Entel, the leading telecommunications provider in Chile, has officially announced its strategic partnership with Starlink, Elon Musk’s satellite internet service. This collaboration aims to offer high-speed satellite internet to businesses in both Chile and Peru through a B2B (business-to-business) resell model.
About the Parthership
The formal launch event, held in Santiago, Chile, featured a lecture by renowned astronomer Sergio Massa and a performance of Mozart’s Jupiter Symphony, setting the stage for the introduction of Starlink’s satellite technology to the business sector.
This partnership allows Entel to provide Starlink’s advanced satellite internet to companies of all sizes, from small and medium-sized enterprises (SMEs) to large corporations. Delia Lazarte, Market Manager for Network and Data Solutions at Entel Empresas, highlighted the significance of this alliance: "What differentiates this offering is the integration of Starlink’s cutting-edge technology with Entel’s robust infrastructure and value-added services.”
A strategic alliance for business connectivity
This development is set to make a substantial impact in improving internet connectivity for businesses operating in remote or underserved regions of Chile and Peru. Industries such as mining, agriculture, and forestry, which often struggle with poor internet infrastructure, will particularly benefit from the high-speed, low-latency connections enabled by Starlink’s satellite constellation.
Starlink’s satellites operate in low Earth orbit, which offers a significant advantage over traditional geostationary systems. Since these satellites are positioned much closer to the Earth, the data signal travels a shorter distance, leading to faster internet speeds and reduced latency. This technological improvement results in quicker, more responsive connections, especially in remote areas where traditional satellite systems often struggle with delays.
The collaboration will also include a range of value-added services offered by Entel, such as 24/7 network monitoring, proactive management, and dedicated technical support. In addition, an observability feature will allow businesses to track real-time connectivity performance via a web or mobile application, enhancing the overall user experience.
Entel’s partnership with Starlink is not limited to large corporations. SMEs will also have access to this service, enabling them to engage in e-commerce, improve customer communication, and expand their digital operations.
Entel’s regional ambition
The expansion of this service to Peru demonstrates Entel’s regional ambitions. Although details of the Peruvian launch are yet to be confirmed, this strategic move positions Entel as a key player in the business connectivity landscape in Latin America.
As the region continues to recover from the economic effects of the COVID-19 pandemic, reliable and fast internet connectivity is becoming increasingly vital for businesses to remain competitive. This new service is expected to drive innovation, allowing local businesses to tap into global markets and adopt cloud-based technologies.
While the potential benefits are significant, the project does face challenges. Satellite technology is known to be sensitive to weather conditions, and the need for an unobstructed view of the sky can limit its availability in some areas. Additionally, the growing number of Starlink satellites has raised concerns about light pollution and its impact on astronomical research. Costs for the service may also remain higher than traditional internet options in certain areas, particularly when compared to fibre-optic connections.
Challenges and competition
In Latin America, competition in the satellite internet market is heating up. Other US companies, such as HughesNet, already have a presence in Chile, Peru, and Colombia, while Amazon Kuiper project, which will also utilise LEO satellites, is expected to enter the market by 2025.
Despite these challenges, the partnership between Entel and Starlink represents a pivotal moment for business connectivity in Chile and Peru. The ability to deliver high-speed internet to previously unreachable areas could foster significant economic growth and innovation, allowing local enterprises to compete on a global scale.
Future Plans: "Direct to Cell" service
Entel also has plans for further connectivity services in the future. While the current focus is on satellite internet for businesses, the company has hinted at launching Starlink’s "Direct to Cell" service later this year, which will enable direct cellular communication via satellite for Entel customers.
