Beam42 Original
SpaceX picks Qualcomm to build Starlink Mobile's ground 5G network
SpaceX signed a multiyear deal for Qualcomm to supply radio chips, accelerators and software for Starlink Mobile's U.S. 5G cell sites, with first deployments planned for 2027.
Why it matters: Ground cell sites are what Starlink Mobile needs to compete with Verizon, AT&T and T-Mobile, and now it has a chip supplier for them.
Illustration: a ground cell site working alongside satellites.
Beam42 / AI-generated
SpaceX has chosen Qualcomm to supply the core technology for Starlink Mobile's ground network in the United States. Qualcomm announced the multiyear deal on Nov. 4. It covers Qualcomm's Dragonwing cellular infrastructure, including massive MIMO radio units, accelerators for the digital unit and Layer 1 software, for what The Verge reports will be "tens of thousands" of 5G cell sites. The first deployments are set for 2027.
This is a new piece of the Starlink Mobile plan. Until now, Starlink's phone service has come from direct-to-cell satellites, which can't carry all the voice, video and data that a regular carrier handles. Cell towers on the ground fill that gap, and SpaceX plans to pair them with its satellite layer. CNBC notes the move follows SpaceX's purchase of nationwide 800 MHz spectrum last month, and that Starlink made up 36% of SpaceX revenue and 85% of its operating profit in the third quarter. Qualcomm called it its biggest 5G deal yet.
On Qualcomm's earnings call, CEO Cristiano Amon described it as "probably one of the largest build-outs of a network," according to RCR Wireless. He said the deal is for terrestrial gear and also covers early work on the next generation of wireless. Qualcomm expects revenue from it to start as it exits fiscal 2027, with fiscal 2028 the bigger year.
Financial terms were not disclosed. SpaceX has not named tower partners or said how many new towers it will need.
Key facts
- Qualcomm will supply massive MIMO radio silicon, digital-unit accelerators and Layer 1 software (Qualcomm).
- The rollout is planned for tens of thousands of U.S. cell sites starting in 2027 (The Verge).
- Qualcomm expects revenue from the deal late in fiscal 2027, growing in fiscal 2028 (RCR Wireless).
How to read it
The deal itself comes from Qualcomm's release and earnings call. Site counts and Starlink's revenue share come from outside reporting. Watch for tower leasing partners, a site count from SpaceX and the first Starlink Mobile launch cities.
Independence
Beam42 wrote this note from Qualcomm's announcement, with independent reporting from CNBC, The Verge and RCR Wireless. It is not a company release.
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