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Financial analysis shows Starlink is making money
Posted: Sun, May 12, 2024, 9:17 AM ET (1317 GMT)
SpaceX is making money on Starlink today even as it continues to build out the constellation. A financial model of Starlink developed by Quality Space and discussed in a webinar Thursday calculated that SpaceX will generate $6.6 billion in revenue from Starlink this year, enough to generate positive free cash flow even when accounting for the costs to build and launch satellites. Starlink has 2.7 million subscribers and is growing in 75 countries, making inroads primarily in wealthier markets as a "rich world service" rather than bridging the divide in developing countries. SpaceX is able to keep its costs down through aggressive vertical integration and high-volume production.
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