Google and Amazon are looking to disrupt the connectivity space — but we think the threat to incumbents is still far off:
last year, but the new FCC filing provides far more detail about the program, dubbed Project Kuiper. Amazon is seeking approval to launch into orbit 3,236 communications satellites, which would be able to provide connectivity for large swaths of the globe. They would broadcast in the Ka band of wireless spectrum also used by other satellite internet providers such as Iridium.
has plans to launch a total of 12,000 broadband satellites, for instance — to become a general broadband provider.Tech leaders represent a clear threat to wireless incumbents based on names, capital backing, and consumer recognition alone, but communications requires a commitment to infrastructure spending and technical expertise that makes the market resistant to disruption.
Past efforts by the likes of Google to enter the communications space are evidence of the tough time tech companies will face in connectivity. Google Fiber was the search giant's attempt to spur fiber optic internet development by creating its own service, but the companynew deployments after the expenses of its first six markets proved much higher than expected.
Getting into the wireless market could be even more costly, given the tens of billions of dollars that network operators in the US already spend to maintain, expand, and upgrade their current networks.
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