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Bolivia Opens Doors to Global Satellite Internet Providers to Boost Connectivity

Bolivia’s new government took a major step toward modernizing the country’s digital infrastructure on Tuesday by issuing a decree that will allow global satellite internet companies like Starlink and Kuiper to operate within the Andean nation.

The move by centrist President Rodrigo Paz reverses restrictions imposed by his predecessor’s socialist administration, which had denied SpaceX’s Starlink a license to operate in Bolivia last year. Former President Luis Arce’s government had cited concerns over data protection and national sovereignty as reasons for the rejection.

Bolivia has long struggled with internet connectivity issues, particularly in remote areas. For over a decade, the country has relied on the Chinese-built Tupac Katari satellite, purchased during the administration of left-wing leader Evo Morales in 2013. When launched, Morales had promised the satellite would “enlighten the people, after years of living in obscurity.”

However, the Chinese satellite has failed to deliver on these promises. Its geostationary orbit, approximately 35,000 kilometers (21,800 miles) from Earth’s surface, creates inherent limitations for data transmission speed.

By contrast, Starlink’s low Earth orbit satellites circle the planet at just 550 kilometers (340 miles) above the surface. This proximity allows for significantly faster data transmission rates, potentially transforming Bolivia’s digital landscape.

The need for improved connectivity is clear. According to a November report by connectivity intelligence company Ookla, Bolivia has the slowest internet speeds for both mobile phones and fixed broadband in South America, significantly lagging behind regional leader Brazil.

“We became spectators while the rest of the world advanced,” said President Paz, who was elected in October. “But that is over. With new technologies we will be able to make up for lost time.”

The slow connectivity rates have hampered Bolivia’s development, making even basic online tasks like conference calls difficult and creating substantial barriers for more complex operations such as cloud computing. These limitations have constrained business growth, educational opportunities, and access to digital services throughout the country.

President Paz emphasized that the decree aims to “reduce the digital divide” and guarantee high-quality connectivity access for all Bolivians. The government hopes improved internet access will stimulate economic growth, enhance educational opportunities, and bring Bolivia closer to digital parity with its South American neighbors.

Beyond satellite internet access, Paz also announced plans for international technology giants including Tesla, Amazon, Tether, and Oracle to invest in data centers near the cities of El Alto and Cochabamba. These investments represent part of a broader strategy to attract foreign capital to Bolivia.

The connectivity push comes amid President Paz’s efforts to address a severe economic crisis characterized by critical shortages of U.S. dollars. Earlier this week, his administration eliminated fuel subsidies that had strained public finances and contributed to the country’s dollar scarcity. The subsidy cuts prompted immediate protests from labor unions across Bolivia.

The opening of Bolivia’s market to global satellite internet providers represents a significant policy shift that aligns with regional trends. Several other Latin American countries have already embraced satellite internet technology to bridge connectivity gaps, particularly in rural and remote regions where traditional infrastructure development is challenging and costly.

For companies like Starlink, Bolivia represents an important expansion opportunity in South America, where challenging geography and dispersed rural populations make satellite internet solutions particularly valuable. The Andean nation’s mountainous terrain has historically made traditional telecommunications infrastructure development difficult and expensive.

As Bolivia embraces these new technologies, the government faces the challenge of ensuring equitable access across all segments of society, particularly in a country with significant economic disparities and rural populations.

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12 Comments

  1. This decision highlights the growing importance of satellite internet as a solution for expanding connectivity, especially in regions with challenging geography like Bolivia’s mountainous terrain. It will be worth monitoring the rollout and impact.

  2. This is a welcome move by Bolivia to improve internet connectivity, especially in remote areas. Satellite providers like Starlink can help bridge the digital divide and bring more Bolivians online.

    • Lucas J. Johnson on

      Agreed. Reliable high-speed internet access is crucial for economic and social development in the modern world.

  3. James Y. Hernandez on

    It will be interesting to see how this move impacts Bolivia’s relationship with China, given the previous reliance on the Tupac Katari satellite. This could signal a shift in the country’s geopolitical alignment.

  4. Elizabeth Thompson on

    The decision to allow global satellite internet providers to operate in Bolivia reflects the country’s recognition of the need for improved digital connectivity. This could be a significant step forward for the country’s tech and economic development.

    • William Williams on

      Absolutely. Boosting internet access can unlock new opportunities for Bolivians in education, healthcare, e-commerce, and other critical areas.

  5. Olivia Jackson on

    It’s interesting that Bolivia is moving away from the Chinese-built Tupac Katari satellite, which seems to have fallen short of expectations. Diversifying internet infrastructure sources could be beneficial.

    • Yes, relying too heavily on a single satellite system, especially one from a foreign power, can create vulnerabilities. This shift aligns with Bolivia’s efforts to reduce dependence on China.

  6. Olivia Johnson on

    While this opens the door for providers like Starlink, I wonder if there are any plans to invest in domestic internet infrastructure as well. A balanced approach leveraging both satellite and terrestrial networks could be optimal.

    • Isabella Lopez on

      Good point. Developing local internet infrastructure in parallel with satellite connectivity can create more resilient and sustainable connectivity solutions for Bolivia.

  7. I’m curious to see how this will impact Bolivia’s data protection and national sovereignty concerns that led to the previous restrictions. Careful oversight will be important as these satellite networks are integrated.

    • Good point. The government will need to balance connectivity goals with appropriate data privacy and security measures.

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