SpaceX's Starlink Emerges as Major Revenue Source Amid Funding Speculations

Elon Musk recently clarified that SpaceX's commercial Starlink has become the company's largest revenue source. This statement comes amid speculation of a significant funding round at an $800 billion valuation.

Musk emphasized that SpaceX has been cash flow positive for many years and only conducts periodic stock buybacks to provide liquidity for employees and investors. He noted that the company's valuation growth depends on Starship progress, Starlink expansion, and global direct-to-cell spectrum acquisition.

Musk also dismissed claims that SpaceX is subsidized by NASA, stating that NASA will constitute less than five percent of their revenue next year. Starlink has surpassed eight million users across more than 150 countries and continues to secure major in-flight Wi-Fi deals.

The company has introduced a new Starlink plan at $40 per month and is opening its first physical retail stores in the U.S. Additionally, SpaceX plans to test satellite mobile service next year following a $17 billion deal with EchoStar, which could enhance revenue potential.

Musk's remarks highlight that Starlink, rather than government contracts, is now the economic backbone of SpaceX.