T-Mobile CEO: Cellular Starlink Usage Lower Than Expected

T-Mobile has been offering SpaceX’s satellite-to-phone service, Starlink Mobile, since last year. But the usage hasn’t been as high as the carrier originally expected, according to T-Mobile’s CEO. 

In a Tuesday earnings call, Srini Gopalan talked about the service, which T-Mobile has dubbed T-Satellite. “Our partnership with SpaceX is very strong, we worked closely with them to really invent an entire category. That’s been putting an end to dead zones. We’re pleased with that.” Gopalan initially said. (His remarks can be found at the 36 minute mark.)

Still, T-Mobile’s CEO suggested the company’s ground-based cellular network, which can still offer vast coverage, has been meeting customer needs. In contrast, T-Satellite only activates for users in select rural and remote areas, outside the carrier’s traditional coverage zones. 

“Most of the (T-Satellite) usage we’re seeing is in national parks. And if anything, courtesy of the great network that Dr. Saw (T-Mobile’s CTO) has built, we’re seeing a lot less usage than we were originally thinking. But it’s a great complimentary product,” he added. 

The coverage zones for T-Mobile and T-Satellite. (T-Mobile)

T-Satelite did create some hype last year, attracting about 1.8 million sign-ups, but for the free beta. Since then, T-Mobile hasn’t revealed the exact subscriber count when T-Satellite is only free for the most premium plans; all other users need to pay $10 per month for the service. 

(PCMag/Michael Kan)

However, Speedtest.net’s parent, Ookla, published data last week that found the number of US and Canadian users accessing satellite-to-phone services such as T-Satellite suffered a dip in recent months. It’s possible the winter weather, and T-Satellite moving from a free beta to largely a paid service, were the driving factors. Ookla’s data also only looked at Android usage when most US users are on iPhones, which already offer free satellite messaging in dead zones through Apple partner Globalstar.  

Whether consumers will pay for satellite-to-phone services, and for how much, remains an ongoing debate. The technology is also poised to improve; SpaceX is aiming for 5G, 150Mbps download speeds per user through next-generation satellite upgrades.

Despite the lower than expected usage, T-Mobile’s CEO also views T-Satellite as an important competitive offering to help it stand out from rivals. Both AT&T and Verizon have been betting on the rival satellite provider AST SpaceMobile. Verizon also offers emergency satellite messaging through partner Skylo. But for now, T-Satellite has been offering access to not only satellite messaging, but also data for select mobile apps, including video calling. 

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Gopalan added: “And as you look at the future, we’re seeing multiple other space providers show up, and the way that this will evolve we think as a complimentary product it will become more and more of a standard feature of a whole set of offerings. So in some sense less differentiated, and we’re good with that at the Un-carrier (T-Mobile), because this is our history. We go out there, innovate, create a breakthrough, solve a customer problem, and then the others follow, and while they’re following, we’re on to our next big thing.”

Still, T-Mobile’s CEO doesn’t plan on creating a mobile virtual network operator or MVNO partnership with SpaceX/Starlink in terms of cellular connectivity. In the earnings call, Gopalan reiterated that T-Mobile resorts to MVNOs if it can help it expand the company’s total addressable market, for example, targeting a new customer base or sales channel.  

“It’s not obvious to me how an MVNO with SpaceX, or any other LEO (low-Earth satellite) operator fulfills those conditions,” he said. But on Tuesday, T-Mobile did announce a partnership with SpaceX on using the home broadband-focused Starlink to help deliver high-speed internet to businesses in remote areas.

About Our Expert

Michael Kan

Principal Reporter

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Experience

I’ve been a journalist for over 15 years. I got my start as a schools and cities reporter in Kansas City and joined PCMag in 2017, where I cover satellite internet services, cybersecurity, PC hardware, and more. I’m currently based in San Francisco, but previously spent over five years in China, covering the country’s technology sector.

Since 2020, I’ve covered the launch and explosive growth of SpaceX’s Starlink satellite internet service, writing 600+ stories on availability and feature launches, but also the regulatory battles over the expansion of satellite constellations, fights with rival providers like AST SpaceMobile and Amazon, and the effort to expand into satellite-based mobile service. I’ve combed through FCC filings for the latest news and driven to remote corners of California to test Starlink’s cellular service.

I also cover cyber threats, from ransomware gangs to the emergence of AI-based malware. In 2024 and 2025, the FTC forced Avast to pay consumers $16.5 million for secretly harvesting and selling their personal information to third-party clients, as revealed in my joint investigation with Motherboard.

I also cover the PC graphics card market. Pandemic-era shortages led me to camp out in front of a Best Buy to get an RTX 3000. I’m now following how the AI-driven memory shortage is impacting the entire consumer electronics market. I’m always eager to learn more, so please jump in the comments with feedback and send me tips.

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