Welcome to Tesla Motors Club
Discuss Tesla's Model S, Model 3, Model X, Model Y, Cybertruck, Roadster and More.
Register

Starlink Price Increase

This site may earn commission on affiliate links.
When I was living on a boat on the US east coast I would have paid $5k for the hardware and $250/month for the service. There's no need for them to be greedy, but they could seriously jack up the prices and still not be able to meet demand.
 
When I was living on a boat on the US east coast I would have paid $5k for the hardware and $250/month for the service. There's no need for them to be greedy, but they could seriously jack up the prices and still not be able to meet demand.


They already sell a $2500 for the HW, $500/mo "premium" service that would've worked for you



I agree they could get away with charging more for the basic service.... that said I think it's...not great... that they're even hitting folks who paid deposits on their orders over a year ago with a price bump on the HW they still haven't shipped them yet.

At least when I plop down the order $ for a Tesla my price on the HW is locked in no matter how long it takes em to deliver it.
 
When I was living on a boat on the US east coast I would have paid $5k for the hardware and $250/month for the service. There's no need for them to be greedy, but they could seriously jack up the prices and still not be able to meet demand.

One of Starlink's biggest strengths and biggest sources of revenue is going to be the ability to outcompete the terrestrial options for folks that are on the fringes of terrestrial service. Jacking up prices is at odds with that; There's simply not enough "no other practical option" revenue out there to close the business model.

Also worth noting that SX is increasing F9 pricing too. From ~$62M to $67M, at least when comparing listed rates. Given that launch contracts (and corollary price + payment schedule) are inked years in advance of L-0, it will be interesting to see how the near term launch acquisition market plays out.
 
One of Starlink's biggest strengths and biggest sources of revenue is going to be the ability to outcompete the terrestrial options for folks that are on the fringes of terrestrial service. Jacking up prices is at odds with that; There's simply not enough "no other practical option" revenue out there to close the business model.



Not sure that's really true.

FCCs methodology somewhat famously has been terrible for determining how many folks have legit broadband access (basically if anybody in your zip code has it, EVERYBODY in your zip code has it).


FCC says like 24 million without it. Better data says it's north of 160 million.

Just in the US.


I'm currently paying almost $200/mo for a pair of 8mb DSL lines, because there's literally no better options... and I'm not even THAT rural... (I'm less than a 30ish minutes drive from 3 major research universities, and major facilities of IBM, Cisco, Lenovo, etc...).

I placed my Starlink order over a year ago- still waiting for a receiver and I'd be more than happy to pay $110/mo for 3-10x faster service than we have now.
 
FCCs methodology...

Is, at this point, pretty irrelevant.

We've been over this quite a bit in the big starlink thread, but bottom line, Starlink's near term future is all about current internet service subscribers. I always come back to the same statement: There are VERY few people in the US that want good internet access who aren't already paying for shitty internet access.

So...Starlink's user base, almost exclusively, is going to be converting those existing internet service subscribers who necessarily both a) want better access than the shitty access they're already paying for and b) can afford paying the price ∆ (in the cases where Starlink is more expensive than their current service). That rolls up into 1) likely a significant percentage of the current FSS market, and 2) affluent-enough users on the fringes of terrestrial coverage that have unacceptably slow speeds.

(Commercially there's of course also the remote MNO backhaul opportunity as also discussed quite a bit in the big thread)

I'm currently paying...

Yes, yours is a story we hear often, especially on this affluent webforum. And to be clear, its a legitimate one--your story is very much representative of an ideal Starlink subscriber. What's important is that folks not allow bias to overindex on the wrong elements of the nation wide access problem when advocating for Starlink.

Make no mistake, the digital divide is very much a thing and very much needs to be addressed/closed. But while there is absolutely an infrastructure element to the problem, while there will definitely be bureaucratic liberties applied to survey data, and while there will definitely be nefarious takes by recipients of RDOF and other funds, the main problem rises above all that: By far the major factor is and will always be economic. Lots of people simply can't afford fixed service or a house full of devices to use that service, especially when they're already shelling out a ton of money to their MNO...for basically 'broadband' speeds. Just in the US.
 
  • Like
Reactions: Grendal
Believe it will become common practice, for long lead time projects, to include a factor to consider inflation into their delivered pricing.

You will be given a price in todays dollars, but that will be adjusted on delivery.

Most reservations have that as a stipulation in the fine print, but no one reads the fine print. Rivian had it in their reservation language, but when they boosted prices by 20% suddenly, they got a huge backlash since it was such a big increase all at once. So, really, what businesses need to do is to constantly evaluate potential future pricing and change pricing every 5% - 10% price increase so as to not get a backlash.
 
My parents were stuck on slow and expensive HughesNet for years, no competition in rural southwest Colorado. I placed a deposit 3/2021 for Starlink service and now a year later I'm able to confirm my order. Will be nice for them to be able to participate in basic internet services like Zoom, WebEx, Teams, for video conferencing. Not possible with the dinosaur ISP. Cost increase is trivial compared to the benefits. Looking forward to getting on the fast side of the digital divide.
 
Woohoo! Thanks to Starlink team!
 

Attachments

  • C63B6C93-FC6B-43EA-9AB0-5A6B2E50F323.jpeg
    C63B6C93-FC6B-43EA-9AB0-5A6B2E50F323.jpeg
    677.6 KB · Views: 76