FCC cancels $900 million award to Starlink
The FCC today canceled a $900 million subsidy it had awarded to SpaceX in December 2020 as part of a federal program to help establish broadband service in rural communities.
The reasoning for canceling the award given at the link is very unclear. However, since the award a lobbying effort by Starlink’s competitors — teamed up with Democrats in Congress — to cancel the award has been on going. It now seems to have succeeded.
Another clue to explaining this cancellation is timing. The award was announced at the end of the Trump administration, when his appointees controlled the FCC. The cancellation took place during the Biden administration, with the FCC now controlled by Democrats who are increasing revealing themselves to be very hostile to private commercial space in general and Musk and SpaceX in particular.
Nonetheless, it seems absurd to give SpaceX any such subsidy, regardless of the politics. As I said in February 2021:
No one, including SpaceX, should get these funds. SpaceX is proving they aren’t necessary to get the job done (bringing fast internet service to rural communities). Moreover, the federal government really doesn’t have the cash, deep in debt as it is.
Sadly, just because the FCC cancelled its award to SpaceX we should not expect as modern taxpayers that the money won’t be spent. Expect the Biden administration to instead dole it out to its preferred vendors.
The FCC today canceled a $900 million subsidy it had awarded to SpaceX in December 2020 as part of a federal program to help establish broadband service in rural communities.
The reasoning for canceling the award given at the link is very unclear. However, since the award a lobbying effort by Starlink’s competitors — teamed up with Democrats in Congress — to cancel the award has been on going. It now seems to have succeeded.
Another clue to explaining this cancellation is timing. The award was announced at the end of the Trump administration, when his appointees controlled the FCC. The cancellation took place during the Biden administration, with the FCC now controlled by Democrats who are increasing revealing themselves to be very hostile to private commercial space in general and Musk and SpaceX in particular.
Nonetheless, it seems absurd to give SpaceX any such subsidy, regardless of the politics. As I said in February 2021:
No one, including SpaceX, should get these funds. SpaceX is proving they aren’t necessary to get the job done (bringing fast internet service to rural communities). Moreover, the federal government really doesn’t have the cash, deep in debt as it is.
Sadly, just because the FCC cancelled its award to SpaceX we should not expect as modern taxpayers that the money won’t be spent. Expect the Biden administration to instead dole it out to its preferred vendors.