In a major announcement, multinational conglomerate Amazon has unveiled its upcoming home internet service, expected to reach hundreds of millions of people. Similar to Elon Musk's Starlink venture, Amazon's space internet relies on satellite technology and is slated for launch mid-2024.
Having received approval from the Federal Communications Commission (FCC) earlier this year, Amazon is now ready to commence testing with up to 1,000 satellite dishes. These prototypes have been strategically positioned across the United States to initiate the testing phase.
CEO Andy Jassy recently provided shareholders with an update on the internet service in a letter. He highlighted a significant milestone achieved by launching two end-to-end prototype satellites into space in October last year. The successful validation of all key systems and sub-systems during the initial launch sets a solid foundation for Amazon's Project Kuiper, the low Earth orbit satellite initiative. Project Kuiper aims to deliver broadband connectivity to the estimated 400-500 million households currently lacking access, as well as governments and enterprises seeking improved connectivity in remote areas. Jassy emphasized that Project Kuiper presents a substantial revenue opportunity for Amazon. The company remains on track to deploy its first production satellites this year.
The space internet service is designed to cater to both businesses at their premises and households. It boasts impressive speeds of up to 1 Gbps, equivalent to 1,000 megabits, which would be particularly advantageous for large enterprises. However, individual customers can opt for slower speeds that still offer reliable connectivity. The monthly cost of Amazon's internet service remains undisclosed at this time, though reports suggest Amazon aims to offer a more affordable alternative to Starlink.
Speaking of Starlink, it is an internet service provider led by billionaire entrepreneur Elon Musk. Musk's company has already launched over 5,000 Starlink satellites into space using SpaceX rockets since the initial launch in 2019.
As Amazon progresses with its space internet service, it endeavors to carve out a competitive position in the market, vying with Starlink to deliver high-speed, accessible internet connectivity to a vast user base.
