Starship's path to reusability looks murky after SpaceX's S-1 | TechCrunch

Starlink is the main revenue driver, generating $11.4 billion and supporting SpaceX’s public offering. Maintaining service requires replacing about a fifth of satellites each year, creating a recurring capital expenditure burden. Since the beginning of 2023, SpaceX has invested more in its satellite business than in building Starship and launch infrastructure. SpaceX’s filing projects costs will keep growing, while technology improvements should reduce costs as a share of revenue. Musk links Starship to controlling Starlink costs and warns SpaceX could face bankruptcy without cheap satellite replacement. The filing acknowledges full Starship reusability may not be necessary for launching new Starlink satellites, but without full reusability launch costs could increase and weaken the business case.

"SpaceX needs to replace about a fifth of its satellites every year just to maintain its current level of service. It has invested more in its satellite business ($11.4 billion) since the beginning of 2023 than it has building Starship and its launch infrastructure ($8.4 billion)."

"SpaceX's S-1 filing with the U.S. Securities and Exchange Commission predicts costs will continue growing, but expects that improvements to its technology will allow it to reduce them as a percentage of its revenue."

"Musk has said that Starship is the key to keeping Starlink's costs under control, even saying that SpaceX could go bankrupt without the vehicle's ability to replace those satellites cheaply. In that context, a note that stood out in SpaceX's S-1 was the first acknowledgment that full reusability of Starship isn't necessary to launch the new generation of Starlink satellites."

"But without full reusability, the cost will go up, making the business less attractive. "If this reusability is not achieved then the cost of launch on Starship may not be much lower than Falco"

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