Starlink keeps trying to block fiber deployment, says US must nix Louisiana plan

Starlink keeps trying to block fiber deployment, says US must nix Louisiana plan

SpaceX, the operator behind Starlink, is intensifying its opposition to Louisiana's plans aimed at enhancing fiber broadband access. Following its appeal to the Trump administration regarding a similar initiative in Virginia, SpaceX has now turned its focus to Louisiana. In a recent filing with the Louisiana Office of Broadband Development and Connectivity, SpaceX expressed its concerns over the proposed funding model. The company's argument centers around the allocation of 91.5 percent of broadband funds to fiber Internet service providers, sidelining the Starlink satellite system. SpaceX contends that the state's decisions are being swayed by a plethora of fiber lobbyists and others looking to capitalize on substantial taxpayer investments. Previously, the Trump administration had modified rules for the $42 billion Broadband Equity, Access, and Deployment (BEAD) grant program to favor Starlink by advocating for a tech-neutral approach instead of prioritizing fiber networks, which are often deemed superior for future connectivity. In its communication, SpaceX highlighted that Louisiana's funding proposal aims to invest nearly $500 million to enhance connectivity for underserved areas. However, they argue that their own application could cover nearly all BEAD households for less than $100 million, suggesting that the state's plan involves over $400 million in wasteful spending. The state has designated $7.75 million to Starlink, intending to serve just 10,327 locations, while the overall plan allocates $499 million across 127,842 locations. The Louisiana Local Fiber Consortium, which includes partnerships with T-Mobile, emerges as the largest beneficiary, receiving $378 million for 68,535 locations. SpaceX has accused Louisiana of failing to adhere to statutory requirements and program regulations, claiming that the funding process was not competitive. They argue that awarding the majority of funds to fiber projects at an average cost of $4,449 per location, while dismissing bids based on Low-Earth Orbit technology, is not compliant with the intended competition or neutral technology standards.

Sources : Ars Technica

Published On : Aug 19, 2025, 20:35

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