Starlink keeps up an unstoppable pace and the Kuiper challenge is on its way

Starlink, the leading company in the field of LEO satellites, is set to continue its rapid expansion with plans to launch more units and add capacity to its existing infrastructure. By the end of 2024, Starlink aims to have over 6,500 satellites in orbit and 5 million customers. The company is also testing lower-cost plans and equipment to attract customers further. However, competition is on the horizon with Amazon's Project Kuiper, which plans to enter the market in the first half of 2025. Amazon will face the challenge of launching its fleet of satellites and establishing a commercial profile. Starlink and Project Kuiper are expected to have high levels of vertical integration, making it difficult for other players to challenge their dominance. The golden age of LEO satellites is entering a new chapter with these ambitious plans and growing competition in the industry. Space X owns Starlink and is present in the entire value chain of the business. It is in charge of the manufacturing and design of satellites and launchers, the provision of user equipment, the logistics of distribution, and the operation of the service. This is a vertical integration never seen before in the industry.  In 2024, Space X has set a target of 148 launches, 50 more than in 2023. That pace amounts to one mission every two and a half days. As of October, Space X had already made 108 launches (with just 1 failure!) and 74 had been jobs for its sister Starlink. Each mission added 23 units to the LEO ecosystem, totaling 1700 new birds in ten months. More satellites meant more capacity and better coverage: each unit brought between 60 and 80 Gbps. And Starlink was already a fleet of more than 6,500 interconnected devices with a total capacity of 400 Tbps. While its initial objective was to have 12,000 satellites, its new goal will be to have more than 42,000 units in service. Although this target has a specific deadline, a frenetic pace of launches can be foreseen. It must be considered that the useful life of each unit is 5 years. In other words, from 2025 onwards, it will have to launch rockets to add more capacity and to replace the one it launched in 2020. Kuiper is the other big LEO option about to take off. That volume of network and logistics seems very difficult to match, but possible. Amazon's Project Kuiper appears to be the only private competitor with similar characteristics: global scale and direct reach to the end consumer. The system also has a high level of vertical integration: it manufactures its own satellites and end-customer equipment, an area in which Amazon has proven to be a specialist...