USA rejects Musk, FCC does not want to give 885 million dollars | ICT Business | TechBuzz

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The USA rejected Musk, the FCC does not want to give 885 million dollars


Photo: DepositPhotos
The Federal Communications Commission (FCC) has rejected Starlink’s request for $885 million in federal subsidies to provide satellite Internet to rural areas.

The FCC said in a statement that Starlink “failed to demonstrate that providers can deliver the promised service” needed to receive the subsidies.

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Starlink, which is controlled by Elon Musk-owned SpaceX, previously received $885.5 million in an FCC auction in December 2020.

The company sought additional subsidies because it intended to offer satellite services to about 650,000 locations in 35 states.

“We must put scarce universal service dollars to the best of our ability as we move into a digital future that requires increasingly powerful and faster networks. We cannot afford to subsidize ventures that do not deliver the promised speeds or are unlikely to meet the program’s requirements,” the FCC chairwoman said. Jessica Rosenworcel.

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She added that Starlink technology is “really promising”, but the statement raised concerns about customers having to buy a $600 antenna to access broadband services.

SpaceX has launched 2,700 Starlink satellites since 2019, amassing hundreds of thousands of subscribers.

However, the FCC noted that Starlink’s speeds decreased between the last quarter of 2021 and the second quarter of 2022, with its transmission speeds falling below 20 Mbps.

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The FCC has so far allocated about $5 billion in funding as part of its subsidy program that brings mostly fiber-optic gigabit broadband services to more than three million locations in 47 states.



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