Elon Musk predicts that SpaceX could have a valuation of over one trillion trillion dollars within 10 years, assuming there is no major world war.
Barren believes that Starlink could alone reach a valuation of $14 trillion to $15 trillion within 10 years.
He also stated that by utilizing solar energy and avoiding some of the limitations on Earth, space data centers could become an important driver of growth.
Elon Musk believes that SpaceX has the potential to reach a valuation of $100 trillion within the next decade, which is significantly higher than the estimate of $20 trillion to $50 trillion put forth by billionaire investor Ron Baron. However, Musk considers a major threat to achieving this goal to be a world war.
Balen also expects that as satellite internet and space data centers drive future growth, the valuation of Starlink alone could reach $15 trillion.
Elon Musk claims that SpaceX could reach $100 trillion
At the Columbia Business School's Distinguished Speakers Series, Ron Baron, CEO of Barren Capital, stated that SpaceX may become one of the most valuable companies in the world within the next 10 years.
"I think the SpaceX stock will rise to thousands of dollars per share. I believe its market value will reach 20 trillion, 30 trillion, or even 50 trillion dollars."
He added that Musk believes his estimate is "far too low."
In response to Balen's prediction, Musk said, "Unless there is a major world war, SpaceX is very likely to reach over $100 trillion in less than 10 years."
Despite this long-term forecast, the SpaceX (SPCX) stock was still trading around $152 at that time, down 2.8%, while its market value was approximately $2 trillion.
Starlink could contribute a valuation of $15 trillion
Barron believes that Starlink could become an important driving factor for the future value of SpaceX. He expects that the valuation of Starlink alone could reach $14 trillion to $15 trillion in the next decade.
His predictions point to a significant expansion in users and revenue.
Barren Capital's model shows that Starlink may ultimately serve over 300 million customers globally and achieve annual revenue of one trillion US dollars, with an estimated annual net profit of 700 to 80 billion US dollars.
The Starlink updated V3 satellites are also expected to increase network capacity. Their potential speed is said to reach 1 terabit per satellite per second, which is about 10 times the capacity of the previous V2-mini model.
Space data centers may drive business growth
Barron also views orbital data centers as another important opportunity for growth. Building data centers on Earth may face challenges such as land, permits, power, and heat dissipation.
In contrast, in space, solar energy can be used to generate power without the same limitations as on Earth. He estimates that the cost of electricity in space could be around $2 per watt, while on Earth it exceeds $10 per watt.
In addition, reusable Starship aircraft could reduce the launch cost from $1,500 per kilogram to $150 per kilogram, making it even cheaper to send equipment into orbit.
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