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Starlink, a subsidiary of SpaceX, is trying to change the government’s broadband playbook, a new leaked document reportedly reveals.
By Brad Randall, Broadband Communities
States are being sent riders from Starlink that list caveats to the service the company will eventually give to broadband serviceable locations (BSLs) under government’s massive broadband push, known as the BEAD program.
The revelation comes after several “concerned states” reached out to broadband.io, according to Doug Adams, an admin for the website.
Adams said the riders, which he posted a copy of online, were marked as confidential.
His post describes the brewing conflict the riders signal, which also demand that Starlink be paid 50% upfront.
“Even though the rider insists that Starlink is paid 50% upfront, Starlink isn’t required to increase capacity before it is requested by BSLs,” Adams wrote. “This flies in the face of the NTIA’s June 6 guidance”
In his post, Adams also said multiple contacts at state broadband offices told him NTIA was urging states not to sign the riders.
His analysis of the rider continued.
“Starlink is asking to be paid (in arrears) for BSLs already subscribed and if at any point in time, a BSL tried service but cancelled, Starlink still wants these locations to be considered ‘served’.”
SpaceX, which operates Starlink as a wholly owned subsidiary, has thus far been granted more than any satellite provider in the program, according to Connected Nation’s BEAD tracker.
As has been previously reported, revised guidance to BEAD last year ordered bureaucrats to find more cost-efficient means of delivering broadband. As a result, the attractiveness of low-Earth orbit satellite connectivity has boosted for states seeking cheaper alternatives to fiber.
Of proposals analyzed by Connected Nation so far, Starlink has thus far been awarded over $733 million.
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