It has been a wild few weeks for the US-Ukraine relationship as Trump, more and more, has been able to be what he always wanted to be: a friend and supporter of Vladimir Putin. It started openly with the diesel deal, which drove a coach and horses through the sanctions regime leveled on Russia, a […]
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In business, as in war, the safest bet is often to avoid underestimating your competitors, even when the odds appear to be in your favor.
Verizon CEO Dan Schulman says he's a student of that philosophy when it comes to Elon Musk's ambitions to develop SpaceX's Starlink into a significant US network player.
"Clearly, the tech and the wireless landscape is rapidly evolving, and we need to rapidly evolve along with that," he said during the company's third-quarter earnings call Monday. "I also operate under the assumption that everything SpaceX says they will do, they will do, and that they will execute flawlessly."
Setting aside Musk's track record of delivering on his eyebrow-raising promises, Schulman said there are significant technical and financial hurdles that Starlink would have to clear to meaningfully compete with established networks like Verizon. But it is possible.
"If they build a terrestrial network, it will basically look and feel like every other network," he said. "I think we should take it quite seriously."
News earlier this month that Starlink had acquired a batch of mobile-friendly low-band spectrum sent the share prices of the major US mobile carriers falling by approximately 10%. Verizon is the only one of the three to partially recover from the drop.
"Their service just can't compete with a terrestrial network in suburban and urban areas, where like 98% of our revenues are," he said of the satellite-based system. "We're somewhere between 100 to 1000 times more efficient than they are."
Building a competitive US network, especially for mobile, would require building as many as 80,000 large cell towers on Earth linked with some combination of satellites and fiber optics, Schulman said.
Schulman estimates that project would cost up to a half trillion dollars over six to eight years, with a minimum of four to six years to actually build out the network.
"Then they need to build retail customer service, back office systems, et cetera., and all of that gets them basically the same network and same capabilities and same cost structure as what we have today," Schulman said.
After the call, Musk responded to the forecast with a post on X: "Will take 2 or 3 years."
The Verizon chief's remarks come less than a week after his AT&T counterpart, John Stankey, brushed off concerns that Starlink's mobile network could pose a threat to his business.
"I wouldn't over-rotate on what I would call one carrier of low band spectrum," he said.
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Elon Musk's Starlink has won its latest customer, a budget airline that could put pressure on one of the WiFi service's biggest critics.
EasyJet announced on Monday that the high-speed WiFi service would be deployed on its airplanes from the first half of next year. The British airline, which carries 100 million passengers a year, hopes to have Starlink installed across its 300-strong fleet by early 2028.
The deal means two of Europe's three biggest budget airlines have committed to Starlink.
Wizz Air, a Hungarian carrier that flies about 70 million passengers a year, signed up in June.
That leaves Ryanair, the continent's largest airline and the world's third-largest, as the only one of Europe's biggest budget carriers without the service.
Its CEO, Michael O'Leary, is well-known for being outspoken and took aim at Starlink earlier this year, leading to a spat with Musk.
"We don't think our passengers are willing to pay for WiFi for an average one-hour flight," O'Leary told Reuters in January.
While Starlink is typically offered free to passengers, O'Leary also complained about increased fuel costs due to the aerodynamic drag of a Starlink terminal, installed on the top of airplanes.
Musk responded in an X post, arguing that Ryanair — which carries over 200 million passengers a year — would lose customers to airlines that do have internet access.
Over the next week, the two CEOs called each other idiots while Musk called for O'Leary to be fired and joked about purchasing the airline.
But Ryanair appeared to have the last laugh, using the publicity to launch a "Big 'Idiot' Sale" with 100,000 tickets starting at £16.99, or about $23.
The situation has some parallels with the US's Big Three airlines. While United Airlines has Starlink on almost half of its fleet and American Airlines is starting installations early next year, Delta Air Lines has instead tapped Amazon Leo, beginning in 2028.
This has led Musk to insult Delta's CEO, Ed Bastian, and call for his firing.
But American passengers are wealthier and more interested in premium offerings than their European counterparts. That trend has also prompted US budget airlines to offer comfier seats and package deals.
Adding free amenities for passengers is at odds with the typical no-frills budget-airline business model that relies on extra charges to turn a profit.
However, easyJet and Wizz may see Starlink as a way to gain an edge over Ryanair.
That may not last forever, though. In a January earnings call, O'Leary said, "I think as the WiFi technology improves over the next four or five years, we'll all be offering free WiFi access."
In the midst of Donald Trump's attempt to turn Russian diesel into a political asset to help him avoid disaster in November's midterm elections, the internet went out on the front lines.
Since the beginning of the full-scale invasion, Ukrainian forces have relied on Starlink to
Verizon CEO Dan Schulman (pictured) punched back on any concerns related to SpaceX’s proposed direct-to-device (D2D) mobile service during a Q3 earnings call, warning the satellite player faces years of construction and hundreds of billions of dollars in spending to build a rival terrestrial network.
“I’d just start off by saying my operating philosophy in general is to be very thoughtful, be analytic and to never take anything for granted,” he said when asked about the threat a SpaceX D2D service could pose to US operators and whether Verizon will ever consider an MVNO deal to give a satellite player access to its infrastructure.
