Starlink’s satellite Internet service is a key source of funding for the Starship program and other ambitious SpaceX projects. However, for this service to succeed, SpaceX must continue launching satellites.
Starlink is a commercial success. SpaceX announced on Friday that it’s surpassed 5 million customers, a 150% increase over the previous year. The satellite Internet service is now available in 125 countries and has been increasingly integrated into aircraft, ships, and cruise lines.
With the launch of its first direct-to-cell constellation, which provides cellular connectivity in addition to regular Internet service, Starlink has also started serving as a solution for telephone operators. T-Mobile is already offering plans that ensure users will never run out of coverage. This development enhances the value of SpaceX’s lucrative service.
SpaceX data. According to a Payload report, SpaceX generated $13.1 billion in revenue in 2024, with $8.2 billion coming from Starlink. This represents nearly double the revenue Starlink generated in 2023.
Determining the exact costs for SpaceX to launch satellites into orbit is more challenging. While Starlink is said to be profitable, the internal cost of launching a Falcon 9 rocket filled with satellites remains unclear. However, these costs are known to be significantly lower than those of other rockets. This is because the Falcon 9’s first stage can land and be reused at least 26 times, though the exact savings aren’t clear.
A few years ago, SpaceX CEO Elon Musk mentioned that the company aimed for a launch cost of around $15 million. In 2024, SpaceX launched 134 Falcon 9 rockets, 96 of which were Starlink missions. This means that at least $1.44 billion of Starlink’s revenue went toward covering the costs of launching the satellites, as well as manufacturing expenses, employment, and other costs associated with the business.
The elephant in the room. SpaceX has launched more than 8,000 Starlink satellites, with 6,000 of them still active. The remaining satellites are either no longer functional or have burned up upon reentering the atmosphere. Under normal circumstances, the satellites have a useful lifespan of five years.
However, this lifespan primarily relies on a critical physical factor. The satellites are deployed in low Earth orbit, where they gradually lose altitude due to orbital decay. Eventually, they disintegrate due to friction with the atmosphere.
SpaceX can’t halt its satellite launches. In fact, it must increase the rate of launches to accommodate growing customer demand while simultaneously replacing satellites that are reentering the atmosphere.
100 reentries in just one month. It’s been five years since SpaceX began regularly launching Starlink satellites, and the impacts are becoming increasingly noticeable. According to astrophysicist Jonathan McDowell, at least one Starlink satellite reenters the atmosphere every day. In January, the company set a new record with 120 reentries.
Most reentries occur during the day and go unnoticed. Meanwhile, those happening at night often create a stunning display of shooting stars as metals vaporize in the atmosphere.
The economic and environmental implications of this phenomenon are still unfolding. SpaceX is currently the only company that routinely reuses its rockets and has constructed such a large satellite constellation. The introduction of Starship may change the situation. However, it’s evident that Starlink and future satellite constellations will be in a continuous cycle of replacing satellites that reenter with new ones.
Image | SpaceX
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