It's Official: SpaceX Gets $1 Billion From Google And Fidelity Investment

After rumors floated for a week regarding Google investing in SpaceX, the information has become official. Google and Fidelity investment are investing $1 billion in SpaceX, the company announced Tuesday.

"Space Exploration Technologies (SpaceX) has raised a billion dollars in a financing round with two new investors, Google and Fidelity. They join existing investors Founders Fund, Draper Fisher Jurvetson, Valor Equity Partners and Capricorn. Google and Fidelity will collectively own just under 10% of the company," the company said in an official statement.

Both of the companies will collectively own around 10 percent of SpaceX through investment.

SpaceX said, the funding will be used to support continued innovation in the areas of space transport, reusability and satellite manufacturing. It is expected that the investment would also accelerate the development of SpaceX satellites capable of beaming low-cost Internet around the globe.

Last year, Google acquired solar powered drone maker Titan Aerospace and since then the search giant is exploring ways to provide Internet access through unmanned drones. Previously, Google had explored the idea of providing Internet through weather balloons.

Facebook also acquired U.K. based solar-powered drone maker Ascenta, with hopes to ponder over the idea of delivering Internet via drones.

SpaceX, founded by Tesla Motors CEO Elon Musk designs, manufactures and launches the world's most advanced rockets and spacecraft. It is the only private company to build a spacecraft that returned from low-Earth orbit.

The announcement of the funding comes on the same day that Planet Labs - a San Fransisco-based private satellite operator founded by former NASA scientists - said it raised $95 million to help build its business of selling satellite images and related data to customers.