SpaceX makes its largest purchase in history to boost Starlink in 2025
SpaceX, the company founded by Elon Musk, has taken a monumental step by making the largest purchase in its history. This acquisition has a strategic focus that is not directly related to rocket manufacturing, but aims to expand the global coverage of its Starlink service, bringing connectivity to every corner of the planet.
A revolutionary deal in the satellite industry
On September 8, 2025, SpaceX surprised the industry by announcing a game-changing agreement: the purchase of the entire S-band spectrum from EchoStar in the United States, including its global licenses for satellite mobile services. This operation, amounting to $17 billion, is not merely seeking an immediate return on investment; it establishes a dominant position in the market.
With this acquisition, SpaceX gains the necessary resources for its Direct to Cell service, effectively eliminating EchoStar as a potential competitor. EchoStar, led by Charlie Ergen, had been accumulating this spectrum for decades without implementing its own network, which will now serve as a boost for Elon Musk's plans.
Significant improvements in global connectivity
The current constellation of Starlink Direct to Cell satellites already has over 600 satellites in orbit providing 4G coverage. However, the newly acquired spectrum will allow SpaceX to exponentially enhance this capacity. The next generation of Direct to Cell satellites aims to increase capacity by a factor of 100, incorporating new 5G protocols that would nearly eliminate dead zones. Thus, as long as there is visibility to the sky, users will be able to access coverage from their terrestrial operators or from Starlink.
A strategic move against competition
Analysis conducted by TMF Associates suggests that this purchase is designed to minimize competition from companies like AST SpaceMobile and the collaboration between Apple and Globalstar. This move would force competitors to either integrate with SpaceX or risk being left behind in the market. Elon Musk, known for his style, commented in a response that "almost everything in this article is wrong," generating uncertainty about the nuances of the company's strategy, though not about its potential implications.
Starship: the vehicle that will complete the puzzle
To provide global coverage to millions of customers, having the right spectrum is not enough without an effective means to launch the satellites. This is where Starship comes into play. After several unsuccessful launch attempts, on August 26, 2025, Starship, the largest rocket in the world, successfully deployed its first payload.
This achievement not only marked a milestone in SpaceX's history but proved essential for the future of Starlink. Using a mechanism compared by SpaceX to a PEZ candy dispenser, the spacecraft released eight Starlink satellite simulators, demonstrating its ability for self-funding in the short term.
Launch capacity and technological advancements
Starship will become the primary vehicle for launching the new generation of Starlink V3 satellites. Unlike the Falcon 9, which can place around 22 mini V2 satellites in orbit, Starship is expected to enable much larger deployments. Furthermore, the Starlink V3 satellites, which are set to arrive by 2026, promise significant improvements in design and functionality. According to SpaceX, a single Starship launch with V3 satellites will add 60 Tbps of capacity to the network, equivalent to more than 20 times the current capacity of a Falcon 9.
The new satellites will not only be more numerous but also more advanced. They will incorporate next-generation Hall-effect argon thrusters, far exceeding the specifications of current ones and allowing for more efficient orbital maneuvers.
Dominating the connectivity market
SpaceX is building an almost unreachable market position for its competitors. The Starlink broadband network already has over 8,300 satellites in orbit, surpassing the total number of satellites from all other constellations combined. Currently, the broadband Internet service has a total capacity of 450 Tbps, which is exceptional.
Although third-generation satellites are not scheduled for launch until 2026, SpaceX continues to innovate with the recent introduction of a new 25 Gbps "mini-laser." This device will allow other satellites or space stations to connect directly to the Starlink network, thus establishing Starlink as an orbital internet provider.
With the acquisition of strategically valuable spectrum, a successful launch with Starship, and advanced satellite technologies in development, SpaceX is on the path to eradicating dead zones on Earth. The goal of providing universal connectivity is closer than ever, bridging a previously vast and disconnected world.
The future of space and terrestrial connectivity is in SpaceX's hands, and with each advancement, Elon Musk's vision of a more connected and accessible world is closer to becoming a reality.
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