Starlink Dominates as Low Earth Orbit Satellite Race Intensifies

Market Overview & Competition - The LEO (Low Earth Orbit) satellite market is valued at $15 billion and is expected to grow to $108 billion by 2035 [3] - Starlink, owned by SpaceX, currently has 7,600 satellites and plans to expand to as many as 48,000, holding a significant lead in the LEO satellite race [4] - Project Kuiper, owned by Amazon, has fewer than 80 satellites in orbit due to manufacturing issues and launch delays [12] - Eutelsat acquired OneWeb in 2023, operating a constellation of about 640 satellites, pursuing a strategy that combines GEO (Geostationary Orbit) and LEO satellites [13] Cost & Technology - Manufacturing a LEO satellite costs between $250,000 to $500,000, with launch costs adding another $250,000 to $500,000 per satellite [5] - LEO satellites orbit at an altitude of 300 kilometers to 1,200 kilometers, allowing for a signal round-trip time of 100 milliseconds or less [7][8] - Maintaining a LEO constellation requires launching as many as 25% of the satellites every year just to maintain the replacement cost [11] - A single GEO satellite can be up to 1,000 times more expensive than a LEO satellite to manufacture [9] Business Models & Government Involvement - Starlink focuses on providing internet access primarily to rural areas globally [5] - OneWeb targets the B2B (business-to-business) and government connectivity market, expecting to grow from just north of 5 million connections to close to 15 million by 2033 [15] - Eutelsat plans to invest 4 billion euros in CapEx between now and 2029, largely to replace its current LEO constellation [19] - The UK government plans to invest 163 million euros in Eutelsat, joining France and other investors in a major funding round, bringing the total raise to 1.5 billion euros, or $1.8 billion [18]