Geopolitics has a higher-level impact on Macroeconomics. Any student of history knows how the influence of national-level power and wars have impacted economics.
It is rare that any single person who is not a national government leader has as much potential impact as Elon Musk. Starlink communications has become an essential factor in Ukraine’s strategy against the Russian invasion.
Elon Musk’s Unmatched Power in the Stars
The tech billionaire has become the dominant power in satellite internet technology. The ways he is wielding that influence are raising global alarms.
By Adam Satariano, Scott Reinhard, Cade Metz, Sheera Frenkel and Malika Khurana, The New York Times, July 28, 2023
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Mr. Musk, who leads SpaceX, Tesla and Twitter, has become the most dominant player in space as he has steadily amassed power over the strategically significant field of satellite internet. Yet faced with little regulation and oversight, his erratic and personality-driven style has increasingly worried militaries and political leaders around the world, with the tech billionaire sometimes wielding his authority in unpredictable ways.
Since 2019, Mr. Musk has sent SpaceX rockets into space nearly every week that deliver dozens of sofa-size satellites into orbit. The satellites communicate with terminals on Earth, so they can beam high-speed internet to nearly every corner of the planet. Today, more than 4,500 Starlink satellites are in the skies, accounting for more than 50 percent of all active satellites. They have already started changing the complexion of the night sky, even before accounting for Mr. Musk’s plans to have as many as 42,000 satellites in orbit in the coming years…
Starlink is often the only way to get internet access in war zones, remote areas and places hit by natural disasters. It is used in Ukraine for coordinating drone strikes and intelligence gathering. Activists in Iran and Turkey have sought to use the service as a hedge against government controls. The U.S. Defense Department is a big Starlink customer, while other militaries, such as in Japan, are testing the technology.
But Mr. Musk’s near total control of satellite internet has raised alarms… Few nations will speak publicly about their concerns, for fear of alienating Mr. Musk, said intelligence and cybersecurity officials briefed on the conversations…[end quote]
Reusable SpaceX rockets launch Starlink satellites into low earth orbit. Launches happen nearly every week, and about 60 satellites are released into orbit each time.
The European Union, China and Taiwan are involved in this story as well as Ukraine. The EU and China are planning their own satellite internet. Africa is dependent on Starlink for internet.
Wendy