SpaceX is about to launch a highly anticipated IPO, with market rumors suggesting it will aim for a valuation of $1.75 trillion at listing. However, PitchBook, a financial data company specializing in private equity and venture capital, believes that SpaceX's reasonable valuation should be $1.5 trillion, with the remainder representing a premium attributed to narratives surrounding space, AI, and the 'Musk halo effect.' Regarding the AI business, Franco Granda, a senior research analyst at PitchBook, pointed out that although the business contributed about 7% of revenue last year, it resulted in a staggering $14 billion loss in free cash flow. He remains pessimistic about the standalone profitability prospects of Grok, believing that the business is unlikely to escape its loss-making state for the next five years or even longer. The official target of achieving break-even by 2029 or 2030 appears overly optimistic to him.