SpaceX's bold move to challenge AT&T, Verizon and T-Mobile became even clearer on Wednesday after Elon Musk's company signed a multi-year hardware and software deal with Qualcomm. The agreement provides critical cell equipment for SpaceX's terrestrial 5G network spanning thousands of towers, complementing Starlink's low-Earth-orbit satellite constellation.
Bloomberg reports that the SpaceX-Qualcomm deal covers tens of thousands of cell sites nationwide, using the chip company's Dragonwing components and network software to support calls and data traffic.
Qualcomm Executive Vice President Durga Malladi said the number of planned towers for the new network will rival the number already in operation by major wireless carriers.
Malladi said, "From our perspective, they are very committed and serious," referring to SpaceX's intention to follow through with the buildout. "Our degree of confidence is extremely high."
Last month, the outlet reported that SpaceX was in talks with several tower companies, including Crown Castle, which, along with American Tower and Vertical Bridge Holdings, is among the largest cell tower owners. The report said SpaceX planned to access a whopping 80,000 cell sites for the new network.
BNP Paribas analyst Sam McHugh commented on last month's report:
Would this be good enough to compete in wireless?
The 80,000-tower figure is at the upper end of the telcos'
