[russss]

I don't think NASA holds shares in SpaceX - the word "invested" is wrong here.

I think what the article meant to say is NASA has awarded SpaceX $381m in contracts and development awards (through the COTS and CCDev programs).

[scott_s]

I think "invest" is the correct word. In the context of the financial industry, "invest" usually implies that you have purchased actual stock in a company. But in general, the word means that you have committed something of value to someone else, and hence, your well-being is tied to theirs. We also say that a teacher is invested in their students success because they have committed their time and effort to help those people succeed. In this circumstance, NASA has given SpaceX money, and if SpaceX does not succeed, that will hurt NASA. If SpaceX does succeed, that will help NASA. NASA could have, instead, used that $381 million to try to do it themselves; that money is now gone, and if SpaceX fails, NASA won't get a do-over. For those reasons, I think it's accurate to say to then say that NASA is invested in SpaceX.

[russss]

Right. It's technically correct but it's misleading.

[evoxed]

Right. I shouldn't have continued the implication, but in a generic sense their stake is still valued at $380 (with perhaps some recoverable if Elon Musk suddenly disappears and SpaceX creates the Blob or something). I guess I was distracted thinking about the upcoming IPO. Last I heard was 2013Q1.