“I always have my eyes wide open,” Schulman added. “Clearly, the tech industry and the wireless landscape is rapidly evolving, and we need to rapidly evolve along with that”.
The CEO also said he operates “under the assumption that everything SpaceX says they will do, they will do, and that they will execute flawlessly”.
His comments came in the wake of reports SpaceX is seeking access to at least 80,000 US cell sites for Starlink Mobile. Bloomberg named Crown Castle among the tower companies in discussions over potential leases.
Schulman argued offering a competitive service would require 65,000 to 80,000 macro sites, backhaul, RAN equipment and substantial power supplies, alongside retail, customer service and back-office operations.
He estimated a full network build would take at least four-to-six years, with spending of $300 billion to $500 billion over seven or eight years, which he argued could leave SpaceX with broadly the same capabilities and cost structure Verizon has today.
“I think that SpaceX realises this, and they’re exploring a potential path to creating a terrestrial network,” he explained. “There’s no magic wand, there’s no secret sauce, there’s no shortcut, there’s no radically lower structural cost advantage.”
In addition to tower leases, SpaceX plans to combine satellites with ground-based radios, supported by an agreement to acquire up to 14MHz of paired 800MHz spectrum from Grain Management for a D2D service expected to launch in early 2028.
Schulman maintained satellite broadband is best suited to remote areas and cannot match terrestrial networks in urban and suburban markets, which he said account for about 98 per cent of Verizon’s revenue.
He said Verizon will keep improving its network and cost structure while SpaceX builds, pointing to its mmWave spectrum, work on 6G applications and plans for AI-enabled services.
While leaving room to work with satellite providers on complementary coverage, Schulman rejected the prospects of an MVNO agreement and stated existing agreements do not offer back-door access.
Schulman said he saw no benefit whatsoever in extending an MVNO deal to a satellite provider.
“It’s very hard to throw a punch against something that doesn’t exist, but once they come into the market, we will be ferociously competitive.”
Last week AT&T CEO John Stankey outlined the advantages he sees over the potential threat of SpaceX’s D2D service during a Q3 earnings call.
The post Verizon CEO plays down SpaceX threat appeared first on Mobile World Live.
Ukraine has waited almost a month for US Defense Secretary Pete Hegseth to sign off on missiles for its Patriot and NASAMS air defense systems, Ukrainian President Volodymyr Zelenskyy said on 26 October. He ordered his team to raise it with Washington again. Two other US holds on Ukraine, on Starlink speeds and intelligence sharing, have been lifted, leaving the interceptors as the last one.
Russia keeps firing ballistic missiles at Ukrainian cities and the power grid before winter, and Patriots are the only systems in Ukraine that reliably stop Iskander-M, Kinzhal, and Zircon missiles. Zelenskyy has told EU leaders Ukraine needs 300 interceptors to get through winter, diplomatic sources told Radio Svoboda. The holds came as Washington pressed Kyiv to stop striking Russian refineries, which Trump blames for high US fuel prices before the midterms.
Zelenskyy held a meeting on weapons supplies with Ukraine’s defense minister, foreign minister, and commander-in-chief. They reported on interceptors for air defense, above all for Patriot systems. Afterward, Zelenskyy wrote:
“We are working in several directions: with the United States, Europe, and other partners that have stocks of PAC-2 and PAC-3 missiles. In particular, for almost a month we have been waiting for Mr. Hegseth’s signature on missiles for Patriots and NASAMS. I have instructed the team to discuss this with the American side once again.”
Talks with other countries continue, he added. The meeting also covered preparations for November’s Ramstein meeting of Ukraine’s allies, where Zelenskyy wants decisions already on the table carried out faster.
Some of the transfers come from friendly countries and need Hegseth’s approval, because the US must sign off on any re-transfer of its missiles, a US official and three people familiar with the matter said on 19 October. Hegseth has neither refused nor approved them.
A Ukrainian official said in mid-October that only “a couple” of interceptors were left. Hegseth has said the US wants “our guys” to have “the most possible” interceptors, and Secretary of State Marco Rubio insisted nothing was “being deliberately denied to Ukraine.”
In an interview aired on 25 October, Zelenskyy listed three problems from his Oslo talks with the Americans: air defense, Starlink limits, and limits on US intelligence sharing. Full Starlink speeds returned on 24 October, and missile warnings resumed after his 20 October call with Rubio. Progress on Patriot missiles is “very slow,” he said, “slower than the flight of Russian missiles.”
Kyiv has also tried to trade for the missiles. Zelenskyy told US senators he had offered US envoys a 30-day pause in strikes on Russian refineries in return for Patriot interceptors. The envoys showed no openness to the idea.
Trump has called those refinery strikes a disgrace that only pushes oil prices higher. He said it days after striking a deal with Putin to bring Russian diesel back to the US ahead of the midterm elections on 3 November.
Trump treats Ukraine as the weak link to squeeze and wants a visible win partly with US domestic politics in mind, Ukrainian diplomat Oleksandr Khara has argued.
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