SpaceX’s Starlink nabs American Airlines contract, another success for its IPO

American Airlines said Tuesday it was preparing to install Starlink of more than 500 Airbus narrow-gauge planes starting early next year, the latest carrier to choose a SpaceX unit to use Wi-Fi.

The deal provides more than just a raise for Starlink, the satellite communications network and SpaceX’s only profitable division. It also gives SpaceX a competitive advantage – like Amazon Leo and other legacy providers like Viasat.

Starlink satellites use a small Earth orbit to provide broadband Internet access to consumers and business customers such as American Airlines. The company has made contracts with airlines and cruise operators and won. United Airlines, Southwest Airlines, Qatar Airways, Lufthansa Group, British Airways, and Alaska Airlines (which merged with Hawaiian Airlines) have partnered with Starlink, according to SpaceX registration for IPO which was released last week.

American Airlines is the latest, although not all of its flights will carry Starlink. The new Airbus A321XLR and A320neo will get Starlink; Its Boeing aircraft are not part of the agreement.

However, it also gives SpaceX another tail in front of it The highly anticipated IPO next month, which is estimated to be the largest in history.