Amazon Will Launch Internet Satellites Too, Competing Directly With Elon Musk's SpaceX

Under its Project Kuiper, Amazon has the plan to launch 3236 internet satellites after obtaining FCC approval, according to the FCC’s official site. The aim of this project is to compete with SpaceX’s Starlink satellite fleet.

Achieving FCC permission for Project Kuiper

Amazon finalized the victory earlier this week when the FCC granted a regulatory approval that allows the company to proceed with Project Kuiper, including 3236 internet-carrying satellites. When the project is finished, it will directly compete with Elon Musk’s Starlink that consists of 12,000-42,000 satellites, the most aircraft ever launched in mankind's history.

The five commissioners of the FCC unanimously voted to allow Jeff Bezos’ company to launch the new fleet of internet-carrying satellites into space to communicate with Earth-based antennas. In its official order, the commission wrote:

“We conclude that grant of Kuiper's application would advance the public interest by authorizing a system designed to increase the availability of high-speed broadband service to consumers, government, and businesses.”

A $10 billion investment

On Thursday, Amazon announced that it intends to invest over $10 billion to provide affordable, reliable broadband service to underserved and unserved communities across the globe. The announcement says:

“A project of this scale requires significant effort and resources, and, due to the nature of [low-Earth orbit] constellations, it is not the kind of initiative that can start small. You have to commit.”

This amount is almost equal to SpaceX COO’s estimation in 2018 to complete project Starlink.

Starlink, the fleet from SpaceX and Elon Musk

Musk described Starlink in May 2019, saying that the company aimed to claim just 1-3% of trillion-dollar annual telecom business. He also said that the project could generate about 30 to 50 billion dollars a year, 10 times the amount needed to launch rockets. That means the firm could increase its worth to $100 billion.

It’s possible that Amazon has noticed this opportunity and is attempting to capture the telecom market, resulting in a tense regulatory battle between companies.

It appears that Jeff Bezos and his company are expanding its business to offer affordable, fast internet to global users in remote and populate areas. This will help Amazon boost its customer base as well as profit margins.

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