SpaceX has caused a 77% drop in price for transferring data by satellite
According to a new study, SpaceX’s lower launch costs and its Starlink satellite constellation has caused a 77% drop in the price for transfering data by satellite in the past five years.
The costs involved in providing capacity have also declined in recent years following satellite manufacturing advances — and greater availability of launches thanks primarily to SpaceX. The average cost base of supplying HTS capacity in North America has dropped from around $40 a month per megabit per second in 2019 to about $12 in 2023, according to Euroconsult.
However, Euroconsult expects costs to stabilize over the next two to three years in the Americas and Europe, potentially slowing down the decline in capacity prices.
I think Euroconsult might be wrong about that last conclusion. Increased competition in the launch industry as well as the launch of other satellite constellations will force further drops in prices. The only threat to this continuing drop will outside forces, such as an overall economic collapse, war, or increased regulation.
Readers!
Please consider supporting my work here at Behind the Black. Your support allows me the freedom and ability to analyze objectively the ongoing renaissance in space, as well as the cultural changes -- for good or ill -- that are happening across America. Fourteen years ago I wrote that SLS and Orion were a bad ideas, a waste of money, would be years behind schedule, and better replaced by commercial private enterprise. Only now does it appear that Washington might finally recognize this reality.
In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
According to a new study, SpaceX’s lower launch costs and its Starlink satellite constellation has caused a 77% drop in the price for transfering data by satellite in the past five years.
The costs involved in providing capacity have also declined in recent years following satellite manufacturing advances — and greater availability of launches thanks primarily to SpaceX. The average cost base of supplying HTS capacity in North America has dropped from around $40 a month per megabit per second in 2019 to about $12 in 2023, according to Euroconsult.
However, Euroconsult expects costs to stabilize over the next two to three years in the Americas and Europe, potentially slowing down the decline in capacity prices.
I think Euroconsult might be wrong about that last conclusion. Increased competition in the launch industry as well as the launch of other satellite constellations will force further drops in prices. The only threat to this continuing drop will outside forces, such as an overall economic collapse, war, or increased regulation.
Readers!
Please consider supporting my work here at Behind the Black. Your support allows me the freedom and ability to analyze objectively the ongoing renaissance in space, as well as the cultural changes -- for good or ill -- that are happening across America. Fourteen years ago I wrote that SLS and Orion were a bad ideas, a waste of money, would be years behind schedule, and better replaced by commercial private enterprise. Only now does it appear that Washington might finally recognize this reality.
In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
I doubt that Ariane 6 is going to be able to compete with SpaceX, but China will be happy to lose as much money as it takes to get Europe dependent on their launchers, taking over from where Soyuz left off.