In a high-stakes showdown, Elon Musk, CEO of SpaceX, and Tim Cook, CEO of Apple, have locked horns in a rivalry that could redefine smartphone connectivity. The conflict, detailed in a July 13, 2025, article by DailyGalaxy, stems from a rejected $5 billion offer from Musk to integrate SpaceX’s Starlink satellite service into Apple’s iPhone ecosystem. This decision has ignited a multifaceted battle involving technological innovation, legal disputes, and strategic maneuvering.
The saga began in the lead-up to the iPhone 14 launch in 2022, when Musk proposed a deal to Apple, as reported by Apple Insider. SpaceX offered Starlink’s satellite connectivity for iPhones, requiring a $5 billion upfront payment and $1 billion annually after an 18-month exclusivity period. Musk imposed a 72-hour deadline for Apple to accept, confident the offer was irresistible. However, Cook declined, opting instead for a partnership with Globalstar, a smaller satellite provider. This choice aligned with Apple’s preference for a less volatile partner, but it set the stage for an escalating rivalry.
Undeterred, Musk pivoted to a competitive strategy. SpaceX partnered with T-Mobile to launch Starlink Direct to Cell, a service enabling satellite-powered communication for smartphones, including iPhones, on T-Mobile’s network. This move directly challenged Apple’s Globalstar-backed emergency connectivity feature, offering broader coverage and more robust functionality. The service’s rapid deployment underscored SpaceX’s ability to outmaneuver Apple in the satellite connectivity race.
The rivalry extended beyond technology into the legal arena. In 2022, SpaceX challenged Globalstar’s rights to a critical wireless spectrum essential for Apple’s satellite services. SpaceX argued that Globalstar underutilized the spectrum, hindering competitors like itself. A successful challenge could disrupt Apple’s satellite infrastructure, potentially forcing Cook to reconsider Musk’s offer. This legal maneuver highlights the high stakes of controlling the spectrum that powers next-generation connectivity.
Internally, Apple faced challenges with its Globalstar partnership. According to DailyGalaxy, senior executives, including software chief Craig Federighi, raised concerns about Globalstar’s aging network and lack of upgrades. This dissent suggests that Cook’s decision, while strategic, may not have been universally supported within Apple, adding pressure to the company’s satellite ambitions.
The clash between SpaceX and Apple reflects broader implications for smartphone technology. Starlink’s direct-to-cell service positions Musk as a frontrunner in satellite connectivity, while Apple’s commitment to Globalstar underscores its cautious approach. As both companies compete for supremacy, the outcome will shape how smartphones integrate with satellite networks, influencing global connectivity. With legal battles ongoing and technological advancements accelerating, the Musk-Cook rivalry remains a pivotal chapter in the tech industry’s evolution.