Elon Musk has announced a new initiative to distribute shares of SpaceX to children under 18 in the United States, which number approximately 73 million according to official data for 2024. However, specific details on how he intends to implement this proposal have not been disclosed.
Currently, Musk owns 38 percent of SpaceX, and given the present share price, the required stock for such a distribution would be valued at over $10 billion. Musk’s wealth is estimated at more than $900 billion, primarily stemming from his holdings in SpaceX and Tesla, the electric vehicle manufacturer he also leads.
This proposal follows a recent announcement by Anthropic, an artificial intelligence company, which stated it would donate 5 percent of its shares to a public good fund. Musk subsequently suggested on X (formerly Twitter) that shares should be given directly to the public.
SpaceX shares initially surged after its stock market debut in June but are currently trading below $150, well off their record highs exceeding $200. There are ongoing doubts surrounding the company’s valuation, currently set at $1.9 trillion, as its rocket business remains relatively small and the valuation appears to be more of a speculative advance related to potential successes in artificial intelligence, an area where SpaceX is lagging behind competitors like Anthropic and OpenAI.
Musk’s stock giveaway plan has drawn parallels to a campaign promise made by former U.S. President Donald Trump, who pledged $5,000 to Americans if his party secures a victory in the upcoming congressional elections. Despite past tensions between Musk and Trump, recent developments suggest a renewed alliance; Trump recently honored Musk with the highest scientific award in the country, referring to him as ‘our Thomas Edison of today.’ Musk has also contributed at least $276 million to the Republican campaign ahead of the November elections.
SpaceX’s record-breaking debut raised $85.7 billion, overshadowing all previous funding rounds.
