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SpaceX’s Starlink satellite internet gains 750,000 subscribers in nine months

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SpaceX says its Starlink satellite internet service has surpassed one million active subscribers just two years after its first limited beta release.

SpaceX began launching operational Starlink satellites in November 2019. A little over three years later, the company has successfully launched more than 3600 Starlink satellites, of which some 3000 are operational and ready to serve customers. That network expansion – unprecedented in the history of spaceflight and producing a satellite constellation a magnitude larger than the next largest – has also allowed SpaceX to significantly increase the number of active users it can serve.

In June 2022, CEO Elon Musk reported in an all-hands meeting that SpaceX’s Starlink internet had “nearly” 500,000 users. Just six months later, SpaceX says that figure has doubled to “more than 1,000,000 active subscribers,” indicating an average of roughly 2600 new subscribers per day throughout the second half of 2022. In the relatively tiny world of satellite broadband internet service, a million subscribers makes SpaceX directly comparable to companies that have been serving satellite internet for decades just two years after its first offering entered beta.

In the US, Hughes Network is SpaceX’s largest competitor and currently has a bit less than 1.3 million subscribers in the Americas. Cloudflare data suggests that only half of Starlink’s far more international customer base is located in the United States, indicating that SpaceX has secured almost 40% as many subscribers after offering its competing service for just two years. That growth – roughly 250,000 new subscribers per quarter since March 2022 – is the exact opposite of what virtually every other satellite internet provider has been experiencing for the last several years, most of which are slowly losing subscribers instead of gaining them.

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Comments from CEO Elon Musk and actions made by SpaceX indicate that the company is unlikely to drastically slow that growth anytime soon. In 2021, Musk noted that SpaceX would only truly struggle with congestion once Starlink had “several million” subscribers. In late 2020, SpaceX also applied for FCC permission to operate up to five million user terminals (dishes that connect to Starlink) just in the United States.

Starlink’s design makes prioritizing a country or region essentially impossible. Instead of the large geostationary satellites most competitors operate tens of thousands of kilometers above Earth’s surface, where they more or less hover above a region of choice, Starlink satellites operate just 550 kilometers (~340 mi) up. At that altitude, each satellite orbits the Earth every 95 minutes and only spends a few minutes (or even seconds) over any given country. That strongly encourages SpaceX to serve customers in as many countries as possible, each of which has its own painful market entrance process for a new communications provider.

After years of work, SpaceX’s government relations team has secured permission to operate Starlink in roughly a quarter of all countries on Earth. Combined, those countries represent more than 1.5 billion people, 19% of the global population.

But Starlink likely only needs to convert a minuscule fraction of those people into customers to be a worthwhile and financially sustainable pursuit for SpaceX. The total capacity of the first 4405-satellite Starlink constellation can only be guessed at, but roughly estimating SpaceX’s total Starlink revenue is much easier. The cost of a subscription varies widely from country to country but Cloudflare indicates that the vast majority of subscribers live in countries where it costs around $100-110 per month and around $600 for a subsidized dish. Even accounting for SpaceX footing some of the bill for Starlink service in Ukraine, the network is almost certainly already generating more than a billion dollars of revenue per year

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While the FCC is making it far from easy, SpaceX is already preparing to begin building a second-generation Starlink Gen2 constellation with nearly 30,000 satellites, each of which could launch with almost a magnitude more usable bandwidth than Gen 1 satellites. If SpaceX can continue to find new customers around the world, a million subscribers using Starlink Gen1 while the network is less than 70% complete imply that the most capable version of Starlink Gen2 could serve roughly 10-12 million subscribers at minimum. Assuming SpaceX does not substantially lower its revenue, the recurring revenue from 12 million Gen2 subscribers could be $14.5 billion per year.

Reaching Starlink profitability will be an even bigger challenge – and one that CEO Elon Musk has (perhaps overzealously) indicated could bankrupt SpaceX if the company attempts to do so with its Gen1 design. But securing a million active subscribers in two years and some 750,000 in the last nine months arguably indicates that SpaceX is on a good path and should allow the company to either decrease its fundraising burden or increase the reach of future spending on R&D and expansion.

Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Tesla Full Self-Driving set to get an awesome new feature, Elon Musk says

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Credit: Teslarati

Tesla Full Self-Driving is set to get an awesome new feature in the near future, CEO Elon Musk confirmed on X.

Full Self-Driving is the company’s semi-autonomous driving program, which is among the best available to the general public. It still relies on the driver to ultimately remain in control and pay attention, but it truly does make traveling less stressful and easier.

However, Tesla still continuously refines the software through Over-the-Air updates, which are meant to resolve shortcomings in the performance of the FSD suite. Generally, Tesla does a great job of this, but some updates are definitely regressions, at least with some of the features.

Tesla Cybertruck owner credits FSD for saving life after freeway medical emergency

Tesla and Musk are always trying to improve the suite’s performance by fixing features that are presently available, but they also try to add new things that would be beneficial to owners. One of those things, which is coming soon, is giving the driver the ability to prompt FSD with voice demands.

For example, asking the car to park close to the front door of your destination, or further away in an empty portion of the parking lot, would be an extremely beneficial feature. Adjusting navigation is possible through Grok integration, but it is not always effective.

