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A United Launch Alliance Atlas V rocket is shown on its launch pad carrying Amazon’s Project Kuiper internet network satellites as the vehicle is prepared for launch at the Cape Canaveral Space Force Station in Cape Canaveral, Florida, U.S., April 28, 2025.
Joe Skipper | Reuters
Amazon (AMZN) is commencing its “enterprise preview” program for its satellite-based internet service, now branded Amazon Leo, directly challenging SpaceX’s Starlink in the rapidly expanding space-based internet market. This initial program, announced Monday, will allow select businesses to test Amazon’s purpose-built hardware and software.
The enterprise preview, detailed in a company blog post, is designed to garner critical feedback and refine solutions tailored to specific industry needs before the service’s broader commercial rollout. Amazon expects feedback to be crucial in optimizing performance and identifying niche applications within diverse sectors. This measured approach reflects a strategic intent to avoid the growing pains experienced by some competitors during their initial launches.
The rebranding from Project Kuiper to Amazon Leo earlier this month signifies a move towards a more commercially oriented strategy. The name, a clear reference to Low Earth Orbit (LEO), highlights the orbital altitude of Amazon’s growing satellite constellation, which will operate within 1,200 miles of Earth.
Amazon’s ambitious plan, unveiled six years ago, involves deploying 3,236 LEO satellites to deliver high-speed, low-latency internet access to consumers, corporations, and government entities. The network will connect users via specifically designed terminals.
To date, Amazon has launched over 150 satellites since April, utilizing launch services from United Launch Alliance and, notably, SpaceX. This diversified launch strategy mitigates risk and ensures consistent deployment as the constellation builds.
Amazon Leo is entering a market currently dominated by SpaceX’s Starlink, which boasts a constellation of nearly 9,000 operational satellites. The competitive landscape demands exceptional performance and strategic partnerships for Amazon to carve out significant market share.
Amazon has already secured partnership agreements with companies like JetBlue, L3Harris, and Australia’s NBN, signaling a commitment to diverse market segments. The company is now shipping its “Pro” and “Ultra” terminals to participants in the enterprise preview program.
The final production design of the Ultra model, revealed by Amazon, is engineered to deliver download speeds of up to 1 Gigabit per second and upload speeds reaching 400 Megabits per second. Crucially, these speeds are enabled by a custom-designed silicon chip and what Amazon claims is “the fastest commercial phased array antenna in production.” This in-house technology underscores Amazon’s commitment to vertically integrated solutions and high-performance infrastructure.
As Amazon ramps up coverage and network capacity, the company plans to progressively expand the enterprise program to encompass a broader base of customers. This phased approach allows for controlled scalability and optimization of the user experience.
While Amazon has yet to announce definitive pricing and availability for consumer-grade services, the company’s strategic moves indicate a significant commitment to compete in the evolving satellite internet market. Investors will be watching closely to see how Amazon leverages its existing infrastructure and customer base to differentiate its offering and gain market share.
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