SpaceX is reportedly outsourcing a key component of its Starlink satellite-internet business at a cost of billions of dollars.
STMicroelectronics, a Swiss manufacturing giant, will be paid $2.4 billion to build one million Starlink user terminals, according to Business Insider.
The terminal, which CEO Elon Musk has previously referred to as a “UFO on a stick” contains a phased-array antenna, which allows it to communicate with Starlink’s satellites.
In a beta test, SpaceX is charging $100 a month for internet service and $500 for a starter kit that includes a tripod, a wireless router, and a user terminal – and new information suggests that SpaceX may be paying $2,000 on each terminal.
“The production agreement specifies 1 million terminals at a price of roughly $2,400 each,” the source, who apparently has knowledge of the contract between STMicroelectronics and SpaceX, told Business Insider.
“The original timeline