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Alphabet's Potential Starlink Rival Becomes Its Own Company

  • 17.03.2025 19:17
  • msn.com
  • Keywords: High Risk, High Risk

Alphabet’s Project Taara has spun off as its own company, aiming to compete with SpaceX’s Starlink by delivering high-speed internet via ground-based light beams to rural areas. The new venture, which uses a wireless technology called Lightbridge, promises easy deployment and gigabit speeds over 20 kilometers without costly infrastructure.

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Estimated market influence

Alphabet

Alphabet

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Analyst rating: Buy

Alphabet's Project Taara is spinning off into its own company, which could potentially compete with Starlink.

Starlink

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Analyst rating: N/A

Starlink has already attracted over 5 million users globally and is a competitor to Taara.

Context

Analysis of Alphabet's Project Taara Spin-Off

Key Facts and Data Points

  • Project Taara: A potential rival to SpaceX’s Starlink, spun off from Alphabet (Google’s parent company) as its own entity.
  • Technology: Uses ground-based light beams to deliver high-speed internet (up to 20 Gbps) over a range of 20 kilometers.
  • Deployment: Equipment can be installed on existing cell towers, with setup completed in hours, eliminating the need for digging or spectrum licensing.

Market Positioning and Competition

  • Targets the same markets as Starlink, which has already attracted over 5 million users globally.
  • Unlike Starlink’s satellite-based approach, Taara relies on terrestrial light beam technology, offering a cost-effective alternative for rural and remote areas.

Strategic Moves and Funding

  • Raised funding from Series X Capital and Alphabet (minority stake).
  • Currently hiring for 14 new positions, with a team of over two dozen staffers.
  • Plans to miniaturize its technology into a silicon photonic chip, promising easier installation and deployment in 2024.

Competitive Landscape

  • Testing partnerships include Google Fiber (US) and Vodafone (India).
  • Deployed Lightbridge links in over 15 countries globally.

Long-Term Effects and Industry Implications

  • Potential to disrupt the satellite internet market by offering a ** terrestrial-based alternative** with faster deployment and lower costs.
  • Could accelerate broadband access in underserved rural areas, reducing reliance on expensive fiber optic infrastructure.

Regulatory Considerations

  • No immediate mention of regulatory hurdles, but the technology’s ease of deployment may face challenges related to spectrum management or local regulations.

Future Outlook

  • Taara’s ability to scale its technology and secure partnerships will determine its success in competing with Starlink.
  • The silicon photonic chip development could be a game-changer for rapid global deployment.