As part of the FCC Open Meeting this morning, the Federal Communications Commission (FCC) voted to supercharge satellite communications through rule changes for how satellites communicate with terrestrial receivers. By replacing outdated limits on transmission power levels, the FCC seized an opportunity to unleash the next generation of satellite technology to deliver strong signals at fast speeds to the most remote consumers.
The decision will target the Equivalent Power-Flux Density (EPFD) limit framework. Designed by the International Telecommunications Union (ITU) in the 1990s, limits on radiofrequency power keep geostationary orbit satellites (GSO), which spin with the Earth’s rotation about 22,000 miles above the ground, safe from harmful interference. Their unrivaled vantage point and wireless capacity provide constant availability for communications services, and innovators used them to develop services that benefit consumers every day, including global positioning services (GPS) and weather forecasting.
Unfortunately, EPFD rules have kept non-geostationary orbit satellites (NGSO) from operating at their highest potential. Out of an abundance of caution, regulators required NGSO operators to keep their throughput artificially low to avoid interference with GSO transmissions. As the American Consumer Institute wrote in 2024, such rules have kept signal quality weak and communications service poor. These rules are out of touch with the technical reality of today’s space-based communications.
Modern satellite operators can avoid interference risk by coordinating with other operators and adjusting transmissions in real time. Thanks to their lower orbit, NGSO satellites are closer to consumers and can deliver faster communications than their GSO predecessors. NGSO internet provider Starlink consistently delivers internet speeds as high as 280 megabits per second, far above GSO’s typical top speeds of 150 Mbps. With the outdated ITU framework holding back the technology, rural Americans who depend on satellites are at a disadvantage.
Instead of miring the satellite industry in slow-moving government decision-making, the FCC chose to let satellite operators bargain with one another through voluntary, private agreements. This novel approach shifts the interference problem onto the industry players, who can decide for themselves how to best guard against interference while maximizing service quality.
Several key protections remain in place, including technical requirements such as tighter orbiting angles, coordination with radioastronomy observatories, and existing protections for earth-based services that use the same radio frequencies. Turning the problem-solving over to those with an incentive to discover the best-case arrangement for everyone is a better alternative to the status quo, which subjects the industry to government micromanagement.
The FCC’s decision to remove constraints on NGSOs is consistent with its other pro-consumer moves that have made it easier for communications providers to respond to changes in consumer demand. The FCC’s recent moves to retire slow, vandalism-prone copper wirelines and replace them with all IP-based networks, for example, demonstrate a commitment to letting American companies compete to provide the best service to consumers. In wireline and space, the FCC is trading in obsolete regulations for modern performance.
Government moves slowly, and decoupling satellite throughput from arbitrary requirements is the right decision. As satellite technology improves, so should the regulations that govern it.
Nate Karren is a Policy Analyst with the American Consumer Institute, a nonprofit education and research organization. Follow Nate on X @NateKarrenOnX