Monday, July 14, 2025

The Specifics of Starlink's Planned 2025 Launch in Vietnam



Starlink's planned commercial launch in the fourth quarter of 2025 is not a standalone announcement, but rather the result of a prolonged and detailed engagement process between SpaceX and Vietnamese government agencies. The plan involves significant legal, investment, and infrastructure commitments.


Here are the specific details based on official government announcements and media reports:


1. Legal Framework and Licensing


Pilot Decision: The cornerstone of the plan is Decision No. 659/QD-TTg, issued by the Prime Minister on March 23, 2025. This decision authorizes SpaceX to conduct a controlled pilot program for its Low Earth Orbit (LEO) satellite telecommunications services in Vietnam.


Pilot Duration and Scale: The pilot phase is set for a maximum duration of five years, concluding before January 1, 2031. During this period, the service is capped at a maximum of 600,000 subscribers.


Establishment of a Local Enterprise: To obtain a full business license for telecommunications services, SpaceX is currently undertaking the necessary procedures to establish a 100% foreign-owned enterprise in Vietnam. Once this legal entity is in place, the Ministry of Science and Technology will proceed with the next licensing steps in accordance with the Law on Telecommunications.


2. Investment and Local Manufacturing in Vietnam


Major Investment Commitment: One of the most significant developments is SpaceX's pledge to invest approximately $1.4 billion USD in Vietnam.


Local Production of Terminals: This substantial investment is not only for building infrastructure but also for contracting Vietnamese enterprises to manufacture Starlink's user terminals. This is a crucial move that could boost the domestic electronics industry and create numerous local jobs.


3. Technical Infrastructure


Ground Stations (Gateways): For the service to function, Starlink must build ground stations to connect its satellites to the global internet. It has been reported that SpaceX plans to build up to 15 gateways across the country, with an initial station potentially located in Da Nang.


Speed and Latency: Starlink's LEO technology promises to deliver high-speed internet (ranging from 50 - 250 Mbps) with low latency (around 20 - 40ms). This performance is superior to traditional geostationary (GEO) satellite technologies and could be competitive with fiber optics in certain aspects.


4. Target Market and Customer Profile


Starlink does not intend to compete directly with fiber-optic internet providers in urban centers, where internet costs are already very low. Instead, its services will focus on:


Bridging the Digital Divide: Providing internet access to remote regions, mountainous areas, and islands where fiber-optic and mobile infrastructure is lacking.


Specialized Services: Offering high-speed connectivity for mobile assets such as maritime vessels and aircraft.


National Security, Defense, and Emergency Response: Serving as a critical backup infrastructure to ensure connectivity during emergencies, natural disasters, and typhoons.


Driving Digital Transformation: Supporting initiatives like distance learning and telemedicine in underserved areas.


5. Projected Costs


While official pricing for the Vietnamese market has not been announced, based on pricing in other markets, potential users can expect:


Hardware Fee: Approximately $500 - $600 USD for the standard satellite dish and router kit.


Monthly Subscription Fee: Around $99 - $135 USD for personal plans.


This price point is considerably higher than the average internet cost in Vietnam, reinforcing the idea that Starlink's primary customers will be enterprises, organizations, and individuals in specific, hard-to-reach locations rather than the general urban population.

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