Elon Musk wants SpaceX to become more than a rocket and satellite internet company. After Verizon, T-Mobile, and AT&T all turned down SpaceX’s request to use their networks, the trillionaire is reportedly exploring a deal with Boost Mobile that could help the company enter the $235 billion US wireless market.

SpaceX has discussed either acquiring Boost or gaining access to its existing cellular network through parent company EchoStar. Neither option has been finalized, but it could give Musk a shortcut into an industry dominated by Verizon, AT&T, and T-Mobile.

How Boost Mobile could open the door for SpaceX

Elon Musk met with EchoStar chairman Charlie Ergen last month to discuss the proposition. Boost leases its network from AT&T and T-Mobile, so landing this deal could hand SpaceX entry into a wireless market worth an estimated $235 billion.

There’s a catch, though. Those lease agreements typically can’t transfer to a new owner without the original carriers’ sign-off, so AT&T and T-Mobile could still block the move. SpaceX recently spent $8 billion on wireless spectrum built for areas satellites can’t reach, which Musk called the final piece needed for full phone coverage.

Can SpaceX actually pull this off?

Not entirely, at least not yet. SpaceX’s satellite signal isn’t strong enough yet to handle indoor or urban coverage, where most calls happen, so a deal with Boost would let it lean on traditional cell towers while it keeps improving.

Carrier executives have publicly questioned whether SpaceX can build that kind of infrastructure quickly. Verizon’s CEO estimated it would take four to six years, though Musk thinks it could happen in about half that time. One analyst pointed to SpaceX’s massive Supercharger network as proof Musk shouldn’t be underestimated.

Combining satellite connectivity with existing cellular infrastructure could let SpaceX offer broader coverage. The technology could also support Musk’s longer-term ambition of establishing communication networks for a human settlement on Mars.

For now, SpaceX still needs a deal and the necessary carrier approvals. But Boost Mobile could be the missing piece in Musk’s plan to challenge America’s biggest wireless providers.

RELATED COVERAGE:

Share.
Exit mobile version