SpaceX’s Starlink Gives Airlines a Big Edge With Passengers

Key Points

SpaceX’s Starlink satellite internet service is becoming a competitive differentiator for airlines.
United Airlines is the first U.S. airline to roll out the high-performing in-flight internet service at scale.
Starlink generated third-quarter Ebitda of $3.5 billion, up from $2.6 billion a year ago.

United Airlines is a Starlink customer. Above, United’s vice president of digital technology, Grant Milstead, at an installation on aircraft in Los Angeles. Photo: AFP via Getty Images

For airlines, this is the year of SpaceX’s satellite internet service Starlink.

The high-speed broadband network—more than 11,000 satellites that serve some 14 million customers in 174 countries—is ideal for hard-to-connect locations.

The countryside is one. The sky is another, making Starlink ideal for commercial jets.

“For some airlines, the rapid rollout of Starlink has become a notable talking point during…earnings calls,” wrote Citi analyst John Godyn.

“No airline has been more of a champion for the high-performing in-flight internet service than United Airlines , which is the first U.S. Airline rolling it out at scale.”

Starlink generated third-quarter earnings before interest, taxes, depreciation, and amortization (Ebitda) of $3.5 billion, up from $2.6 billion a year ago.

Roughly two dozen airlines worldwide use Starlink. While fares and routes are still come first, more passengers are considering an airline’s Wi-Fi service.

For Godyn, 2026 is the “year of Starlink” which is becoming a competitive “differentiator.” The satellite network has been mentioned 37 times on third-quarter earnings calls, up from 20 on second-quarter calls—an 85% increase.

An airline that didn’t mention Starlink was Delta Air Lines. It hasn’t signed up with Starlink, a frustration for SpaceX CEO Elon Musk. Delta might have to revisit its decision.

In premarket trading Thursday, SpaceX stock was down 1.3% in at $143.35. The S&P 500 futures were down 0.2% and Dow Jones Industrial Average futures were flat.

SpaceX was dragged down by tech earnings. Alphabet shares were off 10.8% after Google’s parent reported weaker-than-expected third-quarter earnings, shaking confidence in the AI trade.

Write to Al Root at allen.root@barrons.com.

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