Tesla Inc Chief Executive Officer Elon Musk plans to list SpaceX's space internet venture, Starlink, several years in the future when revenue growth is smooth and predictable.
"Public market does *not* like erratic cash flow haha," the billionaire entrepreneur tweeted on Monday. Musk said last year that Starlink was an important new revenue stream for his California-based Space Exploration Technologies, or SpaceX.
SpaceX President Gwynne Shotwell in February floated the idea of spinning Starlink off for an IPO in the coming years.
, Reuters reported.
Musk, in his tweet, also said he is a "huge fan" of small retail investors and will ensure they get top priority.
US Army Plans to Use Musk's Starlink Satellites
Meanwhile it was reported that the US army is planning to use Musk's Starlink Satellites for better navigation as GPS alternative.
Musk has sent over 700 Starlink satellites that would offer high-speed broadband connection to almost everyone in the world including the remotest location. Starlink, a division of SpaceX, will thousand more satellites to complete the Low Earth Orbit (LEO) constellation. However, the U.S. Army believes it can have a secondary offering that would see a nearly undammable navigation system.
Compared to the U.S. military's Global Positioning System (GPS), Starlink's mega constellation can be a low-cost alternative. Considering the Starlink satellites will be in LEO — 550 kilometers (341 miles) above Earth — it has a clear advantage than GPS which has 30 satellites orbiting at a distance of 20,000 kilometers.
The distance from the surface makes it a difficult choice as by the time signal reaches Earth, it loses strength. With minimal interference, it can overwhelm the signal, disrupting navigation service. In addition, signals could be spoofed or jammed.
(With Reuters Inputs)