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SpaceX has partnered with an Israeli company for chip supply for its new satellites

Nigar Sultanli
15 December 2025 11:54
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SpaceX has partnered with an Israeli company for chip supply for its new satellites

SpaceX’s Starlink project has begun collaborating with Israeli semiconductor manufacturer Xsight Labs to provide network support for next-generation V3 satellites. Founded in 2017 and having attracted over $150 million in investment to date, Xsight Labs specializes in the development of high-speed communication chips. Under the agreement, the company’s X2 Ethernet switches will serve as a core network component in Starlink’s new satellites.

These chips, manufactured using TSMC’s 5-nanometer technology and successfully passing specialized environmental tests, will enable real-time data transmission and routing. The new V3 satellites are designed to offer higher data transfer speeds and increased network capacity compared to previous versions, aiming to expand global internet coverage. For SpaceX, which launches approximately 2,000 satellites per year and plans to build a massive constellation of 42,000 satellites in the future, the resilience of the supply chain is of critical importance.

Due to the larger size of the new satellites, their deployment into orbit will depend more on SpaceX’s next-generation heavy-lift Starship than the current Falcon 9 rockets. This increased capacity will also impact ground infrastructure. Currently, Starlink has 7.6 million active subscribers, and to minimize latency, internet providers and other companies will be able to connect directly with Starlink’s ground stations to further enhance service quality.

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