Phone Service Deal A Big Step

SpaceX made a fresh deal with Qualcomm. The plan is to offer phone service through Starlink Mobile. The aim is to challenge Verizon, AT&T, and T-Mobile.

Qualcomm said it will provide Dragonwing Cellular Infrastructure platforms. These support Starlink Mobile ground towers. The setup can give high capacity across the United States.

SpaceX wants to start a nationwide rollout in 2027. The deal's financial terms were not shared. A Qualcomm executive said the group is making top cellular gear. He said it pushes 5G now. It could help 6G later.

Starlink brings in a huge slice of SpaceX's cash. In the third quarter, it was 36 percent of revenue. It was 85 percent of operating profit, CNBC said. Mobile service has had issues. Direct to device service was weak. The satellite could not match rival data coverage.

SpaceX agreed last month to buy a nationwide spectrum portfolio. It is in the 800 MHz band. This month, the Washington Post said SpaceX was in talks to buy Boost Mobile. SpaceX went public in June. It was the largest IPO ever. It is worth almost $2 trillion. Qualcomm has made cellular chips for years. It is known for modems and radios in devices. It also makes network gear. SpaceX is a top 5G infrastructure customer for Qualcomm. Mobile carriers often lease space from American Tower and Crown Castle.