SpaceX plans to directly compete with major wireless carriers AT&T, T-Mobile, and Verizon through its Starlink Mobile service. The company has acquired spectrum licenses from Echo Star, enabling it to build out a terrestrial network in addition to its satellite capacity.

SpaceX President Gwynne Shotwell stated their intention to build a terrestrial component, utilizing "little femtocells" rather than large cell towers. These base stations could potentially be integrated with existing Starlink dish hardware. Shotwell believes Starlink Mobile will offer a superior service, eliminating dead zones and providing better connectivity during natural disasters, potentially capturing a significant portion of the $600 billion combined annual revenue of the big three carriers.

While challenges remain, including spectrum limitations compared to established carriers, SpaceX aims to launch next-generation satellites and begin terrestrial service by late 2027. The company anticipates a "massive increase in capability" with its acquired 65 MHz spectrum, making the system approximately 100 times better than its current iteration.