Musk confirmed that voice prompts for FSD would be possible:

Tesla Full Self-Driving is a really great thing, but it definitely has its shortcomings. Navigation is among the biggest complaints that owners have, and it is easily my biggest frustration with using it. Some of the routes it chooses to take are truly mind-boggling.

Another thing it has had issues with is being situated in the correct lane at confusing intersections or even managing to properly navigate through local traffic signs. For example, in Pennsylvania, there are a lot of stop signs with “Except Right Turn” signs directly under.

This gives those turning right at a stop sign the opportunity to travel through it. FSD has had issues with this on several occasions.

Parking preferences would be highly beneficial and something that could be resolved with this voice prompt program. Grocery stores are full of carts not taken back by customers, and many people choose to park far away. Advising FSD of this preference would be a great advantage to owners.

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Cybertruck

Elon Musk clarifies Tesla Cybertruck ’10 day’ comment, fans respond

Some are arguing that the decision to confirm a price hike in ten days is sort of counterproductive, especially considering it is based on demand. Giving consumers a timeline of just ten days to make a big purchase like a pickup truck for $60,000, and basically stating the price will go up, will only push people to make a reservation.

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Credit: Tesla

Elon Musk has clarified what he meant by his comment on X yesterday that seemed to indicate that Tesla would either do away with the new All-Wheel-Drive configuration of the Cybertruck or adjust the price.

The response was cryptic as nobody truly knew what Musk’s plans were for the newest Tesla Cybertruck trim level. We now have that answer, and fans of the company are responding in a polarizing fashion.

On Thursday night, Tesla launched the Cybertruck All-Wheel-Drive, priced competitively at $59,990. It was a vast improvement from the Rear-Wheel-Drive configuration Tesla launched last year at a similar price point, which was eventually cancelled just a few months later due to low demand.

Tesla launches new Cybertruck trim with more features than ever for a low price

However, Musk said early on Friday, “just for 10 days,” the truck would either be available or priced at $59,990. We can now confirm Tesla will adjust the price based on more recent comments from the CEO.

Musk said the price will fluctuate, but it “depends on how much demand we see at this price level.”

Some are defending the decision, stating that it is simply logical to see how the Cybertruck sells at this price and adjust accordingly.

Others, not so much.

Some are arguing that the decision to confirm a price hike in ten days is sort of counterproductive, especially considering it is based on demand. Giving consumers a timeline of just ten days to make a big purchase like a pickup truck for $60,000, and basically stating the price will go up, will only push people to make a reservation.

Demand will look strong because people want to lock in this price. The price will inevitably go up, and demand for the trim will likely fall a bit because of the increased cost.

Many are arguing Musk should have kept this detail internal, but transparency is a good policy to have. It is a polarizing move to confirm a price increase in just a week-and-a-half, but the community is obviously split on how to feel.

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Cybertruck

Tesla Cybertruck’s newest trim will undergo massive change in ten days, Musk says

It appears as if the new All-Wheel-Drive trim of Cybertruck won’t be around for too long, however. Elon Musk revealed this morning that it will be around “only for the next 10 days.”

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(Credit: Tesla)

Tesla’s new Cybertruck trim has already gotten the axe from CEO Elon Musk, who said the All-Wheel-Drive configuration of the all-electric pickup will only be available “for the next ten days.”

Musk could mean the price, which is $59,990, or the availability of the trim altogether.

Last night, Tesla launched the All-Wheel-Drive configuration of the Cybertruck, a pickup that comes in at less than $60,000 and features a competitive range and features that are not far off from the offerings of the premium trim.

Tesla launches new Cybertruck trim with more features than ever for a low price

It was a nice surprise from Tesla, considering that last year, it offered a Rear-Wheel-Drive trim of the Cybertruck that only lasted a few months. It had extremely underwhelming demand because it was only $10,000 cheaper than the next trim level up, and it was missing a significant number of premium features.

Simply put, it was not worth the money. Tesla killed the RWD Cybertruck just a few months after offering it.

With the news that Tesla was offering this All-Wheel-Drive configuration of the Cybertruck, many fans and consumers were encouraged. The Cybertruck has been an underwhelming seller, and this seemed to be a lot of truck for the price when looking at its features:

  • Dual Motor AWD w/ est. 325 mi of range
  • Powered tonneau cover
  • Bed outlets (2x 120V + 1x 240V) & Powershare capability
  • Coil springs w/ adaptive damping
  • Heated first-row seats w/ textile material that is easy to clean
  • Steer-by-wire & Four Wheel Steering
  • 6’ x 4’ composite bed
  • Towing capacity of up to 7,500 lbs
  • Powered frunk

It appears as if this trim of Cybertruck won’t be around for too long, however. Musk revealed this morning that it will be around “only for the next 10 days.”

Musk could mean the price of the truck and not necessarily the ability to order it. However, most are taking it as a cancellation.

If it is, in fact, a short-term availability decision, it is baffling, especially as Tesla fans and analysts claim that metrics like quarterly deliveries are no longer important. This seems like a way to boost sales short-term, and if so many people are encouraged about this offering, why would it be kept around for such a short period of time?

Some are even considering the potential that Tesla axes the Cybertruck program as a whole. Although Musk said during the recent Q4 Earnings Call that Cybertruck would still be produced, the end of the Model S and Model X programs indicates Tesla might be prepared to do away with any low-volume vehicles that do not contribute to the company’s future visions of autonomy.

The decision to axe the car just ten days after making it available seems like a true head-scratcher.

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