SpaceX, the private aerospace manufacturer founded by Elon Musk, has surpassed Amazon to become the world’s fifth most valuable company by market capitalisation, according to data released on Wednesday. The company’s valuation now stands at $180 billion, driven by the success of its Starlink satellite internet service and the Starship rocket programme.
British investors have called on the government to increase support for the domestic space sector, warning that the UK risks falling behind in the rapidly expanding industry. The Space Growth Partnership, a coalition of industry bodies, urged the Treasury to commit additional funding to the UK Space Agency and to simplify regulations for satellite launches from British soil.
SpaceX’s ascent reflects a broader shift in investor sentiment towards space technologies. Analysts attribute the company’s valuation to its dominant position in the launch market and the growing revenue stream from Starlink, which now has more than 2 million subscribers. The company’s success has also boosted confidence in the sector, with rival operators such as OneWeb and Blue Origin also attracting significant investment.
However, some experts have cautioned that the market may be overheating. “The valuations are based on future potential rather than current earnings,” said Dr. Harriet Cole, an aerospace economist at the University of Cambridge. “SpaceX is still a private company, and its financials are opaque. There is a risk of a correction if the company fails to meet its ambitious targets.”
The UK government has announced plans to establish a National Space Innovation Programme, with £1.5 billion in funding over the next decade. But critics argue that this is insufficient compared to the investments being made by the United States and China. “We need a coherent strategy that supports both established players and startups,” said Sir James Grayson, a former chairman of the UK Space Agency.
Institutional investors have also urged the government to consider creating a sovereign wealth fund dedicated to space technologies. Such a fund would mirror similar initiatives in France and Japan, providing long-term capital for projects with high barriers to entry.
SpaceX’s rise has also implications for geopolitics. The company’s Starlink system has become a critical asset for Ukraine in its war with Russia, demonstrating the strategic importance of space-based communications. This has prompted European governments to reassess their reliance on non-European providers.
“The space sector is no longer just about science and exploration,” said Professor Andrew Jenkins, a defence analyst at King’s College London. “It is now a matter of national security and economic competitiveness. The UK must act decisively or risk being left behind.”
