Elon Musk’s ascendancy exposes democracy’s frailties

More than a century ago, in 1916, John Rockefeller became the world’s first billionaire as he rode a wave of gushing profits from his Standard Oil company.

The global economy in the 20th century was defined in large part by the hydrocarbons that have sparked the climate crisis, and Rockefeller’s ascent into the exalted wealth category measured in 10 digits was emblematic of this trajectory.

On Friday, 12 June, a new and astonishing threshold on the wealth front looks set to be shattered. On that day, the eccentric and controversial South African-born entrepreneur Elon Musk will probably become the world’s first trillionaire when the initial public offering (IPO) of his company SpaceX blasts off into a 21st-century market defined by the tech and AI booms.

A SpaceX Falcon9 rocket blasts across the sun, and appears distorted due to sound waves interacting with the light. The rocket in the image is carrying satellites to study solar wind. (Photo: John Winkopp, United States, Shortlist, Open Competition, Motion, Sony World Photography Awards 2026) That means his wealth will be measured in 13 digits, a level that surpasses the gross domestic product (GDP) of all but about 20 countries in the world. Musk, at least on paper, will be worth more than double South Africa’s GDP , and his wealth will be more than 50 times larger than Malawi’s — a scale far beyond the wildest dreams of billionaire avarice in the 20th century.

SpaceX is seeking a staggering $1.77-trillion valuation, which would make it one of the 10 largest companies in the world.

At first glance, this appears preposterous — the company generated revenue in the first quarter of this year of only $4.3-billion. But valuations are based on projected earnings, and SpaceX claims that its will soar to the stars and it wants to take investors into orbit with it.

“For the entirety of its existence, human civilization has lived on a single celestial body: Earth. The current paradigm, in which human civilization is confined to one planet, exposes humanity to existential threats that are unpredictable and uncontrollable on a planetary scale,” reads the company’s filing with the US Securities and Exchange Commission (SEC).

This is not your run-of-the-mill SEC filing and prospectus ahead of an IPO.

“By moving beyond the only home we have ever known, we ensure species-level redundancy and that the light of consciousness will not be tied to a single planet subject to the inevitable hazards of a harsh and vast universe. We do not want humans to have the same fate as dinosaurs,” it says.

Space: the final frontier

Sparing humanity from the fate of the dinosaurs is a noble goal and in line with Musk’s typically grandiose visions. But the bait for investors is not averting our species’ extinction. It is AI — Musk wants to build data centres in space to tap solar power.

“Harnessing this energy in space is considerably more efficient than on land. Space-based solar arrays can generate more than five times the energy per unit area of terrestrial solar due to continuous illumination, lack of atmospheric interference, and optimal orientation,” says the SEC filing.

“SpaceX is well-positioned to capture this space-based solar energy through our ability to rapidly access Sun-synchronous orbit through our satellite manufacturing scale and launch capability.”

Protesters gather outside the Nasdaq exchange during a demonstration against SpaceX's upcoming initial public offering in New York, New York, USA, 05 June 2026. Protesters cited concerns over Elon Musk's consolidated corporate control. EPA/OLGA FEDOROVA At a time of a growing global public backlash to the roll-out of energy and water-intensive data centres, this seems like a win-win — though mounting concerns about AI are not restricted to its power and H2O consumption and also reflect angst about potential job losses and other social disruptions.

And the bottom line for investors is: Can this space odyssey deliver a return?

“There’s no doubt that it’s a very cool company and doing amazing things. The biggest question is: Is it worth $1.77-trillion? At face value, is it worth 100 times forward revenue, and I don’t think it is,” Byron Lotter of Johannesburg private investment company Vestact told Daily Maverick.

“I wouldn’t be surprised if 10 years down the line the company had fulfilled many of its promises and was making lots of money, and they took that money to try and colonise the Moon or Mars, and I don’t know how shareholder-friendly that’s gonna be.”

But Musk sees this as an eventual money-maker with new markets beyond Earth.

“We believe that our current space efforts will catalyse transformative breakthroughs that could reshape terrestrial industries and lead to the emergence of new trillion-dollar markets on the Moon, Mars, and beyond,” proclaims the SEC filing.

“In particular, we believe our goal of establishing a lunar presence will enable terawatt-scale annual AI compute growth, support deeper space exploration and in…