Satellite connectivity is fast becoming the next battleground in global communications. Two recent advancements project how much momentum the sector is gaining: Skylo’s first voice call tests over satellite networks and Montana’s decision to award $119 million to SpaceX’s Starlink for rural broadband. Both developments signal a growing reliance on satellites to fill the connectivity gaps that traditional infrastructure cannot cover.
What’s Happening & Why This Matters
Skylo Pushes Satellite Voice Calling
Skylo, a company partnered with Google, Samsung, and Verizon, has successfully tested voice calls over its narrow-band non-terrestrial network (NTN). This network uses satellites from Viasat and EchoStar. Until now, satellite-to-phone services have largely been limited to text messaging and emergency alerts. Voice calling raises the stakes in this race. Thus, it puts Skylo in direct competition with SpaceX’s Starlink, AST SpaceMobile, and Globalstar, which powers Apple’s iPhone satellite SOS feature.
The test was made possible through Skylo’s Voice Gateway, a technology that relies on AI-driven voice codecs to balance call quality with data consumption. Footage of the demonstration shows a Skylo employee tilting a phone toward the sky to maintain the connection. The company says this technology can support tens of millions of calls monthly per region. Thus, it opens doors to commercial deployment at scale.
“NTN voice calling is something no other network can deliver at global commercial scale,” said Skylo cofounder Tarun Gupta. The firm also confirmed that future demonstrations will showcase the reliability of the service.
Skylo’s partnerships add weight to its ambitions. The Pixel 10, set to launch this year, will support satellite calling on WhatsApp through Skylo’s network. The service is already embedded in Pixel 9 devices, Pixel Watch 4, and Samsung Galaxy S25. These use Skylo to deliver satellite messaging to 911 and to friends and family via Verizon.
Montana Picks Starlink and Amazon Kuiper
Meanwhile, Montana is steering billions in federal funds toward satellite internet. Under the Broadband Equity, Access, and Deployment (BEAD) program, the state has allocated $119 million to Starlink and $26 million to Amazon’s Project Kuiper. This funding aims to serve over 20,000 underserved households.
The choice makes Montana and Colorado outliers. Both states favored satellite internet for more than 50% of BEAD locations. This contrasts with other states like Oklahoma, which leaned heavily on fiber. Montana officials argue that using satellite instead of fiber saved over $300 million in deployment costs. The state originally received $629 million from BEAD but now plans to spend just $308 million.
Still, the decision stirs debate. Critics argue fiber offers higher long-term value with gigabit speeds and fewer congestion issues. Conversely, SpaceX contends that funding fiber over satellite is wasteful and too costly. The Commerce Department must still sign off on Montana’s plan before funds are released.
The updated BEAD program requires satellite providers to supply antennas for free to each household. However, it does not force them to discount service for low-income users. Pricing control, once in state hands, has been stripped from the program, raising questions about affordability.
TF Summary: What’s Next
The satellite race is intensifying on two fronts: Skylo is expanding into voice calling, and Montana is investing heavily in satellite broadband. Skylo’s test shows that satellite communication is moving beyond basic messaging into full-fledged calls. Meanwhile, Montana’s funding decision shows governments are willing to bypass traditional fiber builds for faster, cheaper deployment.
If Skylo’s commercial rollout succeeds and Montana’s gamble on Starlink pays off, satellite internet and calling may quickly become mainstream options for everyday consumers. The following two years will decide whether satellite services can match fiber’s reliability and affordability. New initiatives can deliver the accessibility that rural communities desperately need.
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