May 13th, 2019

Right now Tesla is contracting LTE from Telecom providers.

But SpaceX is launching satellites for Internet.

Most likely Tesla will switch contracts to SpaceX instead of Telecom providers.

If SpaceX gives Tesla a break on the fees they would otherwise pay, it would be win-win for Tesla and SpaceX. Tesla gets a better deal and SpaceX lands a huge Internet contract.


On a conference call some time ago, Elon spoke about the rumor Starlink would work in Tesla vehicles. Paraphrasing "it wouldn't work with unless they drove around with pizza sized box on their exterior... unless we miniaturised it".

So, looks like the plan will be to setup pizza boxes at cell towers with permission, increase the bandwidth of telecoms in exchange for free LTE or 5G.

Unless they miniaturise it.

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I am long TSLA and TSLA options. I am not a financial advisor. Investing in anything comes with inherent risk. This is not financial advice.