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Vietnam’s Approval for Starlink Expansion
SpaceX has received approval from Vietnam’s government to operate Starlink under a five-year pilot program, allowing full foreign ownership of its local subsidiary. This exemption from typical foreign ownership restrictions gives SpaceX a unique opportunity to expand its satellite internet services in the region.
According to a decision made by Vietnam’s prime minister on March 23, SpaceX must establish at least one ground station within the country. The first installation in Danang will require an estimated investment of $3 million.
Long-Term Plans and Strategic Importance
Beyond the initial setup, SpaceX aims to build a network of 10 to 15 Starlink ground stations across Vietnam. These stations are crucial for improving internet connectivity by linking satellites with local networks.
Starlink currently operates in over 100 countries and territories, using an extensive ground station network to relay data to users. While SpaceX does not publicly disclose the exact number of its global ground stations, independent estimates suggest there are around 150 worldwide, with nearly half located in the United States.
Potential Challenges and Uncertainty
Despite these ambitious plans, the project faces potential risks due to anticipated U.S. tariffs on countries with significant trade surpluses, including Vietnam. These trade policies could impact SpaceX’s investment strategy and the feasibility of expanding Starlink’s infrastructure in the country.
Both SpaceX and Vietnam’s technology ministry have yet to issue official statements regarding the upcoming ground station or the broader implications of the pilot program. However, if successful, Starlink’s expansion in Vietnam could revolutionize the country’s internet landscape, providing faster and more reliable satellite broadband services.
