Things are starting to get very interesting.
Over the last year, much of my focus has been on the disruption that is taking place. Things are starting to accelerate due to technological advancements. Convergence is upon us in addition to things moving ahead at a massive pace.
What happens if the target is put upon companies such as AT&T, T-Mobile, and Verizon. These companies competed against each other but now we are seeing the potential entry of Starlink.
Imagine a dozen cellular towers right down the road from you? This is something that we could occur, except in space.
There was speculation that this was the direction Starlink was heading. However, a recent filing with the FCC really frames things in a different light.
Starlink filed an application to enter new markets to test across different terrains.
In the meantime, the company’s initial tests have shown that the cellular Starlink satellites can successfully beam Internet data to unmodified smartphones on the ground. This includes powering download speeds up to 17Mbps and even sending the internet data while the phone is under tree cover or even indoors. The technology’s goal is to serve cellular dead zones, making it possible for consumers to receive satellite connectivity in remote and rural areas.
I highlighted the crux of where things might be going.
Starlink is known for requiring a dish to receive the signal. So far, it is an Internet provider. It appears the company aims to prove that it can get a signal inside a building. This is a breakthrough in satellite communications. aLL previous satellite communications required a direct path between device and satellite. This extends back to the Iridium phones of years ago.
With Starlink's latest satellites, there are antennas on them equating to many towers available to customers. Eventually, there will be thousands of these flying overhead, seamlessly passing the devices off.
Elon Musk made headlines a couple months back with the assertion that he would end up using X for all his calls and texts.
Here is the headline from that time:
Could these two be related?
We honestly do not know at this moment. However, it would seem they could start aligning.
In other words, we could be watching Musk building out an entire telecommunications system before our eyes. This could disrupt the existing telecommunications giants. For NOW, the focus appears to be rural areas where it is not cost effective to build towers.
The question will be is that going to be the end of it?
Here is where the future gets murky. Penetration in cities were always a challenge due to signal interruption due to structures. Will Starlink be able to navigate around this or will it continue to plague them also?
Satellite communications long held fascination due to the revenue potential. When the total addressable market went goes to nearly every person on the planet, that is a company with potential.
Starlink is looking to offer Internet, voice, and text communications. This will certainly put it in the crosshairs of some of the largest telcos in the world.
Of course, it could get to the point where Starlink becomes larger than any individual telecommunications company.
Remember this each time another SpaceX rocket is launched carrying Starlink satellites. The target in this instance could be some of the most established companies in different countries.
I would think AT&T and British Telecom are paying attention.
