Competition heats up as Amazon challenges Starlink in Europe

The world of satellite internet is in full swing with Amazon’s entry into the European market through its Kuiper system, recently approved by the UK telecommunications authority, Ofcom.

This development is set to intensify competition with Starlink, SpaceX’s satellite service, which has already established a strong presence in the market.

As both companies aim to provide high-speed internet via low Earth orbit satellites, the competitive landscape is beginning to take shape, with its challenges and opportunities.

The Competitive Landscape of LEO Internet

Ofcom’s approval marks a crucial milestone for Kuiper, but it doesn’t guarantee an immediate balance in the competition. Starlink, with over 7,050 satellites in orbit, has a far more developed infrastructure than Kuiper, which currently has only two prototypes in orbit.

While Kuiper plans to launch more satellites in the near future, a significant gap remains between the operational capabilities of the two companies.

Kuiper’s Technological Advancements

Despite the low number of satellites in orbit, Kuiper is not lagging behind technologically. One of its ambitions is to establish an optical communication network between its satellites. This technology, already in use by Starlink, allows for fast and efficient data transmissions.

The technical challenges are numerous, particularly the coordination of satellites moving at high speeds, requiring precise tracking systems to avoid collisions.

Starlink’s Dominance and Market Constraints

Starlink, with its vast constellation of satellites, dominates the LEO internet market, but that doesn’t mean it is without challenges.

Recent studies by Moffett Nathanson reveal that despite strong demand for its services, Starlink may not reach a significant number of U.S. households. This paradox highlights the limitations of existing infrastructure and the need to further develop connectivity in underserved areas.

The Growing Need for Global Connectivity

As the demand for reliable connectivity grows, both Kuiper and Starlink are primarily targeting rural and remote areas, where access to traditional internet services remains limited. Other companies such as OneWeb and emerging satellite projects from countries like China are also increasing competition, adding layers of complexity to an already dynamic market.

Avoiding Orbital Collisions

The rise in the number of satellites in orbit raises concerns about the safety of space operations. Starlink has already conducted over 50,000 collision avoidance maneuvers, highlighting the importance of proactive satellite management. Experts are calling for better cooperation between operators to prevent incidents that could have disastrous consequences in space.

Starlink in Ukraine: A Critical Use Case

Starlink has demonstrated its value in Ukraine, where its services have become essential for the military, providing continuous connectivity in critical situations. Its resilience against Russian jammers underscores the importance of this service in tense geopolitical contexts, further strengthening its position in the market.

Ongoing European Alternatives

With the rise of Starlink, discussions are underway in Europe to develop alternatives.

The Luxembourg-based company SES, in collaboration with other operators such as Hisdesat and Eutelsat/OneWeb, is exploring solutions to provide backup services to Ukraine, which could also serve as a model for enhancing satellite connectivity in Europe.

Amazon’s entry into the LEO internet market with Kuiper presents a challenge for Starlink, but also an opportunity to diversify the services offered. Industry players must navigate a rapidly evolving technological landscape, where collaboration and innovation will play crucial roles in ensuring a connected and secure future.