Starlink launches in UAE – but is it an alternative to the telecoms duopoly?

Elon Musk's Starlink has received a 10-year licence to offer satellite internet in the UAE, presenting an alternative to the dominant telecoms operators Du and e&. The service will cater to individuals, businesses, government entities, as well as maritime and aviation sectors. Starlink aims to boost internet speeds and strengthen the UAE's digital infrastructure.

However, it is not expected to become a conventional mobile operator, as it primarily provides internet connectivity where traditional infrastructure is challenging to establish.

Starlink's service starts at Dh300 per month, with a residential package costing Dh1,465, though it is currently at capacity in Dubai and Abu Dhabi. The licence grants Starlink the authority to operate a public satellite telecoms network and provide broadband internet across the UAE, aligning with established regulatory and technical frameworks. This move will support emergency response capabilities and provide connectivity options that can be beneficial in remote and disaster-stricken areas.

In comparison to existing UAE fibre services, Starlink's competitive advantage lies in its ability to deliver broadband connectivity where extending fibre or building additional terrestrial infrastructure is impractical. Starlink's satellites orbit at approximately 550km altitude, which is expected to significantly enhance internet speeds.

Broadband speeds range from 45 to 280 Mbps for downloads, 10 to 30 Mbps for uploads, and latency of 25 to 60 milliseconds. Despite the upfront cost of purchasing equipment, satellite internet is becoming a more affordable option for homes and businesses.