23 December 2022

Ukraine strikes deal with SpaceX to receive thousands more Starlink antennas

Several EU countries will reportedly share the costs.

Local residents use a Starlink terminal after Russia's retreat from Kherson, in central Kherson, Ukraine November 12, 2022. REUTERS/Lesko Kromplitz

Stringer . / reuters

Steve Dent|@stevetdent|December 21, 2022 9:32 AM

"Ukraine will receive an additional 10,000-plus Starlink satellite dishes from Elon Musk's SpaceX to help provide internet amid Russian attacks on communications infrastructure, Bloomberg has reported. Financial issues around the terminals have reportedly been resolved, with several European countries stepping up to share the costs, according to Ukraine's deputy prime minister Mykhailo Federov.

"SpaceX and Musk quickly react to problems and help us,” Federov told Bloomberg. “Musk assured us he will continue to support Ukraine. When we had a powerful blackout, I messaged him on that day and he momentarily reacted and has already delivered some steps. He understands the situation." However, Ukraine will need to find additional funds by spring of next year.

✓ The 10,000 new terminals add to the 22,000 already received, and will be used to "stabilize connections for critical situations," according to Federov. "There is no alternative to satellite connections," he added.

Earlier in the fall, SpaceX asked the US Department of Defense to take over payments related to Starlink. "We are not in a position to further donate terminals to Ukraine, or fund the existing terminals for an indefinite period of time," the company said. Elon Musk backtracked on that decision, however, writing on Twitter that SpaceX would "keep funding [the] Ukraine [government] for free" even though Starlink is still losing money.

It was reported in November that the price of a Starlink terminal had doubled in Ukraine, from around $385 to $700. However, the monthly rate for data has dropped from $100 since the war started in February down to $75."

Ukraine nets 10,000 additional Starlink terminals, claims funding issues are ‘resolved’

Elon Musk said that SpaceX couldn’t fund Ukraine’s critical satellite internet services “indefinitely.” Now, several European governments are allegedly footing the bill.

By JESS WEATHERBED

Dec 21, 2022, 4:07 AM MST|

Ukrainian forces set up Starlink satellite receivers for civilians at Independence Square after the withdrawal of the Russian army from Kherson to the eastern bank of Dnieper River, Ukraine on November 13, 2022 — *Starlink terminals have provided essential satellite internet service to Ukraine as the Russian invasion targets Ukraine’s communications infrastructure.*

Ukraine’s deputy prime minister Mykhailo Fedorov has announced that over 10,000 additional Starlink terminals will be sent to Ukraine in the coming months, confirming that issues regarding how to fund the country’s critical satellite internet service have been resolved.

The governments of several European Union countries are ready to share payment said Fedorov (who is also Ukraine’s minister for digital transformation) in an interview with Bloomberg, affirming that “As of now all financial issues have been resolved.” Fedorov did not publicly identify which governments are contributing towards the payments but confirmed that there’s currently no contract in place and that Ukraine will need to find additional funding by spring 2023.

Ukraine Deputy Prime Minister Mykhailo Fedorov Interview — *Mykhailo Fedorov, Ukraine’s deputy prime minister, said that some Starlink antennas will be deployed to locations where Ukrainians could get uninterrupted access to power, heating, and internet.*

“We are ready to live without electricity for a month with at least mobile network and text messages being available,” Fedorov said, alluding to Russian attacks on Ukraine’s energy infrastructure. “Regarding internet, we have a lot of Starlinks, but the key point is we have got a nod for another shipment that will be used to stabilize connection for critical situations.”

Ukraine has received about 22,000 Starlink antennas since the country was invaded by Russia in February according to Fedorov. Support for the Starlink satellite-based internet service was enabled in Ukraine following a direct request to SpaceX CEO Elon Musk on February 24th to rapidly restore communications lost in Russian air attacks in areas where mobile networks are unavailable. “There is no alternative to satellite connections,” Fedorov said.

A resident waits for her phone to charge at a temporary charging point and internet hotspot via a Starlink device on November 17, 2022 in Kherson, Ukraine — Starlink services have become a lifeline for both civilian and military communications throughout the war-torn country following Russian attacks on Ukraine’s communications networks and energy infrastructure.

“SpaceX and Musk quickly react to problems and help us,” said Fedorov. “Musk assured us he will continue to support Ukraine. When we had a powerful blackout, I messaged him on that day and he momentarily reacted and has already delivered some steps. He understands the situation.”

Musk initially agreed that SpaceX would keep funding the Starlink terminals back in October after requests that the U.S. government pay for existing internet services and additional terminals sent to Ukraine fell flat. Musk later added on Twitter that Starlink was losing about $20 million a month to maintain services in Ukraine and that the company couldn’t fund support “indefinitely.” Since then, SpaceX has announced Starshield — a new government-focused service providing a secured satellite network, and increased the price of Starlink satellite terminals and services in Ukraine after an initial discount in August to “reflect local market conditions.”