Verizon CEO warns Starlink needs massive investment and years to rival U.S. networks

Verizon CEO Dan Schulman told investors that SpaceX's ambition to turn Starlink into a major U.S. mobile carrier faces steep hurdles, both technical and fiscal. He argued that a viable network would likely combine up to 80,000 ground towers with satellite and fiber links, demanding a budget of up to a half-trillion dollars and a construction timeline of six to eight years. Schulman stressed that Verizon's existing infrastructure is 100 to 1,000 times more efficient in the densely populated suburbs and cities that generate roughly 98% of its revenue.

He warned that even if Starlink builds a terrestrial component, it would look like any other carrier and should be taken seriously. The remarks came after Starlink's recent acquisition of low-band spectrum caused a roughly 10% slide in the share prices of the three biggest U.S. carriers, with Verizon showing the only modest rebound. A week earlier, AT&T's John Stankey downplayed the threat, calling the spectrum a single carrier of low-band spectrum.