The Cost Barrier Persists Despite Satellite Internet’s Global Connectivity Contributions

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A SpaceX Falcon 9 rocket successfully launches 60 Starlink satellites from Cape Canaveral Air Force Station, Fla., in 2019. File Photo courtesy of SpaceX/UPI

A SpaceX Falcon 9 rocket successfully launches 60 Starlink satellites from Cape Canaveral Air Force Station, Fla., in 2019. File Photo courtesy of SpaceX/UPI | License Photo

June 16 (UPI) — Satellite Internet is bridging the gap in digital connectivity, but cost remains a significant barrier for about half of the global population with no online access.

The United Nations aims to achieve its goal of ensuring “safe and affordable access to the Internet, including meaningful use of digitally enabled services” for every individual by 2030.

However, the U.N.’s International Telecommunication Union reports that a majority of the 3.7 billion people without regular or high-speed Internet access live in the least developed countries.

This number could see a decline when U.S. aerospace company SpaceX launches the $540 million Satria communications satellite for Indonesia. This satellite aims to provide broadband Internet and communication capabilities to schools, hospitals, and other public facilities in rural areas.

The launch is scheduled for Sunday from Cape Canaveral Space Force Station in Florida.

Leading the charge in utilizing satellites to connect the 5.18 billion individuals, accounting for 6.46% of the global population currently connected to the Internet as of April, is Starlink. Starlink is operated by SpaceX, owned by Elon Musk.

The company provides high-speed, low-latency broadband Internet to approximately 1.5 million customers worldwide through a “constellation” of low-Earth-orbit satellites. This constellation has already surpassed 4,000 satellites, enabling fast and reliable Internet access through interlinked communication.

Last year, Japan became the first Asian country to receive Starlink services, and this year, Starlink extended its services to Nigeria and Rwanda. Further expansion into the Democratic Republic of Congo, Kenya, and Tanzania is planned by December, with more expansion in the following year.

In an interview with UPI, David Michelson, who heads the Radio Science Lab at the University of British Columbia in Vancouver and serves as the president of the Canadian National Committee of the International Union of Radio Science, highlighted that cost remains a significant hurdle in achieving global Internet coverage. Despite the technical feasibility for the past 25 years, the challenge lies in establishing a viable business case.

“The problem is not whether it is technically possible, it’s to make the business case. That’s going to be the big challenge,” he said.

While North American service providers can invest billions in connecting rural communities using an expanding fiber optic cable network, this solution is less feasible in sparsely populated regions around the world.

“When you have a high-density area, the cost of deploying the fiber is amortized over lots of subscribers, and you can bear it. And in places where you don’t have those subscribers and you can’t amortize the cost of deploying fiber, the satellite system works,” Michelson explained.

“Their strengths and limitations align perfectly.”

Starlink is familiar with the cost issue as Michelson emphasized the company’s need to generate enough income to offset the expenses associated with operating an expensive system.

“They have an expensive system to maintain. They’ve got space-based assets. They’re going to have to regularly replace those satellites. Maintaining a satellite network is expensive; it requires a lot more monitoring, caretaking, and maintenance than a conventional system does,” Michelson mentioned.

Last October, Musk stated that the company could no longer sustain financial losses resulting from providing services in Ukraine. Despite estimating losses of around $100 million for 2022, Musk later decided to continue the service despite the losses. The Pentagon recently confirmed that it would purchase Starlink satellite dishes and fund the service to ensure Ukraine remains connected, given its reliance on the Starlink system for defense and intelligence operations during the conflict with Russia.

Michelson highlighted the importance of Starlink aligning its functioning with the broader goals and directions within the industry.

“The vision comes from the International Telecommunications Union. There are existing standards for 5G non-terrestrial networks, which include aeronautical and space-based networks. One of the interesting parts is that the Starlink system does not align with this vision,” explained Michelson, an engineer who began his career as a member of a joint team from AT&T Wireless and AT&T Labs-Research.

“The telecommunications committee will be monitoring how Starlink integrates with the satellite network, considering it doesn’t adhere to the standards or development guidelines of the ITU for 5G.

“Starlink is somewhat of an outlier. So, that’s a significant question mark for many of us. How will Starlink fit into the 5G and 6G vision? Or will it simply remain an outlier?”

Reference

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