Last week, Elon Musk talked about the expenses SpaceX must arise in order to provide connectivity to war-ravaged Ukraine. Now, a new report suggests the Musk-led company may not be able to afford the costs anymore.
What happened: SpaceX notified Pentagon that it could stop funding internet services for Ukraine. She has asked the US military to cover the costs associated with the Ukrainian government and military’s use of Starlink, CNN said exclusively reportciting documents to which she had access.
In a letter to the U.S. Department of Defense, SpaceX said spending on delivering the internet in Ukraine could top $120 million for the rest of the year and about $400 million over the next 12 months. says the report.
See also: Elon Musk Says Starlink Still Far From Cash Flow: ‘Any Support Is Super Helpful’
If the Tesla Inc. TSLA The CEO was briefed on the report by one of his Twitter followers, who offered more clarity on the matter.
SpaceX doesn’t require it to recoup past expenses, but neither can it fund the existing system indefinitely *and* broadcast several thousand more terminals that have up to 100 times the data usage of typical households. This is unreasonable.
— Elon Musk (@elonmusk) October 14, 2022
Why it matters: When Elon Musk first supplied Starlink terminals to Ukraine In late February, he was praised for helping restore connectivity in a war-ravaged country.
Musk’s peace plan for the Russia-Ukraine War The company, which was floated earlier this month, did not go down well with Ukrainian authorities.
The billionaire justified his stance with the intention of avoiding a possible nuclear war. He even suggested that he stayed up all night thinking about ways to de-escalate the war.
Since then, Ukraine has reported Starlink outages. CNN, citing sources, said the sorties affected the entire front line and thwarted an attempt by the Ukrainian military to push past it….
