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Vietnam grants US-based Starlink license to operate satellite internet services

Four Starlink gateway stations will connect the satellite network to Vietnam's terrestrial fiber-optic systems to ensure stable connectivity.

Starlink is displayed on a mobile phone in this photo illustration created July 18, 2025. [Jonathan Raa/NurPhoto via AFP]
Starlink is displayed on a mobile phone in this photo illustration created July 18, 2025. [Jonathan Raa/NurPhoto via AFP]

By BlueShift |

Vietnam has granted a license to US-based SpaceX subsidiary Starlink to operate its satellite internet services, making it the first foreign enterprise authorized to test and operate satellite internet services in the country.

Amazon Leo is also in negotiations to extend its service into the Vietnamese market, and has pledged to invest $570 million by 2030 to build infrastructure in Vietnam, according to Vietnam's Ministry of Science and Technology.

SpaceX has previously committed to a $1.5 billion investment in Vietnam.

Vietnam's radio frequency regulator said local unit Starlink Services Vietnam Co. can initially deploy four gateway stations and a maximum of 600,000 terminal devices (satellite dishes) in the Southeast Asian country.

A man uses his smartphone as he sits on a sidewalk in Ho Chi Minh City, Vietnam on December 23, 2024. [Nhac Nguyen/AFP]
A man uses his smartphone as he sits on a sidewalk in Ho Chi Minh City, Vietnam on December 23, 2024. [Nhac Nguyen/AFP]

The gateway stations connect the satellite network to Vietnam's terrestrial fiber-optic systems to ensure stable connectivity.

The licensing requires Starlink to ensure "no interference with existing radio communication networks," per the Radio Frequency Management authority.

The Starlink system would contribute to "expanding satellite internet connectivity" in the country, it added.

Starlink's satellite internet service will operate under a five-year pilot scheme that permits low-earth orbit (LEO) providers to operate without typical foreign ownership constraints.

The scheme is unusual, as Vietnam has maintained strict limits on foreign control in sensitive sectors such as telecommunications, and previously required a Vietnamese partner, according to Reuters.

On February 25, SpaceX confirmed it had named Hanoi-born Do Ba Thich as the CEO of Starlink Services Vietnam, Vietnam Investment Review reported.

"The move signals a strategic shift towards local leadership as SpaceX deepens its long-term presence in Vietnam, with Thich tasked with navigating the country's regulatory landscape and business ecosystem," it said.

Services 'coming soon'

Under the terms of the license, Starlink must comply with strict data sovereignty laws, including storing all user data within Vietnam and routing all satellite traffic through local ground gateways.

The company provides high-speed internet access to remote locations around the world via thousands of satellites, and provides a vital backup communication channel during natural disasters, where fiber and 4G/5G infrastructure often fail.

Vietnam experienced severe river and flash-flooding events in November.

Nearly 80% of Vietnam's population of around 100 million are internet users, according to the Vietnam Internet Network Information Center.

But gaps in access to internet service remain in rural and mountainous areas.

Vietnam is set to become the sixth Southeast Asian nation in which Starlink services are currently available, after the Philippines, Indonesia, Malaysia, Timor-Leste and Singapore, The Diplomat reported.

Starlink has not yet announced an official launch date for its services in Vietnam. But these are "coming soon," per an availability map on its website.

To use the service, users must purchase a Starlink kit, which includes a satellite dish, Wi-Fi router, power source, cables, and mounting hardware, according to Vietnamnet Global.

The service is fixed to a designated geographical area, meaning users cannot take their satellite dish to a different region and expect uninterrupted access.

But in-flight and maritime internet services are on the horizon, it said, noting that SpaceX has already partnered with more than 30 global airlines and aerospace companies to equip aircraft with Starlink technology.

In mid-February, three Vietnamese airlines announced nearly $37 billion in purchases, in a series of contracts signed with US aerospace companies.

Sun PhuQuoc Airways placed an order for 40 of Boeing's 787 Dreamliners, a long-haul aircraft, with an estimated total value of $22.5 billion, per AFP.

National carrier Vietnam Airlines meanwhile placed an $8.1 billion order for around 50 Boeing 737-8 aircraft, and opened discussions for an additional order for around 30 wide-body aircraft in the future, the airline said in a statement.

Hotspot for AI data centers

Southeast Asia is emerging as a hotspot for new data centers, as demand soars for artificial intelligence and cloud computing, AFP reported.

"Vietnam has been a hot topic in the data center market for several years," said Michael Freeman, regional director for Malaysia, Thailand and Vietnam at construction project management company Turner and Townsend.

He attributed this to high demand and power availability.

Though its permitting system remains a challenge, the government is making efforts to be more investor-friendly, with dedicated tech parks and simplified processes for setting up data centers, he said.

"We fully expect to see an influx of multi-national providers entering the Vietnam market in the coming years," Freeman said.

"Our expectation is that when one or two build successfully and demonstrate the case that the permitting system is working as intended, we will likely see a major surge in interest and developments."

Malaysia accounts for over half of under-construction data centre capacity among five countries also including Vietnam, Indonesia, Thailand and the Philippines, according to market intelligence firm DC Byte.

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