T-Mobile says Starlink is not a wireless threat

TL;DR

• T-Mobile CFO Peter Osvaldik said at Citi's 2026 Global TMT Conference on Wednesday that SpaceX's Starlink is "not a competitive threat from a wireless perspective at all."
• Osvaldik said satellite direct-to-device service cannot replace terrestrial mobile networks because signals from satellites about 350km above Earth cannot reliably penetrate buildings.
• He also said T-Mobile estimates Starlink's rooftop small-cell approach would require more than 1 billion femtocells to match outdoor coverage.

T-Mobile CFO Peter Osvaldik said at Citi's 2026 Global TMT Conference on Wednesday that SpaceX's Starlink is not a serious competitor to T-Mobile's 5G network. Osvaldik said Starlink's direct-to-device, MVNO, spectrum-led network build, and femtocell options do not present a viable wireless challenge.

Osvaldik said direct-to-device service from low-Earth orbit satellites cannot substitute for terrestrial cellular coverage because of physics limits. He said signals from satellites about 350km above Earth lose strength before reaching handsets and cannot penetrate buildings, walls, or some vehicle glass.

Osvaldik said Starlink has also failed to secure support from AT&T, T-Mobile, and Verizon for an MVNO arrangement on their terrestrial networks. He added that Starlink does not have a path to the spectrum assets needed to build its own mobile network.

Osvaldik said T-Mobile estimates Starlink's rooftop small-cell plan would need more than 1 billion femtocells to deliver equivalent outdoor coverage, while creating interference and backhaul problems. SpaceX said in its first earnings call last month that it plans to compete with US wireless carriers using EchoStar spectrum for a hybrid terrestrial-satellite network.

Osvaldik drew a distinction between Starlink's mobile ambitions and its satellite broadband business. He said Starlink broadband serves deep rural and suburban fringe areas, while T-Mobile is targeting urban, dense suburban, and midsized suburban markets. T-Mobile has said usage of its Starlink mobile satellite service accounts for 0.0002% of its network traffic.