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SpaceX threatens to cut Ukraine’s Starlink access

SpaceX Starlink
SpaceX Starlink

The United States has warned Ukraine that SpaceX could cut off its access to the vital Starlink satellite internet service if a critical minerals deal is not reached. Sources familiar with the matter revealed that during a meeting on Thursday, Ukrainian officials were informed that the shutoff could be imminent without an agreement on the minerals deal. Starlink, owned by SpaceX, has played a crucial role for Ukraine, especially during the ongoing conflict with Russia.

Ukrainian servicemen have relied on this technology to maintain communication during military operations, including drone strikes. Ukrainian President Volodymyr Zelenskiy acknowledged that both the US and Ukraine are actively working to reach an agreement. The resolution of this issue could have significant implications for Ukraine’s military and civilian communications infrastructure.

The European Union is also intensifying discussions on how to seize Russia’s frozen central bank assets to provide financial and military aid to Ukraine. EU officials are considering using these assets as collateral for a proposed International Claims Commission, which would assess damages owed to Ukraine. If Russia refuses to pay, the assets could be confiscated.

The initiative follows signals from Washington that Ukraine may receive less assistance moving forward. Discussions on asset seizure come amid escalating tensions between U.S. President Donald Trump and Ukrainian President Volodymyr Zelensky.

The EU, along with the Group of Seven and Australia, has already frozen approximately $280 billion in Russian central bank assets, primarily held by the Belgium-based clearing house Euroclear.

An additional $58 billion in private Russian assets, including luxury properties and yachts, has been frozen under sanctions. Despite support from some EU officials, the proposal to confiscate Russian assets faces legal and economic hurdles.

Some EU nations, including Germany and France, have voiced opposition, warning that such a move could have significant repercussions for the international role of the euro and undermine legal frameworks governing sovereign assets. On the eve of the third anniversary of Russia’s 2022 invasion, Kyiv finds itself in an increasingly difficult position as the United States is threatening to cut Ukraine’s access to Elon Musk’s Starlink satellite internet system unless President Volodymyr Zelenskyy agrees to a rare earth minerals deal. Losing access to Starlink at this critical juncture, when US aid is dwindling and Russian forces are advancing on the country’s eastern front, could be disastrous for Kyiv.

Ukraine was warned that it would face the imminent shutdown of the critical internet service if it did not reach a deal on rare earth minerals soon. Only last week, Zelenskyy rejected an offer from the US demanding $500 billion in mineral wealth from Ukraine to repay Washington for wartime aid, citing a lack of specific “security guarantees” for Kyiv. However, realizing the criticality of continued US support for Ukraine’s survival, Zelenskyy has considerably toned down his criticism of the deal within a week.

Elon Musk’s SpaceX-owned Starlink has played an important role in the Ukraine war. Just two days after Russia launched its full-scale invasion of Ukraine on February 24, 2022, Starlink agreed to supply Ukraine with the technology to ensure they had reliable internet connectivity and communication. The activation of Starlink in Ukraine effectively guarded the country against internet blackouts.

By May 2022, over 150,000 Ukrainians were using Starlink daily. Kyiv’s military began using it “creatively on the battlefield, such as using it to control unmanned surveillance and reconnaissance aerial vehicles and unmanned combat aerial vehicles.”

However, by September 2022, Musk was asking the US Department of Defense to foot the bills, with Starlink citing a cost of almost $400 million to continue operating for another twelve months. In February 2023, SpaceX made another significant shift regarding the use of Starlink in the war, stating that it would restrict Ukraine’s use of the technology for “offensive” military purposes.

If the US decides to cut Ukraine’s access to Starlink, this could be disastrous for Ukraine’s armed forces. “Losing Starlink would be a game changer,” Melinda Haring, a senior fellow at the Atlantic Council, told Reuters.

Image Credits: Photo by SpaceX on Unsplash

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