Satellite Cellular Service: SpaceX Takes on the Competition

Starting in 2025, Elon Musk’s company will offer direct-to-cell (DTC) service for smartphones,
eliminating the need for additional antennas. However, SpaceX finds the regulations imposed by the Federal Communications Commission (FCC) too restrictive, and competitors are raising concerns about Starlink’s dominance.

BY EMILIO COZZI

In 2022, Apple enabled SOS messaging via direct satellite connection with Globalstar on its
smartphones, marking the beginning of the DTC era. Two years later, the field has transformed
dramatically.
The burgeoning competition in satellite cellular connectivity—both in space and on the ground—is
as exciting as it is challenging. At the heart of the matter is a technical issue: frequencies. Yet, this
could soon turn into a political question, if it hasn’t already, given that technological advancements
will soon allow devices to connect not only to ground-based antennas but also directly to satellites.
This technology, known as direct-to-cell (DTC) or direct-to-device (D2D), already has hundreds of
satellites in orbit, forming the basis of this revolutionary service.

The Main Players

The key players include major corporations, with SpaceX, specifically Starlink, leading the charge.
On November 14, a Falcon 9 rocket launched 20 satellites into orbit, 13 of which were equipped
with DTC technology. This marked the latest in a series of launches that began less than a year
earlier, on January 3, 2024, with the first six experimental devices. There are now about 300 DTC
satellites in orbit, with plans for rapid growth at Starlink’s usual pace. With over 6,000 operational
satellites, the Starlink constellation is expanding quickly. According to Ben Longmier, Senior
Director of Satellite Engineering at SpaceX, just three more launches are needed to complete the
DTC constellation at the “minimum viable product” stage, after which the system will continue
scaling.

Operational by 2025

Starlink is set to provide satellite connectivity even in the most remote areas of the planet. Thanks
to agreements with national telecom providers, the service will extend coverage to regions without
4G or 5G signals from terrestrial towers. No modifications or new smartphone models are
necessary; the service is compatible with existing devices. All that’s needed is open sky for
connection.
According to the company’s website, Starlink has secured agreements with T-Mobile in the U.S.,
Optus in Australia, and several other providers, including Salt in Switzerland and Entel in Chile and
Peru. Features include:
• No specialized or additional equipment required.
• Compatibility with standard CAT-1, CAT-1 Bis, and CAT-4 modems.
• Service plans available through global partners in approved countries starting in 2025.
However, Starlink is not the only contender. Competing telecom companies have filed complaints
and launched counter-projects.

The Competition

AST Mobile recently began deploying its Blue Walker constellation. Following launches in
September, the first five AST satellites deployed their “wings.” Once complete, the constellation,
initially consisting of 90 satellites with potential growth to 168, will offer 4G and 5G coverage
globally—on land, at sea, and in the air. Backed by funding from Google, Vodafone, and AT&T,
AST is a direct competitor to Starlink and has secured agreements to provide DTC services to
subscribers of major U.S. telecom providers Verizon and AT&T.
Omnispace, another U.S.-based company, plans to deploy a fleet of 600 satellites, partnering with
telecom operators across Latin America, Asia, Africa, and the Middle East to deliver 5G broadband
to mobile devices. Lynk Global, with a similar vision, currently has a handful of satellites in orbit,
aiming to expand into thousands. It has already launched services for users in Pacific island nations
such as Palau and the Solomon Islands. As the market grows, so does the complexity of its
landscape.

Regulations and Requests for Exceptions

In March 2024, the FCC approved baseline rules for utilizing radio waves from terrestrial mobile
partners. These rules outline the framework for “Supplemental Coverage from Space,” a service
considered an extension of normal terrestrial network coverage. The regulations also establish
frequency limits for satellite operators to avoid interference with ground-based systems—a
framework that SpaceX finds too restrictive.
During the summer, SpaceX requested an FCC waiver to operate beyond standard radiofrequency
parameters, specifically to bypass restrictions on out-of-band emissions. These emissions, which
occur just outside the allocated bandwidth, can interfere with other operators’ signals if not
controlled. In response, AT&T and Verizon urged the FCC to deny the waiver, joined by several
European telecom operators. Their appeal states:
“The FCC must reject any attempt to relax its ‘out-of-band emission’ limit of -120 dBW/m2/MHz,
which represents the minimum protection mobile network operators require against spurious
emissions—in both low-band (<1 GHz) and mid-band (1–2 GHz) spectrums—to ensure they can
continue delivering terrestrial service levels in every market.”

The Power of Musk and SpaceX

SpaceX’s response was immediate: “The Commission cannot accept the attempt by these foreign
operators to intimidate it. Instead, it should continue to respect the sovereignty of other
administrations and allow them to make their own technical judgments on the fact that AST is
pushing for an out-of-band emission standard that has no technical basis and would unnecessarily
harm consumers and first responders.”
It’s hard to ignore the parallels with the Italian case, though in reverse: in April 2024, it was Elon
Musk who accused Tim of insufficient cooperation in sharing frequency-related data. The first
complaints about the “exuberance” of Starlink’s satellite signals actually came from Omnispace,
which reported interference with its experimental satellites in orbit.
In the meantime, much has happened: Musk “won the elections” alongside Donald Trump. His
influence has grown significantly, and he now holds a far greater lever of power than before.
Notably, the launch service used by some competitors, such as Lynk Global and AST, is SpaceX’s
Falcon 9. It’s hard to imagine a more telling paradox of Musk’s dominance