Q: I'm curious as to whether the growth of starlink could have an affect on the telecommunications company's in Canada. Is there potential that Elon could begin a mobile division of starlink to go along with his internet division?
How hard would the barriers to entry be if he did decide to go this route?
How hard would the barriers to entry be if he did decide to go this route?
5i Research Answer:
Starlink does have a mobile service, but so far has focused on the boat and RV market primarily. We do not think it would have significant barriers as the network is already in place. However, consumer costs can still be a factor. IF the company can lower rates, then it is possible that this could be an emerging set of business for the company, and more competition for the incumbents.