Disrupting the $1.6 trillion market? SpaceX proposes to launch "Starlink" mobile service, targeting the three telecom giants in the United States.

According to informed sources, SpaceX, owned by Elon Musk, has revealed to investors its plan to launch a new Starlink mobile service for American consumers. This move means that the space giant, known for its reusable rockets and satellite internet, will officially enter the core territory of Verizon, AT&T, and T-Mobile and directly compete with them. Gwynne Shotwell, president and chief operating officer of SpaceX, stated to investors during a recent initial public offering (IPO) roadshow that the company is considering launching a Starlink retail product and may establish its own ground mobile network in the United States. From "supplement" to "disruptor": strategic shift SpaceX is currently collaborating with T-Mobile to provide "direct-to-cell" connectivity services using space coverage as a supplement to expand internet access to remote areas. However, Starlink's ambitions go far beyond this. Starlink is no longer positioned as a rural signal supplement network, as its S-1 filing clearly plans to expand services to all scenarios, especially urban areas. SpaceX's IPO prospectus has positioned Starlink Mobile as a direct competitor to Verizon, AT&T, and T-Mobile, with the strategic direction expanding from pure satellite broadband to a "satellite + ground hybrid connectivity platform." At the Mobile World Congress in March 2026, SpaceX officially renamed its mobile satellite business "Starlink Mobile." Although a senior vice president at SpaceX stated that the business is still positioned as a supplement to terrestrial cellular networks, the acquisition of spectrum and the preparation of retail products have raised concerns among telecom operators. Spectrum "arms race": over $400 billion to break through key bottlenecks To become a true mobile operator, spectrum is crucial. In the past year, SpaceX has completed an aggressive spectrum deployment: in September 2025, SpaceX acquired wireless spectrum licenses from EchoStar for approximately $17 billion; in November 2025, they made another acquisition of $2.6 billion; in May 2026, the Federal Communications Commission (FCC) officially approved EchoStar's sale of about 65MHz of spectrum to SpaceX and 50MHz to AT&T, with both transactions totaling over $40 billion. Based on regulatory approval documents, SpaceX's spectrum resources cover AWS-3, AWS-4, and H-Block frequency bands, marking the company's first exclusive and continuous spectrum resources for its Starlink direct mobile services. This means that SpaceX no longer needs to lease spectrum from operators and can operate its mobile satellite services independently on its own frequencies. SpaceX's "cross-border" confidence: valuation and users Valuation: SpaceX's valuation has reached about $2 trillion, ranking among the top stocks in the market. The two main pillars supporting this valuation are the Starlink business and the acquisition of xAI, an artificial intelligence company founded by Musk, in the largest private enterprise merger in history in February 2026. Users: As of March 31, 2026, Starlink has approximately 10.3 million subscription users in 164 countries and regions globally, a year-on-year growth of about 105%. Analysts predict that global users could reach 18 million by the end of 2026 and exceed 35 million by the end of the decade. Funding reserve: SpaceX recently completed an $86 billion IPO financing and issued investment-grade corporate bonds on June 24, with market orders totaling $89 billion (nearly four times oversubscribed) and actual issuance of $25 billion. After adding up, the market estimates that SpaceX theoretically has access to approximately $111 billion in funds. Industry shockwave: reshaping a $1.6 trillion market Oppenheimer stated in a report earlier this month that with the expansion of the Starlink business, SpaceX will disrupt the $1.6 trillion US communication industry. The organization believes that Starlink is likely to capture most of the growth of new global fixed broadband users in the coming years and raise the global broadband user forecast for 2030 from 70 million to 100 million. Oppenheimer analyst Tim Horan had already given a "buy" rating to SpaceX before going public and recently raised the target price from $190 to $250. However, not all investment banks are as optimistic. Societe Generale believes that the time frame in which SpaceX poses a direct competitive threat to Verizon, AT&T, and T-Mobile "may not be as imminent as some market participants fear," and the uncertainty surrounding SpaceX's plans will continue to suppress the valuation of the telecom sector. Telecom operators' "rally for defense": three giants unite historically Faced with SpaceX's "alien invasion" impact, traditional US telecom operators have responded vehemently. In May 2026, AT&T, Verizon, and T-Mobile announced an agreement in principle to establish a joint venture, integrating spectrum resources, setting unified technical standards, and building a platform for satellite-ground communication services. The three long-time fierce competitors in the mobile telecommunications market rarely sat at the same table. The three operators publicly stated that this was to "eliminate signal blind spots in rural and remote areas of the United States," but in reality, it is to "limit SpaceX's growth and maintain the dominance of the telecom industry." In addition, all three have refused to cooperate with Starlink in a mobile virtual network operator (MVNO) partnership, posing a significant challenge to the large-scale implementation of Starlink's direct satellite mobile service. Path of contention: build, acquire, or MVNO? To launch a commercial mobile communication service that can replace traditional mobile plans, SpaceX faces three choices: Path one: Build their ground network. Invest heavily in building a large number of ground stations, but this involves a long construction period, fierce market competition, and limited revenue expectations. Path two: Acquire an existing operator. Research from Wolfe indicates that the path for Starlink to implement its ground network would be smoother through acquiring one of the top three US operators. Analyst Gregory Williams from TD Cowen stated in a report on June 25 that if SpaceX cannot negotiate spectrum wholesale agreements with the top three operators, T-Mobile would be the "clearest acquisition option," with an estimated valuation including debt of around $320 billion. T-Mobile's advantages include not carrying a large cable infrastructure burden (low integration complexity), existing cooperation with Starlink D2D service providers, the ability of its parent company Deutsche Telekom to provide a gateway to the European market, and a high level of cultural compatibility with SpaceX. However, this path faces three realistic obstacles: a funding gap nearly three times the size ($111 billion vs. $320 billion), Musk's preference for "building from scratch" rather than acquiring, and the formation of a joint venture among the top three operators further complicating the acquisition environment. SpaceX has not announced or been reported to be pursuing the acquisition of T-Mobile. Path three: MVNO model. Renting the network of existing operators, but the top three have explicitly refused to cooperate. The traditional telecom giants' moats usually consist of high ground station construction costs, but SpaceX, with the ability to launch rockets and tens of thousands of low-earth satellites, is reshaping the game rules with a "deceptive" approach. Once the Starlink mobile retail service is officially launched, the global telecom industry may experience the most profound shake-up since the turn of the century.