disclosure, currently only Google and Elon Musk, who holds approximately 40% of the shares, are required to report their shareholdings. However, with SpaceX planning to go public in June and raise up to $75 billion, many investors are expected to reap huge returns. If the valuation reaches $2 trillion, even a 0.05% stake could make someone a billionaire overnight.
This IPO could also make Musk the world’s first trillionaire and significantly boost the wealth of executives including President Gwen Shotwell.
Franko Granda, a senior analyst at PitchBook, stated that even investors who entered the market in recent years are expected to reap substantial returns. “Investors who entered in 2021 could potentially achieve life-changing gains, and even those who missed earlier opportunities could potentially see a return of approximately 20 times their initial investment if they entered before 2021.”
Granda pointed out that SpaceX, founded in 2002, became a unicorn within eight years, a remarkably rapid pace at the time.
Google initially invested $1 billion with Fidelity in 2015, when SpaceX was valued at $10 billion, giving them a combined 10% stake. Subsequent financing and equity transfers have diluted their shareholding.
Currently, Alphabet does not separately disclose its SpaceX stake but reflects related investment returns in its financial statements. In the first quarter of 2025, $8 billion of its profit increase came from related investments, with unrealized gains for the full year reaching $24.1 billion.
SpaceX filed its 2026 biennial report on April 11 and made it public this week, projecting revenue of approximately $20 billion this year.
Granda stated that going public will bring enormous wealth to investors and employees, but it could also trigger talent mobility, as some employees may choose to cash out and leave or start their own businesses. “A key question is whether middle and some senior managers will remain after achieving financial freedom.”
Furthermore, some directors are also expected to reap substantial rewards, similar to the wealth growth seen in directors following the rise in Nvidia’s stock price.
At the board level, Google executive Donald Harrison has served on the SpaceX board since 2015. PayPal co-founder Luke Nosek joined the board in 2008 and spearheaded investments from Founders Fund. He later founded Gigafund and has continued to increase its investments. In addition, longtime director Steve Yulvettsen recently purchased real estate in the Lake Tahoe area worth more than $175 million.
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