Will LEO Satellite Direct-to-Cell Networks make Terrestrial Networks Obsolete?

THE POST-TOWER ERA – A FAIRYTAIL.

From the bustling streets of New York to the remote highlands of Mongolia, the skyline had visibly changed. Where steel towers and antennas once dominated now stood open spaces and restored natural ecosystems. Forests reclaimed their natural habitats, and birds nested in trees undisturbed by the scaring of high rural cellular towers. This transformation was not sudden but resulted from decades of progress in satellite technology, growing demand for ubiquitous connectivity, an increasingly urgent need to address the environmental footprint of traditional telecom infrastructures, and the economic need to dramatically reduce operational expenses tied up in tower infrastructure. By the time the last cell site was decommissioned, society stood at the cusp of a new age of connectivity by LEO satellites covering all of Earth.

The annual savings worldwide from making terrestrial cellular towers obsolete in total cost are estimated to amount to at least 300 billion euros, and it is expected that moving cellular access to “heaven” will avoid more than 150 million metric tons of CO2 emissions annually. The retirement of all terrestrial cellular networks worldwide has been like eliminating the entire carbon footprint of The Netherlands or Malaysia and leading to a dramatic reduction in demand for sustainable green energy sources that previously were used to power the global cellular infrastructure.

INTRODUCTION.

Recent postings and a substantial part of commentary give the impression that we are heading towards a post-tower era where Elon Musk’s Low Earth Orbit (LEO) satellite Starlink network (together with competing options, e.g., ATS Spacemobile and Lynk, and no, I do not see Amazon’s Project Kuiper in this space) will make terrestrially-based tower infrastructure and earth-bound cellular services obsolete.

T-Mobile USA is launching its Direct-to-Cell (D2C) service via SpaceX’s Starlink LEO satellite network. The T-Mobile service is designed to work with existing LTE-compatible smartphones, allowing users to connect to Starlink satellites without needing specialized hardware or smartphone applications.

Since the announcement, posts and media coverage have declared the imminent death of the terrestrial cellular network. When it is pointed out that this may be a premature death sentence to an industry, telecom operators, and their existing cellular mobile networks, it is also not uncommon to be told off as being too pessimistic and an unbeliever in Musk’s genius vision. Musk has on occasion made it clear the Starlink D2C service is aimed at texts and voice calls in remote and rural areas, and to be honest, the D2C service currently hinges on 2×5 MHz in the T-Mobile’s PCS band, adding constraints to the “broadbandedness” of the service. The fact that the service doesn’t match the best of T-Mobile US’s 5G network quality (e.g., 205+ Mbps downlink) or even get near its 4G speeds should really not bother anyone, as the value of the D2C service is that it is available in remote and rural areas with little to no terrestrial cellular coverage and that you can use your regular cellular device with no need for a costly satellite service and satphone (e.g., Iridium, Thuraya, Globalstar).

While I don’t expect to (or even want to) change people’s beliefs, I do think it would be great to contribute to more knowledge and insights based on facts about what is possible with low-earth orbiting satellites as a terrestrial substitute and what is uninformed or misguided opinion.

The rise of LEO satellites has sparked discussions about the potential obsolescence of terrestrial cellular networks. With advancements in satellite technology and increasing partnerships, such as T-Mobile’s collaboration with SpaceX’s Starlink, proponents envision a future where towers are replaced by ubiquitous connectivity from the heavens. However, the feasibility of LEO satellites achieving service parity with terrestrial networks raises significant technical, economic, and regulatory questions. This article explores the challenges and possibilities of LEO Direct-to-Cell (D2C) networks, shedding light on whether they can genuinely replace ground-based cellular infrastructure or will remain a complementary technology for specific use cases.

WHY DISTANCE MATTERS.

The distance between you (your cellular device) and the base station’s antenna determines your expected service experience in cellular and wireless networks. The longer you are away from the base station that serves you, in general, the poorer your connection quality and performance will be, with everything else being equal. As the distance increases, signal weakening (i.e., path loss) grows exponentially, reducing signal quality and making it harder for devices to maintain reliable communication. Closer proximity allows for more substantial, faster, and more stable connections, while longer distances require more power and advanced technologies like beamforming or repeaters to compensate.

Physics tells us how a signal loses its signal strength (or power) over a distance with the square of the distance from the source of the signal itself (either the base station transmitter or the consumer device). This applies universally to all electromagnetic waves traveling in free space. Free space means that there are no obstacles, reflections, or scattering. No terrain features, buildings, or atmospheric conditions interfere with the propagation signal.

So, what matters to the Free Space Path Loss (FSPL)? That is the signal strength over a given distance in free space:

  • The signal strength reduces (the path loss increases) with the square of the distance (d) from its source.
  • Path loss increases (i.e., signal strength decreases) with the (square of the) frequency (f). The higher the frequency, the higher the path loss at a given distance from the signal source.
  • A larger transmit antenna aperture reduces the path loss by focusing the transmitted signal (energy) more efficiently. An antenna aperture is an antenna’s “effective area” that captures or transmits electromagnetic waves. It depends directly on antenna gain and inverse of the square of the signal frequency (i.e., higher frequency → smaller aperture).
  • Higher receiver gain will also reduce the path loss.

$PL_{FS} \; = \; \left( \frac{4 \pi}{c} \right)^2 (d \; f)^2 \; \propto d^2 \; f^2$

$$FSPL_{dB} \; = 10 \; Log_{10} (PL_{FS}) \; = \; 20 \; Log_{10}(d) \; + \; 20 \; Log_{10}(f) \; + \; constant$$

The above equations show a strong dependency on distance; the farther away, the larger the signal loss, and the higher the frequency, the larger the signal loss. Relaxing some of the assumptions leading to the above relationship leads us to the following:

$FSPL_{dB}^{rs} \; = \; 20 \; Log_{10}(d) \; – \; 10 \; Log_{10}(A_t^{eff}) \; – \; 10 \; Log_{10}(G_{r}) \; + \; constant$

The last of the above equations introduces the transmitter’s effective antenna aperture (\(A_t^{eff}\)) and the receiver’s gain (\(G_r\)), telling us that larger apertures reduce path loss as they focus the transmitted energy more efficiently and that higher receiver gain likewise reduces the path loss (i.e., “they hear better”).

It is worth remembering that the transmitter antenna aperture is directly tied to the transmitter gain ($G_t$) when the frequency (f) has been fixed. We have

$A_t^{eff} \; = \; \frac{c^2}{4\pi} \; \frac{1}{f^2} \; G_t \; = \; 0.000585 \; m^2 \; G_t \;$ @ f = 3.5 GHz.

From the above, as an example, it is straightforward to see that the relative path loss difference between the two distances of 550 km (e.g., typical altitude of an LEO satellite) and 2.5 km (typical terrestrial cellular coverage range ) is

$\frac{PL_{FS}(550 km)}{PL_{FS}(2.5 km)} \; = \; \left( \frac {550}{2.5}\right)^2 \; = \; 220^2 \; \approx \; 50$ thousand. So if all else was equal (it isn’t, btw!), we would expect that the signal loss at a distance of 550 km would be 50 thousand times higher than at 2.5 km. Or, in the electrical engineer’s language, at a distance of 550 km, the loss would be 47 dB higher than at 2.5 km.

The figure illustrates the difference between (a) terrestrial cellular and (b) satellite coverage. A terrestrial cellular signal typically covers a radius of 0.5 to 5 km. In contrast, a LEO satellite signal travels a substantial distance to reach Earth (e.g., Starlink satellite is at an altitude of 550 km). While the terrestrial signal propagates through the many obstacles it meets on its earthly path, the satellite signal’s propagation path would typically be free-space-like (i.e., no obstacles) until it penetrates buildings or other objects to reach consumer devices. Historically, most satellite-to-Earth communication has relied on outdoor ground stations or dishes where the outdoor antenna on Earth provides LoS to the satellite and will also compensate somewhat for the signal loss due to the distance to the satellite.

Let’s compare a terrestrial 5G 3.5 GHz advanced antenna system (AAS) 2.5 km from a receiver with a LEO satellite system at an altitude of 550 km. Note I could have chosen a lower frequency, e.g., 800 MHz or the PCS 1900 band. While it would give me some advantages regarding path loss (i.e., $FSPL \; \propto \; f^2$), the available bandwidth is rather smallish and insufficient for state-or-art 5G services (imo!). From a free-space path loss perspective, independently of frequency, we need to overcome an almost 50 thousand times relative difference in distance squared (ca. 47 dB difference) in favor of the terrestrial system. In this comparison, it should be understood that the terrestrial and the satellite systems use the same carrier frequency (otherwise, one should account for the difference in frequency), and the only difference that matters (for the FSPL) is the difference in distance to the receiver.

Suppose I require that my satellite system has the same signal loss in terms of FSPL as my terrestrial system to aim at a comparable quality of service level. In that case, I have several options in terms of satellite enhancements. I could increase transmit power, although it would imply that I need a transmit power of 47 dB more than the terrestrial system, or approximately 48 kW, which is likely impractical for the satellite due to power limitations. Compare this with the current Starlink transmit power of approximately 32 W (45 dBm), ca. 1,500 times lower. Alternatively, I could (in theory!) increase my satellite antenna aperture, leading to a satellite antenna with a diameter of ca. 250 meters, which is enormous compared to current satellite antennas (e.g., Starlink’s ca. 0.05 m2 aperture for a single antenna and total area in the order of 1.6 m2 for the Ku/Ka bands). Finally, I could (super theoretically) also massively improve my consumer device (e.g., smartphone) to receive gain (with 47 dB) from today’s range of -2 dBi to +5 dBi. Achieving 46 dBi gain in a smartphone receiver seems unrealistic due to size, power, and integration constraints. As the target of LEO satellite direct-to-cell services is to support commercially available cellular devices used in terrestrial, only the satellite specifications can be optimized.

Based on a simple free-space approach, it appears unreasonable that an LEO satellite communication system can provide 5G services at parity with a terrestrial cellular network to normal (unmodified) 5G consumer devices without satellite-optimized modifications. The satellite system’s requirements for parity with a terrestrial communications system are impractical (but not impossible) and, if pursued, would significantly drive up design complexity and cost, likely making such a system highly uneconomical.

At this point, you should ask yourself if it is reasonable to assume that a terrestrial communication cellular system can be taken to propagate as its environment is “free-space” like. Thus, obstacles, reflections, and scattering are ignored. Is it really okay to presume that terrain features, buildings, or atmospheric conditions do not interfere with the propagation of the terrestrial cellular signal? Of course, the answer should be that it is not okay to assume that. When considering this, let’s see if it matters much compared to the LEO satellite path loss.

TERRESTRIAL CELLULAR PROPAGATION IS NOT HAPPENING IN FREE SPACE, AND NEITHER IS A SATELLITE’S.

The Free-Space Path Loss (FSPL) formula assumes ideal conditions where signals propagate in free space without interference, blockage, or degradation, besides what would naturally be by traveling a given distance. However, as we all experience daily, real-world environments introduce additional factors such as obstructions, multipath effects, clutter loss, and environmental conditions, necessitating corrections to the FSPL approach. Moving from one room of our house to another can easily change the cellular quality and our experience (e.g., dropped calls, poorer voice quality, lower speed, changing from using 5G to 4G or even to 2G, no coverage at all). Driving through a city may also result in ups and downs with respect to the cellular quality we experience. Some of these effects are tabulated below.

Urban environments typically introduce the highest additional losses due to dense buildings, narrow streets, and urban canyons, which significantly obstruct and scatter signals. For example, the Okumura-Hata Urban Model accounts for such obstructions and adds substantial losses to the FSPL, averaging around 30–50 dB, depending on the density and height of buildings.

Suburban environments, on the other hand, are less obstructed than urban areas but still experience moderate clutter losses from trees, houses, and other features. In these areas, corrections based on the Okumura-Hata Suburban Model add approximately 10–20 dB to the FSPL, reflecting the moderate level of signal attenuation caused by vegetation and scattered structures.

Rural environments have the least obstructions, resulting in the lowest additional loss. Corrections based on the Okumura-Hata Rural Model typically add around 5–10 dB to the FSPL. These areas benefit from open landscapes with minimal obstructions, making them ideal for long-range signal propagation.

Non-line-of-sight (NLOS) conditions increase additionally the path loss, as signals must diffract or scatter to reach the receiver. This effect adds 10–20 dB in suburban and rural areas and 20–40 dB in urban environments, where obstacles are more frequent and severe. Similarly, weather conditions such as rain and foliage contribute to signal attenuation, with rain adding up to 1–5 dB/km at higher frequencies (above 10 GHz) and dense foliage introducing an extra 5–15 dB of loss.

The corrections for these factors can be incorporated into the FSPL formula to provide a more realistic estimation of signal attenuation. By applying these corrections, the FSPL formula can reflect the conditions encountered in terrestrial communication systems across different environments.

