First Station May Open by Mid-2025 in Danang
SpaceX is set to establish its first Starlink ground station in Vietnam, with plans to build up to 15 across the country. According to sources familiar with the matter, this move could signal the formal launch of Starlink’s services in Vietnam and help local authorities manage internet traffic.
The first ground station may become operational as early as May or June in Danang, a central Vietnamese city. The project follows a decision by the Vietnamese Prime Minister on 23 March, directing SpaceX to build at least one such facility.
SpaceX Special Conditions for Foreign Ownership
Vietnam has agreed to a five-year pilot programme that allows Elon Musk’s company to retain full control of its local subsidiary. This arrangement bypasses Vietnam’s usual foreign ownership restrictions and could encourage further investment.
Negotiations resumed in recent months as Vietnam faced rising pressure from the US over its trade surplus. The move to welcome SpaceX is seen as a goodwill gesture, possibly aimed at easing tensions with Washington ahead of expected US tariff announcements on 2 April.
While SpaceX has not confirmed the investment, it has reportedly committed about $3 million for the first ground station. The plan could include up to 15 such stations across the country. However, formal regulatory approval has so far only been granted for the initial setup.
Expanded Services and Government Oversight
Vietnam has granted Starlink permission to serve up to 600,000 users. Given that most of the country already has affordable internet, Starlink may focus on offering services in remote or underserved areas. It is also in talks to provide secure intranet communication services, although that proposal still requires government approval.
Ground stations are essential for improving Starlink’s performance in a given region. They also allow governments to monitor internet traffic more closely. Vietnam’s government insists that all local data must pass through approved gateways. The Prime Minister’s order also includes conditions for data storage, user identification, and service suspension on national security grounds.
Previously, Starlink ran a free trial in Vietnam. The service reportedly helped the coast guard control drones in the South China Sea before being paused due to unresolved ownership issues in late 2023.
Starlink operates in over 100 countries, but not all of them host ground stations. According to one installer’s website, Starlink has around 150 ground stations globally, with nearly half in the US.
Strategic Investment and Regional Impact of SpaceX
Vietnam’s agreement with SpaceX reflects both a strategic investment and a diplomatic overture. It also strengthens Vietnam’s technology infrastructure while offering Elon Musk greater access to Southeast Asia.
According to a government report, SpaceX has committed up to $1.5 billion in investments in Vietnam and is encouraging suppliers to shift some production to the country.
with inputs from Reuters
