The SpaceX and satellite Internet service, Starlink founder, is eyeing a license to operate in Guyana, Vice President Bharrat Jagdeo announced Thursday. The move could bring new connectivity opportunities to the country, particularly for remote hinterland regions.
Starlink, a satellite Internet constellation operated by SpaceX and founded by the billionaire entrepreneur, X owner, Trump campaign backer and newly appointed co-head of the Department of Government Efficiency, an entity Trump indicated will operate outside the confines of government, is currently under review by the Guyanese government.
Speaking at his weekly press conference today, Jagdeo said the proposal is “actively being considered” and highlighted the potential benefits of granting Starlink an official license, including tax revenue for the government.
President Dr Mohamed Irfaan Ali and Musk were recently in talks and Musk expressed his intentions to invest in Guyana technological sector, as it provides a gateway to economic enhancement through digitization and modernization.
Currently, Starlink services are informally accessed in Guyana, with private individuals importing the equipment to provide internet access to underserved areas. Jagdeo noted that this arrangement is inequitable for other companies offering similar services, as they are required to pay taxes. An approved license for Starlink would ensure the company adheres to the same regulatory standards.
Discussions about Starlink’s potential entry into Guyana were first revealed after a meeting in July between President Dr. Irfaan Ali and Elon Musk. The Office of the President described the talks as focusing on economic innovation, technological advancements, and opportunities within various sectors of Guyana’s rapidly growing economy.
If approved, Starlink’s presence could significantly boost Internet connectivity across Guyana, particularly in regions where traditional infrastructure has struggled to meet demand.
Jagdeo emphasized the importance of the company being fully licensed and adhering to all tax laws. He further noted that some people are illegally bypassing tax requirements by personally importing equipment and providing Internet. He also stated that “currently, many people are bringing in the dishes themselves, installing them, and avoiding taxes, which is unfair to the other companies providing similar services.”
According to Section 5 subsection 2 of Guyana’s Corporation Tax Act, if a non-resident company conducts trade or business in Guyana, all profits made in Guyana are chargeable to corporation tax.
ABOUT STARLINK
Starlink is a satellite internet service operated by Starlink Services, LLC, a subsidiary of SpaceX, the American aerospace company founded by Musk. With coverage extending to over 100 countries and territories, Starlink aims to provide high-speed global mobile broadband, playing a pivotal role in SpaceX’s growth trajectory.
Since launching its first satellites in 2019, SpaceX has deployed over 7,000 small satellites into low Earth orbit (LEO) as of September 2024. This figure is expected to grow, with plans for up to 34,400 satellites in the future. The network achieved a milestone of 1 million subscribers in December 2022 and reached 4 million by September 2024.
Starlink satellites are developed and controlled at SpaceX’s Redmond, Washington facility, where research, manufacturing, and orbit management take place. The ambitious project, estimated in 2018 to cost $10 billion, reported $1.4 billion in revenue in 2022. By 2024, that figure is projected to rise to $6.6 billion.
Starlink has also found critical applications in government operations, including its use in the Russo-Ukrainian War under a U.S. Department of Defense contract. SpaceX has introduced “Starshield,” a version of Starlink tailored for military and government use.
While Starlink has transformed internet access globally, it has faced criticism from astronomers over potential disruptions to ground-based astronomy and concerns about orbital congestion. SpaceX has implemented measures to reduce satellite brightness and equipped satellites with collision-avoidance technology and Hall-effect thrusters for safe de-orbiting.
Starlink continues to advance global connectivity, bridging digital divides and expanding its impact across industries and regions. (newsamericasnow)
