Alphabet Inc., Google's parent company, stands to reap massive profits from SpaceX's upcoming initial public offering, positioning the tech giant as the unexpected primary beneficiary of Elon Musk's historic market debut. The search engine behemoth's early $1 billion investment in 2015, representing a 7-7.5% stake at a $12 billion valuation, has multiplied dramatically as SpaceX prepares for its highly anticipated June 11, 2026 investor event that will host 1,500 retail participants—an unprecedented allocation strategy confirmed by CFO Bret Johnsen.

SpaceX IPO Will Power Google’s Alphabet Stock

Alphabet invested the amount in 2015 and played the long-term game. The power move is now playing out as SpaceX’s IPO is aiming for a valuation of $2 trillion. If the valuation reaches the point, Google’s investment in the company will be worth $140 billion. That’s phenomenal returns in just 11 years, simply by waiting for more than a decade.

This would also be more than the net income that Alphabet generated in 2025, which is $132.17 billion. It represented a major 32.01% increase in net income year-over-year compared to the 2024 annual net income of $100.118 billion. In conclusion, Google is the biggest winner from the SpaceX IPO when the stock hits the market.

The invested amount has the chance to immediately become liquid if Google decides to call it off after the SpaceX IPO stock goes live. Alphabet’s capital expenditure to build its AI infrastructure is $175 billion, which could be paid off by SpaceX returns. The development would be seen as a huge gain. However, it is less likely that Alphabet will liquidate its holdings, as it believes in the power of long-term holdings.