A new Starlink satellite Internet pricing model that distinguishes between locations with low subscriber counts and those with “limited capacity” was unveiled by SpaceX last year.
Starlink customers who reside in “excess capacity” locations currently pay just $90 per month for SpaceX satellite Internet service.
Some people who reside in areas with “limited capacity” are shelling out the entire $120 monthly subscription fee for Starlink.
SpaceX began selling Starlink kits at Best Buy and other stores, and has been expanding the frequency of its Starlink satellite launches as well as the availability of Internet hardware.
The Starlink satellite Internet speeds and coverage were initially increased by the launches; however, it appears that an increasing number of consumers are now being switched from the “excess” to the “limited” capacity pricing tier.
Some Starlink customers have gone so far as to declare that they will be terminating their subscription after receiving an email from SpaceX stating that starting on June 10, Starlink rates will rise by 33%.
Some Reddit users of Starlink claim that the decision-making process behind moving a region to the limited capacity tier and its subsequent higher fees appears to be somewhat arbitrary:
It used to be $90 in my region, but it recently changed to $120. This area is fairly sparse; houses are typically miles apart, and the population density averages just over one person per square mile for several miles in all directions. Town is 200 people and more than 15 kilometers distant. I fail to understand how this would be seen as a greater demand location, as most people there likely have access to cell service.
SpaceX has already launched nearly 6,000 Starlink satellites into orbit, significantly increasing the network’s carrying capacity, with the most recent Falcon 9 launch from Cape Canaveral. On the other hand, Starlink subscribers are also increasing rapidly.
Rearranging area capacity designations may be one method SpaceX uses to effectively manage its capacity in order to prevent a decline in median download speeds, as the entire fleet of Carnival cruise ships, for example, has recently been equipped with Starlink satellite Internet dishes.