Mentioned:
SpaceX is making moves to directly compete with the largest cellular network companies in America. Which is exactly why they’ve just entered into a new deal with Qualcomm.
What’s happening:
- SpaceX (NASDAQ: SPCX) has entered into a multi-year deal with Qualcomm (NASDAQ: QCOM) to purchase their Dragonwing chips and software
Why it matters:
- SpaceX has publicly stated that they will use Qualcomm’s Dragonwing chips and software to power tens of thousands of Starlink Mobile base stations
Going deeper:
- SpaceX’s Starlink Mobile base stations are aiming to be a high-capacity ground layer for a nationwide mobile network that would directly compete with Verizon, AT&T and T-Mobile in the United States
- Qualcomm has publicly stated that this is their largest 5G initiative ever
The fine print:
- The financial terms and purchase size of SpaceX’s agreement with Qualcomm have not yet been publicly disclosed
