DAL - SpaceX's Starlink internet authorized for boats planes and RVs
In a big win for Elon Musk's Starlink ( STRLK ) satellite internet network, the Federal Communications Commission has authorized the company's plan to expand broadband offerings to vehicles in motion. "Authorizing a new class of [customer] terminals will meet the growing user demands... whether driving an RV across the country, moving a freighter from Europe to a U.S. port, or while on a domestic or international flight," wrote Tom Sullivan, International Bureau Chief of the FCC. Starlink ( STRLK ) also made headlines during the war in Ukraine, with President Volodymyr Zelenskyy praising Musk for helping the country stay online and conduct military operations.
What is Starlink? Operator SpaceX ( SPACE ) has launched a constellation of 2,700 Starlink satellites since 2019, blasting batches of them into low-Earth orbit on its Falcon 9 rockets. The service is meant to deliver high-speed internet with few delays, and has FCC approval to expand its network to 12K satellites. As of June, operator SpaceX ( SPACE ) told the agency that Starlink ( STRLK ) had more than 400K subscribers, including many who pay $110 a month for broadband internet using $599 self-install terminal kits.
Contracts in recent years have focused on remote and rural users, though business clients are starting to be drawn in. Delta Air Lines ( DAL ) is testing the service and Hawaiian Airlines ( HA ) and charter provider JSX are adding it to their routes. That has raised the alarm for the competition, including OneWeb, Viasat ( VSAT ) and Jeff Bezos's Kuiper project, which is planning a similar network to Starlink ( STRLK ) with the first prototype satellites to launch later this year.
Can Tesla ( TSLA ) drivers expect Starlink internet in the future? Back in March, Elon Musk tweeted that such a plan is not in the works since "our terminal is much too big" and would be more suitable for large trucks & RVs. He has also said that Starlink ( STRLK ) would IPO "once we can predict cash flow reasonably well and suggested that retail investors will get "top priority" in the coming offering .
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SpaceX's Starlink internet authorized for boats, planes and RVs