Starlink Surpasses 12 Million Users, Threatening Conventional Telecom Operators

Jakarta, CNBC Indonesia - The satellite-based internet service Starlink, under Elon Musk’s SpaceX, is increasingly being adopted across the globe. In a post on its official X account, Starlink announced that its user base has now surpassed 12 million people. “Starlink is connecting more than 12 million active customers with high-speed internet across over 160 countries,” the Starlink X account stated, as quoted on Friday (5/6/2026). The high demand for Starlink has reignited concerns over the fate of conventional mobile operators. As is known, satellite internet can connect remote areas that are difficult to reach with traditional infrastructure. According to a Reuters report, the dominance of Elon Musk’s SpaceX satellite business is expected to disrupt the United States telecommunications industry, which is valued at US$1.6 trillion, or approximately Rp29,200 trillion. Although Starlink is widely used in remote areas, during disasters, and in war zones, its development is gradually seen as having the potential to erode the market share of traditional telecommunications players. In a recently released research note, brokerage firm Oppenheimer stated that conventional broadband service providers such as AT&T are among those most at risk from Starlink’s growth. Oppenheimer even raised its projection for global space industry revenue in 2035 to US$800 billion, up from a previous estimate of US$500 billion. The revision was made ahead of SpaceX’s highly anticipated initial public offering (IPO), which is scheduled to take place this month. Starlink’s expansion is also expected to further pressure cable companies currently facing a trend of declining subscribers. According to Oppenheimer, a number of major telecommunications operators, such as AT&T, Verizon Communications, and T-Mobile, could experience a faster decline in subscriber numbers and revenue in the coming years. The firm assesses that Starlink will further solidify its position in various critical applications and services, capable of reducing customer churn rates and increasing the company’s bargaining power in setting prices.