(Source: Nico El Nino)

SpaceX's plan to operate a constellation of high-capacity direct-to-device (D2D) satellites took a step forward after the FCC cleared the way for the company to deploy 15,000 D2D satellites.

That order/approval, which comes about a year after SpaceX filed its plan, clears SpaceX to deploy and operate those satellites in nine orbital shells – at 326 kilometers (or 202.56 miles) on the low end and 335 kilometers (208.15 miles) on the high end – and to run them in specified spectrum, including spectrum that SpaceX recently acquired from EchoStar.

"This action allows SpaceX to improve the quality of D2D services, increase capacity, and advance broadband connectivity for consumers in the United States and worldwide," the FCC said in the order.

The FCC's SpaceX D2D authorization is for 15 years, starting at 3 a.m. ET on the date that the first new SpaceX D2D satellite is placed into its authorized orbit.

SpaceX, whose application faced objections from companies such as Eutelsat, Viasat, DirecTV and SES, has nearly 10 years to complete the planned/authorized deployment. The FCC order requires SpaceX to launch 50% of the maximum number of satellites and place them into their assigned orbits no later than Oct. 7, 2032. SpaceX must then launch and begin operating the remaining satellites necessary to complete its authorized D2D constellation no later than Oct. 7, 2035.

SpaceX will also be on the hook to provide semi-annual reports – by January 1 and July 1 each year – to provide updates on the deployment, including the number of satellites that have been removed from operation and the number that have reentered the atmosphere.

The FCC order paves the way for SpaceX to deploy and launch higher capacity "V2" Starlink Mobile D2D satellites. SpaceX is targeting user speeds up to 150 Mbit/s for V2, up from 4 Mbit/s for its current offering running on more than 650 D2D satellites.

SpaceX will be leaning on the success of its massive Starship rocket to deliver these larger D2D satellites into orbit, and to do so in volume. Starship, a vehicle designed to eventually become rapidly reusable, entered orbit for the first time on its September 28 test flight. SpaceX has yet to attempt a tower-catch of Starship's upper stage, but is expected to try it in future test flights.

FCC D2D action

The FCC order also comes as the Commission prepares to vote to modernize its Supplemental Coverage from Space (SCS) rules and build on a framework that lets mobile carriers lease spectrum to satellite providers for D2D services. The proposal, which is set for a vote at the FCC's October 29 Open Meeting, aims to make an additional 482MHz of spectrum available for SCS.

"[I]t's become clear in recent years that the rules need a major refresh. So, this month, we will consider a plan to make more spectrum available for leasing, while cutting down regulatory barriers to deal flow and secondary-market transactions," FCC Chairman Brendan Carr said in a statement released today.

The FCC is also set to vote on a proposed auction of 25MHz of midband spectrum (in the 1675MHz-1695MHz and 2020MHz-2025MHz bands) for D2D and terrestrial use, or a hybrid of both.

D2D playing field expanding

Once SpaceX's next-gen D2D program starts to ramp up, it will provide a new option for the company and, possibly, for mobile carriers that view D2D as an increasingly important capability. EchoStar's Boost Mobile will be among the mobile service providers that will tap into SpaceX's next-gen D2D platform.

Several others are already in the D2D game, including AST SpaceMobile and Elveo Mobile, which represents the recent merger of Lynk and Omnispace. Others plan to be. Amazon Leo, for example, has filed an application to build and deploy a D2D system comprised of 5,000-plus low-Earth orbit (LEO) satellites that will operate in five orbital shells. Amazon is also looking to jump-start its D2D efforts via its proposed acquisition of Globalstar.

Last week, AT&T, T-Mobile and Verizon officially launched a D2D joint venture that is being run by interim CEO and mobile industry vet Paul Roth. The JV intends to pool spectrum resources and provide a tech-neutral platform that enables satellite connectivity in parts of the US that are beyond the reach of terrestrial wireless networks.

The JV's formation "strengthens the wireless carriers' collective bargaining position and potentially weakens the negotiating standing of future satellite operator partners, if the collection holds," New Street Research analyst David Barden explained in a research note (registration required).

In addition to helping the Big Three negotiate for palatable pricing, the JV will naturally provide them with a hedge against SpaceX.

Meanwhile, cracks in some existing D2D relationships continue to form in the face of SpaceX's ambitions to build a terrestrial network of its own. That ties into ongoing efforts by SpaceX to "negotiate, cajole, and, if necessary, coerce, in an effort to secure an MVNO agreement with one of the Big Three," as MoffettNathanson analyst Craig Moffett puts it. So far, the Big Three (AT&T, T-Mobile and Verizon) have said they do not intend to sign MVNO deals with SpaceX.

Tensions are surfacing elsewhere. After T-Mobile CEO Srini Gopalan noted that D2D usage represents just 0.0002% of the operator's total network usage, it was reported that T-Mobile recently removed references to Starlink from its T-Satellite website.

Canada's Rogers Communications also uses Starlink for its D2D service, but also removed mentions of Starlink on the Rogers Satellite website, PCMag first reported. Rogers Satellite also has partnered with Lynk Global (now Elveo Mobile).