China's Grand Entrance into the Satellite Internet Race with Spacesail Constellation

China, with the recent deployment of 18 satellites from Taiyuan Satellite Launch Center, has made a significant entry into the burgeoning satellite internet race, laying the foundation for the first generation of its mega-constellation known as Spacesail. Industry analysts have recognized this move not only as a leap in technology but also as a key strategic maneuver positioning China within the low Earth orbit (LEO) internet industry.

Operated by the China Great Wall Industry Corporation, the Spacesail constellation aims to provide users globally with low-latency, high-speed, and highly reliable satellite broadband internet services. The project, inaugurated in 2023, is set to undergo three developmental phases, ultimately resulting in a network of 15,000 satellites by 2030, which will offer services integrating mobile direct-connect with multiple services.

Phase one of Spacesail targets regional network coverage with 648 satellites by the end of 2025, scaling to global coverage with an additional 648 satellites by 2027. With an eye on 2024, China plans to launch another 108 satellites to pursue this goal.

Minsheng Securities have noted that within broader initiatives, China has unveiled ambitious plans for three "ten-thousand-star constellations," which, alongside Spacesail, include the GW constellation and the Honghu-3 constellation, aiming for 13,000 and 10,000 satellites respectively.

The first batch of commercial network satellites, each weighing 300 kg, has been noted for its innovative digitalization and modular production approach. This method greatly improves production efficiency and has been developed by an independent Shanghai aerospace firm. The deployment was facilitated using China's new medium-lift hybrid rocket, the Long March-6A.

The significance of this launch extends beyond a technological feat; it is crucial for China to claim strategic resources in satellite frequencies and orbital slots to strengthen its footing in an international market governed by a "first come, first served" principle.

Furthermore, innovations such as "direct to device" capabilities have spurred the civilian market potential for satellite internet. The integration of satellite and terrestrial networks signals a breakthrough in communication technology, expected to advance further in the 6G era, which aligns with the ITU's vision of a closely integrated space-Earth communication layer.

This milestone encapsulates the bigger picture of China's emphasis on building an integrated space-Earth information network, combining geostationary Earth orbit (GEO), medium Earth orbit (MEO), and LEO satellites. The satellite internet, recognized as new infrastructure in the information sector, has been included in national planning documents and targeted for synergetic growth with terrestrial systems.

In addition to national-level planning and support, local governments in Beijing, Shanghai, and Chongqing have fostered the aerospace information industry, demonstrating China's holistic approach to nurturing its satellite internet sector.

In essence, the Spacesail constellation launch is not only a testament to China's evolving commercial aerospace prowess but also an indication of its intent to play a dominant role in the global satellite internet landscape.