SpaceX has filed the paperwork to IPO.

Elon Musk’s rocket launch company could go public as early as June. It’ll be the biggest IPO in history. Estimates put SpaceX’s valuation at $1.75 trillion.

That would instantly rank it among the 10 largest companies in the world. SpaceX would be worth more than Meta Platforms (META) and Tesla (TSLA).

On the surface, SpaceX’s valuation borders on insanity.

Last year, Tesla generated close to $100 billion in sales. Meta collected $200 billion. Google (GOOGL) raked in $400 billion.

SpaceX made $16 billion.

But markets don’t price companies based on where they are today. Markets price on potential. And SpaceX’s potential is sky high because it plans to build…

• Data centers in space.

I know, it sounds farfetched.

But once you look at what’s happening with artificial intelligence (AI) infrastructure here on Earth, it makes sense. Data centers powering modern AI are some of the most resource-hungry buildings on the planet.

Meta is building a campus spanning more than 4 million square feet—roughly the size of a major airport terminal.

Inside, these facilities are packed with tens of thousands of server racks… hundreds of thousands of AI chips… and enough networking gear and cables to rival a small industrial city.

They consume extraordinary amounts of electricity. ChatGPT consumes enough energy to power 4.4 million US homes every day.

And that’s just one model!

Data centers also generate tremendous amounts of heat. A single data center can easily burn through a billion gallons of water a year just for cooling—enough to drain the entire Central Park Reservoir.

Running data centers requires constant upgrades to surrounding infrastructure. New land. Permits. Transmission lines. Power plants. And water that may already be in short supply.

And that’s before you run into dreaded NIMBYs: the “not in my back yard” folks. People may love using AI tools, but they feel differently when a giant data center breaks ground next door.

• Space solves all these problems.

A data center in orbit can tap directly into the largest power source available: the sun.

It works 24/7/365. No land required. No NIMBYs. No competing with homes or factories for electricity. Space is also a cold -455 degrees Fahrenheit. This eases one of the biggest data center costs: cooling.

Put it all together, and you should take the idea of data centers in space seriously.

In 2025, SpaceX set a new annual record with more than 170 launches. It carried over 2,600 tons of cargo into space. Elon is basically running an orbital “FedEx.”

Every big tech firm wanting to send data centers into space will have to pay SpaceX.

• We’ll see how the IPO goes… I’m not sure I’d buy SpaceX right away.

But there are many smaller, under-the-radar disruptors who will profit just as much.

Once you start considering all the things an orbital data center would require, you realize an entire support economy must form around it.

You’re not just tossing servers into orbit and flipping a switch. The hardware has to survive launch and then assemble itself properly in orbit.

Then comes maintenance. On Earth, if a server breaks, a technician walks over and swaps the part. In space, every repair becomes a mission.

And hardware never lasts forever. Parts fail. Systems age. Technology moves on. Some equipment will need to be upgraded or safely brought back down to Earth.

That creates demand for a whole new class of space businesses.

Think companies that build robotic arms and docking systems to connect modules in orbit… and  companies that provide repair services, logistic stations, and docking equipment.

These companies already exist. I’ve met with some of them.

The best ones are positioned to see the kind of spectacular “0 to 1” growth that only a whole new sector can bring.

• In Disruption_X, we own two space infrastructure stocks already.

One builds space hardware and tools that help spacecraft dock, move, and operate in orbit.

The other develops space stations and infrastructure that will give future space businesses a place to operate in orbit.

Both are currently “Buys.”

Good news: Enrollment in Disruption_X is currently open for only the third time ever. If you would like to be part of this, go here.

There, you’ll get to review a special deal celebrating a Disruption_X’s highly successful first year.

As a heads up, this deal closes soon.

Whatever you decide, remember this: It’s not often a whole new sector of opportunities opens up in the public markets.

This is happening in space now.

Invest accordingly.

Stephen McBride

Chief Analyst, RiskHedge

PS: If you’re still on the fence about joining Disruption_X… or just wondering how it’s different from Disruption Investor… I sat down with our publisher, Dan Steinhart, and answered the questions we hear most often from readers.

We talked through what actually makes a Disruption_X stock worth owning… how we manage risk when markets get volatile… and much more.

If you want a clearer sense of whether this advisory is a good fit for you, you can watch the full “All Things Disruption_X” Q&A at this link.