Satellite dish reflecting sunset hues on dusty hill with Andes mountains in background and distant village below

Bolivia Opens Doors to Global Satellite Internet as President Signs Decree to Bridge Digital Divide

Bolivia’s new government has just opened the country to global satellite internet providers, a move that could finally bring high-speed connectivity to its remote regions.

A Landmark Decree

On Tuesday, President Rodrigo Paz signed a decree that lifts the restrictions previously imposed on international satellite companies by his socialist predecessor, Luis Arce. The decree allows global players such as Starlink and Kuiper to operate across Bolivia, signaling a shift toward modernizing the nation’s internet infrastructure.

Past Barriers to Satellite Internet

Last year, Arce’s administration refused to grant a license to SpaceX, the owner of Starlink, citing concerns about data protection and national sovereignty. The new decree removes those barriers, giving the company and its competitors the legal footing to provide service.

Globe with satellite hovering above Bolivia and stack of documents with flag patterns in foreground

The Legacy of the Tupac Katari Satellite

For years, Bolivia attempted to improve connectivity in remote areas with a satellite purchased from China during Evo Morales’ tenure. Acquired in 2013, Morales promised the Tupac Katari would “enlighten the people, after years of living in obscurity.” However, the satellite’s geostationary orbit-about 35,000 kilometers (21,800 miles) above Earth-limited its ability to boost mobile and home internet speeds.

The Advantage of Low-Earth Orbit

In contrast, satellites used by Starlink orbit the planet at roughly 550 kilometers (340 miles). Modern low-Earth orbit satellites can transmit data at faster rates because they are closer to the user, a technological advantage that the new decree aims to bring to Bolivia.

Bolivia’s Position in South America

A November report by connectivity intelligence company Ookla found that Bolivia had the slowest internet speeds for both mobile phones and fixed broadband in South America. Brazil remains the regional leader in speed, underscoring the urgency of Bolivia’s initiative.

President Paz on Digital Equality

“By granting licenses to international satellite companies, I am hoping to reduce the digital divide and guarantee access to high-quality connectivity for Bolivians,” Paz said during the decree’s announcement.

The Impact of Slow Connectivity

Bolivia’s sluggish internet hampers everyday tasks such as conference calls and complicates more complex operations like cloud computing. The new policy seeks to eliminate these bottlenecks.

A Call to Action

“We became spectators while the rest of the world advanced,” Paz declared, “but that is over. With new technologies we will be able to make up for lost time.”

International Investment in Data Centers

Paz also highlighted plans from international companies-including Tesla, Amazon, Tether, and Orcacle-to invest in data centers that Bolivia will establish near the cities of El Alto and Cochambamba. These facilities are expected to support the expanded satellite network.

Economic Context

The president has been actively courting foreign investment as part of an effort to alleviate an economic crisis marked by severe shortages of U.S. dollars. The satellite initiative is positioned as a key driver of economic growth.

Fuel Subsidy Reform and Public Response

Earlier that week, Paz signed a decree to eliminate fuel subsidies that had strained public finances and worsened dollar shortages. Labor unions across the Andean nation protested the subsidy removal on Monday, taking to the streets in opposition.

Key Takeaways

  • Bolivia’s new decree permits global satellite internet companies to operate nationwide.
  • The move reverses a previous ban on SpaceX’s Starlink imposed by President Arce.
  • Bolivia’s current satellite, Tupac Katari, failed to improve speeds due to its high orbit.
  • Low-Earth orbit satellites like Starlink offer faster data transmission.
  • Bolivia ranks lowest in South America for mobile and broadband speeds.
  • President Paz aims to reduce the digital divide and attract international investment.
  • The decree follows a fuel subsidy elimination that sparked labor protests.

Bolivia’s decision marks a decisive step toward modernizing its digital infrastructure, potentially transforming connectivity for millions of citizens and positioning the country for future technological advancement.

Author

  • Gavin U. Stonebridge

    I’m Gavin U. Stonebridge, a Business & Economy journalist at News of Austin. I cover the financial forces, market trends, and economic policies that influence businesses, workers, and consumers at both local and national levels. My goal is to explain complex economic topics in a clear and practical way for everyday readers.

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