Amazon investing $10 billion to compete against SpaceX in satellite broadband

FCC approves Amazon plan to offer low-latency Internet with 3,236 satellites. …

Illustration of Earth with lines connecting cities to represent a global network.

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Amazon has received US approval to launch 3,236 low-Earth orbit satellites for its planned “Project Kuiper” broadband service.

A Federal Communications Commission order granting Amazon’s application was released Thursday. Amazon said in a blog post that it will invest more than $10 billion in the project.

“This investment will create jobs and infrastructure around the United States, build and scale our ground network, accelerate satellite testing and manufacturing, and let us deliver an affordable customer terminal that will make fast, reliable broadband accessible to communities around the world,” Amazon said. Amazon will target areas without good Internet service and said that “Project Kuiper will deliver high-speed, low-latency broadband service to places beyond the reach of traditional fiber or wireless networks.”

The planned satellites would orbit at altitudes of 590km, 610km, and 630km, allowing latencies far lower than traditional satellite services that use geosynchronous orbits of more than 35,000km. That’s similar to SpaceX’s Starlink, but SpaceX is much further along, as it has launched about 600 satellites and is getting ready to start beta trials with customers.

Service to begin once 578 satellites launch

FCC rules give Amazon six years to launch and operate 50 percent of the licensed satellites, with a deadline date of July 30, 2026. Amazon would have to launch the rest of the licensed satellites by July 30, 2029.

Amazon plans to offer broadband to customers “once the first 578 satellites are launched,” the FCC said. Amazon hasn’t said when service will be available to customers.

The FCC approval said

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