Starlink defies the traditional internet company route. It uses low-eath orbit satellites to offer internet connectivity to its users. Starlink isn’t exactly cheap, nor does it usurp the reliability of fiber connections. But it has slowly amassed users across the globe. A Starlink user from the U.K. shared an email saying that the satellite internet company would be reducing the monthly rates.
It is a joy for Starlink users who have given up fiber connections for high-speed satellite internet. Starlink users from many other countries also shared their experiences about the rate reduction on the post.
Why did Starlink reduce its rates?
The email shared by the U.K.-based user says that Starlink is reducing prices with respect to “local market conditions.” However, there are a couple of more reasons why the company is doing so now.
Firstly, Starlink is a one-of-its-kind service that now has many competitors, one being Jeff Bezos himself. He also is working on a satellite internet project and has already launched quite a few into space.
Starlink may be planning to acquire as many customers as possible before a worthy competitor pops up in the small but very lucrative industry. Secondly, mass adoption of any product requires it to be affordable. Ever since the conception of the idea, Elon Musk has been vocal about how it would transform the world.
The project would supply internet to the remotest locations on earth, a feat that wired internet failed to achieve to date. But remote location users cannot pay top dollar for the internet. Therefore, slashing prices is a good move to pacify the current users and solidify trust. Moreover, it would also generate some word-of-mouth publicity.
But it appears that the rate slashing is for some regions only. We checked the pricing for multiple cities in the U.K. and found that even the new connection users will be charged £75.00 /mo. However, checking the monthly plans for any city in the U.S. showcases $110, which is more expensive than the UK plan.
A user from Mexico also shared that he, too, received a mail regarding slashed rates. Starlink faces a lot of hiccups due to geopolitical reasons. No country wants to let a company run the internet without its permission and monitoring (especially less developed ones).