Amazon Inc. is gearing up for a major move into space with plans to launch over 3,000 low-Earth orbit satellites, positioning itself as a direct competitor to Elon Musk’s SpaceX in the quest for satellite internet dominance. This ambitious initiative, which aims to enhance internet connectivity in remote regions, marks a significant step for Amazon’s Project Kuiper.
Amazon’s first rocket launch for its satellite constellation is expected to occur by the end of this year. This move puts Jeff Bezos, Amazon’s executive chairman, in direct rivalry with Musk, whose SpaceX has already established a formidable presence with a 6,000-satellite constellation known as Starlink. SpaceX’s extensive network currently serves 42,000 customers in the U.K., with plans to expand further.
Despite the head start of SpaceX, Amazon is positioning itself as a strong challenger. With a cash reserve expected to hit $100 billion this year, Amazon’s focus is on broadening its global broadband network and enhancing its Prime customer base rather than immediate profits. The company’s initiative is waiting for approval from the U.K.’s telecom regulator, Ofcom, to begin its service in the region.
The competition between Bezos and Musk is expected to impact the U.K.’s broadband and mobile markets significantly. Satellite technology is seen as a viable alternative to traditional fibre installation, which can be costly and disruptive, especially in remote areas.
This new development is part of the broader space race between the two billionaires. Recently, Amazon’s Project Kuiper secured eight licenses and acquired land in New Zealand, while SpaceX’s Starlink expanded its customer base in the country from 12,000 to 37,000 in 2023. As the battle for satellite supremacy continues, the competition is set to reshape the global broadband landscape.