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"42 million Americans don't have high-speed internet" That's just in U.S. Starlink is world-wide. Back of envelope calcs: $100/month == $1k a year. 1 millio
by kjksf 4y ago
"42 million Americans don't have high-speed internet"
That's just in U.S. Starlink is world-wide.
Back of envelope calcs:
$100/month == $1k a year.
1 million * $1k = $1 billion
10 million = $10 billion.
Estimated cost to replace all Starlink satellites every 5 years: $10 billion.
That's $2 billion a year.
Cost: $2 billion/year. Revenue: $10 billion/year. Profit: $8 billion/year.
Assuming only 25% of Americans currently without high-speed internet will opt for Starlink, not counting world-wide users, not counting commercial applications (boats, planes, gas stations), not counting using Starlink as internet backbone (i.e. alternative to under sea fiber).
Most likely Starlink will be a cash cow (and finance Mars colonization).
https://www.npr.org/2022/05/11/1098368187/42-million-americans-dont-have-high-speed-internet-local-providers-may-be-the-ke https://www.npr.org/2022/05/11/1098368187/42-million-america...
- yumraj 4y agoQuick comments: 42M Americans = ~10M households (assuming 4 per household). Starlink is $110/month and upfront $599, which puts it outside many/most of these remote folks. 10M household is the TAM, so SOM would be just 5-10% of that, about 500K-1M households, or even less. Regarding the cost of replacement of satellites and their operational costs, I have no clue.
- deleted 4y ago[deleted]
- Dylan16807 4y ago2.5 people per household. So 7.5% of 42 million people would be 1.3M households. The current price is $1.3k a year, so that's $1.7B of service revenue just from the US. And there are more households that are interested even if they have "high speed" service already. So even with those numbers it looks pretty good.