Today we are breaking down SpaceX. Luke Ward from Baillie Gifford was the perfect match for this episode, as he and his team first invested in SpaceX in 2018.
We cover the story of SpaceX and its scientific magic, but we really key in on the business model. We focus on the cost curve of launches, separating manufacturing from reusability. Luke gets into how Starlink represents a key component in making the Starship program and the broader economic model click. We then use our intellectually honest galaxy brains to imagine what the space economy could look like in the future and Luke is very open and honest about the risks and rewards with such a capital-intensive mission.
Please enjoy this Breakdown on SpaceX.
For the full show notes, transcript, and links to the best content to learn more, check out the episode page here.
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Show Notes
(00:00:00) Welcome to Business Breakdowns
(00:05:53) SpaceX: A Blend of Business and Technology Innovation
(00:06:30) Baillie Gifford's Investment Journey with SpaceX
(00:09:53) Challenges and Innovations in Space Launch Costs
(00:11:24) The Rise of Private Space Companies
(00:15:23) SpaceX's Reusability and Cost Efficiency
(00:18:25) Starship: The Future of Space Travel
(00:26:05) Starlink: Revolutionizing Satellite Internet
(00:32:01) The Potential of Space-Based Manufacturing
(00:36:31) Competitive Advantage of Starship
(00:37:19) Management and Culture at SpaceX
(00:39:55) Government and Commercial Markets
(00:40:45) Starlink's Future and Connectivity
(00:44:11) SpaceX's Long-Term Vision
(00:51:11) Regulatory and Launch Challenges
(00:54:49) Valuation and Investment Insights
(01:02:23) Lessons from SpaceX