(Credit: PCMag/Brian Westover)
The Canadian province of Ontario is tapping SpaceX’s Starlink to deliver satellite internet to residents out of reach of high-speed broadband networks.
The deal will subsidize Starlink access at 15,000 underserved homes and businesses located in rural and remote communities starting in June 2025.
In a press conference, Ontario Minister of Infrastructure Kinga Surma said the province is spending nearly $100 million CAD on the project. “What the province will be doing is we will be paying for the installation and equipment fees,” she said, meaning eligible residents will still need to pay the monthly internet fee for Starlink.
Details about how residents can apply for subsidized Starlink will be announced next spring. In an email, a spokesperson for the Minister of Infrastructure elaborated on the program, saying, "the province will provide up to $92 million to cover capacity reservation from Starlink for Ontario, hardware and installation costs, and the Indigenous Engagement and Participation Plan."
"The agreement between the Province and SpaceX will ensure that service remains accessible," the spokesperson added. "SpaceX has agreed to reserve capacity in its low-earth orbital system, guaranteeing service availability for Ontario customers regardless of global demand on SpaceX’s network."
So it looks like some of the funding will go toward preventing network congestion for Starlink users in the affected areas. In Canada, the standard dish Starlink hardware currently costs $499.99 CAD ($355 USD) while the monthly internet fee for residential subscribers is $140. The Ontario government selected SpaceX’s Starlink following a bid process that also solicited proposals from Xplore Inc., a provider of rural internet services.
"As part of the partnership with the Province, Starlink will directly engage with Indigenous communities to ensure all eligible households and businesses within these communities have equal access to the program," the spokesperson for the Minister of Infrastructure also said. "Additionally, Starlink will support socio-economic development within these communities by offering employment, contracting, and training opportunities where feasible."
The Starlink partnership is part of the Canadian government’s plan to spend almost $4 billion to expand high-speed internet across Ontario by the end of 2025. The province is the latest local government to harness Starlink as a way to improve internet access in remote areas. Last month, Maine announced a similar program to buy Starlink dishes for eligible residents in locations without access to cable, DSL, or fixed wireless.
In contrast, the US Federal Communications Commission denied $886 million in funding to SpaceX two years ago to subsidize Starlink in rural areas across the country. The agency cited the high cost of a Starlink dish, which cost $599 at the time. But it’s possible the commission may revisit the issue, following Trump’s re-election. Republican Commissioner Brendan Carr, a vocal supporter of SpaceX and Starlink, is expected to lead the FCC under Trump.