Gerstner notes government is spending $42 billion on rural broadband despite Starlink already providing perfect coverage.
“So anyway, they decided they were going to spend 42,000,000,000 on rural broadband. And between ten years ago and now, Starlink's been built.”
Gerstner reports Starlink has twelve million subscribers growing twenty percent quarterly at sixty-six dollars monthly revenue.
“ Inside the segment results, the hosts found a business that barely needs AI to justify its value. Starlink now has 12 million subscribers, doubled year over year, growing 20% quarter over quarter at a $66 monthly ARPU, generating $4.3 billion of revenue and $2.6 billion of adjusted EBIT in the quarter. Friedberg walked through the standalone math: at this trajectory, Starlink alone could reach roughly $40 billion of revenue and $30 billion of free cash flow within a year; at a 30x multiple for a high-renewal subscription business, that is a trillion-dollar market cap on its own within 18 months — with everything else (Starship, the AI data centers, the terafab semiconductor project) as ”