Elon Musk is known for its bold ambitions, and its satellite company, Starlink, is about to revolutionize the telecommunications landscape in Brazil.
The company's billionairealready operates in the country, providing high-speed internet services to homes through antennas, but its ambitions don't stop there.
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Next year, the company plans to launch Starlink Direct to Cell, acting as a telephone operator and offering voice and internet services.
Starlink's arrival as a telephone operator did not go unnoticed by telecommunications experts.
Milene Louise Renée Coscione, partner in the telecommunications area at the law firm Machado Meyer, states that “it is a fact that Starlink will shake up the Brazilian telecommunications market”.
A Starlink, with its constellation of satellites, it has one of the greatest competitive advantages: coverage across the entire national territory. In places where traditional operators do not have coverage, the company can become the alternative of choice.
(Image: Starlink/reproduction)
Starlink already holds the necessary licenses to operate in Brazil, including SMGS (Global Mobile Satellite Service) and SCM (Multimedia Communication Service).
This means the company can provide voice, text messaging and satellite broadband services, challenging traditional carriers at their own game.
However, while Starlink is poised to compete, there is one significant hurdle: price. The company's services are still expensive for most Brazilian consumers.
To gain access to high-speed internet, customers need to purchase one of Starlink's antennas, which vary from R$1,600 to R$7,615, and subscribe to one of the internet packages, with current costs ranging from R$230 to R$25 thousand per month.
Cost is, without a doubt, a challenge that the company will have to overcome to conquer a wider market.
The story, however, may not be so simple. Coscione suggests that Starlink could also form partnerships with traditional carriers, which could benefit both parties.
This could be particularly relevant for meeting 5G obligations and expanding the network to rural areas. The company has already adopted this strategy in other countries, showing that collaboration can be a viable solution.
The arrival of Starlink in the Brazilian telecommunications market promises arevolution. Uncertainty looms over how traditional operators will react to this challenge.
However, one thing is clear: competition is about to heat up, and consumers could be the biggest beneficiaries of more options and competitive prices.
