Mike Funk

There’s space for traditional wireless too; LEO can coexist with terrestrial networks

Michael Funk, TJ Thornton, Mike Funk

BofA analyst Mike Funk identifies significant technical and economic barriers preventing Low Earth Orbit satellites from competing in dense urban markets, noting that deploying femtocells in cities like New York would incur prohibitive costs while terrestrial networks already cover most of the United States. Despite these constraints, Starlink poses a strategic threat to rural-focused cable and telecom providers, with T-Mobile emerging as the most viable partner due to its limited rural infrastructure compared to the aggressive fiber strategies of AT&T and Verizon. Future growth in this sector is projected to rely on V3 satellite launches and specialized applications like autonomous vehicles rather than immediate substitution for consumer mobile services.