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Home - SpaceX brings Xsight Labs onboard ahead of Starlink v3 launch
Chips - Semiconductor

SpaceX brings Xsight Labs onboard ahead of Starlink v3 launch

by Sean Kinney, Principal Analyst March 23, 2026
written by Sean Kinney, Principal Analyst March 23, 2026 Share
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Xsight Labs’ programmable X2 switch tapped by SpaceX to push throughput beyond 1 Tbps

My home airport is XNA, so I spend a lot of time on United regional jets. Fortunately, the carrier is rapidly equipping its ERJ175s with Starlink kit, which means I can regularly access downlink speeds of more than 300 Mbps and uplink speeds north of 50 Mbps — at 35,000 feet give or take. But that’s just the beginning: SpaceX is preparing for the next phase of Starlink with its planned v3 satellites, which are expected to bring a significant performance boost to satellite-to-satellite and satellite-to-ground communications. 

To better understand how that could drive the convergence of terrestrial and non-terrestrial networks, and help deliver on the vision of ubiquitous connectivity, I spoke with Eric Vallone, vice president of business development at Xsight Labs, a fabless semiconductor firm specializing in low-power, high-performance, open and programmable solutions. The company has two primary products: E-Series data processors and X-Series switch platforms. The latter, specifically the X2, will be used by SpaceX in its forthcoming Starlink v3 satellites. 

Looking beyond direct-to-device use cases like emergency alerts and messaging, Vallone laid out a broader vision of “mobile and space convergence…It’s not just about SMS. It’s about seamless connectivity.” Referencing United’s use of Starlink, he said, “That’s just another proof point of where it’s no longer about rural connectivity to the person on their yacht. It’s about broadband everywhere, and it’s about creating massive competition for this market.”

When Xsight developed the X2, Vallone said it was not “necessarily designed to be a space-grade product but it met all of [SpaceX’s] requirements…This is just a testament to the quality of the product the team has designed.” The point underscores Xsight’s focus on low-power silicon. For a solar-powered satellite, power, heat, size and complexity are all make-or-break considerations. The ability to customize the data plane, he said, creates additional opportunities to realize system-level efficiencies. 

According to Michael Nicolls, vice president of Starlink engineering at SpaceX, “Starlink demands next generation capabilities to quickly expand access to high-speed internet all around the world. Xsight’s X2 chip will form an integral part of the terabit routing needs of the next generation of Starlink satellites.” 

Discussing the E-Series, Vallone emphasized that it “absolutely can support the DPU use case and it excels at the DPU use case. [But] the reality is it’s an edge processor.” On the synergies between the DPU and switch, “We’re the only company offering these products together…It leads to, as an example, a smart switch — the lowest power, highest density smart switch out there.” Asked whether those would remain discrete products, Vallone said Xsight would support market demand as it executes on its roadmap.

Xsight Labs’ leadership team previously held positions at Cisco, Dell Technologies, Freescale, Intel, Marvell and Mellanox, among other major firms. Founding Investor and Chairman of the Board Avigdor Willenz founded Galileo Technology, which was acquired by Marvell. He was also a major investor in Annapurna Labs, acquired by Amazon, Leaba Semiconductor, acquired by Cisco, and Habana Labs, acquired by Intel. 

Returning to the Starlink deal, Vallone called it Xsight’s “most significant announcement to date. We absolutely see this as a key, critical proof point of where it can go.” This design win matters because it shows that future high-capacity satellite networks will depend on rockets and radios, but also on power-efficient, programmable onboard networking silicon capable of moving terabit-scale traffic in space.

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Sean Kinney
Sean Kinney, Principal Analyst

Sean focuses on multiple subject areas including 5G, 6G, Open RAN, hybrid cloud, edge computing, and Industry 4.0. Prior to his work at RCR, Sean studied journalism and literature at the University of Mississippi then spent six years based in Key West, Florida, working as a reporter for the Miami Herald Media Company. He currently lives in Fayetteville, Arkansas.

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