Microsoft has announced a new collaboration with Starlink as part of its expanding digital access strategy, following the company’s claim that it has extended internet connectivity coverage to more than 299 million people worldwide.

The update was shared ahead of Mobile World Congress, where Microsoft detailed how it surpassed its original goal of bringing internet access to 250 million people by the end of 2025.

In a blog post, Microsoft confirmed that it is now working with Starlink to expand connectivity in rural and hard-to-reach regions.

“Through our collaboration with Starlink, Microsoft is combining low-Earth orbit satellite connectivity with community-based deployment models and local ecosystem partnerships,” the company wrote.

The partnership is designed to complement Microsoft’s existing work with local internet providers and infrastructure companies across Africa, Latin America, and India, among other areas. Microsoft noted that traditional infrastructure alone cannot meet demand in some regions, making low-Earth orbit satellite connectivity an important addition.

Kenya was cited as an early example. Working with Starlink and local provider Mawingu Networks, Microsoft is supporting connectivity for 450 community hubs in rural and underserved areas. These hubs include farmer cooperatives, aggregation centers, and digital access facilities intended to support agricultural productivity and AI-enabled services.

Microsoft stated that 2.2 billion people globally remain offline, and that connectivity gaps risk widening as AI adoption accelerates.

Starlink’s expanding constellation, now numbering more than 9,700 satellites in orbit, provides near-global coverage, making it one of the few systems capable of delivering broadband to remote regions without relying on terrestrial infrastructure. 

Starlink is expected to grow even more in the coming years as well, especially as SpaceX transitions its fleet to Starship, which is capable of carrying significantly larger payloads compared to its current workhorse, the Falcon 9.

Elon Musk’s xAI has signed an agreement with the United States Department of Defense (DoD) to allow Grok to be used in classified military systems.

Previously, Anthropic’s Claude had been the only AI system approved for the most sensitive military work, but a dispute over usage safeguards has reportedly prompted the Pentagon to broaden its options, as noted in a report from Axios.

Under the agreement, Grok can be deployed in systems handling classified intelligence analysis, weapons development, and battlefield operations. 

The publication reported that xAI agreed to the Pentagon’s requirement that its technology be usable for “all lawful purposes,” a standard Anthropic has reportedly resisted due to alleged ethical restrictions tied to mass surveillance and autonomous weapons use.

Defense Secretary Pete Hegseth is scheduled to meet with Anthropic CEO Dario Amodei in what sources expect to be a tense meeting, with the publication hinting that the Pentagon could designate Anthropic a “supply chain risk” if the company does not lift its safeguards. 

Axios stated that replacing Claude fully might be technically challenging even if xAI or other alternative AI systems take its place. That being said, other AI systems are already in use by the DoD. 

Grok already operates in the Pentagon’s unclassified systems alongside Google’s Gemini and OpenAI’s ChatGPT. Google is reportedly close to an agreement that will result in Gemini being used for classified use, while OpenAI’s progress toward classified deployment is described as slower but still feasible. 

The publication noted that the Pentagon continues talks with several AI companies as it prepares for potential changes in classified AI sourcing.

Elon Musk has pushed back on claims that Starlink’s recent price reductions are tied to Amazon’s Kuiper project.

In a post on X, Musk responded directly to a report suggesting that Starlink was cutting prices and offering free hardware to partners ahead of a planned IPO and increased competition from Kuiper.

“This has nothing to do with Kuiper, we’re just trying to make Starlink more affordable to a broader audience,” Musk wrote in a post on X. “The lower the cost, the more Starlink can be used by people who don’t have much money, especially in the developing world.”

The speculation originated from a post summarizing a report from The Information, which ran with the headline “SpaceX’s Starlink Makes Land Grab as Amazon Threat Looms.” The report stated that SpaceX is aggressively cutting prices and giving free hardware to distribution partners, which was interpreted as a reaction to Amazon’s Kuiper’s upcoming rollout and possible IPO.

In a way, Musk’s comments could be quite accurate considering Starlink’s current scale. The constellation currently has more than 9,700 satellites in operation today, making it by far the largest satellite broadband network in operation. It has also managed to grow its user base to 10 million active customers across more than 150 countries worldwide. 

Amazon’s Kuiper, by comparison, has launched approximately 211 satellites to date, as per data from SatelliteMap.Space, some of which were launched by SpaceX’s Falcon 9 rocket. Starlink surpassed that number in early January 2020, during the early buildout of its first-generation network.

Lower pricing also aligns with Starlink’s broader expansion strategy. SpaceX continues to deploy satellites at a rapid pace using Falcon 9, and future launches aboard Starship are expected to significantly accelerate the constellation’s growth. A larger network improves capacity and global coverage, which can support a broader customer base.

In that context, price reductions can be viewed as a way to match expanding supply with growing demand. Musk’s companies have historically used aggressive pricing strategies to drive adoption at scale, particularly when vertical integration allows costs to decline over time.