Starlink set to hit $11.8 billion revenue in 2025, boosted by military contracts

WASHINGTON — SpaceX’s satellite internet service Starlink is projected to reach $11.8 billion in revenue next year, driven by strong consumer demand and growing U.S. military contracts, according to a new market analysis.
The forecast, released by the market research firm Quilty Space, represents a substantial increase from the estimated $7.7 billion in revenue for 2024, highlighting Starlink’s rapid growth trajectory in the satellite communications market.
Most notably, Quilty Space revealed a previously undisclosed $537 million Pentagon contract to provide services for Ukraine’s military forces through 2027.
The 2025 revenue projection includes $7.5 billion from consumer services, $1.3 billion in hardware sales, and $3 billion from U.S. government contracts. The government deals include satellite sales to the National Reconnaissance Office and Space Development Agency.
Starlink operates a constellation of more than 7,000 satellites in low Earth orbit, providing high-speed internet access globally. It has emerged as a disruptive force in the commercial satellite communications industry, reshaping competition across consumer broadband, aviation, and maritime sectors, in addition to its growing military presence.
‘Indispensable asset’
A large piece of Starlink’s government business comes through the U.S. Space Force’s Proliferated Low Earth Orbit (PLEO) program, where the company has secured 97% of awarded task orders. Quilty’s report says the $537 million contract to support Ukraine’s military was awarded under the PLEO contract.
This contract, which allows the military to purchase satellite services from commercial providers, recently saw its ceiling raised from $900 million to $13 billion, reflecting increased demand for satellite communications capabilities.
“Starlink is now seen as an indispensable asset throughout the entire government sector, from U.S. embassies to the battlefield,” the Quilty report stated. “Starlink’s government sector momentum shows no sign of a slowdown.”
The report notes that Starlink’s dominant position is safe at least for a few more years, but could face competition from Amazon’s Project Kuiper in the future, though that rival satellite constellation has yet to begin deployment.