SpaceX’s planned public listing is drawing attention from index investors as the company prepares for a potential record IPO. The company is reportedly targeting a valuation near $1.75 trillion, which would place it among the largest listed companies in the market.
A key question now sits with S&P Global and MSCI. They must decide where SpaceX fits under sector rules. That decision could shape how investors gain exposure through sector indexes and ETFs after the listing.
SpaceX operates across rockets, satellite internet, artificial intelligence, and data centers. However, index classification usually starts with revenue. That makes Starlink central to the discussion.
The company’s filing says its Space and Connectivity segments produced most of its consolidated revenue in 2025 and in the first quarter of 2026. Connectivity refers mainly to Starlink, which provides satellite broadband service to customers worldwide.
That business reportedly generated more than $11 billion in revenue in 2025. By comparison, the launch and mission services business brought in about $4 billion. The AI unit, tied to xAI and Grok, produced about $3.2 billion.
Based on that mix, Communication Services appears to be the leading sector candidate. That sector already includes Alphabet, Meta, Netflix, AT&T, Verizon, Charter Communications, and Disney. SpaceX also has a connection to EchoStar, which owns a small stake in the company.
However, S&P and MSCI do not use revenue alone. Representatives for the firms noted that ‘earnings and market perception’ also matter during classification reviews. That leaves room for debate.
SpaceX could also draw attention from the Industrials sector. Its Falcon 9, Falcon Heavy, Dragon, and Starship operations link it closely to aerospace and defense. That sector already includes Boeing, GE Aerospace, Northrop Grumman, L3Harris, and General Dynamics.
Even so, Starlink’s larger revenue base may weigh more heavily. Index providers may view satellite internet as the company’s main listed business at the time of review. However, SpaceX’s launch operations remain important to its overall model.
The data center angle adds another layer. SpaceX says it is ‘uniquely positioned to deploy and operate data centers in orbit.’ Musk also said space could offer a lower-cost path for AI compute through solar-powered satellites.
Real estate is less likely at this stage, even though data center owners such as Equinix, Digital Realty, and Iron Mountain sit in the Real Estate sector. SpaceX’s proposed orbital data centers do not follow the usual land-based model.
SpaceX may reach major indexes faster than past IPOs. CRSP indexes could include eligible IPOs after five trading days, while the NASDAQ 100 has adopted a fast-entry route for large new listings.
The company’s public float remains a major issue. Based on the reported offering size and valuation range, SpaceX could have an initial public float between 2.86% and 3.75%. This would limit its early weight in float-adjusted indexes.
Jacob Friedman, an investment manager at Focused Wealth Management, said, “SpaceX’s low float is the biggest variable for index investors.” He also said investors in similar funds may receive different SpaceX exposure based on float, timing, and methodology rules.
For now, S&P 500 may take longer. Current rules require a longer public trading record and positive earnings history. However, proposed changes could allow faster entry for mega IPOs.
The sector decision may matter just as much as broad index entry. If SpaceX lands in Communication Services, sector funds tied to that group could become a direct route for exposure. If index providers place it in Industrials, investors would face a different peer group.
Also Read: Goldman Sachs Leads SpaceX IPO Underwriters Ahead of NASDAQ Listing