đ¨Why do people say SpaceXâs future canât really be suppressed?
Iâm so focused on $SPCX âactually, itâs more because Cathie Wood got into Muskâs car, which reminds me of what happened back when BTC was around 30K: Cathie Wood blindly bottom-fished, and now the same scene is showing up again!
This morning I finished reading SpaceXâs first Q2 earnings report after going public, and one thought crossed my mind: the show is only just beginning.
Many people still view it as âa rocket-selling company,â but what Wall Street is pricing this at isnât really a âspace exploration company.â
Look closely at the logic behind how these three business units are assembled, and youâll understand Old Maâs strategy:
1. Starlink: a heavily undervalued cash-cow goldmine that generates its own âbloodâ
⍠In the entire report, thereâs no doubt the most eye-catching piece is Starlink.
1,200ä¸ users, doubling directly year over year. In a single quarter, the communications business pulled in $4.291 billion in revenue and $1.656 billion in operating profit, becoming the companyâs most solid cash-flow machine overnight.
The most obvious thing is its pricing: even though monthly ARPU fell from $85 to $66 (about 470 RMB), when you compare it with the domestic situation, the logic clicks instantly.
In China, everyone uses fiber from the three telecom operatorsâwhether itâs 100 Mbps or 1 Gbps, itâs only about 70â100 RMB per month. That means these 12 million global users are paying roughly 6 to 7 times the cost of ordinary broadband in China, and are constantly recharging Starlink like crazy!
For coastal lines, no-manâs-land areas, polar routes, remote mines, and even aircraft at ten-thousand-meter altitudesâanywhere without fiberâStarlink is an absolute hard currency, and pricing is up to it.
2. The âtrinityâ model: when you play with this kind of âheavy-assetâ setup, others canât even copy it. Letâs break down Old Maâs big moves:
âś Rockets (loss of $542 million)
⼠It looks like theyâre losing money, but in reality itâs the companyâs own âprivate logistics team,â minimizing satellite launch/transportation costs.
⡠Starlink (profit of $1.656 billion)
⼠Pulling in ultra-high-margin cash flow through high ARPU, continuously âre-fuelingâ and funding the whole group.
⸠AI business (revenue 2.561 billion, CapEx splurge of $15.8 billion)
⼠Burning cash like crazy to seize the futureâs second growth curve.
What do you call this?
When the âweightâ reaches its extreme, itâs absolute monopoly.
With a business structure like this, how could its future possibly be uncertain?
Iâm so focused on $SPCX âactually, itâs more because Cathie Wood got into Muskâs car, which reminds me of what happened back when BTC was around 30K: Cathie Wood blindly bottom-fished, and now the same scene is showing up again!
This morning I finished reading SpaceXâs first Q2 earnings report after going public, and one thought crossed my mind: the show is only just beginning.
Many people still view it as âa rocket-selling company,â but what Wall Street is pricing this at isnât really a âspace exploration company.â
Look closely at the logic behind how these three business units are assembled, and youâll understand Old Maâs strategy:
1. Starlink: a heavily undervalued cash-cow goldmine that generates its own âbloodâ
⍠In the entire report, thereâs no doubt the most eye-catching piece is Starlink.
1,200ä¸ users, doubling directly year over year. In a single quarter, the communications business pulled in $4.291 billion in revenue and $1.656 billion in operating profit, becoming the companyâs most solid cash-flow machine overnight.
The most obvious thing is its pricing: even though monthly ARPU fell from $85 to $66 (about 470 RMB), when you compare it with the domestic situation, the logic clicks instantly.
In China, everyone uses fiber from the three telecom operatorsâwhether itâs 100 Mbps or 1 Gbps, itâs only about 70â100 RMB per month. That means these 12 million global users are paying roughly 6 to 7 times the cost of ordinary broadband in China, and are constantly recharging Starlink like crazy!
For coastal lines, no-manâs-land areas, polar routes, remote mines, and even aircraft at ten-thousand-meter altitudesâanywhere without fiberâStarlink is an absolute hard currency, and pricing is up to it.
2. The âtrinityâ model: when you play with this kind of âheavy-assetâ setup, others canât even copy it. Letâs break down Old Maâs big moves:
âś Rockets (loss of $542 million)
⼠It looks like theyâre losing money, but in reality itâs the companyâs own âprivate logistics team,â minimizing satellite launch/transportation costs.
⡠Starlink (profit of $1.656 billion)
⼠Pulling in ultra-high-margin cash flow through high ARPU, continuously âre-fuelingâ and funding the whole group.
⸠AI business (revenue 2.561 billion, CapEx splurge of $15.8 billion)
⼠Burning cash like crazy to seize the futureâs second growth curve.
What do you call this?
When the âweightâ reaches its extreme, itâs absolute monopoly.
With a business structure like this, how could its future possibly be uncertain?