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Starlink unlimited aviation plan to rise from $10k/month to $20k

corporatejetinvestor.com

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Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#41

Post by khurs »

There will be many price increases seeing as:

-SpaceX raised $75bn in the IPO which will only last so long for a loss making high capital requirements company.

-Then $25bn via bonds which have an annual interest rate repayment of $1.46 billion + repayment of the $25b (depending on bond length in years 2031,33,36,46 and 2056)

-Morgan Stanley said: "In our model, we estimate SpaceX raising an average of $72bn annually between 2027 and 2030 and then an average of $95bn annually between 2031 and 2034."[0]

So huge amounts needed continuously.

[0]https://www.ft.com/content/09a62ed4-16af-433c-adb7-c877d1975...

Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#42

Post by amanaplanacanal »

croes wrote: post #20
idontwantthis wrote: post #4

Earlier quoted context omitted.

Unfortunately, their valuation has almost nothing to do with starlink revenues. It’s almost entirely speculative oribital data centers that have not been invented yet. They could double their starlink revenues and it would have no impact on the valuation.

Even if invented, what is the advantage of orbit data centers?

I think the idea is easy energy availability and no push back from the locals. Those both seem to be to be fairly simple to solve on the ground compared to the unsolved issues doing it in orbit.

Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#43

Post by prymitive »

epistasis wrote: post #33
idontwantthis wrote: post #4

Earlier quoted context omitted.

Unfortunately, their valuation has almost nothing to do with starlink revenues. It’s almost entirely speculative oribital data centers that have not been invented yet. They could double their starlink revenues and it would have no impact on the valuation.

In the meantime, until Musk comes up with the next big "idea" to switch to, all the current revenue levers need to be pushed to max to try to make it to that next stage, since public companies demand revenue every quarter. A lot of their revenue is also from renting out GPUs to more productive AI companies, so depending on how long that game can keep on going (getting access to GPUs before other companies), it could…

Here’s an idea: Musk launches a ton of orbital gpus but in reality it’s just an empty shell and real gpus sit in unused grok data centres. How would we even know?

Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#44

Post by w10-1 »

Note that the objection is as much to the abruptness as the scale of the price increase.

Large customers sinking millions into (here aviation) assets rightly expect that their vendors respect their market lifecycles.

Starlink's behavior creates a credibility gap that could drive such customers to the 2-3 upcoming competitors with poorer service and even higher costs, but perhaps more reliability as partners.

I'd see this as an opportunity.

Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#46

Post by BoorishBears »

r3trohack3r wrote: post #11
vel0city wrote: post #6

Earlier quoted context omitted.

Yeah, for regular people they're just starting to suddenly charge $1,500 fees. https://www.reddit.com/r/Starlink/comments/1uklz4q/starlink_...

> He then reviewed my billing history and account details, confirmed that my service address had never actually changed, and determined that nothing had been moved. As a result, he issued a full refund.

Yeah but it still sounds like $1,500 demand fee was not a mistake, charging OP was the mistake.

People first mentioned these fees at like $100... now you can go to Costco, grab a Starlink, and they'll randomly ask for $1,500 to actually start service.

Congestion is a thing when each node needs to go to space, but it also feels like they're cashing in on years of "just move to a cabin in the woods and work off Starlink"... once you've done that they have you by the balls even worse than a typical ISP.

Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#47

Post by [deleted] »

mattmaroon wrote: post #22
justapassenger wrote: post #17

I’m pretty sure rest of starlink customers will get similar treatment in the future. Their potential customer base is limited and it’s only ISP that literately burns their backbone network every few years and has to replace to keep it running. On top of that, their claims it’s profitable does some heavy lifting with how to account for the cost of launching rockets. It’s extremely cool product and very useful for many…

Their potential customer base is literally everybody because they are the only ISP that can cover the entire globe. Everybody’s potential customer base is technically limited because there are only so many humans, but they have the least limited potential customer base of anything that exists.

[deleted]

Re: Starlink unlimited aviation plan to rise from $10k/month to $20k

#50

Post by arijun »

idontwantthis wrote: post #4
p-o wrote: post #2

Hard to not look at the crazy valuation of SpaceX and not see a correlation. At some point, something's gotta give.

Unfortunately, their valuation has almost nothing to do with starlink revenues. It’s almost entirely speculative oribital data centers that have not been invented yet. They could double their starlink revenues and it would have no impact on the valuation.

I disagree, but not for the reason you think. They need to fund R&D to justify their high valuation. A new stock issue would decrease the valuation, and they will have a difficult time borrowing the money with their poor bond valuations. So this will (maybe) slow the bleed.

Musk doesn't need to deliver to keep valuation up. We've seen him doing pretty well stringing people along indefinitely with "3 months maybe, 6 months definitely" self driving capabilities.

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