- Apple (AAPL) and SpaceX are fiercely competing for spectrum rights to expand satellite-based cellphone connectivity, with Apple investing heavily and SpaceX deploying over 550 Starlink satellites, as reported by The WSJ.
- Tensions flared as SpaceX and T-Mobile (TMUS) secured an agreement with Apple to integrate Starlink service into newer iPhones by summer, while Musk’s firm pushed regulators to hinder Apple’s satellite expansion with partner Globalstar.
- Despite their rivalry, interdependence persists: Globalstar (GSAT) uses SpaceX launches for Apple’s off-grid service, though direct talks between Apple and SpaceX for deeper iPhone-Starlink integration have yet to yield a deal.
Apple (AAPL) and Elon Musk’s SpaceX are locked in a high-stakes rivalry over satellite-based cellphone connectivity, a battle that pits the iPhone giant against the Starlink pioneer, according to a report from The Wall Street Journal. At the heart of the clash lies a fierce competition for scarce spectrum rights—essential airwaves needed to beam signals to users in remote areas where traditional networks falter. Apple is pouring significant resources into its satellite communication push, aiming to keep iPhone users connected off the grid, while SpaceX has already deployed over 550 satellites to power its Starlink service, which pairs with T-Mobile (TMUS) to challenge Apple’s ambitions.
The tension escalated when SpaceX, alongside T-Mobile, sought Apple’s collaboration to integrate Starlink connectivity into iPhones, a move that sparked heated negotiations before culminating in an agreement set to launch this summer, per the WSJ. This deal ensures Starlink’s service will blend seamlessly into newer iPhones, though Apple maintains its iron grip over its closed software ecosystem. Meanwhile, Musk has reportedly bristled at Apple’s satellite investments, prompting SpaceX to urge federal regulators to delay an Apple-backed expansion effort led by its partner, Globalstar (GSAT)—which, ironically, relies on SpaceX rockets to loft its satellites into orbit. Despite intermittent talks between Apple and SpaceX executives about directly linking iPhones to Starlink satellites, no broader partnership has emerged. The stakes are immense: success could drive iPhone sales for Apple or boost Starlink adoption for Musk, yet their interdependence underscores a delicate dance between rivalry and necessity in the race to conquer cellphone dead zones.
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