The figure above illustrates the differences and similarities concerning the coverage environment for (a) terrestrial and (b) satellite communication systems. The terrestrial signal environment, in most instances, results in the loss of the signal as it propagates through the terrestrial environment due to vegetation, terrain variations, urban topology or infrastructure, weather, and ultimately, as the signal propagates from the outdoor environment to the indoor environment it signal reduces further as it, for example, penetrates windows with coatings, outer and inner walls. The combination of distance, obstacles, and material penetration leads to a cumulative reduction in signal strength as the signal propagates through the terrestrial environment. For the satellite, as illustrated in (b), a substantial amount of signal is reduced due to the vast distance it has to travel before reaching the consumer. If no outdoor antenna connects with the satellite signal, then the satellite signal will be further reduced as it penetrates roofs, multiple ceilings, multiple floors, and walls.

It is often assumed that a satellite system has a line of sight (LoS) without environmental obstructions in its signal propagation (besides atmospheric ones). The reasoning is not unreasonable as the satellite is on top of the consumers of its services and, of course, a correct approach when the consumer has an outdoor satellite receiver (e.g., a dish) in direct LoS with the satellite. Moreover, historically, most satellite-to-Earth communication has relied on outdoor ground stations or outdoor dishes (e.g., placed on roofs or another suitable location) where the outdoor antenna on Earth provides LoS to the satellite’s antenna also compensating somewhat for the signal loss due to the distance to the satellite.

When considering a satellite direct-to-cell device, we no longer have the luxury of a satellite-optimized advanced Earth-based outdoor antenna to facilitate the communications between the satellite and the consumer device. The satellite signal has to close the connection with a standard cellular device (e.g., smartphone, tablet, …), just like the terrestrial cellular network would have to do.

However, 80% or more of our mobile cellular traffic happens indoors, in our homes, workplaces, and public places. If a satellite system had to replace existing mobile network services, it would also have to provide a service quality similar to that of consumers from the terrestrial cellular network. As shown in the above figure, this involves urban areas where the satellite signal will likely pass through a roof and multiple floors before reaching a consumer. Depending on housing density, buildings (shadowing) may block the satellite signal, resulting in substantial service degradation for consumers suffering from such degrading effects. Even if the satellite signal would not face the same challenges as a terrestrial cellular signal, such as with vegetation, terrain variations, and the horizontal dimension of urban topology (e.g., outer& inner walls, coated windows,… ), the satellite signal would still have to overcome the vertical dimension of urban topologies (e..g, roofs, ceilings, floors, etc…) to connect to consumers cellular devices.

For terrestrial cellular services, the cellular network’s signal integrity will (always) have a considerable advantage over the satellite signal because of the proximity to the consumer’s cellular device. With respect to distance alone, an LEO satellite at an altitude of 550 km will have to overcome a 50 thousand times (or a 47 dB) path loss compared to a cellular base station antenna 2.5 km away. Overcoming that path loss penalty adds considerable challenges to the antenna design, which would seem highly challenging to meet and far from what is possible with today’s technology (and economy).

CHALLENGES SUMMARIZED.

Achieving parity between a Low Earth Orbit (LEO) satellite providing Direct-to-Cell (D2C) services and a terrestrial 5G network involves overcoming significant technical challenges. The disparity arises from fundamental differences in these systems’ environments, particularly in free-space path loss, penetration loss, and power delivery. Terrestrial networks benefit from closer proximity to the consumer, higher antenna density, and lower propagation losses. In contrast, LEO satellites must address far more significant free-space path losses due to the large distances involved and the additional challenges of transmitting signals through the atmosphere and into buildings.

The D2C challenges for LEO satellites are increasingly severe at higher frequencies, such as 3.5 GHz and above. As we have seen above, the free-space path loss increases with the square of the frequency, and penetration losses through common building materials, such as walls and floors, are significantly higher. For an LEO satellite system to achieve indoor parity with terrestrial 5G services at this frequency, it would need to achieve extraordinary levels of effective isotropic radiated power (EIRP), around 65 dB, and narrow beamwidths of approximately 0.5° to concentrate power on specific service areas. This would require very high onboard power outputs, exceeding 1 kW, and large antenna apertures, around 2 m in diameter, to achieve gains near 55 dBi. These requirements place considerable demands on satellite design, increasing mass, complexity, and cost. Despite these optimizations, indoor service parity at 3.5 GHz remains challenging due to persistent penetration losses of around 20 dB, making this frequency better suited for outdoor or line-of-sight applications.

Achieving a stable beam with the small widths required for a LEO satellite to provide high-performance Direct-to-Cell (D2C) services presents significant challenges. Narrow beam widths, on the order of 0.5° to 1°, are essential to effectively focus the satellite’s power and overcome the high free-space path loss. However, maintaining such precise beams demands advanced satellite antenna technologies, such as high-gain phased arrays or large deployable apertures, which introduce design, manufacturing, and deployment complexities. Moreover, the satellite must continuously track rapidly moving targets on Earth as it orbits around 7.8 km/s. This requires highly accurate and fast beam-steering systems, often using phased arrays with electronic beamforming, to compensate for the relative motion between the satellite and the consumer. Any misalignment in the beam can result in significant signal degradation or complete loss of service. Additionally, ensuring stable beams under variable conditions, such as atmospheric distortion, satellite vibrations, and thermal expansion in space, adds further layers of technical complexity. These requirements increase the system’s power consumption and cost and impose stringent constraints on satellite design, making it a critical challenge to achieve reliable and efficient D2C connectivity.

As the operating frequency decreases, the specifications for achieving parity become less stringent. At 1.8 GHz, the free-space path loss and penetration losses are lower, reducing the signal deficit. For a LEO satellite operating at this frequency, a 2.5 m² aperture (1.8 m diameter) antenna and an onboard power output of around 800 W would suffice to deliver EIRP near 60 dBW, bringing outdoor performance close to terrestrial equivalency. Indoor parity, while more achievable than 3.5 GHz, would still face challenges due to penetration losses of approximately 15 dB. However, the balance between the reduced propagation losses and achievable satellite optimizations makes 1.8 GHz a more practical compromise for mixed indoor and outdoor coverage.

At 800 MHz, the frequency-dependent losses are significantly reduced, making it the most feasible option for LEO satellite systems to achieve parity with terrestrial 5G networks. The free-space path loss decreases further, and penetration losses into buildings are reduced to approximately 10 dB, comparable to what terrestrial systems experience. These characteristics mean that the required specifications for the satellite system are notably relaxed. A 1.5 m² aperture (1.4 m diameter) antenna, combined with a power output of 400 W, would achieve sufficient gain and EIRP (~55 dBW) to deliver robust outdoor coverage and acceptable indoor service quality. Lower frequencies also mitigate the need for extreme beamwidth narrowing, allowing for more flexible service deployment.

Most consumers’ cellular consumption happens indoors. These consumers are compared to an LEO satellite solution typically better served by existing 5G cellular broadband networks. When considering a direct-to-normal-cellular device, it would not be practical to have an LEO satellite network, even an extensive one, to replace existing 5G terrestrial-based cellular networks and the services these support today.

This does not mean that LEO satellite cannot be of great utility when connecting to an outdoor Earth-based consumer dish, as is already evident in many remote, rural, and suburban places. The summary table above also shows that LEO satellite D2C services are feasible, without too challenging modifications, at the lower cellular frequency ranges between 600 MHz to 1800 MHz at service levels close to the terrestrial systems, at least in rural areas and for outdoor services in general. In indoor situations, the LEO Satellite D2C signal is more likely to be compromised due to roof and multiple floor penetration scenarios to which a terrestrial signal may be less exposed.

WHAT GOES DOWN MUST COME UP.

LEO satellite services that provide direct to unmodified mobile cellular device services are getting us all too focused on the downlink path from the satellite directly to the device. It seems easy to forget that unless you deliver a broadcast service, we also need the unmodified cellular device to directly communicate meaningfully with the LEO satellite. The challenge for an unmodified cellular device (e.g., smartphone, tablet, etc.) to receive the satellite D2C signal has been explained extensively in the previous section. In the satellite downlink-to-device scenario, we can optimize the design specifications of the LEO satellite to overcome some (or most, depending on the frequency) of the challenges posed by the satellite’s high altitude (compared to a terrestrial base station’s distance to the consumer device). In the device direct-uplink-to-satellite, we have very little to no flexibility unless we start changing the specifications of the terrestrial device portfolio. Suppose we change the specifications for consumer devices to communicate better with satellites. In that case, we also change the premise and economics of the (wrong) idea that LEO satellites should be able to completely replace terrestrial cellular networks at service parity with those terrestrial cellular networks.

Achieving uplink communication from a standard cellular device to an LEO satellite poses significant challenges, especially when attempting to match the performance of a terrestrial 5G network. Cellular devices are designed with limited transmission power, typically in the range of 23–30 dBm (0.2–1 watt), sufficient for short-range communication with terrestrial base stations. However, when the receiving station is a satellite orbiting between 550 and 1,200 kilometers, the transmitted signal encounters substantial free-space path loss. The satellite must, therefore, be capable of detecting and processing extremely weak signals, often below -120 dBm, to maintain a reliable connection.

The free-space path loss in the uplink direction is comparable to that in the downlink, but the challenges are compounded by the cellular device’s limitations. At higher frequencies, such as 3.5 GHz, path loss can exceed 155 dB, while at 1.8 GHz and 800 MHz, it reduces to approximately 149.6 dB and 143.6 dB, respectively. Lower frequencies favor uplink communication because they experience less path loss, enabling better signal propagation over large distances. However, cellular devices typically use omnidirectional antennas with very low gain (0–2 dBi), poorly suited for long-distance communication, placing even greater demands on the satellite’s receiving capabilities.

The satellite must compensate for these limitations with highly sensitive receivers and high-gain antennas. Achieving sufficient antenna gain requires large apertures, often exceeding 4 meters in diameter for 800 MHz or 2 meters for 3.5 GHz, increasing the satellite’s size, weight, and complexity. Phased-array antennas or deployable reflectors are often used to achieve the required gain. Still, their implementation is constrained by the physical limitations and costs of launching such systems into orbit. Additionally, the satellite’s receiver must have an exceptionally low noise figure, typically in the range of 1–3 dB, to minimize internal noise and allow the detection of weak uplink signals.

Interference is another critical challenge in the uplink path. Unlike terrestrial networks, where signals from individual devices are isolated into small sectors, satellites receive signals over larger geographic areas. This broad coverage makes it difficult to separate and process individual transmissions, particularly in densely populated areas where numerous devices transmit simultaneously. Managing this interference requires sophisticated signal processing capabilities on the satellite, increasing its complexity and power demands.

The motion of LEO satellites introduces additional complications due to the Doppler effect, which causes a shift in the uplink signal frequency. At higher frequencies like 3.5 GHz, these shifts are more pronounced, requiring real-time adjustments to the receiver to compensate. This dynamic frequency management adds another layer of complexity to the satellite’s design and operation.

Among the frequencies considered, 3.5 GHz is the most challenging for uplink communication due to high path loss, pronounced Doppler effects, and poor building penetration. Satellites operating at this frequency must achieve extraordinary sensitivity and gain, which is difficult to implement at scale. At 1.8 GHz, the challenges are somewhat reduced as the path loss and Doppler effects are less severe. However, the uplink requires advanced receiver sensitivity and high-gain antennas to approach terrestrial network performance. The most favorable scenario is at 800 MHz, where the lower path loss and better penetration characteristics make uplink communication significantly more feasible. Satellites operating at this frequency require less extreme sensitivity and gain, making it a practical choice for achieving parity with terrestrial 5G networks, especially for outdoor and light indoor coverage.

Uplink, the consumer device to satellite signal direction, poses additional limitations to the frequency range. Such systems may be interesting to 600 MHz to a maximum of 1.8 GHz, which is already challenging for uplink and downlink in indoor usage. Service in the lower cellular frequency range is feasible for outdoor usage scenarios in rural and remote areas and for non-challenging indoor environments (e.g., “simple” building topologies).

The premise that LEO satellite D2C services would make terrestrial cellular networks redundant everywhere by offering service parity appears very unlikely, and certainly not with the current generation of LEO satellites being launched. The altitude range of the LEO satellites (300 – 1200 km) and frequency ranges used for most terrestrial cellular services (600 MHz to 5 GHz) make it very challenging and even impractical (for higher cellular frequency ranges) to achieve quality and capacity parity with existing terrestrial cellular networks.

LEO SATELLITE D2C ARCHITECTURE.

