SpaceX is increasing its investment in satellite internet technology by purchasing an additional $2.6 billion worth of wireless spectrum licenses from EchoStar. This acquisition builds upon a previously announced $17 billion deal from September and underscores the robust growth of SpaceX’s Starlink service, which has recently surpassed 8 million global customers.
The announcement comes on the heels of a significant expansion in Starlink’s commercial offerings. Notably, International Airlines Group, which encompasses renowned airlines such as British Airways, Iberia, and Aer Lingus, has committed to equipping over 500 aircraft with Starlink inflight internet. This partnership is set to start in 2026, allowing passengers on various international routes seamless access to satellite-based internet during flights.
The newly acquired EchoStar spectrum will enhance Starlink’s capabilities, particularly for its emerging “direct to cell” service. Initially launched to provide satellite-based 5G internet access for T-Mobile customers, this service represents a significant advancement in connecting users without traditional ground-based infrastructure.
EchoStar’s decision to sell its spectrum licenses was influenced by regulatory pressures, including directives from the Federal Communications Commission and past administrations. In addition to SpaceX, in August, EchoStar completed a substantial $23 billion sale of spectrum licenses to AT&T.
Starlink’s presence in the aviation sector has expanded rapidly since its initial foray in 2022, with notable partnerships emerging. Hawaiian Airlines was the first to adopt Starlink, followed by United Airlines, which plans to integrate the service into its fleet by late 2024, accelerating its rollout. Similarly, Qatar Airways has outfitted numerous aircraft with Starlink technology earlier this year.
The continued growth of Starlink illustrates the increasing demand for reliable internet access, even in remote locations. With its current customer base representing 150 countries, Starlink is well-positioned to further cement its role in the aviation industry and beyond, as it strives to connect more users around the globe.