- The core of the source is that SpaceX, a satellite internet company, plans to enter the mobile carrier business by selling phone service directly. The source says the goal is to build the most advanced mobile network in the world.
- According to the source, SpaceX bought 800MHz low-band spectrum from the Nextel era for about $8 billion. The source explains that low-band spectrum travels far and reaches inside buildings easily, so it is used to cover wide areas.
- The source also reports that SpaceX previously secured EchoStar spectrum at a scale of about $20 billion. An analyst quoted in the source believes satellites alone make it hard to meet FCC approval conditions, so a terrestrial base station network is needed.
- This outlook is the personal opinion of partner and analyst Walter Piescik (LightShed Partners). He thinks existing mobile carrier 3 is unlikely to offer wholesale deals, and the source also treats as uncertain whether direct satellite connection service will go beyond text messaging.
O: This is worth a look for mobile users comparing satellite plans who are thinking about coverage gaps where they live, and want to figure out how far roaming or text service can be used before a terrestrial network is built.
X: The source says the completion timing and service range for SpaceX's terrestrial network have not been confirmed, and it also points out that roaming costs are high, so checking before judging the actual price is necessary.