A subscriber would realize they have LEO satellite Direct-to-Cell coverage through network signaling and notifications provided by their mobile device and network operator. Using this coverage depends on the integration between the LEO satellite system and the terrestrial cellular network, as well as the subscriber’s device and network settings. Here’s how this process typically works:

When a subscriber moves into an area where traditional terrestrial coverage is unavailable or weak, their mobile device will periodically search for available networks, as it does when trying to maintain connectivity. If the device detects a signal from a LEO satellite providing D2C services, it may indicate “Satellite Coverage” or a similar notification on the device’s screen.

This recognition is possible because the LEO satellite extends the subscriber’s mobile network. The satellite broadcasts system information on the same frequency bands licensed to the subscriber’s terrestrial network operator. The device identifies the network using the Public Land Mobile Network (PLMN) ID, which matches the subscriber’s home network or a partner network in a roaming scenario. The PLMN is a fundamental component of terrestrial and LEO satellite D2C networks, which is the identifier that links a mobile consumer to a specific mobile network operator. It enables communication, access rights management, network interoperability, and supporting services such as voice, text, and data.

The PLMN is also directly connected to the frequency bands used by an operator and any satellite service provider, acting as an extension of the operator’s network. It ensures that devices access the appropriately licensed bands through terrestrial or satellite systems and governs spectrum usage to maintain compliance with regulatory frameworks. Thus, the PLMN links the network identification and frequency allocation, ensuring seamless and lawful operation in terrestrial and satellite contexts.

In an LEO satellite D2C network, the PLMN plays a similar but more complex role, as it must bridge the satellite system with terrestrial mobile networks. The satellite effectively operates as an extension of the terrestrial PLMN, using the same MCC and MNC codes as the consumer’s home network or a roaming partner. This ensures that consumer devices perceive the satellite network as part of their existing subscription, avoiding the need for additional configuration or specialized hardware. When the satellite provides coverage, the PLMN enables the device to authenticate and access services through the operator’s core network, ensuring consistency with terrestrial operations. It ensures that consumer authentication, billing, and service provisioning remain consistent across the terrestrial and satellite domains. In cases where multiple terrestrial operators share access to a satellite system, the PLMN facilitates the correct routing of consumer sessions to their respective home networks. This coordination is particularly important in roaming scenarios, where a consumer connected to a satellite in one region may need to access services through their home network located in another region.

For a subscriber to make use of LEO satellite coverage, the following conditions must be met:

  • Device Compatibility: The subscriber’s mobile device must support satellite connectivity. While many standard devices are compatible with satellite D2C services using terrestrial frequencies, certain features may be required, such as enhanced signal processing or firmware updates. Modern smartphones are increasingly being designed to support these capabilities.
  • Network Integration: The LEO satellite must be integrated with the subscriber’s mobile operator’s core network. This ensures the satellite extends the terrestrial network, maintaining seamless authentication, billing, and service delivery. Consumers can make and receive calls, send texts, or access data services through the satellite link without changing their settings or SIM card.
  • Service Availability: The type of services available over the satellite link depends on the network and satellite capabilities. Initially, services may be limited to text messaging and voice calls, as these require less bandwidth and are easier to support in shared satellite coverage zones. High-speed data services, while possible, may require further advancements in satellite capacity and network integration.
  • Subscription or Permissions: Subscribers must have access to satellite services through their mobile plan. This could be included in their existing plan or offered as an add-on service. In some cases, roaming agreements between the subscriber’s home network and the satellite operator may apply.
  • Emergency Use: In specific scenarios, satellite connectivity may be automatically enabled for emergencies, such as SOS messages, even if the subscriber does not actively use the service for regular communication. This is particularly useful in remote or disaster-affected areas with unavailable terrestrial networks.

Once connected to the satellite, the consumer experience is designed to be seamless. The subscriber can initiate calls, send messages, or access other supported services just as they would under terrestrial coverage. The main differences may include longer latency due to the satellite link and, potentially, lower data speeds or limitations on high-bandwidth activities, depending on the satellite network’s capacity and the number of consumers sharing the satellite beam.

Managing a call on a Direct-to-Cell (D2C) satellite network requires specific mobile network elements in the core network, alongside seamless integration between the satellite provider and the subscriber’s terrestrial network provider. The service’s success depends on how well the satellite system integrates into the terrestrial operator’s architecture, ensuring that standard cellular functions like authentication, session management, and billing are preserved.

In a 5G network, the core network plays a central role in managing calls and data sessions. For a D2C satellite service, key components of the operator’s core network include the Access and Mobility Management Function (AMF), which handles consumer authentication and signaling. The AMF establishes and maintains connectivity for subscribers connecting via the satellite. Additionally, the Session Management Function (SMF) oversees the session context for data services. It ensures compatibility with the IP Multimedia Subsystem (IMS), which manages call control, routing, and handoffs for voice-over-IP communications. The Unified Data Management (UDM) system, another critical core component, stores subscriber profiles, detailing permissions for satellite use, roaming policies, and Quality of Service (QoS) settings.

To enforce network policies and billing, the Policy Control Function (PCF) applies service-level agreements and ensures appropriate charges for satellite usage. For data routing, elements such as the User Plane Function (UPF) direct traffic between the satellite ground stations and the operator’s core network. Additionally, interconnect gateways manage traffic beyond the operator’s network, such as the Internet or another carrier’s network.

The role of the satellite provider in this architecture depends on the integration model. If the satellite system is fully integrated with the terrestrial operator, the satellite primarily acts as an extension of the operator’s radio access network (RAN). In this case, the satellite provider requires ground stations to downlink traffic from the satellites and forward it to the operator’s core network via secure, high-speed connections. The satellite provider handles radio gateway functionality, translating satellite-specific protocols into formats compatible with terrestrial systems. In this scenario, the satellite provider does not need its own core network because the operator’s core handles all call processing, authentication, billing, and session management.

In a standalone model, where the LEO satellite provider operates independently, the satellite system must include its own complete core network. This requires implementing AMF, SMF, UDM, IMS, and UPF, allowing the satellite provider to directly manage subscriber sessions and calls. In this case, interconnect agreements with terrestrial operators would be needed to enable roaming and off-network communication.

Most current D2C solutions, including those proposed by Starlink with T-Mobile or AST SpaceMobile, follow the integrated model. In these cases, the satellite provider relies on the terrestrial operator’s core network, reducing complexity and leveraging existing subscriber management systems. The LEO satellites are primarily responsible for providing RAN functionality and ensuring reliable connectivity to the terrestrial core.

REGULATORY CHALLENGES.

LEO satellite networks offering Direct-to-Cell (D2C) services face substantial regulatory challenges in their efforts to operate within frequency bands already allocated to terrestrial cellular services. These challenges are particularly significant in regions like Europe and the United States, where cellular frequency ranges are tightly regulated and managed by national and regional authorities to ensure interference-free operations and equitable access among service providers.

The cellular frequency spectrum in Europe and the USA is allocated through licensing frameworks that grant exclusive usage rights to mobile network operators (MNOs) for specific frequency bands, often through competitive auctions. For example, in the United States, the Federal Communications Commission (FCC) regulates spectrum usage, while in Europe, national regulatory authorities manage spectrum allocations under the guidelines set by the European Union and CEPT (European Conference of Postal and Telecommunications Administrations). The spectrum currently allocated for cellular services, including low-band (e.g., 600 MHz, 800 MHz), mid-band (e.g., 1.8 GHz, 2.1 GHz), and high-band (e.g., 3.5 GHz), is heavily utilized by terrestrial operators for 4G LTE and 5G networks.

In March 2024, the Federal Communications Commission (FCC) adopted a groundbreaking regulatory framework to facilitate collaborations between satellite operators and terrestrial mobile service providers. This initiative, termed “Supplemental Coverage from Space,” allows satellite operators to use the terrestrial mobile spectrum to offer connectivity directly to consumer handsets and is an essential component of FCC’s “Single Network Future.” The framework aims to enhance coverage, especially in remote and underserved areas, by integrating satellite and terrestrial networks. The FCC granted SpaceX (November 2024) approval to provide direct-to-cell services via its Starlink satellites. This authorization enables SpaceX to partner with mobile carriers, such as T-Mobile, to extend mobile coverage using satellite technology. The approval includes specific conditions to prevent interference with existing services and to ensure compliance with established regulations. Notably, the FCC also granted SpaceX’s request to provide service to cell phones outside the United States. For non-US operations, Starlink must obtain authorization from the relevant governments. Non-US operations are authorized in various sub-bands between 1429 MHz and 2690 MHz.

In Europe, the regulatory framework for D2C services is under active development. The European Conference of Postal and Telecommunications Administrations (CEPT) is exploring the regulatory and technical aspects of satellite-based D2C communications. This includes understanding connectivity requirements and addressing national licensing issues to facilitate the integration of satellite services with existing mobile networks. Additionally, the European Space Agency (ESA) has initiated feasibility studies on Direct-to-Cell connectivity, collaborating with industry partners to assess the potential and challenges of implementing such services across Europe. These studies aim to inform future regulatory decisions and promote innovation in satellite communications.

For LEO satellite operators to offer D2C services in these regulated bands, they would need to reach agreements with the licensed MNOs with the rights to these frequencies. This could take the form of spectrum-sharing agreements or leasing arrangements, wherein the satellite operator obtains permission to use the spectrum for specific purposes, often under strict conditions to avoid interference with terrestrial networks. For example, SpaceX’s collaboration with T-Mobile in the USA involves utilizing T-Mobile’s existing mid-band spectrum (i.e., PCS1900) under a partnership model, enabling satellite-based connectivity without requiring additional spectrum licensing.

In Europe, the situation is more complex due to the fragmented nature of the regulatory environment. Each country manages its spectrum independently, meaning LEO operators must negotiate agreements with individual national MNOs and regulators. This creates significant administrative and logistical hurdles, as the operator must align with diverse licensing conditions, technical requirements, and interference mitigation measures across multiple jurisdictions. Furthermore, any satellite use of the terrestrial spectrum in Europe must comply with European Union directives and ITU (International Telecommunication Union) regulations, prioritizing terrestrial services in these bands.

Interference management is a critical regulatory concern. LEO satellites operating in the same frequency bands as terrestrial networks must implement sophisticated coordination mechanisms to ensure their signals do not disrupt terrestrial operations. This includes dynamic spectrum management, geographic beam shaping, and power control techniques to minimize interference in densely populated areas where terrestrial networks are most active. Regulators in the USA and Europe will likely require detailed technical demonstrations and compliance testing before approving such operations.

Another significant challenge is ensuring equitable access to spectrum resources. MNOs have invested heavily in acquiring and deploying their licensed spectrum, and many may view satellite D2C services as a competitive threat. Regulators would need to establish clear frameworks to balance the rights of terrestrial operators with the potential societal benefits of extending connectivity through satellites, particularly in underserved rural or remote areas.

Beyond regulatory hurdles, LEO satellite operators must collaborate extensively with MNOs to integrate their services effectively. This includes interoperability agreements to ensure seamless handoffs between terrestrial and satellite networks and the development of business models that align incentives for both parties.

TAKEAWAYS.

Ditect-to-cell LEO satellite networks face considerable technology hurdles in providing services comparable to terrestrial cellular networks.

  • Overcoming free-space path loss and ensuring uplink connectivity from low-power mobile devices with omnidirectional antennas.
  • Cellular devices transmit at low power (typically 23–30 dBm), making it difficult for uplink signals to reach satellites in LEO at 500–1,200 km altitudes.
  • Uplink signals from multiple devices within a satellite beam area can overlap, creating interference that challenges the satellite’s ability to separate and process individual uplink signals.
  • Developing advanced phased-array antennas for satellites, dynamic beam management, and low-latency signal processing to maintain service quality.
  • Managing mobility challenges, including seamless handovers between satellites and beams and mitigating Doppler effects due to the high relative velocity of LEO satellites.
  • The high relative velocity of LEO satellites introduces frequency shifts (i.e., Doppler Effect) that the satellite must compensate for dynamically to maintain signal integrity.
  • Address bandwidth limitations and efficiently reuse spectrum while minimizing interference with terrestrial and other satellite networks.
  • Scaling globally may require satellites to carry varied payload configurations to accommodate regional spectrum requirements, increasing technical complexity and deployment expenses.
  • Operating on terrestrial frequencies necessitates dynamic spectrum sharing and interference mitigation strategies, especially in densely populated areas, limiting coverage efficiency and capacity.
  • Ensuring the frequent replacement of LEO satellites due to shorter lifespans increases operational complexity and cost.

On the regulatory front, integrating D2C satellite services into existing mobile ecosystems is complex. Spectrum licensing is a key issue, as satellite operators must either share frequencies already allocated to terrestrial mobile operators or secure dedicated satellite spectrum.

