Tag: Satellites

Amazon’s Project Kuiper satellite network streamed its first video and facilitated its first online sale during a monthlong series of orbital tests that the company says achieved a “100% success rate.”

The performance of the two prototype satellites, known as KuiperSat 1 and 2, validated Amazon’s satellite design and will open the way for mass production to begin in earnest next month at a factory in Kirkland, Wash., said Rajeev Badyal, vice president of technology for Project Kuiper.

“It’s been an incredible success for the team, for Kuiper, and partly because everything we did went like clockwork,” Badyal said. “There were no fires to fight, so to speak. In some ways, the team made it look very easy. As you know very well, these things are extremely difficult to do. But everything we built, all the designs are working as designed, and the results we’re getting are nominal or better.”

The prototype satellites were launched into low Earth orbit from Florida on Oct. 6 atop a United Launch Alliance Atlas V rocket, and after testing the satellites’ maneuverability, Amazon verified end-to-end network functionality last week. Further tests will be conducted in the months ahead while satellite production ramps up, Amazon said.

Project Kuiper is designed to provide affordable broadband internet access from above for tens of millions of people around the world who are underserved.

It’s been only four years since Kuiper came into the public spotlight — and Amazon is far behind SpaceX’s rival Starlink satellite network, which already has more than 2 million subscribers. But Project Kuiper aims to take advantage of synergies with Amazon’s other business lines, ranging from online retail sales to Amazon Prime Video and Amazon Web Services.

The tests conducted over the past month served as a demonstration of those synergies as well as confirmation that Project Kuiper’s hardware, software and ground-based infrastructure are on the right track.

An Ohio-based pension fund has filed a lawsuit alleging that Amazon didn’t give due consideration to SpaceX as a potential launch provider for its Project Kuiper broadband internet satellite constellation, which is a rival for SpaceX’s Starlink satellite network.

The lawsuit, filed by the Cleveland Bakers and Teamsters Pension Fund in the Delaware Court of Chancery, says Amazon’s board of directors acted in bad faith last year when they chose three other providers — including Blue Origin, the space venture owned by Amazon founder Jeff Bezos — but left out SpaceX.

The other two companies were the European Arianespace consortium and United Launch Alliance, which will use Blue Origin’s BE-4 engine on its Vulcan Centaur rocket. The lawsuit says the three agreements add up to Amazon’s second-largest capital expenditure, after its $13.7 billion acquisition of Whole Foods in 2017.

So far, Amazon has spent nearly $1.7 billion on the launch deal, including $585 million paid out to Blue Origin directly, the lawsuit says.

In its filing, the CB&T Fund — which owns shares in Amazon — says that the company’s directors and officers, including the board of directors’ audit committee, made “no effort to properly discharge their fiduciary duties.” It suggests that Amazon’s decisions were unduly influenced by Bezos’ outside interest in Blue Origin.

The lawsuit tracks the tiffs that have arisen between Bezos and SpaceX CEO Elon Musk over the years, as well as the setbacks experienced during the development of Blue Origin’s New Glenn rocket and ULA’s Vulcan rocket.

The pension fund questioned whether the company would be able to make a federally mandated deadline to deploy half of its planned 3,236 satellites by mid-2026. It implied that the prospects would be better if Amazon had struck a deal with SpaceX, which it said “has by far the most proven launch track record in history.”

“In the face of SpaceX’s proven reliability and cost advantages, Bezos-led Amazon’s decision to not even consider SpaceX as a launch provider illustrates the glaring conflict of Bezos’ affiliation with both Amazon and Blue Origin presented, and the substantial impact these conflicts had on the board’s ability to protect the best interests of the company and its stockholders in negotiating the contracts,” the pension fund said in its suit.

The suit seeks unspecified damages, legal costs and “immediate disgorgement of all profits, benefits and other compensation obtained by defendants as a result of their breaches of fiduciary duties.”

In an emailed statement, an Amazon spokesperson said that “the claims in this lawsuit are completely without merit, and we look forward to showing that through the legal process.”