SpaceX Surpasses Amazon to Become the Fifth Most Valuable Company Globally

Elon Musk's SpaceX has formally overtaken tech giant Amazon to become the fifth most valuable company in the world, marking an unprecedented milestone for the global financial markets.

This momentous change comes after an incredible stock market debut on the tech-focused Nasdaq exchange in New York.

On Friday, the stock began trading at $135 per share and increased by about 50% to $209, putting the company's valuation at around $2.66 trillion to $2.78 trillion, just ahead of Jeff Bezos' e-commerce and media empire at $2.6 trillion.

SpaceX Soars on $60B AI Deal, Making Musk the First Trillionaire

SpaceX's valuation momentarily reached $2.97 trillion during Tuesday's peak trading. Musk became the world's first trillionaire after this historic public listing raised $85.7 billion. Forbes currently estimates his fortune to be between $1.1 trillion and $1.3 trillion.

Remarkably, SpaceX's final agreement to pay $60 billion to acquire Anysphere, the parent company of the well-known artificial intelligence coding application Cursor, was a major factor in the sharp increase in market capitalisation. By the end of September 2026, the deal—which is fully funded by SpaceX stock rather than IPO proceeds—is expected to close.

In April, SpaceX had already obtained an option to either buy the startup or pay $10 billion for their joint venture. According to billionaire hedge fund manager Bill Ackman, SpaceX has a clear corporate advantage due to its premium market value, which greatly reduces share dilution during such large acquisitions.

Financial Disparities & Strategic Integration

A significant strategic move to support SpaceX's larger artificial intelligence ecosystem, especially its xAI division, which creates the Grok chatbot, is the acquisition of Cursor.

Likewise, the expansive SpaceX umbrella now includes the social media platform X, deep-space AI data centre projects, and the Starlink satellite internet service, which is currently the company's only profitable segment, in addition to its core reusable rocket manufacturing and launch operations.

By incorporating Cursor's code-writing automation technology, SpaceX can use its enormous "Colossus" training supercomputer—which has one million H100-equivalent GPUs—to create extremely complex enterprise models.

Additionally, analysts agree that the acquisition of an established platform that is trusted by more than a million active developers offers a quicker path to enterprise AI revenue, even though it might not immediately close the capabilities gap between xAI and market leaders like OpenAI or Anthropic. Top-tier clients like Adobe, Nvidia, and Stripe already use Cursor.

SpaceX's extensive ownership of data centres eliminates an operational bottleneck that has often hindered smaller AI startups due to a lack of independent computing infrastructure.

Analysts Warn of SpaceX's Valuation Risks

According to experts, gaining access to developer data will greatly improve Grok's usefulness and produce a crucial coding component required to successfully compete with competing products like OpenAI's Codex and Anthropic's Claude Code.

Market analysts advise caution about the sustainability of SpaceX's current valuation despite Wall Street's overwhelming enthusiasm, pointing out the stark differences between SpaceX and Amazon's financial fundamentals.

With $18.7 billion in revenue and a net loss of $4.3 billion to $4.9 billion in 2025, SpaceX is still much less ingrained in the daily lives of consumers than Amazon, a household name with $717 billion in revenue and $78 billion in net income.

Furthermore, venture capitalists and wealth advisors caution that smaller shareholders are paying an exorbitant premium and face serious dilution risks when institutional blocks eventually hit the market because only about 4% of SpaceX stock is currently available for public trading.

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