What happened
North Carolina Treasurer Brad Briner declined a direct investment in SpaceX's upcoming initial public offering, citing concerns over the company's $1.77 trillion valuation. Briner, overseeing $200 billion for state pension funds, instead directed capital towards artificial intelligence startups, investing $40 million in OpenAI and $250 million in Anthropic, with the latter now valued over $600 million. SpaceX plans to price its IPO at $135 per share, selling 555.6 million shares to raise $75 billion, for an approximate $1.8 trillion valuation.
Why it matters
Institutional investors are scrutinising high valuations, even for prominent technology companies, prioritising predictable returns over market hype. Procurement teams and investors must assess valuation against potential gains, as North Carolina's Treasurer Briner passed on SpaceX's $1.77 trillion IPO, deeming it "fully priced" for his fund's target returns. This follows Anthropic's recent $30 billion funding round in May 2026, where Briner's earlier $250 million investment is now valued over $600 million, demonstrating a shift towards perceived undervalued AI opportunities.
