Elon Musk's Starlink satellite internet service has been granted a licence by Ofcom and is now being trialled by a small number of users across the UK. The company began its limited rollout last month, following regulatory approval in November.
Starlink will compete with providers such as OneWeb, which the UK government controversially rescued from bankruptcy in November. Business Secretary Alok Sharma issued a 'ministerial direction' to push through the investment, despite objections from civil servants and criticism from those who questioned the risk.
Musk's SpaceX plans to deploy 42,000 satellites to deliver global broadband, with over 800 already in orbit and a target of 12,000 by 2026. UK consumers will pay £439 for the equipment, nicknamed Dishy McFlatFace, plus £84 per month for the service.
Telecoms analyst Matthew Howett told the BBC that the pricing is likely too high for mass adoption, but competition between Starlink and OneWeb could drive costs down. Zen Internet founder Richard Tang noted the service could help those in remote areas who lack access to conventional high-speed broadband.
The launch comes as MPs warned the government is unlikely to meet its target of providing 1Gbps-capable broadband to 85% of the UK by 2025. The original goal of nationwide coverage within five years was scaled back after only 25% of the promised £5bn funding was made available for the next four years.
