SpaceX’s push to become a major U.S. wireless carrier has hit a roadblock. T-Mobile CEO Srini Gopalan ruled out an agreement that would let SpaceX operate as a mobile virtual network operator (MVNO), saying on an earnings call that he sees “no room for an MVNO with SpaceX.” He argued the partnership would neither open new markets nor offer unique capabilities to T-Mobile.
An MVNO deal would have allowed SpaceX to sell wireless service directly to consumers using access to T-Mobile’s established cellular network. That could have provided a shortcut into the market.
T-Mobile and SpaceX already partner on T-Satellite, a service for satellite-based messaging in remote areas. But T-Mobile sees no need for a deeper MVNO relationship. With Verizon and AT&T taking similar stances, SpaceX must pursue the costlier, more time-consuming path of building its own terrestrial network.