Tuesday, September 28, 2021

Google Wins Deal To Help Deliver Internet Through SpaceX Satellites

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SpaceX will install ground stations at Google data centers that connect to SpaceX’s Starlink satellites, CNBC reported. SpaceX in the second half aims to provide fast internet service to enterprises. The deal could last seven years, CNBC said, citing a person who declined to be named.

“This is one of a kind. I don’t believe something like this has been done before,”  Bikash Koley, Google’s head of global networking, said, according to CNBC.  He said he expected that having Starlink draw on Google’s cloud network will lead organizations to deploy applications inside Google’s cloud to take advantage of high speeds.

Kurian told CNBC that Starlink’s service might be valuable for consumers living in places with limited internet access, as well as businesses and government organizations running projects in remote areas. Google did not immediately respond to a request for comment.

“They chose us because of the of our network,” said Thomas Kurian, CEO of Google’s cloud group. “The real potential of this technology became very obvious. The power of combining cloud with universal secure connectivity, it’s a very powerful combination.”

SpaceX was founded in 2002 by Tesla  (TSLA) – Get Report Chief Executive Musk. In February, the company began taking preorders of its Starlink satellite internet service from more countries and cities. Last month, Alphabet beat Wall Street’s first-quarter-earnings expectations by a wide margin.

Source Shares of Alphabet, Mountain View, Calif., at last check were up 1% at around $2,223. Google is a holding in Jim Cramer’s Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells GOOG? Learn more now.

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