US President Donald Trump said on Thursday (October 22) that Elon Musk had restored Ukraine’s Starlink access, while Ukrainian President Volodymyr Zelenskyy said internet speeds had yet to return to normal. Separately, a Bernstein report said Starlink’s improving profitability could help it emerge as a stronger competitor in broadband and mobile services.
Trump told reporters that Musk had restored access but declined to comment on whether he had spoken to the SpaceX chief about the matter.
Earlier, The Wall Street Journal, citing US officials, reported that Trump had called Musk and asked him to lift restrictions on Ukraine’s use of Starlink. The satellite system was working more normally on Thursday, shortly after the reported conversation, according to US and Ukrainian officials cited by the newspaper.
However, some Ukrainian officials told the Journal that the system had not been restored to full functionality, although it was operating at higher speeds than under the restrictions.
Ukraine uses Starlink for battlefield communications and drone operations. Restrictions on the satellite service hampered the country’s attack and air-defence drone missions against Russia.
Zelenskyy said on Thursday that Starlink internet speeds had not yet been restored and that he expected to speak with US Secretary of State Marco Rubio in the coming days.
“We are working on it. I am waiting to hear from US Secretary of State Marco Rubio. He promised to get back to me with information within 48 hours or so,” Zelenskyy said.
Speaking at a joint news conference in Kyiv with visiting Finnish Prime Minister Petteri Orpo, Zelenskyy said Ukraine was ready to participate in peace talks during a G20 summit in the United States but had not received an invitation.
“Of course, if President Trump invites Ukraine to participate in such a format, Ukraine will be represented at the highest level. We hope this will be possible,” he said.
Orpo said no gas deals should be struck between Russia and the European Union or its member states while Moscow’s war against Ukraine continues.
“As long as Russia continues its war of aggression against Ukraine, it is not possible to make any deal with them. So, no gas deal between the European Union, EU countries and Russia,” Orpo said.
Finland stopped receiving Russian pipeline gas in May 2022 after refusing Moscow’s demand to pay for supplies in roubles. It ended imports of Russian liquefied natural gas in July 2024 under European Union sanctions.
Meanwhile, a Bernstein report said Elon Musk-led SpaceX’s Starlink could become a serious competitor in broadband and mobile services over the coming years, as improving profitability could enable the company to adopt aggressive pricing strategies and challenge established US telecom operators.
According to the report, SpaceX’s third-quarter connectivity results exceeded market expectations, with revenue rising 69 per cent year-on-year and earnings before interest, taxes, depreciation and amortisation (EBITDA) growing 82 per cent. Its EBITDA margin increased to 67 per cent from 61 per cent in the previous quarter, indicating expanding operating leverage.
Connectivity revenue and EBITDA surpassed analysts’ estimates by 7 per cent and 16 per cent, respectively. However, subscriber growth remained below expectations.
Starlink’s connectivity subscriber base reached 13.6 million, below the expected 14.2 million, the report said. Sequential subscriber growth slowed to 13 per cent from 17 per cent in the previous quarter, raising concerns that growth could be decelerating despite strong financial performance.
“The key takeaway, in our view, is that Starlink’s economics are improving faster than its subscriber base,” the report said.
Bernstein noted that slower subscriber growth suggested Starlink had yet to gain enough market share to significantly disrupt traditional cable broadband and fixed wireless access operators, limiting its immediate competitive impact.
However, rising average revenue per user (ARPU), reported at $69 per month, expanding margins and continued capacity expansion could strengthen its long-term competitive position.
The report also said Starlink’s growing profitability ahead of the planned deployment of its next-generation V3 satellites could allow the company to consider aggressive pricing to gain market share. Continued network expansion could enable competitive pricing even before the full deployment of the V3 satellite constellation.
“While Starlink BB is the threat investors can see today, Starlink Mobile remains the bigger concern,” Bernstein said.
(With agency inputs from ANI and Reuters)