  • Securing access to shared or dedicated spectrum, particularly negotiating with terrestrial operators to use licensed frequencies.
  • Avoiding interference between satellite and terrestrial networks requires detailed agreements and advanced spectrum management techniques.
  • Navigating fragmented regulatory frameworks in Europe, where national licensing requirements vary significantly.
  • Spectrum Fragmentation: With frequency allocations varying significantly across countries and regions, scaling globally requires navigating diverse and complex spectrum licensing agreements, slowing deployment and increasing administrative costs.
  • Complying with evolving international regulations, including those to be defined at the ITU’s WRC-27 conference.
  • Developing clear standards and agreements for roaming and service integration between satellite operators and terrestrial mobile network providers.
  • The high administrative and operational burden of scaling globally diminishes economic benefits, particularly in regions where terrestrial networks already dominate.
  • While satellites excel in rural or remote areas, they might not meet high traffic demands in urban areas, restricting their ability to scale as a comprehensive alternative to terrestrial networks.

The idea of D2C satellite networks making terrestrial cellular networks obsolete is ambitious but fraught with practical limitations. While LEO satellites offer unparalleled reach in remote and underserved areas, they struggle to match terrestrial networks’ capacity, reliability, and low latency in urban and suburban environments. The high density of base stations in terrestrial networks enables them to handle far greater traffic volumes, especially for data-intensive applications.

  • Coverage advantage: Satellites provide global reach, particularly in remote or underserved regions, where terrestrial networks are cost-prohibitive and often of poor quality or altogether lacking.
  • Capacity limitations: Satellites struggle to match the high-density traffic capacity of terrestrial networks, especially in urban areas.
  • Latency challenges: Satellite latency, though improving, cannot yet compete with the ultra-low latency of terrestrial 5G for time-critical applications.
  • Cost concerns: Deploying and maintaining satellite constellations is expensive, and they still depend on terrestrial core infrastructure (although the savings if all terrestrial RAN infrastructure could be avoided is also very substantial).
  • Complementary role: D2C networks are better suited as an extension to terrestrial networks, filling coverage gaps rather than replacing them entirely.

The regulatory and operational constraints surrounding using terrestrial mobile frequencies for D2C services severely limit scalability. This fragmentation makes it difficult to achieve global coverage seamlessly and increases operational and economic inefficiencies. While D2C services hold promise for addressing connectivity gaps in remote areas, their ability to scale as a comprehensive alternative to terrestrial networks is hampered by these challenges. Unless global regulatory harmonization or innovative technical solutions emerge, D2C networks will likely remain a complementary, sub-scale solution rather than a standalone replacement for terrestrial mobile networks.

FURTHER READING.

  1. Kim K. Larsen, “The Next Frontier: LEO Satellites for Internet Services.” Techneconomyblog, (March 2024).
  2. Kim K. Larsen, “Stratospheric Drones & Low Earth Satellites: Revolutionizing Terrestrial Rural Broadband from the Skies?” Techneconomyblog, (January 2024).
  3. Kim K. Larsen, “A Single Network Future“, Techneconomyblog, (March 2024).
  4. T.S. Rappaport, “Wireless Communications – Principles & Practice,” Prentice Hall (1996). In my opinion, it is one of the best graduate textbooks on communications systems. I bought it back in 1999 as a regular hardcover. I have not found it as a Kindle version, but I believe there are sites where a PDF version may be available (e.g., Scribd).

ACKNOWLEDGEMENT.

I greatly acknowledge my wife, Eva Varadi, for her support, patience, and understanding during the creative process of writing this article.

Stratospheric Drones & Low Earth Satellites: Revolutionizing Terrestrial Rural Broadband from the Skies?

“From an economic and customer experience standpoint, deploying stratospheric drones may be significantly more cost effective than establishing extra terrestrial infrastructures”.

This article, in a different and somewhat shorter format, has also been published by New Street Research under the title “Stratospheric drones: A game changer for rural networks?”. You will need to register with New Street Research to get access.

As a mobile cellular industry expert and a techno-economist, the first time I was presented with the concept of stratospheric drones, I feel the butterflies in my belly. That tingling feeling that I was seeing something that could be a huge disruptor of how mobile cellular networks are being designed and built. Imagine getting rid of the profitability-challenged rural cellular networks (i.e., the towers, the energy consumption, the capital infrastructure investments), and, at the same time, offering much better quality to customers in rural areas than is possible with the existing cellular network we have deployed there. A technology that could fundamentally change the industry’s mobile cellular cost structure for the better at a quantum leap in quality and, in general, provide economical broadband services to the unconnected at a fraction of the cost of our traditional ways of building terrestrial cellular coverage.

Back in 2015, I got involved with Deutsche Telekom AG Group Technology, under the leadership of Bruno Jacobfeuerborn, in working out the detailed operational plans, deployment strategies, and, of course, the business case as well as general economics of building a stratospheric cellular coverage platform from scratch with the UK-based Stratospheric Platform Ltd [2] in which Deutsche Telekom is an investor. The investment thesis was really in the way we expected the stratospheric high-altitude platform to make a large part of mobile operators’ terrestrial rural cellular networks obsolete and how it might strengthen mobile operator footprints in countries where rural and remote coverage was either very weak or non-existing (e.g., The USA, an important market for Deutsche Telekom AG).

At the time, our thoughts were to have an operational stratospheric coverage platform operationally by 2025, 10 years after kicking off the program, with more than 100 high-altitude platforms covering a major Western European country serving rural areas. As it so often is, reality is unforgiving, as it often is with genuinely disruptive ideas. Getting to a stage of deployment and operation at scale of a high-altitude platform is still some years out due to the lack of maturity of the flight platform, including regulatory approvals for operating a HAP network at scale, increasing the operating window of the flight platform, fueling, technology challenges with the advanced antenna system, being allowed to deployed terrestrial-based cellular spectrum above terra firma, etc. Many of these challenges are progressing well, although slowly.

Globally, various companies are actively working on developing stratospheric drones to enhance cellular coverage. These include aerospace and defense giants like Airbus, advancing its Zephyr drone, and BAE Systems, collaborating with Prismatic for their PHASA-35 UAV. One of the most exciting HAPS companies focusing on developing world-leading high-altitude aircraft that I have come across during my planning work on how to operationalize a Stratospheric cellular coverage platform is the German company Leichtwerk AG, which has their hydrogen-fueled StratoStreamer as well as a solar-powered platform under development with the their StratoStreamer being close to production-ready. Telecom companies like Deutsche Telekom AG and BT Group are experimenting with hydrogen-powered drones in partnership with Stratospheric Platforms Limited. Through its subsidiary HAPSMobile, SoftBank is also a significant player with its Sunglider project. Additionally, entities like China Aerospace Science and Technology Corporation and Cambridge Consultants contribute to this field by co-developing enabling technologies (e.g., advanced phased-array antenna, fuel technologies, material science, …) critical for the success and deployability of high-altitude platforms at scale, aiming to improve connectivity in rural, remote, and underserved areas.

The work on integrating High Altitude Platform (HAP) networks with terrestrial cellular systems involves significant coordination with international regulatory bodies like the International Telecommunication Union Radiocommunication Sector (ITU-R) and the World Radiocommunication Conference (WRC). This process is crucial for securing permission to reuse terrestrial cellular spectrum in the stratosphere. Key focus areas include negotiating the allocation and management of frequency bands for HAP systems, ensuring they don’t interfere with terrestrial networks. These efforts are vital for successfully deploying and operating HAP systems, enabling them to provide enhanced connectivity globally, especially in rural areas where terrestrial cellular frequencies are already in use and remote and underserved regions. At the latest WRC-2023 conference, Softbank successfully gained approval within the Asia-Pacific region to use mobile spectrum bands for stratospheric drone-based mobile broadband cellular services.

Most mobile operators have at least 50% of their cellular network infrastructure assets in rural areas. While necessary for providing the coverage that mobile customers have come to expect everywhere, these sites carry only a fraction of the total mobile traffic. Individually, rural sites have poor financial returns due to their proportional operational and capital expenses.

In general, the Opex of the cellular network takes up between 50% and 60% of the Technology Opex, and at least 50% of that can be attributed to maintaining and operating the rural part of the radio access network. Capex is more cyclical than Opex due to, for example, the modernization of radio access technology. Nevertheless, over a typical modernization cycle (5 to 7 years), the rural network demands a little bit less but a similar share of Capex overall as for Opex. Typically, the Opex share of the rural cellular network may be around 10% of the corporate Opex, and its associated total cost is between 12% and 15% of the total expenses.

The global telecom towers market size in 2023 is estimated at ca. 26+ billion euros, ca. 2.5% of total telecom turnover, with a projected growth of CAGR 3.3% from now to 2030. The top 10 Tower management companies manage close to 1 million towers worldwide for mobile CSPs. Although many mobile operators have chosen to spin off their passive site infrastructure, there are still some remaining that may yet to spin off their cellular infrastructure to one of many Tower management companies, captive or independent, such as American Tower (224,019+ towers), Cellnex Telecom (112,737+ towers), Vantage Towers (46,100+ towers), GD Towers (+41,600 towers), etc…

IMAGINE.

Focusing on the low- or no-profitable rural cellular coverage.

Imagine an alternative coverage technology to the normal cellular one all mobile operators are using that would allow them to do without the costly and low-profitable rural cellular network they have today to satisfy their customers’ expectations of high-quality ubiquitous cellular coverage.

For the alternative technology to be attractive, it would need to deliver at least the same quality and capacity as the existing terrestrial-based cellular coverage for substantially better economics.

If a mobile operator with a 40% EBITDA margin did not need its rural cellular network, it could improve its margin by a sustainable 5% and increase its cash generation in relative terms by 50% (i.e., from 0.2×Revenue to 0.3×Revenue), assuming a capex-to-revenue ratio of 20% before implementing the technology being reduced to 15% after due to avoiding modernization and capacity investments in the rural areas.

Imagine that the alternative technology would provide a better cellular quality to the consumer for a quantum leap reduction of the associated cost structure compared to today’s cellular networks.

Such an alternative coverage technology might also impact the global tower companies’ absolute level of sustainable tower revenues, with a substantial proportion of revenue related to rural site infrastructure being at risk.

Figure 1 An example of an unmanned autonomous stratospheric coverage platform. Source: Cambridge Consultants presentation (see reference [2]) based on their work with Stratospheric Platforms Ltd (SPL) and SPL’s innovative high-altitude coverage platform.

TERRESTRIAL CELLULAR RURAL COVERAGE – A MATTER OF POOR ECONOMICS.

When considering the quality we experience in a terrestrial cellular network, a comprehensive understanding of various environmental and physical factors is crucial to predicting the signal quality accurately. All these factors generally work against cellular signal propagation regarding how far the signal can reach from the transmitting cellular tower and the achievable quality (e.g., signal strength) that a customer can experience from a cellular service.

Firstly, the terrain plays a significant role. Rural landscapes often include varied topographies such as hills, valleys, and flat plains, each affecting signal reach differently. For instance, hilly or mountainous areas may cause signal shadowing and reflection, while flat terrains might offer less obstruction, enabling signals to travel further.

At higher frequencies (i.e., above 1 GHz), vegetation becomes an increasingly critical factor to consider. Trees, forests, and other dense foliage can absorb and scatter radio waves, attenuating signals. The type and density of vegetation, along with seasonal changes like foliage density in summer versus winter, can significantly impact signal strength.

The height and placement of transmitting and receiving antennas are also vital considerations. In rural areas, where there are fewer tall buildings, the height of the antenna can have a pronounced effect on the line of sight and, consequently, on the signal coverage and quality. Elevated antennas mitigate the impact of terrain and vegetation to some extent.

Furthermore, the lower density of buildings in rural areas means fewer reflections and less multipath interference than in urban environments. However, larger structures, such as farm buildings or industrial facilities, must be factored in, as they can obstruct or reflect signals.

Finally, the distance between the transmitter and receiver is fundamental to signal propagation. With typically fewer cell towers spread over larger distances, understanding how signal strength diminishes with distance is critical to ensuring reliable coverage at a high quality, such as high cellular throughput, as the mobile customer expects.

The typical way for a cellular operator to mitigate the environmental and physical factors that inevitably result in loss of signal strength and reduced cellular quality (i.e., sub-standard cellular speed) is to build more sites and thus incur increasing Capex and Opex in areas that in general will have poor economical payback associated with any cellular assets. Thus, such investments make an already poor economic situation even worse as the rural cellular network generally would have very low utilization.

Figure 2 Cellular capacity or quality measured by the unit or total throughput is approximately driven by the amount of spectrum (in MHz) times the effective spectral efficiency (in Mbps/MHz/units) times the number of cells or capacity units deployed. When considering the effective spectral efficiency, one needs to consider the possible “boost” that a higher order MiMo or Advanced Antenna System will bring over and above the Single In Single Out (SISO) antenna would result in.

