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Elon Musk's SpaceX In Talks With Middle Eastern Airlines After Alaska Air-Starlink Deal: Report

Author: Badar Shaikh | August 21, 2025 02:39am

Elon Musk's commercial space flight company, SpaceX, is reportedly in talks with multiple Middle Eastern flight carriers to offer Starlink WiFi services on board.

A Watershed Moment For Starlink, $300,000 per aircraft

SpaceX has been in talks with Emirates, FlyDubai, Gulf Air, as well as the region's #3 airline Saudia, Bloomberg reported on Wednesday. Starlink currently operates a constellation of roughly 8,000 LEO or Low-Earth orbit satellites, the largest constellation of its kind.

A deal with Emirates, the operator of the world's biggest long-haul fleet of Boeing Co. (NYSE:BA) and Airbus SE (OTC:EADSY) aircraft, would mark a "watershed" moment for SpaceX, the report suggests. However, negotiations are still underway.

Installing Starlink costs about $300,000 to $500,000 per aircraft, depending on the size of the aircraft, the report says, adding that the company has charged $120 per seat monthly "in some cases," as well as $120 per seat for live TV.

Elon Musk's Public Image Could Hold Airlines Back

However, Musk's public image and his ties to the Trump administration could hold airlines back from installing Starlink on their aircraft. "There's a degree of increased sensitivity to all of this political fallout," Tim Farrar, an analyst cited in the report, said.

Musk's Starlink is also reportedly cheaper and easier to install than rivals like Viasat Inc. (NASDAQ:VSAT). Starlink also booked significantly more deals with carriers than Viasat since its entry in 2022, the report says, adding 2769 flights compared to Viasat's 451.

SpaceX Federal Income Tax Row, Trump Eases Regulatory Hurdles

The news comes as SpaceX has been under scrutiny after reports emerged that the company has paid almost zero federal income taxes on its $5 billion in taxable income since 2022, using the net loss rule.

Meanwhile, the Trump regime has eased regulatory hurdles for companies to obtain launch licenses for spacecraft, which could provide a boost for SpaceX, as well as rivals like Jeff Bezos' Blue Origin.

Possible Golden Dome Omission, Rocket Lab Prepares 70th Electron Mission

SpaceX, which was once a frontrunner in the Trump administration's Golden Dome defense system, was reportedly not mentioned in a Pentagon briefing that detailed the inner workings of the 4-layer defense system.

Elsewhere, SpaceX rival Rocket Lab Corp (NASDAQ:RKLB) has announced the launch of its 70th Electron mission from the company's launch site in New Zealand. The company will put 5 satellites in orbit for a "confidential" customer.

Check out more of Benzinga's Future Of Mobility coverage by following this link.

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Photo courtesy: Shutterstock

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