WASHINGTON/KYIV, Oct 23 (Reuters) - Ukraine's military has been hit this month by restrictions on Starshield, the military version of SpaceX's Starlink satellite communications system. Its receivers stopped functioning when mounted on fast-moving objects such as drones,

On Tuesday, SpaceX posted its second earnings report as a public company. SpaceX saw rapid growth in its AI business but incurred a higher spending bill than analysts had expected.

Elon Musk distinguished Starshield from Starlink, which he said could not be used for offensive military operations.

Ukrainian forces said its battlefield efforts were temporarily hampered after losing some access to SpaceX’s military-grade satellite Internet service. Experts tell TIME why Starshield is so uniquely important on the Ukrainian battlefield.

SpaceX reported second-quarter results on August 4. Revenue rose 92% to $7.81 billion, but capital spending reached $18.37 billion, $15.83 billion of it in the AI segment. That's 2.35 times the quarter's revenue going back out the door. The stock fell 13.61% on August 5.

SpaceX is reportedly chasing 80,000 cell towers to build a fourth nationwide wireless carrier, and the move sent shockwaves through the stocks of every major player except the ones that actually own the towers.

Ukraine's reliance on SpaceX's Starshield satellite internet has become a strategic vulnerability after reported speed restrictions on moving terminals disrupted drone missions, frontline logistics, and reconnaissance — raising questions about political pressure and the risks of depending on a privately controlled network.

SpaceX delivered exceptional Q3 results, with revenue growing 161% YoY and adjusted EBITDA increasing 306%. Read more on SPCX stock here.

Space Exploration Technologies (NasdaqGS: SPCX) and Tesla boards are reviewing a potential US$3.5 trillion merger across their businesses. The prospective tie up would combine assets in electric vehicles,