SpaceX reportedly pressured the Pentagon into paying more for Starlink access
Key takeaways
- Lacking real competition, the company won the showdown.
- Alex Wong/Getty Images The Iran war has demonstrated the US military's inability to be cost-effective.
- The disagreement between Space X and the Pentagon was reported by Reuters on Tuesday.
Lacking real competition, the company won the showdown.
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, Space X is now reportedly using its market leverage to pressure the Pentagon into spending more on satellite internet.
The disagreement between Space X and the Pentagon was reported by Reuters on Tuesday. Weeks after the US military began its campaign against Iran, Space X executives reportedly met with Department of Defense officials to talk about pricing. The message from Elon Musk's company was essentially: You're paying about $5,000 per Starlink terminal monthly, but you're using it like a higher-tier aviation subscription that costs $25,000 per month. Time to upgrade.