By Al Root
Delta Air Lines is zigging while other airlines are zagging.
The largest U.S. airline has opted for Amazon.com's space-based broadband product, called Amazon Leo, instead of SpaceX's Starlink. Delta now uses T-Mobile for in-flight Wi-Fi. In 2028, it will roll out Leo.
SpaceX CEO Elon Musk doesn't sound happy with the move. "Delta wanted to make it painful, difficult, and expensive for their customers. Hard to see how that is a winning strategy," said Musk on Wednesday evening.
Delta didn't immediately respond to a Barron's request for comment about Musk's tweet.
To be sure, competition is fine, and airlines will make decisions based on a host of factors, including cost.
Elon Musk and Ryanair CEO Michael O'Leary got into a spat in early 2026 over the technology. O'Leary, ever focused on cost management, thought Starlink antennas would hurt fuel efficiency. Musk disputed that claim. (O'Leary leveraged the feud in an "idiot" seat sale.)
Still, Starlink is dominant and supported by SpaceX's massive lead in launch capacity. SpaceX accounts for more than half of all orbital launches worldwide. It has more than 10,000 Starlink satellites in orbit and more than 10 million Starlink customers. Amazon Leo currently has about 300 satellites in orbit.
Starlink's strength has led to success in the airline industry. United Airlines, Southwest Airlines, and Alaska Air are Starlink customers. In Europe, Lufthansa, Air France, and British Airways have signed deals with Starlink.
Other airlines still use services from Viasat or other providers.
Whether or not Starlink will become a competitive issue for airlines is hard to say. Customers generally don't really care as long as the Wi-Fi works and it's cheap.
Of course, travelers know that isn't always the case.
Coming into Friday trading, Delta stock was down about 2.6% over the past five days, but benchmark oil prices were up 2.5% over the same span. Higher oil prices mean higher jet fuel costs for airlines. United Airlines, Southwest, and American Airlines shares were all down more than Delta over the span.
At least for now, Starlink is a watch item for airline investors and an example of how space-based technology is changing industries and consumer experiences.
Write to Al Root at allen.root@dowjones.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
May 15, 2026 10:59 ET (14:59 GMT)
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