SpaceX reportedly pressured the Pentagon into paying more for Starlink access
SpaceX has reportedly pressured the Pentagon to increase its payments for Starlink satellite internet access. The company argued that the military was using the service at a higher tier than what they were paying for, leading to a significant cost increase for the Department of Defense. This situation arises as SpaceX prepares for its upcoming IPO, amidst concerns about the lack of competition in the satellite internet market.
- ▪SpaceX reportedly pressured the Pentagon to pay more for Starlink access.
- ▪The Pentagon's conflict with SpaceX arose over the use of the service with LUCAS kamikaze drones.
- ▪SpaceX's roughly 10,000 satellites make up over 60 percent of the global total in orbit.
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News SpaceX reportedly pressured the Pentagon into paying more for Starlink access Lacking real competition, the company won the showdown. By Will Shanklin May 26, 2026 2:12 pm EST Alex Wong/Getty Images The Iran war has demonstrated the US military's inability to be cost-effective. To make matters worse on that front, SpaceX is now reportedly using its market leverage to pressure the Pentagon into spending more on satellite internet. The disagreement between SpaceX and the Pentagon was reported by Reuters on Tuesday. Weeks after the US military began its campaign against Iran, SpaceX executives reportedly met with Department of Defense officials to talk about pricing.
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