- Qualcomm’s Dragonwing Cellular Infrastructure platforms will support Starlink Mobile’s terrestrial base stations
- This tech will help improve coverage, capacity, and spectral efficiency
- However, analysts argue that spectrum and tower leases are more important for the carrier
Starlink Mobile has just taken another big step towards launching its US mobile network to compete with the likes of Verizon, AT&T and T-Mobile — the SpaceX-owned company has announced that Qualcomm’s Dragonwing Cellular Infrastructure platforms will support the carrier’s terrestrial base stations.
According to Qualcomm, these base stations are “designed to improve coverage, capacity and spectral efficiency, helping the network serve more traffic efficiently.”
The multi-year agreement will see Qualcomm’s tech used in “tens of thousands of sites”, with the rollout due to begin in 2027. Qualcomm has described the agreement as its “biggest 5G deal yet”.
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In a post on X Elon Musk claimed that “Qualcomm’s technology is excellent,” adding in another that “at last there will be one network with good signal everywhere!”
However, despite rumors from The Washington Post that SpaceX is also looking to acquire Boost Mobile from EchoStar, telecoms experts say the move is just one step on a potentially long battle with the established mobile giants.
Analysis: A small step in a long bid to ‘disrupt the entire industry’
So how big a deal is this? Telecoms analyst Tim Farrar, President at TMF Associates, told us: “This deal is an important part of building a new mobile network in the US. But even more important will be for Starlink to secure the spectrum and tower leases that will be used with the Qualcomm equipment.
“I think a purchase of the remaining EchoStar spectrum assets and a settlement with the tower companies is the easiest and quickest way to go about that, especially as Starlink intends to start deploying equipment next year.”
By “EchoStar spectrum assets,” Farrar is referring to the parent company of Boost Mobile, which was the subject of those acquisition rumors from The Washington Post. However, Boost Mobile has MVNO (mobile virtual network operator) agreements with T-Mobile and AT&T, and according to a research note from MoffettNathanson (via TeleCompetitor) it’s unlikely that those agreements would be transferred to Starlink Mobile.
In other words, that “settlement with the tower companies” mentioned by Farrar could still be a stumbling block, especially since Starlink Mobile was recently turned down as an MVNO by the US’s major carriers. It remains unclear how easy it will be able to lease towers.
Without that, Starlink Mobile will have spectrum but not much in the way of ground-based infrastructure, leaving it with the big and expensive job of rolling out its own.
The fourth big mobile giant?
Other analysts are more bullish about Starlink Mobile’s prospects. “The new agreement between SpaceX and Qualcomm reinforces the likelihood that Starlink Mobile could become a credible fourth nationwide mobile network provider in the U.S,” said Mike Dano, Lead Industry Analyst at Ookla.
However, he also added a note of caution. “Of course, there are many more steps along this path, including building radios for a Starlink Mobile terrestrial network, putting them on top of towers, and then activating services for paying customers. And even then, it’s not clear whether Starlink Mobile will be able to successfully compete against the market’s established mobile providers,” Dano added.
“I think it will take several years — at the very, very least — for Starlink Mobile to build the terrestrial network and launch the new satellites that will be necessary for it to potentially become a credible fourth nationwide mobile network provider,” he added.
Elon Musk’s claims that Starlink Mobile will be the “one network with good signal everywhere” also don’t currently match reality. Dano pointed towards Ookla’s recent research on Starlink Mobile’s ‘direct to device’ (D2D) offering. While Starlink was praised for filling coverage gaps in the US, the report concluded that “Starlink Mobile’s network trails the performance of terrestrial networks”.
For example, Ookla’s tests concluded one in seven Starlink Mobile D2D texts failed to go through, compared with around one in fifty on the terrestrial network. “This is the kind of performance gap that Starlink Mobile will need to address with its terrestrial network buildout,” Dano added.
Other mobile networks, meanwhile, think Elon Musk is playing a long game. “It’s about getting enough network coverage to fundamentally disrupt the economics of the entire industry,” said Peter Adderton, CEO of MobileX and founder of Boost Mobile in a post on X.
“I think the endgame isn’t simply competing with the MNOs, but weakening their economics and valuations to a point where SpaceX can eventually acquire one at a fraction of today’s valuation? This isn’t necessarily just about winning wireless customers. It’s about changing the economics of wireless itself,” he added.
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James Rogerson
