Falkland Islands Government Greenlights Starlink

The wait is over – the light at the end of the tunnel is here!

The Executive Committee (ExCo) of the Falkland Islands Government has officially approved a considerable reduction in the VSAT licence fee – it is “minded” to slash it from £5,400 to just £180 but it will stay at £5,400 until final agreement in ExCo in early May. This decision paves the way for Starlink to begin providing services in the Falkland Islands, creating a game-changing step towards modernising the Islands’ telecommunications.

While the instinct is to celebrate – and rightly so – it’s important to view this as just the first step on the journey to firmly bring the Falkland Islands’ telecoms into the 21st century. There is still much work to be done, but this milestone marks a significant shift towards improved connectivity to the outside world, choice, and progress for the Islands.

The ExCo meeting, delayed from Tuesday due to several issues, went ahead on Friday, 31st March with a packed agenda. However, the standout decision was the approval of the recommendation from the Select Committee to slash VSAT licence fees – a pivotal step in enabling greater competition and improved broadband services across the Islands.

This meeting marked a milestone moment, representing the culmination of months of hard work and collaboration by numerous stakeholders across the Islands since May 2024.

The journey to integrate Starlink into the Falkland Islands’ telecommunications landscape has been complex and hard-fought – driven by community advocacy, navigated through regulatory hurdles, and accelerated by recent service disruptions highlighting the urgent need for better broadband solutions in the islands.

A little look back at the last nine months

In mid-May 2024, I learned that Starlink terminals were being used – albeit illegally –  in the Falkland Islands. My initial post on the topic drew parallels with a similar situation on Ascension Island around twelve months earlier, wondering whether the same pattern would unfold in the Falklands.

Despite the lack of formal approval, hundreds of Starlink terminals were in operation across the Islands, used without licences due to the prohibitively high £5,400 VSAT licence fee – a barrier that had long hindered affordable access to better internet services.

Momentum began to build in July 2024, when the Starlink Petition Group organised a public meeting at Stanley Town Hall to address the Islands’ long-standing Internet challenges. The meeting revealed widespread frustration with the existing service and a strong community appetite for change. From this, a petition was launched, calling for two key demands:

1. A reduction in the VSAT licence fee.
2. Formal approval for Starlink to operate in the Falkland Islands.

The petition gained remarkable support, with around 70% of the population adding their names, a clear signal of the community’s desire for better connectivity.

In response, the Legislative Assembly established a Select Committee on 1 August 2024, comprising all elected Members of the Legislative Assembly (MLAs), to consider the petition’s demands. The committee endorsed the petition and passed its recommendations to the Falkland Islands Government (FIG).

While the process highlighted the complexities of integrating new technologies like Starlink within existing legal and regulatory frameworks and balancing progress with obligations under existing telecom agreements, the Islands have successfully navigated these challenges.

The final step came in late February 2025, when the Executive Council (ExCo) of the Falkland Islands Government formally approved all the demands of the Starlink Petition Group’s petition which represents a landmark decision that paves the way for transformational change in the Falkland Islands’ telecommunications landscape.

The Falkland Islands Government press release

Starlink press release

Download full PDF:

Following the government’s press release on Monday 3rd March 2025, the Starlink Petition Group issued the following statement:

A Victory for the People of the Falkland Islands

“Today marks a defining moment for the Falkland Islands—one that belongs to every person who stood up, signed the petition, and pushed for change. What once seemed impossible has become a reality, thanks to the unwavering determination of this community and the incredible support of our MLAs and FIG.

This is about more than just faster Internet. It’s about ensuring the people of the Falklands have the same opportunities as those in the rest of the world. It’s about businesses being able to compete, students having access to modern education, improved healthcare, and families staying connected without limits. We will no longer have to accept an overpriced, low-download-speed, and unreliable broadband service as our only option.

None of this would have happened without the dedication and support of this community. Every conversation, every signature, and every show of support played a part in making this happen. We also want to thank the Legislative Assembly for recognising the overwhelming public support and taking action to make this possible.

There’s still work to do, but today, we take a moment to celebrate what we’ve achieved together. FIG will be holding a public meeting on Monday, March 3rd, where people can raise any questions regarding the government’s statement. There will also be a public consultation in March, and we strongly encourage everyone to take part—this is your chance to make your voice heard as the final policies are shaped.

Readers may have always wondered what the ‘Starlink Freedom Day’ activities were about last summer. We are now able to define this as the first day a legal £180 VSAT licence is issued with Starlink approval by the government. We are confident that this day will be in early May.“.

Starlink: The Connectivity Revolution

The Starlink LEO constellation is arguably the most globally disruptive telecommunications service since the advent of the Internet. Traditional carriers have grown complacent for the last twenty years, rightly relying on terrestrial fibre networks as the dominant foundation of network architecture and pricing models. To be clear, fibre remains the gold standard wherever it can be deployed – whether on land or undersea – as seen in places like Guernsey and the Isle of Man with Sure International. However, terrestrial or undersea fibre infrastructure is not a viable option in remote locations and smaller islands.

This is where Starlink and the wider rise of LEO constellations become transformational. With game-changing broadband speeds and dramatically reduced latency, LEO services are rewriting the rulebook for connectivity in hard-to-reach regions.

The Falkland Islands are far from alone in facing the challenges posed by legacy monopoly telecom providers struggling to adapt to this overnight technological shift. But the reality is clear: traditional operators must adapt or risk irrelevance. Starlink is here to stay, and with more LEO operators set to follow, the old telecommunications order is being permanently reshaped.

