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FCC Rejects Musk’s Bid for $886 Million Broadband Subsidy for Starlink

  • SpaceX’s Starlink system had sought funding for rural areas
  • Funding satellite network not best use of subsidies, FCC says
People watch from Canaveral National Seashore as a SpaceX Falcon 9 rocket carrying Starlink internet satellites launches from the Kennedy Space Center in Cape Canaveral, Florida, on Feb. 3.

People watch from Canaveral National Seashore as a SpaceX Falcon 9 rocket carrying Starlink internet satellites launches from the Kennedy Space Center in Cape Canaveral, Florida, on Feb. 3.

Photographer: Paul Hennessy/SOPA Images/LightRocket/Getty Images

Elon Musk’s request for $886 million in US subsidies for beaming broadband service to rural areas via his SpaceX satellites was rejected by US regulators.

Funding Musk’s network of Starlink satellites wouldn’t be the best use of limited broadband subsidies, the Federal Communications Commission said in a news release Wednesday.