As our alternative technology also would need to provide at least the same quality and capacity it is worth exploring what can be expected in terms of rural terrestrial capacity. In general, we have that the cellular capacity (and quality) can be written as (also shown in Figure 2 above):

Throughput (in Mbps) =
Spectral Bandwidth in MHz ×
Effective Spectral Efficiency in Mbps/MHz/Cell ×
Number of Cells

We need to keep in mind that an additional important factor when considering quality and capacity is that the higher the operational frequency, the lower the radius (all else being equal). Typically, we can improve the radius at higher frequencies by utilizing advanced antenna beam forming, that is, concentrate the radiated power per unit coverage area, which is why you will often hear that the 3.6 GHz downlink coverage radius is similar to that of 1800 MHz (or PCS). This 3.6 GHz vs. 1.8 GHz coverage radius comparison is made when not all else is equal. Comparing a situation where the 1800 MHz (or PCS) radiated power is spread out over the whole coverage area compared to a coverage situation where the 3.6 GHz (or C-band in general) solution makes use of beamforming, where the transmitted energy density is high, allowing to reach the customer at a range that would not be possible if the 3.6 GHz radiated power would have been spread out over the cell like the example of the 1800 MHz.

As an example, take an average Western European rural 5G site with all cellular bands between 700 and 2100 MHz activated. The site will have a total of 85 MHz DL and 75 MHz UL, with a 10 MHz difference between DL and UL due to band 38 Supplementary Downlink SDL) operational on the site. In our example, we will be optimistic and assume that the effective spectral efficiency is 2 Mbps per MHz per cell (average over all bands and antenna configurations), which would indicate a fair amount of 4×4 and 8×8 MiMo antenna systems deployed. Thus, the unit throughput we would expect to be supplied by the terrestrial rural cell would be 170 Mbps (i.e., 85 MHz × 2.0 Mbps/MHz/Cell). With a rural cell coverage radius between 2 and 3 km, we then have an average throughput per square kilometer of 9 Mbps/km2. Due to the low demand and high-frequency bandwidth per active customer, DL speeds exceeding 100+ Mbps should be relatively easy to sustain with 5G standalone, with uplink speeds being more compromised due to larger coverage areas. Obviously, the rural quality can be improved further by deploying advanced antenna systems and increasing the share of higher-order MiMo antennas in general, as well as increasing the rural site density. However, as already pointed out, this would not be an economically reasonable approach.

THE ADVANTAGE OF SEEING FROM ABOVE.

Figure 3 illustrates the difference between terrestrial cellular coverage from a cell tower and that of a stratospheric drone or high-altitude platform (“Antenna-in-the-Sky”). The benefit of seeing the world from above is that environmental and physical factors have substantially less impact on signal propagation and quality primarily being impacted by distance as it approximates free space propagation. This situation is very different for a terrestrial-based cellular tower with its radiated signal being substantially impacted by the environment as well as physical factors.

It may sound silly to talk about an alternative coverage technology that could replace the need for the cellular tower infrastructure that today is critical for providing mobile broadband coverage to, for example, rural areas. What alternative coverage technologies should we consider?

If, instead of relying on terrestrial-based tower infrastructure, we could move the cellular antenna and possibly the radio node itself to the sky, we would have a situation where most points of the ground would be in the line of sight to the “antenna-in-the-sky.” The antenna in the sky idea is a game changer in terms of coverage itself compared to conventional terrestrial cellular coverage, where environmental and physical factors dramatically reduce signal propagation and signal quality.

The key advantage of an antenna in the sky (AIS) is that the likelihood of a line-of-sight to a point on the ground is very high compared to establishing a line-of-sight for terrestrial cellular coverage that, in general, would be very low. In other words, the cellular signal propagation from an AIS closely approximates that of free space. Thus, all the various environmental signal loss factors we must consider for a standard terrestrial-based mobile network do not apply to our antenna in the sky.

Over the last ten years, we have gotten several technology candidates for our antenna-in-the-sky solution, aiming to provide terrestrial broadband services as a substitute, or enhancement, for terrestrial mobile and fixed broadband services. In the following, I will describe two distinct types of antenna-in-the-sky solutions: (a) Low Earth Orbit (LEO) satellites, operating between 500 to 2000 km above Earth, that provide terrestrial broadband services such as we know from Starlink (SpaceX), OneWeb (Eutelsat Group), and Kuiper (Amazon), and (b) So-called, High Altitude Platforms (HAPS), operating at altitudes between 15 to 30 km (i.e., in the stratosphere). Such platforms are still in the research and trial stages but are very promising technologies to substitute or enhance rural network broadband services. The HAP is supposed to be unmanned, highly autonomous, and ultimately operational in the stratosphere for an extended period (weeks to months), fueled by green hydrogen and possibly solar. The high-altitude platform is thus also an unmanned aerial vehicle (UAV), although I will use the term stratospheric drone and HAP interchangeably in the following.

Low Earth Orbit (LEO) satellites and High Altitude Platforms (HAPs) represent two distinct approaches to providing high-altitude communication and observation services. LEO satellites, operating between 500 km and 2,000 km above the Earth, orbit the planet, offering broad global coverage. The LEO satellite platform is ideal for applications like satellite broadband internet, Earth observation, and global positioning systems. However, deploying and maintaining these satellites involves complex, costly space missions and sophisticated ground control. Although, as SpaceX has demonstrated with the Starlink LEO satellite fixed broadband platform, the unitary economics of their satellites significantly improve by scale when the launch cost is also considered (i.e., number of satellites).

Figure 4 illustrates a non-terrestrial network architecture consisting of a Low Earth Orbit (LEO) satellite constellation providing fixed broadband services to terrestrial users. Each hexagon represents a satellite beam inside the larger satellite coverage area. Note that, in general, there will be some coverage overlap between individual satellites, ensuring a continuous service including interconnected satellites. The user terminal (UT) dynamically aligns itself, aiming at the best quality connection provided by the satellites within the UT field of vision.

Figure 4 Illustrating a Non-Terrestrial Network consisting of a Low Earth Orbit (LEO) satellite constellation providing fixed broadband services to terrestrial users (e.g., Starlink, Kuiper, OneWeb,…). Each hexagon represents a satellite beam inside the larger satellite coverage area. Note that, in general, there will be some coverage overlap between individual satellites, ensuring a continuous service. The operating altitude of a LEO satellite constellation is between 300 and 2,000 km. It is assumed that the satellites are interconnected, e.g., laser links. The User Terminal antenna (UT) is dynamically orienting itself after the best line-of-sight (in terms of signal quality) to a satellite within UT’s field-of-view (FoV). The FoV has not been shown in the picture above so as not to overcomplicate the illustration. It should be noted just like with the drone it is possible to integrate the complete gNB on the LEO satellite. There might even be applications (e.g., defense, natural & unnatural disaster situations, …) where a standalone 5G SA core is integrated.

On the other hand, HAPs, such as unmanned (autonomous) stratospheric drones, operate at altitudes of approximately 15 km to 30 km in the stratosphere. Unlike LEO satellites, the stratospheric drone can hover or move slowly over specific areas, often geostationary relative to the Earth’s surface. This characteristic makes them more suitable for localized coverage tasks like regional broadband, surveillance, and environmental monitoring. The deployment and maintenance of the stratospheric drones are managed from the Earth’s surface and do not require space launch capabilities. Furthermore, enhancing and upgrading the HAPs is straightforward, as they will regularly be on the ground for fueling and maintenance. Upgrades are not possible with an operational LEO satellite solution where any upgrade would have to wait on a subsequent generation and new launch.

Figure 5 illustrates the high-level network architecture of an unmanned autonomous stratospheric drone-based constellation providing terrestrial cellular broadband services to terrestrial mobile users delivered to their normal 5G terminal equipment. Each hexagon represents a beam arising from the phased-array antenna integrated into the drone’s wingspan. To deliver very high-availability services to a rural area, one could assign three HAPs to cover a given area. The drone-based non-terrestrial network is drawn consistent with the architectural radio access network (RAN) elements from Open RAN, e.g., Radio Unit (RU), Distributed Unit (DU), and Central Unit (CU). It should be noted that the whole 5G gNB (the 5G NodeB), including the CU, could be integrated into the stratospheric drone, and in fact, so could the 5G standalone (SA) packet core, enabling full private mobile 5G networks for defense and disaster scenarios or providing coverage in very remote areas with little possibility of ground-based infrastructure (e.g., the arctic region, or desert and mountainous areas).

Figure 5 illustrates a Non-Terrestrial Network consisting of a stratospheric High Altitude Platform (HAP) drone-based constellation providing terrestrial Cellular broadband services to terrestrial mobile users delivered to their normal 5G terminal equipment. Each hexagon represents a beam inside the larger coverage area of the stratospheric drone. To deliver very high-availability services to a rural area, one could assign three HAPs to cover a given area. The operating altitude of a HAP constellation is between 10 to 50 km with an optimum of around 20 km. It is assumed that there is inter-HAP connectivity, e.g., via laser links. Of course, it is also possible to contemplate having the gNB (full 5G radio node) in the stratospheric drone entirely, which would allow easier integration with LEO satellite backhauls, for example. There might even be applications (e.g., defense, natural & unnatural disaster situations, …) where a standalone 5G SA core is integrated.

The unique advantage of the HAP operating in the stratosphere is (1) The altitude is advantageous for providing wider-area cellular coverage with a near-ideal quality above and beyond what is possible with conventional terrestrial-based cellular coverage because of very high line-of-sight likelihood due to less environment and physical issues that substantially reduces the signal propagation and quality of a terrestrial coverage solution, and (2) More stable atmospheric conditions characterize the stratosphere compared to the troposphere below it. This stability allows the stratospheric drone to maintain a consistent position and altitude with less energy expenditure. The stratosphere offers more consistent and direct sunlight exposure for a solar-powered HAP with less atmospheric attenuation. Moreover, due to the thinner atmosphere at stratospheric altitudes, the stratospheric drone will experience a lower air resistance (drag), increasing the energy efficiency and, therefore, increasing the operational airtime.

Figure 6 illustrates Leichtwerk AG’s StratoStreamer HAP design that is near-production ready. Leichtwerk AG works closely together with AESA towards the type certificate that would make it possible to operationalize a drone constellation in Europe. The StratoStreamer has a wingspan of 65 meter and can carry a payload of 100+ kg. Courtesy: Leichtwerk AG.

Each of these solutions has its unique advantages and limitations. LEO satellites provide extensive coverage but come with higher operational complexities and costs. HAPs offer more focused coverage and are easier to manage, but they need the global reach of LEO satellites. The choice between these two depends on the specific requirements of the intended application, including coverage area, budget, and infrastructure capabilities.

In an era where digital connectivity is indispensable, stratospheric drones could emerge as a game-changing technology. These unmanned (autonomous) drones, operating in the stratosphere, offer unique operational and economic advantages over terrestrial networks and are even seen as competitive alternatives to low earth orbit (LEO) satellite networks like Starlink or OneWeb.

STRATOSPHERIC DRONES VS TERRESTRIAL NETWORKS.

Stratospheric drones positioned much closer to the Earth’s surface than satellites, provide distinct signal strength and latency benefits. The HAP’s vantage point in the stratosphere (around 20 km above the Earth) ensures a high probability of line-of-sight with terrestrial user devices, mitigating the adverse effects of terrain obstacles that frequently challenge ground-based networks. This capability is particularly beneficial in rural areas in general and mountainous or densely forested areas, where conventional cellular towers struggle to provide consistent coverage.

Why the stratosphere? The stratosphere is the layer of Earth’s atmosphere located above the troposphere, which is the layer where weather occurs. The stratosphere is generally characterized by stable, dry conditions with very little water vapor and minimal horizontal winds. It is also home to the ozone layer, which absorbs and filters out most of the Sun’s harmful ultraviolet radiation. It is also above the altitude of commercial air traffic, which typically flies at altitudes ranging from approximately 9 to 12 kilometers (30,000 to 40,000 feet). These conditions (in addition to those mentioned above) make operating a stratospheric platform very advantageous.

Figure 6 illustrates the coverage fundamentals of (a) a terrestrial cellular radio network with the signal strength and quality degrading increasingly as one moves away from the antenna and (b) the terrestrial coverage from a stratospheric drone (antenna in the sky) flying at an altitude of 15 to 30 km. The stratospheric drone, also called a High-Altitude Platform (HAP), provides near-ideal signal strength and quality due to direct line-of-sight (LoS) with the ground, compared to the signal and quality from a terrestrial cellular site that is influenced by its environment and physical factors and the fact that LoS is much less likely in a conventional terrestrial cellular network. It is worth keeping in mind that the coverage scenarios where a stratospheric drone and a low earth satellite may excel in particular are in rural areas and outdoor coverage in more dense urban areas. In urban areas, the clutter, or environmental features and objects, will make line-of-site more challenging, impacting the strength and quality of the radio signals.

