Fri. Dec 8th, 2023
Tech Billionaire Elon Musk Announces Starlink’s Cash Flow Breakthrough

Elon Musk, the CEO of SpaceX, announced on Thursday that Starlink, the satellite internet unit of the rocket company, has achieved cash flow breakeven. Musk shared the exciting news on a microblogging platform, stating, “Excellent work by a great team. Excited to announce that @SpaceX @Starlink has achieved breakeven cash flow!”

Musk also revealed that the Starlink system is now operational on all active satellites. In his post, he mentioned, “Starlink is also now a majority of all active satellites and will have launched a majority of all satellites cumulatively from Earth by next year.”

Starlink, operated by SpaceX, is a satellite internet constellation that provides coverage to over 60 countries. The company has plans to offer global mobile phone service after 2023. Since 2019, SpaceX has been launching Starlink satellites.

SpaceX itself is valued at around $150 billion, making it one of the most valuable private companies globally. Musk previously stated that once Starlink’s cash flow becomes reasonably predictable, SpaceX will spin off and make Starlink public.

In 2020, Starlink experienced significant revenue growth, surpassing $1.4 billion. However, it fell short of Musk’s targets, as reported by the Wall Street Journal in September.

Musk aims to establish Starlink as a crucial revenue source to fund SpaceX’s other ambitious projects, such as the next-generation Starship. This giant reusable rocket is intended for NASA’s moon missions within the next decade.

With a network of approximately 5,000 satellites in low-Earth orbit, Starlink has garnered attention for its role in conflict zones. Last year, it assisted Ukraine in its war efforts against Russia by providing essential satellite communications. Additionally, Musk stated that Starlink will support communication links in Gaza through internationally recognized aid organizations to address the telecom and internet blackout experienced in the region.

Overall, Elon Musk’s announcement of Starlink’s cash flow breakeven marks a significant milestone for the satellite internet company as it continues to expand its services globally and contribute to various vital initiatives.