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Are these supposed to be replacement of Satellite Phones? If I have a cheap Gbps connection or a cheaper 100 Mbps mobile connection, am I still a target custome

• 7952 6y ago
  If they have spare bandwidth they could actually undercut existing providers. And why not? The marginal cost of adding an additional subscriber is effectively zero. So the cost could change by location depending on how much competition for bandwidth there is. All they need to do is make enough money to increase the number of satellites and maintain the network. And as the number increases the footprint can be reduced. The satellite targets a smaller area on the ground. And you add more subscribers using the same logic. It's an amazing business model really. You have a different price and a direct kind of customer in different places. A satellite starts an orbit over Antarctica and uploads scientific data. Then heads out over the sea and connects a few ships. Over Africa it connects rural 4g masts, schools and thousands of small businesses. Then over the Mediterranean it serves Netflix to cruiseline passengers. Over Europe it connects data for a NATO exercise and rural communities. Then later over London it sends data for high frequency traders. Then heads out over the North Sea to send YouTube to oil rig workers and telemetry for wind turbines. Heading up into the Arctic circle it connects a stream of airline flights to the web. And all you have to do is be slightly cheaper than the competition to win customers.