Ontario Explains $100M Starlink Deal: Why It’s More Than Hardware Kits
- by iPhone in Canada
- Nov 15, 2024
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Ontario is investing up to $100 million in a partnership with SpaceX’s Starlink to deliver high-speed internet to 15,000 rural and remote homes, as announced on Thursday.
The deal’s per-home rough cost of $6,667 per location raised questions, but the province clarified the breakdown of expenses, which includes infrastructure, accessibility, and Indigenous engagement.
According to Ash Milton, Press Secretary for the Minister of Infrastructure, in an email to iPhone in Canada on Friday, the province will contribute $92 million to cover capacity reservation on Starlink’s satellite network, hardware, installation, and an Indigenous Engagement and Participation Plan.
“The agreement between the Province and SpaceX will ensure that service remains accessible. SpaceX is responsible for the remaining costs of providing ongoing high-speed internet service, ensuring homes and businesses in specified areas have access,” explained Milton.
Starlink has committed to reserving capacity on its low-earth orbit satellites for Ontario, ensuring service even if global demand increases. Customers who sign up for the service will pay up to $150 per month for service, which Milton described as consistent with other providers.
“SpaceX has agreed to reserve capacity in its low-earth orbital system, guaranteeing service availability for Ontario customers regardless of global demand on SpaceX’s network,” said the statement.
A major focus of the program is engaging with Indigenous communities. “Efforts are underway to work with underserved First Nation communities to gather their input on how to bring high-speed internet access to their communities,” added Milton.
As part of the agreement, Starlink will directly collaborate with Indigenous communities to ensure equitable access for all eligible households and businesses. The company will also provide socio-economic opportunities, including jobs, contracts, and training.
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