Ford's Starlink Contract Reversal Spares Rural Canada from Digital Divide Worsening

February 21, 2025
Ford's Starlink Contract Reversal Spares Rural Canada from Digital Divide Worsening
  • A recent trade dispute prompted Ontario Premier Doug Ford to announce a potential cancellation of a $100 million contract with Starlink, although he later retracted this decision after tariffs were paused.

  • The cancellation of the Starlink contract would primarily impact rural areas, where approximately 4.9% of users rely on the service, unlike urban centers that have access to traditional broadband.

  • Starlink has played a crucial role in enhancing high-speed internet access in Canada, particularly for rural and remote communities.

  • In Nunavut, around 44% of internet users depend on Starlink, with reliance rates of 27.8% in the Northwest Territories and 20.9% in Yukon.

  • Eliminating Starlink in these regions would worsen the digital divide, leaving residents with slow and unreliable internet options.

  • Limited alternatives to Starlink exist, as traditional satellite providers offer slower speeds and higher latency, while ongoing broadband expansion efforts do not sufficiently cover remote areas.

  • In contrast, provinces like British Columbia and Quebec, which have lower rural populations, would face smaller impacts from the cancellation of Starlink.

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