Figure 6 The chart above illustrates the coverage fundamentals of (a) a terrestrial cellular radio network with the signal strength and quality degrading increasingly as one moves away from the antenna and (b) the terrestrial coverage from a stratospheric drone (antenna in the sky) flying at an altitude of 15 to 30 km. The stratospheric drone, also called a High Altitude Platform (HAP), provides near-ideal signal strength and quality due to direct line-of-sight (LoS) with the ground, compared to the signal & quality from a terrestrial cellular site that is influenced by its environment and physical factors and the fact that LoS is much less likely in a conventional terrestrial cellular network.

From an economic and customer experience standpoint, deploying stratospheric drones may be significantly more cost-effective than establishing extensive terrestrial infrastructure, especially in remote or rural areas. The setup and operational costs of cellular towers, including land acquisition, construction, and maintenance, are substantially higher compared to the deployment of stratospheric drones. These aerial platforms, once airborne, can cover vast geographical areas, potentially rendering numerous terrestrial towers redundant. At an operating height of 20 km, one would expect a coverage radius ranging from 20 km up to 500 km, depending on the antenna system, application, and business model (e.g., terrestrial broadband services, surveillance, environmental monitoring, …).

The stratospheric drone-based coverage platform, and by platform, I mean the complete infrastructure that will replace the terrestrial cellular network, will consist of unmanned autonomous drones with a considerable wingspan (e.g., 747-like of ca. 69 meters). For example, European (German) Leichtwerk’s StratoStreamer has a wingspan of 65 meters and a wing area of 197 square meters with a payload of 120+ kg (note: in comparison a Boing 747 has ca. 500+ m2 wing area but its payload is obviously much much higher and in the range of 50 to 60 metric tons). Leichtwerk AG work closely together with AESA in order to achieve the European Union Aviation Safety Agency (EASA) type certificate that would allow the HAPS to integrate into civil airspace (see refs. [34] for what that means).

An advanced antenna system is positioned under the wings (or the belly) of the drone. I will assume that the coverage radius provided by a single drone is 50 km, but it can dynamically be made smaller or larger depending on the coverage scenario and use case. The drone-based advanced antenna system breaks up the coverage area (ca. six thousand five hundred plus square kilometers) into 400 patches (i.e., a number that can be increased substantially), averaging approx. 16 km2 per patch and a radius of ca. 2.5 km. Due to its near-ideal cellular link budget, the effective spectral efficiency is expected to be initially around 6 Mbps per MHz per cell. Additionally, the drone does not have the same spectrum limitations as a rural terrestrial site and would be able to support frequency bands in the downlink from ~900 MHz up to 3.9 GHz (and possibly higher, although likely with different antenna designs). Due to the HAP altitude, the Earth-to-HAP uplink signal will be limited to a lower frequency spectrum to ensure good signal quality is being received at the stratospheric antenna. It is prudent to assume a limit of 2.1 GHz to possibly 2.6 GHz. All under the assumption that the stratospheric drone operator has achieved regulatory approval for operating the terrestrial cellular spectrum from their coverage platform. It should be noted that today, cellular frequency spectrum approved for terrestrial use cannot be used at an altitude unless regulatory permission has been given (more on this later).

Let’s look at an example. We would need ca. 46 drones to cover the whole of Germany with the above-assumed specifications. Furthermore, if we take the average spectrum portfolio of the 3 main German operators, this will imply that the stratospheric drone could be functioning with up to 145 MHz in downlink and at least 55 MHz uplink (i.e., limiting UL to include 2.1 GHz). Using the HAP DL spectral efficiency and coverage area we get a throughput density of 70+ Mbps/km2 and an effective rural cell throughput of 870 Mbps. In terrestrial-based cellular coverage, the contribution to quality at higher frequencies is rapidly degrading as a function of the distance to the antenna. This is not the case for HAP-based coverage due to its near-ideal signal propagation.

In comparison, the three incumbent German operators have on average ca. 30±4k sites per operator with an average terrestrial coverage area of 12 km2 and a coverage radius of ca. 2.0 km (i.e., smaller in cities, ~1.3 km, larger in rural areas, ~2.7 km). Assume that the average cost of ownership related only to the passive part of the site is 20+ thousand euros and that 50% of the 30k sites (expect a higher number) would be redundant as the rural coverage would be replaced by stratospheric drones. Such a site reduction quantum conservatively would lead to a minimum gross monetary reduction of 300 million euros annually (not considering the cost of the alternative technology coverage solution).

In our example, the question is whether we can operate a stratospheric drone-based platform covering rural Germany for less than 300 million euros yearly. Let’s examine this question. Say the stratospheric drone price is 1 million euros per piece (similar to the current Starlink satellite price, excluding the launch cost, which would add another 1.1 million euros to the satellite cost). For redundancy and availability purposes, we assume we need 100 stratospheric drones to cover rural Germany, allowing me to decommission in the radius of 15 thousand rural terrestrial sites. The decommissioning cost and economical right timing of tower contract termination need to be considered. Due to the standard long-term contracts may be 5 (optimistic) to 10+ years (realistic) year before the rural network termination could be completed. Many Telecom businesses that have spun out their passive site infrastructure have done so in mutual captivity with the Tower management company and may have committed to very “sticky” contracts that have very little flexibility in terms of site termination at scale (e.g., 2% annually allowed over total portfolio).

We have a capital expense of 100 million for the stratospheric drones.  We also have to establish the support infrastructure (e.g., ground stations, airfield suitability rework, development, …), and consider operational expenses. The ballpark figure for this cost would be around 100 million euros for Capex for establishing the supporting infrastructure and another 30 million euros in annual operational expenses. In terms of steady-state Capex, it should be at most 20 million per year. In our example, the terrestrial rural network would have cost 3 billion euros, mainly Opex, over ten years compared to 700 million euros, a little less than half as Opex, for the stratospheric drone-based platform (not considering inflation).

The economical requirements of a stratospheric unmanned and autonomous drone-based coverage platform should be superior compared to the current cellular terrestrial coverage platform. As the stratospheric coverage platform scales and increasingly more stratospheric drones are deployed, the unit price is also likely to reduce accordingly.

Spectrum usage rights yet another critical piece.

It should be emphasized that the deployment of cellular frequency spectrum in stratospheric and LEO satellite contexts is governed by a combination of technical feasibility, regulatory frameworks, coordination to prevent interference, and operational needs. The ITU, along with national regulatory bodies, plays a central role in deciding the operational possibilities and balancing the needs and concerns of various stakeholders, including satellite operators, terrestrial network providers, and other spectrum users. Today, there are many restrictions and direct regulatory prohibitions in repurposing terrestrially assigned cellular frequencies for non-terrestrial purposes.

The role of the World Radiocommunications Conference (WRC) role is pivotal in managing the global radio-frequency spectrum and satellite orbits. Its decisions directly impact the development and deployment of various radiocommunication services worldwide, ensuring their efficient operation and preventing interference across borders. The WRC’s work is fundamental to the smooth functioning of global communication networks, from television and radio broadcasting to cellular networks and satellite-based services. The WRC is typically held every three to four years, with the latest one, WRC-23, held in Dubai at the end of 2023, reference [13] provides the provisional final acts of WRC-23 (December 2023). In landmark recommendation, WRC-23 relaxed the terrestrial-only conditions for the 698 to 960 MHz and 1,71 to 2.17 GHz, and 2.5 to 2.69 GHz frequency bands to also apply for high-altitude platform stations (HAPS) base stations (“Antennas-in -Sky”). It should be noted that there are slightly different frequency band ranges and conditions, depending on which of the three ITU-R regions (as well as exceptions for particular countries within a region) the system will be deployed in. Also the HAPS systems do not enjoy protection or priority over existing use of those frequency bands terrestrially. It is important to note that the WRC-23 recommendation only apply to coverage platforms (i.e., HAPS) in the range from 20 to 50 km altitude. These WRC-23 frequency-bands relaxation does not apply to satellite operation. With the recognized importance of non-terrestrial networks and the current standardization efforts (e.g., towards 6G), it is expected that the fairly restrictive regime on terrestrial cellular spectrum may be relaxed further to also allow mobile terrestrial spectrum to be used in “Antenna-in-the-Sky” coverage platforms. Nevertheless, HAPS and terrestrial use of cellular frequency spectrum will have to be coordinated to avoid interference and resulting capacity and quality degradation.

SoftBank announced recently (i.e., 28 December 2023 [11]), after deliberations at the WRC-23, that they had successfully gained approval within the Asia-Pacific region (i.e., ITU-R region 3) to use mobile spectrum bands, namely 700-900MHz, 1.7GHz, and 2.5GHz, for stratospheric drone-based mobile broadband cellular services (see also refs. [13]). As a result of this decision, operators in different countries and regions will be able to choose a spectrum with greater flexibility when they introduce HAPS-based mobile broadband communication services, thereby enabling seamless usage with existing smartphones and other devices.

Another example of re-using terrestrial licensed cellular spectrum above ground is SpaceX direct-to-cell capable 2nd generation Starlink satellites.

On January 2nd, 2024, SpaceX launched their new generation of Starlink satellites with direct-to-cell capabilities to close a connection to a regular mobile cellular phone (e.g., smartphone). The new direct-to-cell Starlink satellites use T-Mobile US terrestrial licensed cellular frequency band (i.e., 2×5 MHz Band 25, PCS G-block) and will work, according to T-Mobile US, with most of their existing mobile phones. The initial direct-to-cell commercial plans will only support low-bandwidth text messaging and no voice or more bandwidth-heavy applications (e.g., streaming). Expectations are that the direct-to-cell system would deliver up to 18.3 Mbps (3.66 Mbps/MHz/cell) downlink and up to 7.2 Mbps (1.44 Mbps/MHz/cell) uplink over a channel bandwidth of 5 MHz (maximum).

Given that terrestrial 4G LTE systems struggle with such performance, it will be super interesting to see what the actual performance of the direct-to-cell satellite constellation will be.

COMPARISON WITH LEO SATELLITE BROADBAND NETWORKS.

When juxtaposed with LEO satellite networks such as Starlink (SpaceX), OneWeb (Eutelsat Group), or Kuiper (Amazon), stratospheric drones offer several advantages. Firstly, the proximity to the Earth’s surface (i.e., 300 – 2,000 km) results in lower latency, a critical factor for real-time applications. While LEO satellites, like those used by Starlink, have reduced latency (ca. 3 ms round-trip-time) compared to traditional geostationary satellites (ca. 240 ms round-trip-time), stratospheric drones can provide even quicker response times (one-tenth of an ms in round-trip-time), making the stratospheric drone substantially more beneficial for applications such as emergency services, telemedicine, and high-speed internet services.

A stratospheric platform operating at 20 km altitude and targeting surveillance, all else being equal, would be 25 times better at distinguishing objects apart than an LEO satellite operating at 500 km altitude. The global aerial imaging market is expected to exceed 7 billion euros by 2030, with a CAGR of 14.2% from 2021. The flexibility of the stratospheric drone platform allows for combining cellular broadband services and a wide range of advanced aerial imaging services. Again, it is advantageous that the stratospheric drone regularly returns to Earth for fueling, maintenance, and technology upgrades and enhancements. This is not possible with an LEO satellite platform.

Moreover, the deployment and maintenance of stratospheric drones are, in theory, less complex and costly than launching and maintaining a constellation of satellites. While Starlink and similar projects require significant upfront investment for satellite manufacturing and rocket launches, stratospheric drones can be deployed at a fraction of the cost, making them a more economically viable option for many applications.

The Starlink LEO satellite constellation currently is the most comprehensive satellite (fixed) broadband coverage service. As of November 2023, Starlink had more than 5,000 satellites in low orbit (i.e., ca. 550 km altitude), and an additional 7,000+ are planned to be deployed, with a total target of 12+ thousand satellites. The current generation of Starlink satellites has three downlink phased-array antennas and one uplink phase-array antenna. This specification translates into 48 beams downlink (satellite to ground) and 16 beams uplink (ground to satellite). Each Starlink beam covers approx. 2,800 km2 with a coverage range of ca. 30 km, over which a 250 MHz downlink channel (in the Ku band) has been assigned. According to Portillo et al. [14], the spectral efficiency is estimated to be 2.7 Mbps per MHz, providing a total throughput of a maximum of 675 Mbps in the coverage area or a throughput density of ca. 0.24 Mbps per km2.

According to the latest Q2-2023 Ookla speed test it is found that “among the 27 European countries that were surveyed, Starlink had median download speeds greater than 100 Mbps in 14 countries, greater than 90 Mbps in 20 countries, and greater than 80 in 24 countries, with only three countries failing to reach 70 Mbps” (see reference [18]). Of course, the actual customer experience will depend on the number of concurrent users demanding resources from the LEO satellite as well as weather conditions, proximity of other users, etc. Starlink themselves seem to have set an upper limit of 220 Mbps download speed for their so-called priority service plan or otherwise 100 Mbps (see [19] below). Quite impressive performance if there are no other broadband alternatives available.

