Another MAJOR Disruption incoming (Patreon)

What SpaceX Just Did

SpaceX (through Starlink) spent $17 billion to buy wireless spectrum from EchoStar. Spectrum is like the highway that wireless signals (cell phones, broadband, etc.) travel on.

Normally, cell carriers (AT&T, Verizon, T-Mobile) own or lease spectrum and then sell you phone plans. But now SpaceX owns prime spectrum licenses globally, including in the U.S.

This means SpaceX doesn’t need to ask carriers for permission or lease their airwaves — it can run its own direct-to-cell satellite network.

I spoke about this on the fireside chat yesterday w Jacob... basically the amt SpaceX paid was triple the market cap of Echostar before the deal.

Why This Is Disruptive

Instead of needing a cell tower nearby, your regular phone could connect straight to Starlink satellites. No “dead zones.” Anywhere on Earth = coverage. Where I live there is NO CELL SIGNAL.... I rely on Internet Coverage (not that I answer my phone anyhow).

Carriers like Verizon and AT&T make money by owning spectrum and towers. If SpaceX bypasses them, carriers will lose their monopoly power.

Basically, your cell signal becomes irrelevant if you have global broadband directly from satellites.

The Big Picture Mobile Carriers nightmare

If SpaceX succeeds, AT&T, Verizon, T-Mobile, etc. could see their business models collapse. Why pay them if your phone works anywhere with Starlink? And it is not just USA! Better Cheaper Faster ALWAYS WINS.

SpaceX will be worth TRILLIONS.

PS I use NPPTF as my SpaceX exposure... not pure form but as good as I can get. 33% Premium to NAV.

Also tied into that. SpaceX owns some xAI and soon TSLA we hope will own some too.