Elon Musk’s Starlink has long been the dominant force in the satellite internet industry, but its hold on the market is being challenged as Chinese and American rivals race to establish their own networks. The battle for dominance in low-Earth orbit (LEO) satellite internet is intensifying, with China’s state-backed SpaceSail and Amazon’s Project Kuiper emerging as serious contenders.
Since launching in 2020, Starlink has put more satellites into LEO below 2,000 km in altitude—than all its competitors combined. Operating at these low altitudes allows for efficient data transmission, enabling high-speed internet access for remote communities, maritime vessels, and military operations. However, Beijing sees Musk’s dominance in space as a strategic concern and is investing heavily in countering it.
China’s Shanghai-based SpaceSail has taken rapid steps toward global expansion. In November, it signed an agreement to enter Brazil and, two months later, launched operations in Kazakhstan. The Kazakh embassy in Beijing confirmed the development, highlighting China’s push into international markets. SpaceSail’s aggressive expansion aligns with Beijing’s broader space ambitions, as indicated by corporate filings and academic research detailing China’s focus on tracking and countering satellite constellations.
Last year, China launched a record 263 LEO satellites, according to astrophysicist Jonathan McDowell and tech consultancy Analysys Mason. SpaceSail aims to deploy 648 LEO satellites by the end of 2024 and expand to 15,000 by 2030. In comparison, Starlink currently operates approximately 7,000 satellites and has set a target of 42,000 by the decade’s end.
Brazil, a key battleground in the satellite internet race, has welcomed the competition. The country, which seeks to expand high-speed internet access to its remote regions, is also in discussions with Jeff Bezos’ Project Kuiper and Canada’s Telesat. A Brazilian official, speaking anonymously, confirmed these negotiations, marking the first time news of them has surfaced publicly.
Starlink, which has faced regulatory challenges in Brazil over commerce and political disagreements with the government, now finds itself navigating a more crowded marketplace. While Amazon and Telesat have yet to launch large-scale operations, China’s state-backed approach gives SpaceSail a formidable advantage in terms of funding and government support.
With nations prioritizing satellite internet for both economic and strategic reasons, the race to dominate space-based communications is heating up. As Musk’s competitors push forward with ambitious satellite deployment plans, the era of Starlink’s uncontested dominance may be coming to an end.