The iPhone drove demand for mobile data through the roof, which in turn made network operators lots of money and opened up market space for new investment and lots of new handset competitors.
I bet that over time, we’ll see similar results here. Apple will be happy to buy satellite connectivity from anyone with birds, including SpaceX. This feature will work best the more satellites it can talk to. And their marketing of the feature will help competitors by driving up overall demand.
All that said, I question the total available market for this feature. Most folks who buy new phones spend most of their time near places with cell connectivity. It seems like the old fixed wireless broadband market: sounded good on paper but most customers were already passed by cable, copper, or fiber.
I have to wonder if Apple knows something we don’t. 5G is going to use smaller cells both to increase bandwidth and to compensate for the greater interference with higher frequency bands. I wonder if Apple is introducing satellite connectivity because they expect the overall cellular coverage footprint to decrease.