One Amazon satellite lot was launched to orbit low land, marking the greater advance so far in efforts of the technology giant to enter the Race for covering the planet with connectivity coming from space.
Twenty-seven instruments took place aboard an Atlas V rocket, built by United Launch Alliance, shortly after 8 pm GMT (Brasília) on Monday (28), from the Cabo Canaveral Space Station station in Florida.
The launch begins the first stage of the Amazon Kuiper project, a plan to create a massive constellation of satellites that transmit internet. The initiative seeks to compete directly with Starlink, a network offered by Spacex by Elon Musk, which already has at least 4.6 million customers worldwide.
The projects of both companies are part of an effort to transform the global internet infrastructure. Networks aim to provide access to remote regions of the planet where traditional broadband, which depends on underground cables, is nonexistent or insufficient.
It is an extremely complex venture, as thousands of satellites, orbiting close to Earth and traveling more than 27,000 km/h, need to operate together to maintain continuous connections with antennas of users and other terrestrial infrastructures. While Spacex has already advanced greatly with its constellation, the financial viability of the business remains uncertain, as the company is of closed capital.
Meanwhile, Wall Street analysts show fear of Amazon’s entry into this market.
The big question is if it’s not too late for Amazon to face Spacex.
“Kuiper still has a long way to go to be able to meet a significant part of the market,” Craig Moffett, senior director of the Moffettnathanson Research Firm, told CNN . “There seems to be a very, very high probability that it is too late so that the project will become an attractive investment.”
What is at stake
The first version of Amazon’s Kuiper service will feature a constellation of about 3,200 satellites.
Each instrument will orbit at about 450 kilometers above Earth, just below about 550 kilometers altitude from Starlink devices.
Both Kuiper and Starlink satellites operate in a region of space called Low Earth orbit, much closer to the planet than those used for traditional communication. For example, companies such as Inmarsat (based in London) and ViaSat (California), which provide Wi-Fi in remote areas or flights, operate satellites in geostationary orbit, to approximately 35,786 kilometers from the ground.
At these higher altitudes, the data take longer to reach customers. This gives low altitude instruments, such as Starlink and Kuiper’s, a significant velocity advantage.
Spacex has already used its Starlink network for various purposes: connecting homes and companies in remote areas, providing internet for airplanes, trailers and even astronauts aboard orbit spacecraft.
It will be difficult for Amazon to reduce the domain of the musk company, especially in the early stages of the implementation of Kuiper, as it will be necessary time and money to expand the service, according to Moffett.
An expensive enterprise
Just to set up the initial system of about 3,200 Kuiper satellites, the costs can reach $ 17 billion, according to a report by the Raymond James Financial Services Company, published in October.
And even if Amazon compensates for these revenue costs after the service launch, Kuiper can still generate an annual cost of $ 1 billion to $ 2 billion (about $ 5.6 billion to $ 11 billion) to the company, according to an April 21 report by analyst Josh Beck, also from Raymond James.
For Moffett, Amazon’s decision to compete with Starlink does not seem sensible. It is likely that the company has lost the timing of taking advantage of US investments in expanding the internet, and the Kuiper project may end up bringing to the technology giant the challenges of operating a megaconstelation of satellites without many of the benefits.
Geopolitical questions
Spacex CEO Elon Musk has already been involved in geopolitical issues in which he publicly claimed not to be, because of Starlink.
The company had to deal, for example, with the dilemma of offering its services in war zones – and the entrepreneur has already faced strong criticism for statements related to Ukraine.
In this context, Jeff Bezos, as an Amazon’s face, can be seen as a most welcome billionaire alternative on the international scene, in contrast to the increasingly radical Posture of Musk and his involvement with the current Trump government.
“I certainly imagine that NATO and Ukraine are at least discreetly celebrating the idea of having someone other than Elon Musk in the position of providing this ability,” Moffett said.
Still, there are other alternatives, such as British Oneweb, which is also building its own satellite internet constellation. For national security reasons, European Union countries and the United Kingdom may choose to reinforce their own abilities rather than depending on US -based services.
A small world
Nevertheless, theoretically, Amazon’s Kuiper project can have a world full of potential customers.
And there may be relevant gains for other areas of the company, such as the expansion of the Amazon Web Services (AWS) user base and the supply of connectivity to the company’s delivery vehicle fleet.
But there are still many doubts. Will Amazon be able to compete with Spacex in price? How long will it take to increase satellite production and expand the constellation to the point of covering large areas?
According to the company, it is expected that Kuiper will start operating later this year with the first customers.
Rajeev Badyal, vice president of the new project on Amazon, often maintains a thoughtful tone when talking about the potential of the project.
In a statement about the release of this Monday (28), he said that “this will be the first time we have released the final design of our satellite and the first time we have implemented so many satellites at once.”
“No matter how the mission unfolds, this is just the beginning of our journey, and we have all the pieces in place to learn and adapt as we prepare to release over the next few years,” Badyal concluded.
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This content was originally published in Amazon launches internet satellites to compete with Starlink, from Spacex on CNN Brazil.
Source: CNN Brasil
Charles Grill is a tech-savvy writer with over 3 years of experience in the field. He writes on a variety of technology-related topics and has a strong focus on the latest advancements in the industry. He is connected with several online news websites and is currently contributing to a technology-focused platform.
