Vietnam’s government has approved Elon Musk‘s SpaceX for the trial launch of its Starlink satellite internet service in the country.
What Happened: The Vietnamese government has permitted SpaceX’s Starlink to operate on a trial basis until the end of 2030. The government’s statement clarified that there is no restriction on foreign ownership of the service, according to a Reuters report on Wednesday
Analysts perceive the move to allow the U.S. firm’s internet service as a strategic measure by Vietnam to avoid potential U.S. tariffs. However, it is unclear whether SpaceX has started the process of obtaining a license to launch its service in Vietnam.
Starlink, currently operating in over 120 markets globally, is permitted to provide both fixed and mobile service plans throughout Vietnam, including in-flight services. The government has limited the subscriber base to 600,000 for the trial period.
Why It Matters: SpaceX has recognized Vietnam as a key market with high growth potential for its Starlink satellite internet service. Moreover, the country experiences connectivity gaps, with more than 1,500 villages identified as having limited or no internet access. To close this digital divide, Vietnam’s Prime Minister, Pham Minh Chinh, pledged to expedite the licensing process for Elon Musk‘s Starlink under a pilot scheme. The Vietnamese government had expressed interest in SpaceX's proposed $1.5 billion investment related to its Starlink satellite service.
Furthermore, another report on Monday stated that SpaceX is gearing up to launch a new Starlink dish capable of delivering gigabit internet speeds. This marks a significant upgrade from the current download speeds of approximately 200Mbps.
The trial approval of Starlink in Vietnam, coupled with the upcoming launch of the new Starlink dish, indicates a promising expansion for SpaceX’s global internet service.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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