ItInsightsWorld General: Verizon CEO Says Starlink May Need 8 Years to Compete; Musk Answers 2-3 Years

As reported by Business Insider, Dan Schulman, chief executive of the largest United States operator Verizon, said on Monday that SpaceX could require at least 8 years — an 8-year period — and an investment of $500 billion before Starlink becomes an important participant in the United States network market and can compete effectively.

Elon Musk, the CEO of SpaceX, wants Starlink to become a major presence in the United States network market, and the service has been described as a possible “fourth-largest carrier.” On an earnings call, Schulman said Verizon would not underestimate SpaceX's strength and was taking the competition seriously.

SpaceX Ambition and Verizon's Warning

“Obviously, the technology and wireless communications industry landscape is changing rapidly, and we also have to adjust quickly. I act on the assumption that everything SpaceX says it will do will be achieved, and they will execute it flawlessly,” Schulman said.

He stressed, however, that Starlink would still need to cross major technical and financial barriers to compete meaningfully with mature networks such as Verizon, although that outcome was not impossible.

What It Would Take to Build a Competing Network in the United States

In Schulman's estimate, creating a competitive communications network in the United States, particularly a mobile network, could require building as many as 80,000 large cellular base stations and completing connections with a mix of satellites and fiber.

He estimated that the engineering effort could cost as much as $500 billion over 6 to 8 years. The network itself, he said, would take at least 4 to 6 years to build.

“Then, they also need to build retail customer service, back-end systems and so on, and all this gives them basically the same network, the same capabilities and the same cost structure as we have today,” Schulman said.

Musk's Shorter Timeline

Elon Musk disagreed with that projection. He responded on X: “Only two to three years are needed,” that is, 2-3 years.

AT&T's More Dismissive View

Less than a week before Schulman's remarks, AT&T CEO John Stankey downplayed concerns that a Starlink mobile network could threaten AT&T's business. “I will not overfocus on an operator with only low-band spectrum,” Stankey said.