Viasat's Satellite Subscribers Plummet as Starlink Dominates

Viasat's fixed broadband subscriber base in the US has drastically shrunk by approximately 83% since October 2020, falling from 603,000 to around 100,000 as of Q3 earnings reported on Thursday. This decline has occurred following the introduction of rival Starlink's service.

To counter this trend, Viasat has launched its new Flight 2 (F2) satellite, which is now operational over the Americas. The F2 satellite is engineered to provide download speeds exceeding 100Mbps, a significant improvement over Viasat's previous median download rates of 49.12Mbps, and aims to address high latency issues.

The company is leveraging the F2 satellite for its new Viasat Unleashed Max plan. This plan offers unlimited data with high network priority, promising baseline speeds of 80Mbps and burst speeds up to 200Mbps, with no contracts and free installation. However, this new service requires new equipment and professional installation, and its monthly cost starts at $109.99, increasing to $179.99 after the first year.

Viasat's existing plans, Essentials and Unleashed, are also available at lower introductory prices. Despite these efforts, Viasat faces stiff competition from Starlink, which offers competitive pricing and has reportedly secured millions of subscribers in the US, with some areas even receiving significant discounts.