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Elon Musk’s SpaceX has said it cannot afford to continue donating satellite internet to Ukraine and has asked the US government to pick up the tab, according to a report, as the billionaire’s relationship with Kyiv deteriorates.
“We are not in a position to continue donating terminals to Ukraine or fund the existing terminals indefinitely,” SpaceX’s director of government sales wrote in a letter obtained by CNN.
An external consultant working for the company told the Pentagon in a separate letter, as reported by CNN, that “SpaceX faces terribly difficult decisions here.” I don’t believe they have the financial resources to provide additional terminals or services.”
On Friday morning, Musk appeared to confirm the report, writing on Twitter that “nothing was leaked about our competitors in space launch & communications, Lockheed & Boeing, who get over $60B [from the US Department of Defense].”
In another tweet, he said, “In addition to terminals, we must create, launch, maintain, and replenish satellites, ground stations, and pay telcos for Internet access via gateways.” We’ve also had to defend against increasingly difficult cyber-attacks and jamming. “Monthly burn is approaching $20 million.”
However, the funding request follows Musk’s high-profile intervention, in which he suggested that Ukraine seek an end to the war by surrendering territory to Russia and committing to remaining “neutral.” The Ukrainian government, which had previously praised Musk for offering the Starlink system, was outraged by his tweets.
“Fuck off is my very diplomatic response to you,” Ukrainian Ambassador to Germany Andrij Melnyk tweeted. “The only result is that no Ukrainian will EVER buy your f…ing Tesla crap again.” So best of luck.”
In response to speculation that Musk was threatening to withdraw Starlink due to Melnyk’s words, Musk tweeted this morning, “we’re just following his recommendation.”
Ukrainian presidential adviser Mykhailo Podolyak said on Friday that the country would find a way to keep Starlink operational. “Let’s be real. Podolyak tweeted, “Whether you like it or not, @elonmusk helped us survive the most crucial moments of war.” “Every business has the right to develop its own strategies.” Ukraine will find a way to keep £Starlink operational. We anticipate that the company will maintain a stable connection until the end of the negotiations.”
Ukrainian forces had already reported Starlink coverage issues in recent days, following Musk’s attempted peace process but prior to the latest reports of a funding gap. The Financial Times reported last week that a “catastrophic” loss of communication occurred as Ukrainian army soldiers advanced into previously occupied Russian territory in the Kherson and Zaporizhzhia regions.
Since they were donated earlier this year, the terminals, which connect to a fleet of low-Earth orbit microsatellites launched by SpaceX to provide high-speed internet access across much of the world, have proven critical to the Ukrainian war effort. The satellites not only enable rapid secure communication between troops on the ground and headquarters, but they also assist the army in operating the drones that have proven critical in reshaping the rules of the battlefield.
Musk denied on Tuesday that he had spoken directly with Russian President Vladimir Putin. “Elon Musk told me he had spoken with Putin and the Kremlin directly about Ukraine,” said Ian Bremmer, president of the political risk consultancy Eurasia Group. He also informed me of the Kremlin’s red lines.”
In response, Musk tweeted, “Nobody should trust Bremmer.”
