U.S. SpaceX Plans to Launch Retail Mobile Service Under Starlink Brand

en.Wedoany.com Reported - SpaceX is considering launching a retail mobile service in the United States under the Starlink brand. This news was reported by the Financial Times, stating that SpaceX Chief Operating Officer Gwynne Shotwell discussed the plan during a recent IPO roadshow.

In September last year, SpaceX spent $17 billion to purchase wireless spectrum licenses from competitor EchoStar to support its Starlink satellite network. Many analysts believe this deal laid the foundation for the eventual launch of a retail service.

After T-Mobile acquired Sprint six years ago, there was widespread market concern that the reduction of U.S. mobile operators from four to three could lead to higher consumer costs. In 2023, a white paper released by Compass Lexecon indicated that price increases did not occur. The analysis showed that mobile prices in the U.S. are generally higher than in other OECD (Organisation for Economic Co-operation and Development) countries, but after accounting for differences in quality, cost, and population demographics across nations, prices are close to the median. The impact of the Sprint/T-Mobile merger on prices was minimal, and since the merger, real revenue per customer has continued to decline, reflecting the actual costs borne by consumers.

Since the acquisition of Sprint, the mobile industry has undergone significant changes. It is currently difficult to predict the potential impact of adding a fourth mobile service.

Meanwhile, SpaceX's Starlink business continues to advance. GCI, Alaska's largest telecommunications company, stated that it will use Starlink's dedicated bonded gateway service to provide connectivity support for thousands of customers in multiple community hubs, including Bethel, Sitka, Kotzebue, and Dillingham.