How To Invest In Starlink (2025)-Accessing SpaceX’s Satellite Network

Starlink, a subsidiary of SpaceX, is revolutionizing global telecommunications by delivering high-speed internet through a growing constellation of satellites in low Earth orbit (LEO). With over 7,000 satellites already deployed and projections for $12 billion in annual revenue—a 50% increase year-over-year, according to SpaceNews and Quilty Space—the company is poised to disrupt traditional telecom markets and expand into new territories, including defense and aviation.

Starlink’s rapid growth has been fueled by $7.5 billion in consumer internet services and $3 billion in military contracts. Its technology has not only redefined global connectivity but also secured dominance in the U.S. government’s LEO satellite program. The program’s funding ceiling recently increased from $900 million to $13 billion, cementing Starlink’s role as a critical partner in military communications.

Starlink: A Game-Changer in Telecommunications and Beyond

Starlink’s satellite network provides unprecedented connectivity, particularly in underserved and remote areas where traditional telecom infrastructure struggles. Its low-orbit satellites deliver faster, lower-latency internet compared to traditional geostationary satellites, offering a significant edge in markets like rural broadband, maritime, and aviation.

Beyond connectivity, Starlink is expanding into sectors such as defense, weather monitoring, and environmental services, challenging industry incumbents like T-Mobile, Verizon, AT&T, and Comcast. Notably, legacy telecom providers often operate with high inefficiencies—some with sales and general administrative (SG&A) expenses as high as 22%, nearly double that of their European and Asian counterparts. These inefficiencies provide Starlink with opportunities to gain market share and deliver superior margins.

While Starlink excels in remote and underserved markets, it faces challenges in densely populated urban areas where traditional telecom providers have entrenched infrastructure. Nonetheless, its lucrative government contracts ensure continued growth and relevance.

HOW TO INVEST IN STARLINK: EXPLORING OPTIONS

Since Starlink is not publicly traded, investors seeking exposure must consider alternative avenues. Below are some options:

I. Invest in SpaceX Through Public Funds, and by extension, Starlink:

(ETF, Open/Closed-End Mutual Fund, or Interval Fund)

1. EntrepreneurShares ETF (Ticker: XOVR):

The XOVR ETF is a simple, cost-effective, and accessible way to gain indirect exposure to SpaceX. Unlike funds limited to accredited investors, XOVR is open to all, making it a convenient option for retail investors.

• SpaceX Weight in Fund (% of market cap): 9%+
• Expense Ratio: 0.75%
• Liquidity: Daily
• Minimum Investment: None
• Market Cap to NAV: Close to NAV
• Key Features:
• Over 85% of the fund is currently invested in the ER30TR Index which is a proprietary index based on US Large Cap Entrepreneurial companies.
• Broad availability across major platforms, including Schwab, Fidelity, Robinhood, IBKR and Futu.
• Drawbacks:
• Limited availability for international investors on non-U.S. platforms. The fund also has exposure to high growth stocks that may not be suitable for investors seeking a high dividend yield or low volatility.
• Conclusion: With its relatively low fees, daily liquidity, and high SpaceX allocation relative to market cap, XOVR provides a very good option for retail investors seeking exposure to SpaceX. However, it’s reliance on the ER30TR Index makes this investment suitable primarily in a growth-oriented environment.

2. ARK Venture Interval Fund (Ticker: ARKVX)

ARK Invest, through its ARK Venture Fund, offers another indirect route to SpaceX ownership. Known for its focus on disruptive technologies, ARK Ventures invests in both public and private companies, including SpaceX.

• SpaceX Weight in Fund (% of market cap): 9%+
• Expense Ratio: 5.76%.
• Liquidity: Quarterly, with redemptions limited to 5% of fund assets. Excess redemptions are pro-rated.
• Minimum Investment: $500
• Market Cap to NAV: Close to NAV
• Key Features:
• Targets innovative sectors and companies.
• Purchase options available through platforms like Sofi and Titan.
• Drawbacks:
• Liquidity is limited, with redemptions only allowed once per quarter.
• Approximately 48% of the portfolio is allocated to small-cap and micro-cap equities (30% in micro-caps under $300M, 18% in small-caps under $2B), which could lead to significant liquidity challenges. The fund also has exposure to high growth stocks that may not be suitable for investors seeking a high dividend yield or low volatility.
• Conclusion: While ARKK Ventures offers solid SpaceX exposure, its high relative fees and restricted liquidity make it less attractive compared to other options.

3. Destiny Tech 100 Closed-End Mutual Fund (Ticker: DXYZ)

The Destiny Tech 100 Fund focuses on high-growth tech companies and includes private equity positions in SpaceX. However, its high premium to NAV and valuation practices make it a challenging choice.

