Starlink expanded rapidly: at the end of 2022, SpaceX's company had reached 1.07 million satellite broadband subscribers. Although the figure remains modest globally, it shows that in just a few months the company achieved a third of what the entire satellite broadband industry had accumulated in its entire history, at a different scale. A noteworthy fact is that the company practically did not steal customers from other satellite companies, which indicates that it is targeting users with less specific needs, an aspect of the demand that usually constitutes the ceiling for this technological segment. The company offers competitive speeds, and during 2022, its price level fell sharply, making it a viable alternative to certain terrestrial technologies. Price adjustments were tailored to the competitive environment of each region. Dataxis estimates that by 2027, the company could accumulate almost 31 million active subscriptions. By 2022, the fleet expanded to 3,000 low Earth orbit satellites, plus another 500 that were not yet operational. In commercial terms, it already had a presence in more than 40 markets, giving it potential coverage for over 35% of the world's population. North America, its area of origin, still accounted for 64% of its customers at the time. Europe was its second-most important market. However, half of its European accesses were in Ukraine and Poland, where the operator positioned itself as a communication alternative in the war. In 2022, Oceania and Latin America had similar shares and, as a whole, represented around 17% of the subscribers. The entry into Asia and Africa only began to take shape in Q1 2023. In that quarter, Starlink already had a commercial presence in more than 50 countries, the equivalent of 50% of the world's population. Starlink adjusted prices with differences by region Dataxis estimates that in 2022, Starlink generated $607.3 million in service revenue. As the company gained customer volume, its average monthly revenue per subscriber (ARPU) evolved downward. Although the total ARPU for Q4 2022 reached $95, this indicator did not share the same fate in all regions. North America is the only territory where the average revenue level has been rising. In the other markets, Starlink adjusted its pricing aggressively to match the competitive environment and gain volume. Between Q4 2021 and Q4 2022, Oceania's ARPU fell by 11%, while the decrease reached 41.5% in Europe and 52.3% in Latin America. In Q2 2023, the company announced another drastic price reduction, but although ARPUs keep going down rapidly, Starlink's service should remain far from becoming a mass market offer. The LEO broadband access could become an attractive option to compete against old-fashioned terrestrial options in rural and suburban areas, as it did not only bring additional coverage but also...
