T-Mobile will launch its satellite-to-cell service, powered by SpaceX's Starlink, in July for $15 a month, as the U.S. wireless carrier aims to eliminate mobile dead zones and extend connectivity to remote areas.
Shares of T-Mobile rose about 4% in premarket trading on Monday.
The move could mark a pivotal shift in mobile connectivity, bridging the gap between traditional cell networks and satellite technology to ensure seamless coverage anywhere on Earth.
T-Mobile said 500,000 square miles of the U.S., which is unreachable by terrestrial cell towers, can now stay connected.
The carrier began a wide-scale beta trial of the service on Sunday. The company will provide the service free for customers till its launch, after which it will be included in the carrier's premium Go5G Next plan at no extra cost.
For other plans, customers who sign up for the trial will get a 33% discount when the service is commercially launched, the wireless carrier said.
The carrier is also offering the T-Mobile Starlink service directly to all wireless users, including customers of rival telecom firms AT&T and Verizon without having to switch.
The beta launch will offer text service via satellite, while voice and data features will be added later, the company announced during the Super Bowl game on Sunday.
"This is something that nobody else in the U.S. has done, and one of the big distinctive things this network has is that it works across almost all smartphones from the last four years," Mike Katz, president of marketing, strategy and products, told Reuters.
T-Mobile has been working closely with Apple and Alphabet's Google to "ensure that this experience is integrated directly into their OS (operating system), and this will be the default satellite system across both of those phones," Katz said.
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