According to Elon Musk, SpaceX aims to reduce each Starlink satellite’s cost to less than one million euros. However, according to Elon Musk, the unit price will depend on the design, capabilities, and production volume. The launch cost using the SpaceX Falcon 9 launch vehicle starts at around 57 million euros, and thus, the 50 satellites would add a launch cost of ca. 1.1 million euros per satellite. SpaceX operates, as of September 2023, 150 ground stations (“Starlink Gateways”) globally that continue to connect the satellite network with the internet and ground operations. At Starlink’s operational altitude, the estimated satellite lifetime is between 5 and 7 years due to orbital decay, fuel and propulsion system exhaustion, and component durability. Thus, a LEO satellite business must plan for satellite replacement cycles. This situation differs greatly from the stratospheric drone-based operation, where the vehicles can be continuously maintained and upgraded. Thus, they are significantly more durable, with an expected useful lifetime exceeding ten years and possibly even 20 years of operational use.

Let’s consider our example of Germany and what it would take to provide LEO satellite coverage service targeting rural areas. It is important to understand that a LEO satellite travels at very high speeds (e.g., upwards of 30 thousand km per hour) and thus completes an orbit around Earth in between 90 to 120 minutes (depending on the satellite’s altitude). It is even more important to remember that Earth rotates on its axis (i.e., 24 hours for a full rotation), and the targeted coverage area will have moved compared to a given satellite orbit (this can easily be several hundreds to thousands of kilometers). Thus, to ensure continuous satellite broadband coverage of the same area on Earth, we need a certain number of satellites in a particular orbit and several orbits to ensure continuous coverage at a target area on Earth. We would need at least 210 satellites to provide continuous coverage of Germany. Most of the time, most satellites would not cover Germany, and the operational satellite utilization will be very low unless other areas outside Germany are also being serviced.

Economically, using the Starlink numbers above as a guide, we incur a capital expense of upwards of 450 million euros to realize a satellite constellation that could cover Germany. Let’s also assume that the LEO satellite broadband operator (e.g., Starlink) must build and launch 20 satellites annually to maintain its constellation and thus incur an additional Capex of ca. 40+ million euros annually. This amount does not account for the Capex required to build the ground network and the operations center. Let’s say all the rest requires an additional 10 million euros Capex to realize and for miscellaneous going forward. The technology-related operational expenses should be low, at most 30 million euros annually (this is a guesstimate!) and likely less. So, covering Germany with an LEO broadband satellite platform over ten years would cost ca. 1.3 billion euros. Although substantially more costly than our stratospheric drone platform, it is still less costly than running a rural terrestrial mobile broadband network.

Despite being favorable compared in economic to the terrestrial cellular network, it is highly unlikely to make any operational and economic sense for a single operator to finance such a network, and it would probably only make sense if shared between telecom operators in a country and even more so over multiple countries or states (e.g., European Union, United States, PRC, …).

Despite the implied silliness of a single mobile operator deploying a satellite constellation for a single Western European country (irrespective of it being fairly large), the above example serves two purposes; (1) To illustrates how economically in-efficient rural mobile networks are that a fairly expansive satellite constellation could be more favorable. Keep in mind that most countries have 3 or 4 of them, and (2) It also shows that the for operators to share the economics of a LEO satellite constellation over larger areal footprint may make such a strategy very attractive economically,

Due to the path loss at 550 km (LEO) being substantially higher than at 20 km (stratosphere), all else being equal, the signal quality of the stratospheric broadband drone would be significantly better than that of the LEO satellite. However, designing the LEO satellite with more powerful transmitters and sensitive receivers can compensate for the factor of almost 30 in altitude difference to a certain extent. Clearly, the latency performance of the LEO satellite constellation would be inferior to that of the stratospheric drone-based platform due to the significantly higher operating altitude.

It is, however, the capacity rather than shared cost could be the stumbling block for LEOs: For a rural cellular network or stratospheric drone platform, we see the MNOs effectively having “control” over the capex costs of the network, whether it be the RAN element for a terrestrial network, or the cost of whole drone network (even if it in the future, this might be able to become a shared cost).

However, for the LEO constellation, we think the economics of a single MNO building a LEO constellation even for their own market is almost entirely out of the question (ie multiple €bn capex outlay). Hence, in this situation, the MNOs will rely on a global LEO provider (ie Starlink, or AST Space Mobile) and will “lend” their spectrum to their in their respective geography in order to provide service. Like the HAPs, this will also require further regulatory approvals in order to free up terrestrial spectrum for satellites in rural areas.

We do not yet have the visibility of the payments the LEOs will require, so there is the potential that this could be a lower cost alternative again to rural networks, but as we show below, we think the real limitation for LEOs might not be the shared capacity rental cost, but that there simply won’t be enough capacity available to replicate what a terrestrial network can offer today.

However, the stratospheric drone-based platform provides a near-ideal cellular performance to the consumer, close to the theoretical peak performance of a terrestrial cellular network. It should be emphasized that the theoretical peak cellular performance is typically only experienced, if at all, by consumers if they are very near the terrestrial cellular antenna and in a near free-space propagation environment. This situation is a very rare occurrence for the vast majority of mobile consumers.

Figure 7 summarizes the above comparison between a rural terrestrial cellular network with the non-terrestrial cellular networks such as LEO satellites and Stratospheric drones.

Figure 7 Illustrating a comparison between terrestrial cellular coverage with stratospheric drone-based (“Antenna-in-the-sky”) cellular coverage and Low Earth Orbit (LEO) satellite coverage options.

While the majority of the 5,500+ Starlink constellation is 13 GHz (Ku-band), at the beginning of 2024, Space X launched a few 2nd generation Starlink satellites that support direct connections from the satellite to a normal cellular device (e.g., smartphone), using 5 MHz of T-Mobile USA’s PCS band (1900 MHz). The targeted consumer service, as expressed by T-Mobile USA, is providing texting capabilities over areas with no or poor existing cellular coverage across the USA. This is fairly similar to services at similar cellular coverage areas presently offered by, for example, AST SpaceMobile, OmniSpace, and Lynk Global LEO satellite services with reported maximum speed approaching 20 Mbps. The so-called Direct-2-Device, where the device is a normal smartphone without satellite connectivity functionality, is expected to develop rapidly over the next 10 years and continue to increase the supported user speeds (i.e., utilized terrestrial cellular spectrum) and system capacity in terms of smaller coverage areas and higher number of satellite beams.

Table 1 below provides an overview of the top 10 LEO satellite constellations targeting (fixed) internet services (e.g., Ku band), IoT and M2M services, and Direct-to-Device (or direct-to-cell) services. The data has been compiled from the NewSpace Index website, which should be with data as of 31st of December 2023. The Top-10 satellite constellation rank has been based on the number of launched satellites until the end of 2023. Two additional Direct-2-Cell (D2C or Direct-to-Device, D2D) LEO satellite constellations are planned for 2024-2025. One is SpaceX Starlink 2nd generation, which launched at the beginning of 2024, using T-Mobile USA’s PCS Band to connect (D2D) to normal terrestrial cellular handsets. The other D2D (D2C) service is Inmarsat’s Orchestra satellite constellation based on L-band (for mobile terrestrial services) and Ka for fixed broadband services. One new constellation (Mangata Networks) targeting 5G services. With two 5G constellations already launched, i.e., Galaxy Space (Yinhe) launched 8 LEO satellites, 1,000 planned using Q- and V-bands (i.e., not a D2D cellular 5G service), and OmniSpace launched two satellites and have planned 200 in total. Moreover, currently, there is one planned constellation targeting 6G by the South Korean Hanwha Group (a bit premature, but interesting nevertheless) with 2,000 6G LEO Satellites planned. Most currently launched and planned satellite constellations offering (or plan to provide) Direct-2-Cell services, including IoT and M2M, are designed for low-frequency bandwidth services that are unlikely to compete with terrestrial cellular networks’ quality of service where reasonable good coverage (or better) exists.

In Table 1 below, we then show 5 different services with the key input variables as cell radius, spectral efficiency and downlink spectrum. From this we can derive what the “average” capacity could be per square kilometer of rural coverage.

We focus on this metric as the best measure of capacity available once multiple users are on the service the spectrum available is shared. This is different from “peak” speeds which are only relevant in the case of very few users per cell.

  • We start with terrestrial cellular today for bands up to 2.1GHz and show that assuming a 2.5km cell radius, the average capacity is equivalent to 11Mbps per sq.km.
  • For a LEO service using Ku-band, i.e., with 250MHz to an FWA dish, the capacity could be ca. 2Mbps per sq.km.
  • For a LEO-based D2D device, what is unknown is what the ultimate spectrum allowance could be for satellite services with cellular spectrum bands, and spectral efficiency. Giving the benefit of the doubt on both, but assuming the beam radius is always going to be larger, we can get to an “optimistic” future target of 2Mbps per sq. km, i.e., 1/5th of a rural terrestrial network.
  • Finally, we show for a stratospheric drone, that given similar cell radius to a rural cell today, but with higher downlink available and greater spectral efficiency, we can reach ca. 55Mbps per sq. km, i.e. 5x what a current rural network can offer.

INTEGRATING WITH 5G AND BEYOND.

The advent of 5G, and eventually 6G, technology brings another dimension to the utility of stratospheric drones delivering mobile broadband services. The high-altitude platform’s ability to seamlessly integrate with existing 5G networks makes them an attractive option for expanding coverage and enhancing network capacity at superior economics, particularly in rural areas where the economics for terrestrial-based cellular coverage tend to be poor. Unlike terrestrial networks that require extensive groundwork for 5G rollout, the non-terrestrial network operator (NTNO) can rapidly deploy stratospheric drones to provide immediate 5G coverage over large areas. The high-altitude platform is also incredibly flexible compared to both LEO satellite constellations and conventional rural cellular network flexibility. The platform can easily be upgraded during its ground maintenance window and can be enhanced as the technology evolves. For example, upgrading to and operationalizing 6G would be far more economical with a stratospheric platform than having to visit thousands or more rural sites to modernize or upgrade the installed active infrastructure.

SUMMARY.

Stratospheric drones represent a significant advancement in the realm of wireless communication. Their strategic positioning in the stratosphere offers superior coverage and connectivity compared to terrestrial networks and low-earth satellite solutions. At the same time, their economic efficiency makes them an attractive alternative to ground-based infrastructures and LEO satellite systems. As technology continues to evolve, these high-altitude platforms (HAPs) are poised to play a crucial role in shaping the future of global broadband connectivity and ultra-high availability connectivity solutions, complementing the burgeoning 5G networks and paving the way for next-generation three-dimensional communication solutions. Moving away from today’s flat-earth terrestrial-locked communication platforms.

The strategic as well as the disruptive potential of the unmanned autonomous stratospheric terrestrial coverage platform is enormous, as shown in this article. It has the potential to make most of the rural (at least) cellular infrastructure redundant, resulting in substantial operational and economic benefits to existing mobile operators. At the same time, the HAPs could, in rural areas, provide much better service overall in terms of availability, improved coverage, and near-ideal speeds compared to what is the case in today’s cellular networks. It might also, at scale, become a serious competitive and economical threat to LEO satellite constellations, such as, for example, Starlink and Kuipers, that would struggle to compete on service quality and capacity compared to a stratospheric coverage platform.

Although the strategic, economic, as well as disruptive potential of the unmanned autonomous stratospheric terrestrial coverage platform is enormous, as shown in this article, the flight platform and advanced antenna technology are still in a relatively early development phase. Substantial regulatory work remains in terms of permitting the terrestrial cellular spectrum to be re-used above terra firma at the “Antenna-in-the-Sky. The latest developments out of WRC-23 for Asia Pacific appear very promising, showing that we are moving in the right direction of re-using terrestrial cellular spectrum in high-altitude coverage platforms. Last but not least, operating an unmanned (autonomous) stratospheric platform involves obtaining certifications as well as permissions and complying with various flight regulations at both national and international levels.

Terrestrial Mobile Broadband Network – takeaway:

  • It is the de facto practice for mobile cellular networks to cover nearly 100% geographically. The mobile consumer expects a high-quality, high-availability service everywhere.
  • A terrestrial mobile network has a relatively low area coverage per unit antenna with relatively high capacity and quality.
  • Mobile operators incur high and sustainable infrastructure costs, especially in rural areas with low or no return on that cost.
  • Physical obstructions and terrain limit performance (i.e., non-free space characteristics).
  • Well-established technology with high reliability.
  • The potential for high bandwidth and low latency in urban areas with high demand may become a limiting factor for LEO satellite constellations and stratospheric drone-based platforms. Thus, it is less likely to provide operational and economic benefits covering high-demand, dense urban, and urban areas.

