Elon Musk’s SpaceX is working to deploy Starlink satellite internet terminals as part of an effort to accelerate the upgrade of the U.S. Federal Aviation Administration’s (FAA) national airspace system.
According to sources familiar with the matter, the initiative raises concerns about potential conflicts of interest within Musk’s business empire and the impact on a $2 billion contract awarded to Verizon Communications Inc. in 2023 to modernize the FAA’s critical infrastructure.
Last week, Musk approved the shipment of 4,000 Starlink terminals to the FAA, with one already installed for testing at the agency’s air-traffic control technology lab in Atlantic City, New Jersey. The project, known as TDM X, aims to be fully operational within 12 to 18 months.
An FAA spokesperson confirmed that, in addition to the Atlantic City terminal, two other Starlink terminals are being tested at non-safety critical sites in Alaska.
The agency is exploring the use of Starlink to improve telecommunications connections and provide more reliable weather data, particularly in remote locations.
Verizon’s contract with the FAA remains focused on maintaining and upgrading essential infrastructure, with company spokesperson Rich Young emphasizing the importance of ensuring a safe and functioning air traffic control system.
However, Musk has publicly criticized Verizon’s system, claiming on his X social media platform that it is failing and putting air travelers at risk. It remains unclear how the introduction of Starlink terminals might affect Verizon’s existing contract with the FAA.
This initiative also extends Musk’s influence within the FAA, which already regulates SpaceX’s rocket launches. His reach into federal agencies continues to grow, with significant government contracts and an overarching effort to reshape policies under President Donald Trump.
The FAA’s air-traffic control system manages approximately 45,000 flights carrying nearly 3 million passengers daily.
Concerns over aging infrastructure have gained renewed attention following a fatal midair collision in January between a regional jet and a military helicopter near Ronald Reagan Washington National Airport. In response, Trump criticized the current air-traffic control technology as “obsolete.”
The FAA’s collaboration with SpaceX on Starlink testing is the latest example of Musk’s expanding partnerships with government and global businesses.
Bloomberg previously reported that SpaceX secured a Pentagon contract to provide Ukraine with a more secure, militarized version of its Starlink satellite network.
As Musk’s influence continues to grow, the integration of Starlink into critical U.S. infrastructure could mark a significant shift in how the country approaches technological modernization in aviation and beyond.