SpaceX founder Elon Musk and T-Mobile CEO Mike Sievert on stage during a T-Mobile and SpaceX joint event on August 25, 2022 in Boca Chica Beach, Texas.
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SpaceX founder Elon Musk and T-Mobile CEO Mike Sievert said that their firms are working to “end mobile dead zones,” and can launch a latest mobile service enabled by Starlink second-generation satellites and T-Mobile bandwidth.
Starlink is comprised of a network of satellites that SpaceX has launched into low Earth orbit, and designed to deliver high-speed web in distant locations across the globe. SpaceX has launched greater than 2,700 satellites to support this network.
Speaking at SpaceX facility in Boca Chica, Texas on Thursday night, Sievert said T-Mobile can be dedicating a “slice of its mid-band PCS spectrum” to be integrated into Starlink satellites launched next 12 months.
T-Mobile users will have the option to make use of messaging, MMS and certain messaging apps, from distant points across the lower 48 states, Alaska, Puerto Rico and Hawaii and even some distant points within the water.
Eventually, the service will work with voice, Sievert said. T-Mobile plans to incorporate the service in its hottest mobile plans but didn’t disclose specific pricing.
Musk said the service will work with Starlink’s second generation satellites, which have very large antennae and can have the option to transmit on to a cell or cell phone.
The service won’t require mobile users to get a latest phone. Musk said in or after a natural disaster, even when all of the cell towers are taken out, the planned service should work.
Musk specified, “This would possibly not have the type of bandwidth a Starlink terminal could have, but this may enable texting, it’ll enable images and if there aren’t too many individuals within the cell zone, you may even potentially have just a little little bit of video.” He added, “We’ll not examine these tragedies that happened where people got lost an if only they might have called for help they’d be okay.”
T-Mobile will even offer “reciprocal roaming,” in order that visitors to the US from outside the country can use the service if in addition they partner with SpaceX to enable this service globally. Musk and Sievert invited carriers overseas to affix their alliance.
Shares of T-Mobile closed up by some extent on Thursday at $147.07 and were trending barely higher after hours.
As CNBC Pro previously reported, Morgan Stanley analysts wrote in a note on the sector this week that they favored T-Mobile as a top pick inside telecom services, they usually “expect T-Mobile to proceed to take share, driving superior top- and bottom-line growth, with the buyback more likely to begin soon.”
— CNBC’s Michael Sheetz contributed reporting.
This can be a developing story. Please check back for updates.