SpaceX Plans Starlink Mobile Service to Compete With Verizon, AT&T and T-Mobile

She added that SpaceX intends to make Starlink a "true mobile service" that will win "quite a few" customers from Verizon, AT&T, and T-Mobile.

What happened

She added that SpaceX intends to make Starlink a "true mobile service" that will win "quite a few" customers from Verizon, AT&T, and T-Mobile. Shotwell declined to discuss the costs involved in the endeavor and said SpaceX had "great and new ideas" on how to build a mobile service, such as a large number of lower-cost base stations paired with Starlink dishes instead of cell towers.

Practical impact for readers

SpaceX agreed to pay $19. 6 billion to acquire 65 MHz of wireless spectrum licenses from EchoStar in 2025. The spectrum will allow SpaceX to expand its direct-to-cell Starlink satellite service to include ground-based infrastructure.

Details worth verifying

Analysts told Reuters that without an MVNO (Mobile Virtual Network Operator) agreement with a major carrier, it would be extremely difficult for Starlink to compete with AT&T, Verizon, and T-Mobile. 65 MHz is tiny compared to the spectrum owned by the big U. S. mobile operators, and they're unlikely to lease capacity to a competitor.

Who should act or wait

SpaceX plans to launch its next-generation Starlink Mobile satellites in 2027, and upgraded service that's "100 times better" than current direct-to-cell service is targeted for the end of that year. Shares of AT&T, T-Mobile, and Verizon fell 2 to 4 percent following the SpaceX earnings call.

What is still unclear

SpaceX already has a partnership with T-Mobile to power T-Mobile's T-Satellite feature that offers direct-to-cell satellite connectivity to customers.

Source notes

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