5 ms·

Business Insider reported that Musk's luck had run out and SpaceX was an utter disaster in 2016, when it was worth around $15bn. [1] Today, it's worth $175bn in

by 0xy 3y ago

Business Insider reported that Musk's luck had run out and SpaceX was an utter disaster in 2016, when it was worth around $15bn. [1] Today, it's worth $175bn in the private market. [2] Forgive me if I discard the reporting of a company with this record, and with undisclosed bias via its shareholder Jeff Bezos. [1] https://www.businessinsider.com/the-bad-news-could-get-worse-for-elon-musks-spacex-2015-7 https://www.businessinsider.com/the-bad-news-could-get-worse... [2] https://fortune.com/2023/12/07/elon-musks-spacex-valued-at-175-billion-larger-than-any-ipo-valuation-in-history/ https://fortune.com/2023/12/07/elon-musks-spacex-valued-at-1...

sgjohnson 3y ago
> Today, it's worth $175bn in the private market. Only theoretically. In practice, just because someone is willing to buy a completely insignificant stake (0.2%) for $500mn doesn’t make the entire company worth $175bn. If anything, this is probably Elon and his friends pulling off an accounting trick. I can register a company with a share capital of $1 and issue 1000000000000 shares with a nominal value of $0.000000000001 each. Then I could sell you one of those shares for $1 and then I could tell everyone that I’m a trillionaire. Which would technically be the truth.
- TheAlchemist 3y ago
  Yeah, reminds me about this 100M deli. Been done before ! https://www.cnbc.com/2022/09/26/three-men-charged-with-fraud-in-100-million-new-jersey-deli-scheme.html https://www.cnbc.com/2022/09/26/three-men-charged-with-fraud...
- keiferski 3y ago
  This is how every company is valued. The point is not that the company is literally valued for some exact amount of money, but how it compares to other companies’ valuations. Capitalism 101.
  - Zigurd 3y ago
    The parent post remains correct. An illiquid investment in a tiny percentage of a company is not a reliable measure for valuation. Any sophisticated investor would see it as a way of manipulating the price.
3cats-in-a-coat 3y ago
I'm also worth $175bn in the private market. Private market means you set your price and then if someone buys, buys. It only speaks about Elon's self-confidence and not the merit of his business. He also thought Twitter is worth $44bn and even found investors to pay for half of it, and banks to pay for over half of the remaining half. So uhmm, yeah, how's that going lately?
deleted 3y ago
[deleted]
gus_massa 3y ago
I don't expect them to care too much about the opinion of Jeff Bezos. A title with Musk and some kind of disaster gets a high clickbait score.

by 0xy 3y ago

sgjohnson 3y ago

> Today, it's worth $175bn in the private market. Only theoretically. In practice, just because someone is willing to buy a completely insignificant stake (0.2%) for $500mn doesn’t make the entire company worth $175bn. If anything, this is probably Elon and his friends pulling off an accounting trick. I can register a company with a share capital of $1 and issue 1000000000000 shares with a nominal value of $0.000000000001 each. Then I could sell you one of those shares for $1 and then I could tell everyone that I’m a trillionaire. Which would technically be the truth.

TheAlchemist 3y ago
Yeah, reminds me about this 100M deli. Been done before ! https://www.cnbc.com/2022/09/26/three-men-charged-with-fraud-in-100-million-new-jersey-deli-scheme.html https://www.cnbc.com/2022/09/26/three-men-charged-with-fraud...
keiferski 3y ago
This is how every company is valued. The point is not that the company is literally valued for some exact amount of money, but how it compares to other companies’ valuations. Capitalism 101.
- Zigurd 3y ago
  The parent post remains correct. An illiquid investment in a tiny percentage of a company is not a reliable measure for valuation. Any sophisticated investor would see it as a way of manipulating the price.

3cats-in-a-coat 3y ago

I'm also worth $175bn in the private market. Private market means you set your price and then if someone buys, buys. It only speaks about Elon's self-confidence and not the merit of his business. He also thought Twitter is worth $44bn and even found investors to pay for half of it, and banks to pay for over half of the remaining half. So uhmm, yeah, how's that going lately?

deleted 3y ago

[deleted]

gus_massa 3y ago

I don't expect them to care too much about the opinion of Jeff Bezos. A title with Musk and some kind of disaster gets a high clickbait score.