SpaceX has built a commanding lead in satellite communications, but its dominance faces growing pressure from global competitors and rising valuation risks, according to Reuters.
Led by Elon Musk, SpaceX generated an estimated $8 billion in EBITDA last year, with Starlink accounting for most of its revenue. The satellite broadband business boasts strong margins and millions of users, giving SpaceX a near-monopoly position ahead of any public listing.
Breakingviews - SpaceX’s nascent monopoly faces durability test https://t.co/88lQGEWt0F https://t.co/88lQGEWt0F
— Reuters (@Reuters) February 26, 2026
That lead may narrow. Amazon is expanding its satellite constellation, while China is developing rival state-backed networks. European governments are also investing in alternatives amid concerns about relying on U.S.-controlled systems.
Analysts warn Starlink’s implied valuation assumes rapid and sustained growth in a market that complements, rather than replaces, traditional telecom networks. Added regulatory and financial exposure from Musk’s broader business empire further complicates the outlook.
The result is a powerful company facing its first real durability test in orbit and on Wall Street.
Also Read:
TIPP Staff