Cayman Islands

Other countries are having to react to the advent of Starlink, including the British Overseas Territory of Cayman Islands. Although their government’s approach was threatened in the Falkland Islands, fortunately a more enlightened view prevailed.

“As of August 2024, the Cayman Islands’ utilities regulator, OfReg, has prohibited the sale and use of Starlink satellite internet terminals within the country. This action stems from the fact that Starlink is not currently licensed to provide services in the Cayman Islands. OfReg issued cease-and-desist notices to local vendors, including Cost.U.Less and Shop Smart Cayman, to prevent unauthorized sales of the equipment. The regulator stated that these measures aim to protect consumers from purchasing equipment for services that are not legally available.

Despite these restrictions, some residents have reportedly acquired and used Starlink equipment, either by purchasing it locally before the ban or by importing it privately. However, the legality of such use remains uncertain under current regulations.”

Some other islands have adopted a backward-looking, protectionist approach which is a strategy that I’m confident won’t serve them well in the long run. For example:

Niue: The government has prohibited using Starlink, warning users of penalties under the Communications Act 1989, including fines or imprisonment. This action aims to regulate unauthorized use and ensure compliance with local laws.

Traditional connectivity is no longer a differentiator — it’s just a commodity.

In the pre-Internet days of the late 1990s, the primary revenue stream for all telecommunications companies was dominated by voice services. When the Internet began displacing traditional data services, and Voice-over-IP (VoIP) dramatically eroded voice revenues, the industry entered a state of near panic as revenues plummeted.

Some telecom companies swiftly adapted to the new digital era, while others clung to outdated business models, struggling for a few years before collapsing. Unfortunately, Cable & Wireless was one of those that failed to adapt. In the aftermath, Sure International acquired several of C&W’s island-based assets, including the Falkland Islands operations.

Fast forward twenty years, and Internet data services have firmly replaced voice as the primary revenue driver. Yet many local telecom operators have focused solely on delivering basic Internet access without investing in innovative digital capabilities.

Now, history is repeating itself in this déjà vu year. The arrival of Starlink poses an existential threat to traditional telecom business models. Once again, some carriers are gripped by panic as they face the prospect of severe revenue losses. This generation needs to learn the lessons of the previous generation or suffer the consequences.

The primary trend that has taken place over the last two decades is that telecoms companies are shifting their focus from traditional connectivity services (like broadband, mobile, and voice) to IT and digital services. Basic connectivity services have become low-margin, highly competitive commodities, while price wars and regulatory pressures have pushed margins down, making it harder for telcos to rely on connectivity alone for profits. It’s more like repositioning connectivity as part of a bigger IT service bundle rather than abandoning it altogether.

This shift has meant that Internet access isn’t the only revenue-generating service available to incumbent operators. The opportunity remains for those willing to embrace change, innovate, and diversify – even if that means smaller margins in the short term. Survival depends not on protectionism, but on the ability to adapt to change and threats.

What are these other value-added services an island-based incumbent carriers could offer? Here are a few examples.

Telecommunications Services

• Traditional POTS (Plain Old Telephone Service) lines
• Business phone systems & VoIP services
• Mobile telecommunications (Voice, Data & SMS)
• Wholesale services (Leased lines, dark fiber, and carrier interconnects)

Government & Military Services

• Government communication networks
• Military communication networks
• Public infrastructure services (Emergency services communication networks)
• Disaster recovery communications

Business Connectivity & Network Services

• Business intranet & WAN services
• Public Wi-Fi networks
• IoT connectivity solutions
• Data backup & disaster recovery services
• Cloud & data centre hosting
• Web hosting & email hosting
• Managed Wi-Fi networks
• On-line game server hosting

Security & Consulting Services

• Network security services
• Cybersecurity solutions
• Consulting & professional services

Media & Digital Services

• IPTV services
• Advertising solutions

Equipment & Infrastructure

• Equipment sales & installation

In the next 5 years, most telcos will look more like tech companies than traditional telecom providers, with IT services making up most of their revenues (for those that choose to adapt).

It’s clear that many, if not most, of these additional services are no longer purely connectivity-focused, but instead IT-driven or digitally community-oriented. As a result, the skills required of a modern local telecommunications company are vastly different from those demanded 20 years ago.

The message is simple: adaptation is survival. Those who cling to outdated business models will face the same fate as those who failed to adapt during the VoIP revolution. But those who embrace digital transformation can play a vital role in helping their communities thrive in a connected world.

World-Class Decision Making

The Falkland Islands Government, MLAs, and the people of the Islands deserve great credit for facing the disruptive arrival of Starlink with such an open and progressive mindset, especially in the face of significant resistance from the local incumbent carrier. This willingness to embrace change represents world-class decision-making for such a small and remote country – a bold example that many larger nations could learn from.

Ultimately, the driving force behind this decision is simple: Starlink delivers a broadband service that legacy technologies cannot match. Neither geostationary satellites nor OneWeb’s LEO constellation – with its 290ms latency to the UK – come close to offering the speed, quality, and performance that Starlink provides.

This decision flies in the face of the oft-repeated meme that such a small population means a telecommunications monopoly is mandatory. The decision today shows that when communities prioritise the needs of their people over the protection of outdated business models, things can move forward. This decision will help propel the Falkland Islands firmly into the 21st century digital age.