alt Hacker NewsWhen COVID hit, I knew a lot of engineers who decided to move to rural areas / small farms because they could leverage Starlink to work remotely.
Last year, when I asked whether they still liked Starlink, all of them said it is amazing, but they had gotten fiber coverage in their area from a local provider, so they don't use it anymore, or just use it as a backup.
I think Starlink was a huge demand signal that there were people willing to pay a premium for faster-than-radio internet. So, unless they manage to be cheaper and faster than fiber, I don't think there is much of an endgame there.
But there are a few places that will need Starlink, like planes, cruise ships, and islands. I'm just not sure if that will justify that $1T valuation.
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There are areas where the bureaucratic hurdles to changing anything and the incentives for changing anything work out to nothing ever changing. I assume in 20 years most of Berlin is still going to have 50mbit/s max. I hear residents of New York have completely given up and are using 5G modems because putting up new cables just isn't practical. On the other hand, these cities do have a significant minority of flats with gigabit internet, so if you care you can pick a modern building with modern cabling. Maybe the segment who both live in old apartments and also are willing to pay for fast internet is too small to bother with.
> But there are a few places that will need Starlink, like planes, cruise ships, and islands. I'm just not sure if that will justify that $1T valuation.
There's also drones and front-line trenches, but your point still stands.
Not just cruise ships, but practically every boat with a bed in it. People sailing on small boats all around the world have starlink now. It's kind of a game changer in a lot of ways for small boats.
As with the data centers, starlink is not actually what people think it is. There’s a military purpose underlying its public front
Meanwhile, as one of those engineers, they ran fiber down the highway a mile from my house circa 2021, but they did not do any upgrades at all to the last mile infrastructure so I still only have a ~10Mbps DSL option for wired internet at that house, which is a big step up from literally no wired option before, but still vastly inferior to Starlink. (The terrain makes terrestrial wireless a nonstarter in the area). I've since moved back to civilization, but I still own the house. As far as I know, there are no plans at all to improve the last mile infrastructure.
Separately, from SpaceX's own prospectus, Starlink is only a tiny fraction of the overall conglomerate that went public recently. It "only" needs to support double digit billions of valuation to pull its weight inside of the company.