SpaceX is discussing leasing at least 80,000 cell sites in the United States to create its own national network. Potential multi-billion dollar contracts are being discussed with tower owners including Crown Castle. No signed agreements have yet been published. The ground infrastructure should complement the Starlink cellular service. The company has already purchased low frequency radio spectrum and received permission to launch 15 thousand satellites. The orbital network and base stations must provide wide coverage of the area. Leasing existing sites eliminates the need for SpaceX to build each tower itself, but creates massive ongoing costs and dependence on contracts with facility owners. The company is preparing to compete against the traditional cellular operators. The negotiations do not mean that the new network is already active. The key question now is whether SpaceX can negotiate access to a huge number of towers and link ground stations to mass-produce satellite service. ΞKONOMICON.

SpaceX is discussing leasing at least 80,000 cell sites in the United States to create its own national network. Potential multi-billion dollar contracts are being discussed with tower owners including Crown Castle. No signed agreements have yet been published. The ground infrastructure should complement the Starlink cellular service. The company has already purchased low frequency radio spectrum and received permission to launch 15 thousand satellites. The orbital network and base stations must provide wide coverage of the area. Leasing existing sites eliminates the need for SpaceX to build each tower itself, but creates massive ongoing costs and dependence on contracts with facility owners. The company is preparing to compete against the traditional cellular operators. The negotiations do not mean that the new network is already active. The key question now is whether SpaceX can negotiate access to a huge number of towers and link ground stations to mass-produce satellite service. ΞKONOMICON.