SpaceX demands cancellation of internet subsidies in the US
SpaceX, founded by Elon Musk, has petitioned the US Federal Communications Commission (FCC) to shut down a $4.5 billion fund allocated for subsidizing internet and voice services in rural areas. The company argues that the Starlink satellite system has already solved the high-speed internet problem in remote regions at competitive prices. This is reported by Ixbt.com news.
SpaceX representatives state that legacy government programs no longer align with today's technological reality and are causing unnecessary expenses. The FCC plans to vote in the coming weeks on whether to update the rules for this program, which accounts for $1.6 billion of the annual budget, or to cancel the subsidies entirely.
Currently, 249 local operators receive nearly $1 billion in subsidies, but the internet speeds required of them are significantly lower than Starlink's capabilities. For this reason, the FCC acknowledges the need to reconsider the subsidies.
Furthermore, Starlink is actively expanding in the aviation sector. Recently, Emirates announced it would implement Starlink technology on its aircraft. According to Elon Musk, many major airlines are choosing the Starlink system due to its high speed and low latency.
