As SpaceX prepares for a highly anticipated public listing in 2026, the company is quietly laying the groundwork for a massive expansion of its Starlink ecosystem. Sources familiar with the matter reveal that Elon Musk’s aerospace giant is moving beyond simple satellite internet, with plans for a proprietary Starlink smartphone, direct-to-device cellular coverage, and an orbital space-tracking service.
Read: The Switch overtakes the DS as Nintendo best-selling console
Perhaps the most disruptive project in development is a dedicated mobile device connected directly to the Starlink constellation. While SpaceX has already partnered with carriers like T-Mobile to provide text-to-device services, this new project involves SpaceX manufacturing its own hardware.
Musk recently hinted that such a device would be “very different” from current smartphones, specifically optimized to run high-performance neural networks. This aligns with SpaceX’s recent merger with xAI, suggesting the phone could serve as a primary interface for advanced artificial intelligence. However, analysts warn that entering the hardware market could create tension with mobile network operators (MNOs) who currently view SpaceX as a partner rather than a competitor.
Starlink has become the financial engine of SpaceX. In 2025, the business reportedly generated approximately $8 billion in profit on revenues of up to $16 billion. To maintain this momentum, SpaceX is betting heavily on Starship. The massive reusable rocket is designed to launch larger, more powerful V3 satellites that Musk claims will increase constellation capacity by more than 20 times per launch.
This increased capacity is essential for Musk’s goal of delivering “full cellular coverage everywhere on Earth.” SpaceX has already secured significant satellite spectrum following its $19.6 billion purchase of EchoStar assets, and the company recently filed to trademark “Starlink Mobile.”
See also
In a move that sounds like science fiction, SpaceX is leveraging its satellite production line and low-cost launches to build orbital data centres. By placing computing power in space, SpaceX could offer low-latency AI processing and data storage that bypasses terrestrial limitations. This “space-cloud” infrastructure is a key pillar of the SpaceX-xAI merger, providing a unique hardware advantage for Musk’s AI ambitions.
Beyond communication, SpaceX is moving into space situational awareness with a new product called Stargaze. By utilizing existing cameras on Starlink satellites, SpaceX can monitor orbital traffic in real-time. While some of this data will be offered for free to other operators, the service is a lucrative prospect for the Pentagon and the U.S. Office of Space Commerce. However, the move has sparked concerns among industry experts about the U.S. government becoming too reliant on a single private entity for critical space-tracking data.
