What is SpaceX, exactly? Here’s a rundown of its massive bets — and why they’re fueling excitement and anxiety across Wall Street

SpaceX, led by Elon Musk, operates multiple high-risk ventures that have divided investors. Its satellite internet service, Starlink, remains the company’s most profitable division, with over 10 million subscribers globally and an operating profit of $1.19 billion in the first quarter of 2026. Analysts project Starlink’s annual revenue could reach $20 billion by 2026, accounting for roughly 60% of SpaceX’s total revenue of $18.7 billion in 2025. The company’s space division, which includes reusable rocket launches, generated $4.09 billion in revenue in 2025 but still posted an operating loss of $657 million. SpaceX conducted 170 launches last year, up from 27 in 2020, leveraging reusable boosters to cut costs. Its next-generation Starship rocket remains a critical component of Musk’s Mars colonization plans. However, SpaceX’s AI division—encompassing xAI and the social media platform X—has become a financial burden. The segment reported a $6.36 billion operating loss in 2025, dragging the entire company into the red despite $3.2 billion in revenue. To offset losses, Musk secured deals with Anthropic and Google to rent SpaceX’s Colossus 1 AI data center for $1.25 billion and $920 million monthly, respectively. The company’s capital expenditures hit $20.7 billion in 2025, with much of the spending directed toward AI and Starship development. Despite skepticism from short-sellers like Jim Chanos, who question SpaceX’s valuation, investors remain focused on Musk’s long-term vision of Mars colonization and lunar missions. The company’s financial instability and ambitious bets continue to spark debate on Wall Street.