The American company, SpaceX, is reportedly looking at the option of launching a direct consumer mobile service under its Starlink label in the US that could have an impact on the entire telecom sector in the country, reports the Financial Times.
With the introduction of this service, SpaceX will be able to launch mobile phone services to its customers directly and compete with other major American telecom operators such as Verizon, AT&T, and T-Mobile.
As per the report, SpaceX President Gwynne Shotwell mentioned the same while addressing investors during her investor roadshow, where she laid out her vision for the wireless service and construction of mobile infrastructure.
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Currently, SpaceX does not possess a conventional mobile network but partners with T-Mobile in its “direct-to-cell” satellite service that delivers cellular coverage to rural and difficult areas.
Push to reduce reliance on telecom partners
A direct mobile offering would allow SpaceX to reduce its dependence on traditional telecom operators while expanding its presence in the broader communications market.
The company reportedly believes that combining its satellite internet capabilities with terrestrial wireless services could create a stronger business model and unlock additional revenue streams.
According to the Financial Times, a direct-to-consumer model would also provide SpaceX with greater control over pricing, customer relationships and service delivery.
Spectrum acquisitions strengthen ambitions
SpaceX has strengthened its position in the wireless sector through major spectrum acquisitions over the past year. The company reportedly secured spectrum assets worth nearly $19.6 billion through agreements with EchoStar, including transactions valued at $17 billion and $2.6 billion in 2025.
Starlink has already emerged as one of SpaceX's fastest-growing businesses, with the company reporting more than 10 million subscribers globally.
The expansion plans come amid continued investor confidence in SpaceX's long-term ambitions across both the space and telecommunications sectors.
Analysts remain cautious
Despite the ambitious plans, industry experts have cautioned that building a full-scale mobile network in the United States would require substantial investment.
The Financial Times reported that analyst Gregory Williams said the construction of a nationwide wireless network will require considerable investments into customer support services, billing system, devices, and networks.
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According to Gregory Williams, the chances of the company developing its own nationwide network from scratch are only 10-20 per cent. He stated that the MVNO model that utilizes the existing network of a carrier is a more realistic scenario.
However, he mentioned that the acquisition or partnership may be another way for SpaceX to enter the industry. In case if it happens, the move may increase the competition in the US wireless industry being one of the boldest ventures by SpaceX outside of space exploration.
FAQs
Q1. What mobile service is SpaceX planning to launch?
The company is reportedly planning to launch its direct-to-consumer mobile service under the brand name of Starlink in the US.
Q2. With which companies can SpaceX compete?
The potential rivals may include Verizon, AT&T, and T-Mobile.
