Weekly Wrap: Starlink’s free services in Argentina come at a high price

As part of the deal, the US company will donate equipment and provide free connectivity in specified locations for two years. The story is in line with a broader trend in Argentina, where the current administration has demonstrated ongoing interest in supporting the work of corporations like SpaceX across its territory.

In June 2026, ENACOM approved Starlink’s request to access various frequencies in the W band (92-114.25 GHz) on an “exceptional” basis. There was no public consultation, and the band hadn’t even been allocated to the fixed satellite service (FSS) in Argentina. 

President Milei said he was very grateful for Starlink’s donation. “It is a huge amount! Thank you, Elon,” he said. In a similar vein, ENACOM’s press releases highlight the benefits of the company’s operations in Argentina, which, they claim, contribute to “the technological inclusion of millions of Argentine citizens”.

Starlink is presumably just as grateful for Argentina’s efforts to de-regulate the country’s satellite industry. According to La Nacion, an Argentine daily newspaper, the company has over 700,000 subscribers in the country. This represents 25 % of its entire presence in Latin America. In April 2026, the weekly user growth rate was 2%.

However, while the company’s ability to enhance connectivity in rural areas is well attested, are its services actually convenient for citizens apart from when there are very specific circumstances?

Starlink became available to Argentine customers in 2024 and, since then, the service has been in high demand, particularly in crowded metropolitan areas like Cordoba and Buenos Aires. This increase in users has caused the service to drop multiple times in urban areas. This has not prevented the corporation from advertising its residential plan as “the best Wi-Fi” or stopped the Argentine authorities from celebrating its donations.

Starlink’s service is also notably more expensive than those provided by other local operators. An analysis published by news website Huella del Sur claims that, in the case of the 6,000 rural state schools that will receive satellite connectivity via SpaceX, the prices they will pay the US company after the initial years of free service will exceed what they would pay to other operators currently.

Some of the schools that will be served by Starlink are currently using governmental infrastructure provided through ARSAT, the state-backed satellite and fibre broadband company. Starlink charges around $160 USD per month, while ARSAT charges $60-$70 per month.

In October 2024, Milei’s government decided to open 100 MHz of spectrum previously belonging to ARSAT to market bidding. The move was part of broader efforts to de-regulate the Argentine state. In the past, local competitors have criticised the previous administration’s decision to reserve spectrum for ARSAT, which they called “anti-competitive”.

In the same year, ENACOM allocated S-band frequencies (1980-2025/2170-2200 MHz) to MSSMobile-satellite service (MSS) describes a… with the intention of opening the market to satellite direct-to-device (D2D) services, specifically those provided by SpaceX. The decision, like others that followed, suggests the Argentine government intends to continue championing Musk’s firm.

Argentina’s approach to satellite companies is wildly different from other Latin American countries. In Jamaica, for example, legal frameworks focus on the unique benefits of constellations, such as their convenience in times of emergency and their capacity to complement terrestrial operators rather than push out local operators and increase the costs for users.

While it’s too soon to judge the future effectiveness of these policies, there are many ways in which Starlink’s rapid expansion might not offer the best deal for Argentines in the short term.

Here is what else PolicyTracker reported on this week:

• Radio astronomers are still worried about interference from satellite constellations
• UNICEF is pioneering a new approach for spectrum licensing
• The US regulator has set a date for the upcoming upper C-band auction
• Several Asian countries are planning to build their own LEONGSO, or non-geostationary satellite orbit… constellations
• A new book argues that satellite coverage won’t be able to replace mobile terrestrial networks