Bolivia has lifted long-standing restrictions on foreign satellite internet providers, clearing the way for services like Starlink to operate nationwide. The move marks a sharp policy shift aimed at fixing some of South America’s slowest connectivity and bringing online access to hard-to-reach communities.
For a country defined by mountains and distance, the change could be significant.
A decree that reverses years of limits
President Rodrigo Paz signed the decree on Tuesday, formally allowing global satellite internet companies to offer services across Bolivia. The decision removes barriers imposed by the previous government and opens the market to providers such as Starlink and Project Kuiper.
Standing at the presidential palace in La Paz, Paz framed the decision as a practical fix to a stubborn problem. Bolivia’s internet speeds lag behind much of the region, and rural areas remain especially disconnected.
The decree waives licensing rules that had effectively blocked international satellite operators. Officials say the goal is simple: faster internet, wider coverage, fewer excuses.
It’s a notable turn from the policies of former president Luis Arce, whose administration rejected applications from foreign satellite firms on grounds of data protection and national sovereignty.
Why Starlink was kept out, and why that changed
Last year, Arce’s government denied a license to SpaceX, the company behind Starlink. Officials argued that allowing a foreign-controlled satellite network raised concerns about who controls data flowing through Bolivia.
Those arguments resonated with some. Bolivia has a long history of guarding strategic infrastructure, especially communications.
But critics said the stance came at a cost.
Businesses complained about unreliable connections. Teachers in rural areas struggled to deliver online lessons. Health clinics reported difficulty using digital systems. The gap between urban and rural connectivity widened.
President Paz’s centrist government appears to have weighed those trade-offs and chosen access over caution. In public remarks, aides said safeguards on data handling would be addressed through regulation rather than outright bans.
Basically, regulate first, don’t block everything.
A geography problem satellites are built for
Bolivia’s terrain makes internet expansion uniquely tough.
Much of the country is mountainous or sparsely populated, with communities scattered across the Andes and the Amazon basin. Laying fiber-optic cables in such regions is expensive and slow. Mobile networks struggle with coverage gaps.
Satellite internet, by contrast, doesn’t care much about mountains.
Low-Earth-orbit constellations like Starlink promise higher speeds and lower latency than traditional satellites, making video calls, online classes, and cloud services more usable.
Government officials say this is exactly why they shifted course. For villages days away from the nearest city, satellites may be the only realistic option.
The decree is expected to attract multiple providers, not just Starlink, creating competition that could push prices down over time.
Lessons from Bolivia’s Chinese satellite gamble
Bolivia has tried this path before, with mixed results.
In 2013, under then-president Evo Morales, Bolivia purchased a communications satellite from China, named Tupac Katari. Morales promised it would transform access, saying it would “enlighten the people” after years of isolation.
The satellite did improve some state services, but it failed to deliver widespread speed gains for households and mobile users.
Engineers later pointed to limitations in ground infrastructure and the satellite’s design. It worked, but not in the way many hoped.
That experience shapes today’s debate. Officials say the difference now lies in technology and scale. Modern satellite networks deploy hundreds or thousands of satellites, not just one.
A senior telecommunications adviser put it bluntly. “We learned that one satellite is not a solution. Networks are.”
What changes for users, in practical terms
The government has not announced a rollout schedule, but providers can now apply for permits under the new rules. Once approved, services could reach users quickly, especially where terminals can be installed without major construction.
Here’s how the shift could affect everyday connectivity:
| Area | Before the Decree | After the Decree |
|---|---|---|
| Rural internet | Patchy or absent | Satellite access possible |
| Average speeds | Among the slowest in region | Expected improvement |
| Provider choice | Mostly state-linked | Multiple global firms |
| Business access | Limited outside cities | More viable nationwide |
Officials caution that prices may initially be higher than traditional plans, but competition and subsidies could soften the impact.
Supporters see growth, critics see risk
Supporters of the move argue that better internet underpins economic growth. Faster connections can help small businesses sell online, farmers access market data, and students tap global resources.
Tourism operators in remote regions have welcomed the news, saying poor connectivity often frustrates visitors.
Critics, however, remain wary.
Some opposition figures warn that foreign satellite firms could gain undue influence over critical infrastructure. Others worry about long-term dependence on external providers.
The government says oversight will remain strong. Data localization rules, cybersecurity standards, and service obligations are expected to be part of licensing conditions.
In other words, open the door, but keep an eye on who walks in.
Part of a broader regional trend
Bolivia’s decision fits a wider pattern in Latin America.
Countries from Brazil to Chile have moved to accommodate satellite internet as they push to close digital gaps. Remote regions, from rainforests to deserts, pose similar challenges across the continent.
Starlink already operates in several neighboring countries, and its arrival has often reshaped local markets quickly.
For Bolivia, joining that list signals a willingness to adapt policy to reality, even if it means reversing earlier positions.
What comes next
The immediate next step is regulatory. Bolivia’s telecom authority will draft detailed rules governing how satellite firms operate, share data, and coordinate with local networks.
Providers will then decide how aggressively to enter the market.
For families in isolated villages, the timeline matters less than the outcome. Many have waited years for reliable connections.
As one community leader from the Altiplano said, “We don’t care who provides the signal. We just want it to work.”