• SpaceX Weight in Fund (% of market cap):: 3%+
• Expense Ratio: 5.33%
• Liquidity: Daily.
• Minimum Investment: None
• Market Cap to NAV: 10x NAV
• Key Features:
• Claims 37% exposure to SpaceX, but actual weight, based on current market cap valuations, is closer to 3.5%.
• Premium market pricing implies SpaceX’s valuation is inflated to $3.5 trillion, far exceeding its $350 billion estimated market value.
• Drawbacks:
• Questionable acquisition methods for SpaceX shares, potentially sourced through employee stock ownership plans (ESOPs).
• A history of significant write-downs on other positions (19 out of 23 portfolio holdings were written down by an average of 59%).
• The fund’s appreciation of over 600%+ YTD may raise concerns about perceptions of SpaceX ownership and the understanding of retail investors regarding the premium to NAV.
• The fund also has exposure to high growth stocks that may not be suitable for investors seeking a high dividend yield or low volatility.
• Conclusion: Destiny Tech 100’s relatively high fees, large NAV premium, and valuation practices may provide steep challenges for many retail investors.

4. Baron Partners Fund (Ticker: BPTRX)

The Baron Partners Fund has been an early investor in SpaceX and offers a more traditional mutual fund structure for those seeking indirect exposure.

• SpaceX Weight in Fund (% of market cap): 9%+
• Expense Ratio: 2.44%
• Liquidity: Daily
• Minimum Investment: None
• Market Cap to NAV: close to NAV
• Key Features:
• A large fund with over $8.3 billion in assets under management.
• Available on major platforms like Schwab and Fidelity.
• Drawbacks:
• Heavy reliance on Tesla, which accounts for approximately 50% of the portfolio. This concentration creates significant daily volatility and exposes the fund to valuation risks.
• The Tesla weighting far exceeds diversification guidelines for institutional investors.
• The fund also has exposure to high growth stocks that may not be suitable for investors seeking a high dividend yield or low volatility.
• Conclusion: While it offers meaningful SpaceX exposure, Baron Partners’ heavy reliance on Tesla makes it more volatile and risky than other options.

II. Explore Secondary Markets

Private equity platforms like Forge Global, EquityZen, and Zanbato occasionally facilitate transactions in SpaceX shares. While these platforms provide direct access to private equity, they cater primarily to accredited investors and often charge significant brokerage fees (2–10%) with limited liquidity.

III. Wait for a Public Offering

A SpaceX IPO would provide the most direct path to investing in Starlink. Although there is no confirmed timeline, many investors eagerly anticipate this opportunity. However, it’s worth noting that much of the value may already be captured by private investors before the IPO.

IV. Consider Related Investments

• Alphabet (Ticker: GOOGL):
• Alphabet invested $900 million in SpaceX in 2015, but this represents less than 0.04% of its $2.4 trillion market cap. While Alphabet’s connection to SpaceX exists, it offers negligible exposure.

V. Become a SpaceX Employee:

• SpaceX employees receive stock options and equity grants, providing a unique opportunity for those passionate about space exploration.

Starlink’s Value Proposition: Growth Across Sectors

Starlink’s potential extends beyond telecommunications. In aviation, the company has secured partnerships for inflight internet services, such as its recent deal with United Airlines. In defense, Starlink’s role in supporting Ukraine’s communications infrastructure highlights its strategic value, while its U.S. military contracts underscore its importance in national security.

Additionally, Starlink’s ability to provide connectivity in remote areas opens untapped markets, ranging from rural broadband to maritime services. With competitors like Viasat and HughesNet relying on less efficient geostationary systems, Starlink’s technological edge positions it to capture significant market share.

The SpaceX Factor: A Launchpad for Starlink

SpaceX’s innovative approach to rocket reusability has transformed the economics of space exploration. Its Falcon 9 rocket, capable of multiple launches, reduces costs dramatically, while the upcoming Starship program promises even greater efficiency. Each Falcon 9 launch often carries Starlink satellites, demonstrating the seamless integration of SpaceX’s infrastructure with Starlink’s operations.

Conclusion: Investing in the Future of Connectivity

Starlink represents a groundbreaking shift in global telecommunications, with the potential to reshape multiple industries. While direct investment in Starlink is not yet possible, its parent company SpaceX offers a pathway to participate in its success. From ETFs like XOVR to private equity platforms and potential future IPOs, there are multiple routes for investors to gain exposure to this transformative venture.

For those seeking to invest in the next frontier of connectivity, Starlink and SpaceX remain compelling opportunities. As the company continues to expand its global reach and redefine telecommunications, it’s clear that Starlink is not just connecting the world—it’s shaping the future.

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Disclosure Note: past performance is no guarantee of future results. Please refer to the below disclosures: https://lnkd.in/e29X6rN

Disclosure note: Private equity holds additional risks beyond public equity and retail investors should seek professional advice prior to making an investment in private equity.

Additional Disclosure Note: The author has an affiliation with ERShares and XOVR. The intent of the article is to provide objective information, but as in all equity investments, investors should carefully review investment options with an experienced investment professional prior to making any investment decision. Past performance is no guide or guarantee to future performance.