Elon Musk's SpaceX just scored a major regulatory win. On Friday, the Federal Communications Commission approved the company's request to launch 7,500 more next-generation Starlink satellites, effectively doubling the authorized Gen2 constellation to 15,000 satellites orbiting the planet.

A Turning Point for Satellite Broadband

The approval does more than just increase satellite count. It allows SpaceX to upgrade its hardware, operate across five different frequency bands, and removes earlier restrictions that limited overlapping coverage areas. Translation: better service, faster speeds, and broader reach.

FCC Chair Brendan Carr didn't hold back in his enthusiasm. "This FCC authorization is a game-changer for enabling next-generation services," he said, pointing out that the expansion will boost competition and help connect communities that traditional internet providers have left behind.

Gigabit Speeds and Phone Connectivity From Space

So what do these new satellites actually do? According to the FCC, the upgraded constellation will support internet speeds up to 1 gigabit per second—fast enough to stream, game, and video conference without breaking a sweat. Beyond raw speed, the satellites will enable direct-to-cell connectivity outside the U.S. and provide supplemental mobile coverage domestically.

This matters most in rural, remote, and disaster-hit areas where traditional cell towers either don't exist or stop working when you need them most. SpaceX is essentially building a backup internet in the sky.

The FCC Pumps the Brakes on Full Expansion

Here's the catch: SpaceX originally asked for approval to deploy nearly 30,000 Gen2 satellites. The FCC said "not so fast" and authorized only half of that request for now. The agency wants to see how the Gen2 systems perform in orbit and address concerns around spectrum congestion and orbital safety before greenlighting the remaining 14,988 satellites.

"We find that authorization for additional satellites is in the public interest," the FCC noted, while making clear they're taking a wait-and-see approach on the rest.

Deployment Deadlines and Requirements

SpaceX now faces a timeline. The company must deploy 50% of the newly authorized Gen2 satellites by December 1, 2028, with the remainder launched by December 2031. There's also a separate deadline: SpaceX needs to finish deploying its first-generation Starlink constellation by late November 2027.

IPO Speculation Heats Up

The timing of this approval is interesting. Speculation around a SpaceX IPO has been building, with Musk previously hinting that Tesla Inc. (TSLA) shareholders might get first dibs. Valuations being tossed around range from $800 billion to a staggering $1.5 trillion, which would make it one of the most valuable companies on the planet right out of the gate.

With 15,000 satellites approved and gigabit speeds on the horizon, Starlink suddenly looks a lot more bankable.