LEO Satellite Network – takeaway:

  • The technology is operational and improving. There is currently some competition (e.g., Starlink, Kuiper, OneWeb, etc.) in this space, primarily targeting fixed broadband and satellite backhaul services. Increasingly, new LEO satellite-based business models are launched providing lower-bandwidth cellular-spectrum based direct-to-device (D2D) text, 4G and 5G services to regular consumer and IoT devices (i.e., Starlink, Lynk Global, AST SpaceMobile, OmniSpace, …).
  • Broader coverage, suitable for global reach. It may only make sense when the business model is viewed from a worldwide reach perspective (e.g., Starlink, OneWeb,…), resulting in much-increased satellite network utilization.
  • An LEO satellite broadband network can cover a vast area per satellite due to its high altitude. However, such systems are in nature capacity-limited, although beam-forming antenna technologies (e.g., phased array antennas) allow better capacity utilization.
  • The LEO satellite solutions are best suited for low-population areas with limited demand, such as rural and largely unpopulated areas (e.g., sea areas, deserts, coastlines, Greenland, polar areas, etc.).
  • Much higher latency compared to terrestrial and drone-based networks. 
  • Less flexible once in orbit. Upgrades and modernization only via replacement.
  • The LEO satellite has a limited useful operational lifetime due to its lower orbital altitude (e.g., 5 to 7 years).
  • Lower infrastructure cost for rural coverage compared to terrestrial networks, but substantially higher than drones when targeting regional areas (e.g., Germany or individual countries in general).
  • Complementary to the existing mobile business model of communications service providers (CSPs) with a substantial business risk to CSPs in low-population areas where little to no capacity limitations may occur.
  • Requires regulatory permission (authorization) to operate terrestrial frequencies on the satellite platform over any given country. This process is overseen by national regulatory bodies in coordination with the International Telecommunication Union (ITU) as well as national regulators (e.g., FCC in the USA). Satellite operators must apply for frequency bands for uplink and downlink communications and coordinate with the ITU to avoid interference with other satellites and terrestrial systems. In recent years, however, there has been a trend towards more flexible spectrum regulations, allowing for innovative uses of the spectrum like integrating terrestrial and satellite services. This flexibility is crucial in accommodating new technologies and service models.
  • Operating a LEO satellite constellation requires a comprehensive set of permissions and certifications that encompass international and national space regulations, frequency allocation, launch authorization, adherence to space debris mitigation guidelines, and various liability and insurance requirements.
  • Both LEO and MEO satellites is likely going to be complementary or supplementary to stratospheric drone-based broadband cellular networks offering high-performing transport solutions and possible even acts as standalone or integrated (with terrestrial networks) 5G core networks or “clouds-in-the-sky”.

Stratospheric Drone-Based Network – takeaway:

  • It is an emerging technology with ongoing research, trials, and proof of concept.
  • A stratospheric drone-based broadband network will have lower deployment costs than terrestrial and LEO satellite broadband networks.
  • In rural areas, the stratospheric drone-based broadband network offers better economics and near-ideal quality than terrestrial mobile networks. In terms of cell size and capacity, it can easily match that of a rural mobile network.
  • The solution offers flexibility and versatility and can be geographically repositioned as needed. The versatility provides a much broader business model than “just” an alternative rural coverage solution (e.g., aerial imaging, surveillance, defense scenarios, disaster area support, etc.).
  • Reduced latency compared to LEO satellites.
  • Also ideal for targeted or temporary coverage needs.
  • Complementary to the existing mobile business model of communications service providers (CSPs) with additional B2B and public services business potential from its application versatility.
  • Potential substantial negative impact on the telecom tower business as the stratospheric drone-based broadband network would make (at least) rural terrestrial towers redundant.
  • May disrupt a substantial part of the LEO satellite business model due to better service quality and capacity leaving the LEO satellite constellations revenue pool to remote areas and specialized use cases.
  • Requires regulatory permission to operate terrestrial frequencies (i.e., frequency authorization) on the stratospheric drone platform (similar to LEO satellites). Big steps have are already been made at the latest WRC-23, where the frequency bands 698 to 960 MHz, 1710 to 2170 MHz, and 2500 to 2690 MHz has been relaxed to allow for use in HAPS operating at 20 to 50 km altitude (i.e., the stratosphere).
  • Operating a stratospheric platform in European airspace involves obtaining certifications as well as permissions and (of course) complying with various regulations at both national and international levels. This includes the European Union Aviation Safety Agency (EASA) type certification and the national civil aviation authorities in Europe.

FURTHER READING.

  1. New Street Research “Stratospheric drones: A game changer for rural networks?” (January 2024).
  2. https://hapsalliance.org/
  3. https://www.stratosphericplatforms.com/, see also “Beaming 5G from the stratosphere” (June, 2023) and “Cambridge Consultants building the world’s largest  commercial airborne antenna” (2021).
  4. Iain Morris, “Deutsche Telekom bets on giant flying antenna”, Light Reading (October 2020).
  5. “Deutsche Telekom and Stratospheric Platforms Limited (SPL) show Cellular communications service from the Stratosphere” (November 2020).
  6. “High Altitude Platform Systems: Towers in the Skies” (June 2021).
  7. “Stratospheric Platforms successfully trials 5G network coverage from HAPS vehicle” (March 2022).
  8. Leichtwerk AG, “High Altitude Platform Stations (HAPS) – A Future Key Element of Broadband Infrastructure” (2023). I recommend to closely follow Leichtwerk AG which is a world champion in making advanced gliding planes. The hydrogen powered StratoStreamer HAP is near-production ready, and they are currently working on a solar-powered platform. Germany is renowned for producing some of the best gliding planes in the world (after WWII Germany was banned from developing and producing aircrafts, military as well as civil. These restrictions was only relaxed in the 60s). Germany has a long and distinguished history in glider development, dating back to the early 20th century. German manufacturers like Schleicher, Schempp-Hirth, and DG Flugzeugbau are among the world’s leading producers of high-quality gliders. These companies are known for their innovative designs, advanced materials, and precision engineering, contributing to Germany’s reputation in this field.
  9. Jerzy Lewandowski, “Airbus Aims to Revolutionize Global Internet Access with Stratospheric Drones” (December 2023).
  10. Utilities One, “An Elevated Approach High Altitude Platforms in Communication Strategies”, (October 2023).
  11. Rajesh Uppal, “Stratospheric drones to provide 5g wireless communications global internet border security and military surveillance”  (May 2023).
  12. Softbank, “SoftBank Corp.-led Proposal to Expand Spectrum Use for HAPS Base Stations Agreed at World Radiocommunication Conference 2023 (WRC-23)”, press release (December 2023).
  13. ITU Publication, World Radiocommunications Conference 2023 (WRC-23), Provisional Final Acts, (December 2023). Note 1: The International Telecommunication Union (ITU) divides the world into three regions for the management of radio frequency spectrum and satellite orbits: Region 1: includes Europe, Africa, the Middle East west of the Persian Gulf including Iraq, the former Soviet Union, and Mongolia, Region 2: covers the Americas, Greenland, and some of the eastern Pacific Islands, and Region 3: encompasses Asia (excl. the former Soviet Union), Australia, the southwest Pacific, and the Indian Ocean’s islands.
  14. Geoff Huston, “Starlink Protocol Performance” (November 2023). Note 2: The recommendations, such as those designated with “ADD” (additional), are typically firm in the sense that they have been agreed upon by the conference participants. However, they are subject to ratification processes in individual countries. The national regulatory authorities in each member state need to implement these recommendations in accordance with their own legal and regulatory frameworks.
  15. Curtis Arnold, “An overview of how Starlink’s Phased Array Antenna “Dishy McFlatface” works.”, LinkedIn (August 2023).
  16. Quora, “How much does a satellite cost for SpaceX’s Starlink project and what would be the cheapest way to launch it into space?” (June 2023).
  17. The Clarus Network Group, “Starlink v OneWeb – A Comprehensive Comparison” (October 2023).
  18. Brian Wang, “SpaceX Launches Starlink Direct to Phone Satellites”, (January 2024).
  19. Sergei Pekhterev, “The Bandwidth Of The StarLink Constellation…and the assessment of its potential subscriber base in the USA.”, SatMagazine, (November 2021).
  20. I. del Portillo et al., “A technical comparison of three low earth orbit satellite constellation systems to provide global broadband,” Acta Astronautica, (2019).
  21. Nils Pachler et al., “An Updated Comparison of Four Low Earth Orbit Satellite Constellation Systems to Provide Global Broadband” (2021).
  22. Shkelzen Cakaj, “The Parameters Comparison of the “Starlink” LEO Satellites Constellation for Different Orbital Shells” (May 2021).
  23. Mike Puchol, “Modeling Starlink capacity” (October 2022).
  24. Mike Dano, “T-Mobile and SpaceX want to connect regular phones to satellites”, Light Reading (August 2022).
  25. Starlink, “SpaceX sends first text message via its newly launched direct to cell satellites” (January 2024).
  26. GSMA.com, “New Speedtest Data Shows Starlink Performance is Mixed — But That’s a Good Thing” (2023).
  27. Starlink, “Starlink specifications” (Starlink.com page).
  28. AST SpaceMobile website: https://ast-science.com/ Constellation Areas: Internet, Direct-to-Cell, Space-Based Cellular Broadband, Satellite-to-Cellphone. 243 LEO satellites planned. 2 launched.
  29. Lynk Global website: https://lynk.world/ (see also FCC Order and Authorization). It should be noted that Lynk can operate within 617 to 960 MHz (Space-to-Earth) and 663 to 915 MHz (Earth-to-Space). However, only outside the USA. Constellation Area: IoT / M2M, Satellite-to-Cellphone, Internet, Direct-to-Cell. 8 LEO satellites out of 10 planned.
  30. Omnispace website: https://omnispace.com/ Constellation Area: IoT / M2M, 5G. World’s first global 5G non terrestrial network. Initial support 3GPP-defined Narrow-Band IoT radio interface. Planned 200 LEO and <15 MEO satellites. So far only 2 satellites launched.
  31. NewSpace Index: https://www.newspace.im/ I find this resource having excellent and up-to date information of commercial satellite constellations.
  32. Wikipedia, “Satellite constellation”.
  33. LEOLABS Space visualization – SpaceX Starlink mapping. (deselect “Debris”, “Beams”, and “Instruments”, and select “Follow Earth”). An alternative visualization service for Starlink & OneWeb satellites is the website Satellitemap.space (you might go to settings and turn on signal Intensity which will give you the satellite coverage hexagons).
  34. European Union Aviation Safety Agency (EASA). Note that an EASA-type Type Certificate is a critical document in the world of aviation. This certificate is a seal of approval, indicating that a particular type of aircraft, engine, or aviation component meets all the established safety and environmental standards per EASA’s stringent regulations. When an aircraft, engine, or component is awarded an EASA Type Certificate, it signifies a thorough and rigorous evaluation process that it has undergone. This process assesses everything from design and manufacturing to performance and safety aspects. The issuance of the certificate confirms that the product is safe for use in civil aviation and complies with the necessary airworthiness requirements. These requirements are essential to ensure aircraft operating in civil airspace safety and reliability. Beyond the borders of the European Union, an EASA Type Certificate is also highly regarded globally. Many countries recognize or accept these certificates, which facilitate international trade in aviation products and contribute to the global standardization of aviation safety.

ACKNOWLEDGEMENT.

I greatly acknowledge my wife, Eva Varadi, for her support, patience, and understanding during the creative process of writing this article.

I also owe a lot of gratitude to James Ratzer, Partner at New Street Research, for editorial suggestions, great discussions and challenges making the paper far better than it otherwise would have been. I would also like to thank Russel Waller, Pan European Telecoms and ESG Equity Analyst at New Street Research, for being supportive and insistent to get something written for NSR.

I also greatly appreciate my past collaboration and the many discussions on the topic of Stratospheric Drones in particular and advanced antenna designs and properties in general that I have had with Dr. Jaroslav Holis, Senior R&D Manager (Group Technology, Deutsche Telekom AG) over the last couple of years. When it comes to my early involvement in Stratospheric Drones activities with Group Technology Deutsche Telekom AG, I have to recognize my friend, mentor, and former boss, Dr. Bruno Jacobfeuerborn, former CTO Deutsche Telekom AG and Telekom Deutschland, for his passion and strong support for this activity since 2015. My friend and former colleague Rachid El Hattachi deserves the credit for “discovering” and believing in the opportunities that a cellular broadband-based stratospheric drone brings to the telecom industry.

Many thanks to CEO Dr. Reiner Kickert of Leichtwerk AG for providing some high resolution pictures of his beautiful StratoStreamer.

Thanks to my friend Amit Keren for suggesting a great quote that starts this article.

Any errors or unclarities are solely due to myself and not the collaborators and colleagues that have done their best to support this piece.