How two billionaires are battling for satellite internet dominance

15

October

2022

4/5 (1)

Constant access to fast and reliable internet connection has become the standard in the Europe, with even 98% internet penetration in Northern Europe (Statista Research Department, 2022). However, in 2021, the number of worldwide internet users was 4.9 billion, being 63 percent of global population. In other words, more than one third of the global population currently does not have access to the world wide web. Internet access and availability can heavily differ per region. For example, India and China combined count for a total of 1.1 billion people who are disconnected to the internet.

At this moment multiple companies are trying to solve this problem, through delivering internet from space, using small satellites that are launched into low Earth orbit. Companies such as OneWeb, Viasat, Geespace, Telesat, Starlink are currently competing to become market leader in this satellite internet industry.

Elon Musk’s SpaceX is currently leading the race with their project called Starlink. This company was established in 2015 and launched their first prototype satellites into the orbit in 2018. In the following years SpaceX deployed a total of 2,662 satellites into low Earth orbit, currently serving about 250,000 customers in 32 countries around the world (Pertova, 2022). The company offers a high-speed broadband connection to people in rural areas and parts of the world where currently internet access is unavailable. The company is currently helping Ukraine with their war against Russia, providing Ukraine with stable and secure internet connection, giving them a strategic advantage.

Another contender that entered the market in 2019 is Amazon’s project Kuiper. In April 2022, Jeff Bezos’s Amazon signed the largest rocket deal in the history of commercial space industry, around $10 billion, for launches of a total of 3276 Kuiper satellites (Clarke, 2022). Amazon is planning to launch its first internet satellites by the start of 2023, and will try to compete with SpaceX and the other competitors.

This competition between Elon Musk and Jeff Bezos can have major positive impact on developing countries, countries in difficult situations, as well as rural areas in other companies, by providing stable and fast internet connectivity. I believe that the competition between these companies, and these two billionaires, will accelerate the growth of this technology, which will have positive effects on helping countries and areas that are in need.

References

Clarke, N. (2022, 4 7). Amazon’s Project Kuiper vs Starlink: What We Know. Opgehaald van https://www.starlinkhardware.com/: https://www.starlinkhardware.com/amazons-project-kuiper-vs-starlink-what-we-know/

Pertova, M. (2022, 5 1). Amazon has bold ambitsions to take on SpaceX in the satellite internet business. CNBC.

Statista Research Department. (2022, 6 6). Internet usage worldwide – statistics & facts. Opgehaald van https:/www.statista.com: https://www.statista.com/topics/1145/internet-usage-worldwide/#dossierKeyfigures

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1 thought on “How two billionaires are battling for satellite internet dominance”

  1. I like the topic of your blog and think that you explained the situation and its implications very clearly. One thing that came to mind is, those 1.1 billion people in China and India that are not connected to the internet, is that because they are unable to due to connectivity issues, or is it because they don’t have electricity or a device that can connect them to the internet?

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