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SpaceX Starlink Satellite Launch. (Photo: Yonhap News) |
[Alpha Biz= Paul Lee] Seoul, Korea – Korea Investment Partners (KIP) has made a strategic investment in SpaceX, the U.S. space exploration company founded by Elon Musk. This investment follows KIP’s previous backing of Musk's AI startup, xAI. Moving forward, KIP plans to establish a fund to continue expanding investments in AI, next-generation semiconductors, aerospace, and other deep tech sectors.
According to the 12th report from the domestic investment banking industry, KIP’s U.S. subsidiary has chosen SpaceX as the fifth company for its "Signature Deal" strategy, targeting leading local companies with valuations over billions of dollars. The company completed an investment of approximately 14 billion KRW in SpaceX on the previous day. KIP’s decision was driven by the market growth prospects, scalability, and the ongoing shift toward a private-sector-led space industry.
SpaceX’s reusability of rockets has led to a continual reduction in launch costs. As SpaceX’s next-generation spacecraft, Starship, is expected to be operational by 2027, the market for super-large, low-cost launch vehicles is forecasted to explode, with surging demand from government, military, and commercial satellite launches.
Moreover, SpaceX's low Earth orbit satellite internet service, Starlink, is expected to have around 23 million subscribers by 2035. KIP also noted SpaceX’s dominant position as a "full-stack provider" of launch, communication, and service integration, which offers it a competitive edge in the market.
Reports indicate that SpaceX is currently seeking to raise new funds, with a target valuation of $400 billion (approximately 555.96 trillion KRW). A KIP representative said, “This investment was made in collaboration with Korea Investment & Securities, and we anticipate synergies between KIP affiliates, enabling diversified investment opportunities in the future.”
KIP's U.S. subsidiary, established in 2016, has played a leading role in KIP’s investments in the U.S. and Europe. To date, it has invested over 400 billion KRW in more than 80 companies. Additionally, KIP has been aggressively expanding its presence in the U.S. venture capital market since last year, forming a task force (TFT) and a global business team to establish offshore funds in the U.S. and assist existing portfolio companies in entering the U.S. market.
Notable "Signature Deals" by KIP include investments in xAI, AI startup Anthropic, chip design firm Tenstorrent, and AI humanoid robotics company Apptronik. Through the SpaceX investment, KIP continues to position itself as a key platform for domestic capital to access investment opportunities in renowned U.S. companies.
KIP plans to raise two funds totaling $100 million (approximately 139 billion KRW) this year and next. The first fund, "KIP Trinitas Fund," will focus on direct investments in the U.S. and is set to increase KIP's presence in U.S.-based companies. The company aims to expand its investments in signature deals like SpaceX, with a focus on proactive early-stage investments in promising U.S. firms.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
