Stock futures rise as SpaceX jumps 7% on 161% revenue growth and Tesla merger talk
S&P 500 futures rose 0.2% and Nasdaq-100 futures gained 0.6% as Netflix stock fell more than 6% on its forecast
SpaceX and Tesla founder Elon Musk has declared that it is no longer impossible for SpaceX to generate $1 trillion in revenue by 2028. In a recent post on X, Musk stated that SpaceX would have to triple its revenue every three years to reach this ambitious target. The original projection from SpaceX was $1 trillion in revenue by 2030, but Musk's new prediction is even more ambitious.
SpaceX's current annual revenue is around $19 billion, which would need to increase 53-fold to reach the $1 trillion mark in just three years. The company reported a significant surge in revenue from its super-intelligence division, driven by new cloud services agreements, the recent acquisition of Cursor, and increased adoption of its Grok AI chatbot by businesses.
While Amazon and Walmart are currently the two highest revenue-generating companies globally, with sales of over $700 billion, Musk's $1 trillion revenue figure for SpaceX is far beyond their current earnings. SpaceX has reportedly discussed a potential merger between Tesla and SpaceX, but it is unclear if Musk's revenue projection includes Tesla's earnings.
Analysts have expressed skepticism about Musk's prediction, stating that it would require an unprecedented surge in demand that is hard to believe, let alone achieve within such a short time frame.
Written by urgent.news from Business Insider's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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