One of the things that makes @SpaceX so valuable is how valuable it is. The Cursor acquisition costs materially less in dilution because of SpaceX’s high valuation.
SpaceX’s ability to do economically, strategically, and technologically accretive acquisitions is an important component of its value.
There is enormous value inherent to a company with a high value particularly when it is controlled by an entrepreneur that the most talented people want to work for and partner with.
Value begets value.
Talent begets talent.
Fox is going to buy Roku for $22 billion.
$FOX is down 14.5% on the news.
Why?
The questions you always need to ask about an acquisition are:
1) why is the deal happening?
2) how is the deal being paid for?
Answers: