Comcast Business and Starlink address underserved business opportunity
Comcast Business is adding another weapon to its multi-location business arsenal via an agreement with Low Earth Orbit (LEO) satellite technology provider Starlink, to provide connectivity solutions to its growing base of enterprise customers.
The collaboration enables advanced satellite capabilities in Comcast Business’ Managed Connectivity portfolio to deliver connectivity that supports a range of business applications for enterprise customers, including those with locations in underserved regions.
This pact recognizes that enterprises with multiple, disparate locations face unique connectivity challenges, particularly those with locations where traditional networks do not reach. From geographic limitations to scalability concerns and reliability issues, these companies face challenges less commonly encountered by their counterparts in more densely populated areas.
Comcast Business’ collaboration with Starlink will address the demand for managed connectivity for these enterprise customers and offer a solution for enterprises looking to enhance network redundancy.
Jon Friedman, Sr. VP of product strategy and operations for Comcast Business, said “Starlink's LEO satellite technology complements our existing network infrastructure, extends our reach and further enhances Comcast Business’ ability to deliver reliable connectivity solutions to enterprises with a human touch.”
Furthering business bonds
While Comcast Business is smaller than AT&T and Verizon in the business space, the cable MSO continues to make strides in the business services arena.
During the first quarter, Comcast reported that Business Services Connectivity revenue grew 5% to $5.1 billion, up from $2.3 billion in the same period last year.
Another notable fact about Comcast Business is its growing presence of fiber in business buildings. It ranks fourth on Vertical Systems Group’s year-end 2023 Fiber Lit Buildings LEADERBOARD. The research firm noted that cable providers significantly grew in net new fiber-lit commercial buildings during 2023.
Comcast Business moves up to fourth position, displacing Lumen, which dips to fifth overall. Lumen lost share in this fiber segment due to its spinoff of assets to Brightspeed.
Through this agreement with Starlink, Comcast Business can potentially further its bond with its medium and enterprise business customers who need a wider range of connectivity options, particularly those that may have remote locations where the MSO’s fiber or coax does not reach today.
The cable MSO could potentially further enhance ARPU by selling new mobile and security products to remote locations. For example, its SecurityEdge helps protect all connected devices on your network from malware, phishing scams, ransomware, and botnet attacks.
Starlink’s new channels
For Starlink, this agreement with Comcast Business reflects its commitment to bring internet connectivity to residential and business customers, largely in locations with limited or no access to the internet.
It’s significant because it’s the first agreement between a terrestrial provider and a satellite operator to provide satellite connectivity to business customers.
Also, it enhances Starlink's lead over satellite-based communication network providers like Amazon.com's Kuiper and Viasat.
Comcast Business isn’t the only provider that Starlink works with today. Starlink also works with T-Mobile to provide its customers with satellite-based connectivity in locations without cellular reception.
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Sean Buckley
Sean is responsible for establishing and executing the editorial strategies of Lightwave and Broadband Technology Report across their websites, email newsletters, events, and other information products.