T-Mobile is preparing to commercialize its Starlink direct-to-cell service, offering satellite connectivity as a potential free perk for users on higher-tier plans. During an earnings call on Wednesday, T-Mobile CEO Mike Sievert provided new details on how the company intends to integrate and monetize the Starlink-powered cellular service.
A Reason to Upgrade
Sievert framed Starlink connectivity as an incentive for customers to opt for more expensive plans. “We think this will be another reason—maybe the most compelling reason in a long time—to self-select up our rate card,” he said. “This will be something that customers on our most valued pack plans will be able to benefit from. And so that’s an area that we’ll monetize.”
In other words, T-Mobile expects that access to Starlink’s satellite network will encourage subscribers to upgrade to premium tiers. The technology currently supports SMS texting, but future expansions—including voice calls and mobile internet access—are pending regulatory approval and additional satellite deployments.
A Competitive Advantage for T-Mobile
Beyond direct revenue, T-Mobile sees Starlink connectivity as a strategic differentiator in the competitive U.S. mobile market. Sievert emphasized that seamless coverage, even in remote areas, could help the carrier attract and retain customers.
“Market share, that’s an area where we’ll monetize because this is a differentiated service that we think touches on a chord with the American public,” he said. “The idea of being connected everywhere. [If] you can see the sky, you’re connected.”
This approach positions T-Mobile against rivals like Verizon and AT&T, which are also exploring satellite partnerships but have yet to offer direct-to-cell services at a commercial scale.
Optional Add-Ons for Other Plans
For those not on premium plans, T-Mobile will offer Starlink connectivity as an optional paid feature. Sievert did not specify the cost but described it as an “à la carte sales” model designed for users who want satellite coverage without upgrading their entire plan.
T-Mobile began beta testing the Starlink service earlier this month, inviting a select group of customers to evaluate the technology. According to Sievert, the company has focused testing in northern regions of the U.S., where Starlink’s satellite density is higher, leading to better service availability.