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Starlink for commercial real estate: a solution?

What satellite internet means for the digital infrastructure of offices, business premises and temporary locations.

Insights··6 min read
Starlink for commercial real estate: a solution?

Key takeaways

  • Starlink delivers internet via satellites in a low orbit around the earth and can be deployed at almost any location, even where no cable is present.
  • For remote locations, temporary offices, construction sites and as a backup connection, Starlink can be an excellent solution.
  • Fiber often offers lower latency and more stability for large offices and data-driven organizations, which means both technologies have their own application.
  • The IT-Label does not judge brands or providers, but looks at the overall digital infrastructure, as explained under how the IT-Label works.
  • It is not the chosen technology that determines the classification, but the reliability, availability and suitability for the user of the building.

Starlink has changed the way the world looks at internet connections in a short period of time. Where a company was previously dependent on a physical cable in the ground, internet can now also come from the sky, via a network of satellites. This raises a logical question for anyone responsible for the digital quality of a building: does satellite internet make the fixed connection obsolete?

The honest answer is more nuanced than a simple yes or no. Starlink is a strong technology for specific situations, but not in all cases a full replacement for fiber. To make that assessment properly, it helps to understand what Starlink is, where it excels and where its limits lie.

In this article we set out the facts. We do so from the role of IT-Label as an independent knowledge collective, which assesses technologies based on their contribution to the digital readiness of a building and does not express a preference for any brand or provider.

Starlink is a satellite internet service from SpaceX. Instead of delivering internet via cables, Starlink uses thousands of satellites in a low orbit around the earth, also known as LEO (Low Earth Orbit). Because these satellites fly relatively close to the earth, high speeds and limited delay are possible.

The connection runs via a dish antenna on or near the building, which makes contact with the nearest satellite. That satellite forwards the signal to a ground station connected to the wider internet. For the user this feels like a regular internet connection, with the difference that no physical cable to the building is needed.

That very characteristic makes Starlink interesting for locations where installing fiber in buildings is difficult or costly. The technology itself is not better or worse than a fixed connection, it is different, with its own strengths and weaknesses.

The biggest advantage of Starlink is its near-universal availability. As long as there is a clear view of the sky, a building can connect, even outside built-up areas where no cable network is present. For remote business locations, that is a significant difference.

In addition, implementation is fast. No digging or connection to a local network is required, so a location can be online within a short time. That makes the service attractive in situations that are temporary or unpredictable:

  • temporary offices and flex locations;
  • construction sites where the fixed infrastructure is not yet ready;
  • logistics and agricultural locations outside the city;
  • ports and event venues;
  • emergencies where the fixed connection has failed;
  • a backup connection alongside a primary line.

The latter application in particular deserves attention. A second, independent connection increases the resilience of a building. Those who want to know more about that principle can find an explanation under network redundancy and in the article about why one connection is sometimes not enough.

Satellite internet does not replace the cable, it fills in the map in the places the cable never reached.

Alongside its strengths, Starlink also has real limitations. Starlink needs a clear line of sight to the sky, which is not always a given in densely built city centers or between tall buildings. Weather conditions can also temporarily affect performance.

Capacity is also shared with other users in the same area. On busy locations, this can be noticeable. Latency is generally higher than with fiber, which is relevant for some business-critical applications. Finally, there are ongoing subscription costs and the service depends on available satellite capacity.

It is important to note that actual performance varies per location and per use case. A building used mainly for office work has different requirements than an organization that continuously processes large data streams.

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A comparison helps make the trade-off concrete. The overview below is indicative; the outcome depends on location and use.

AspectStarlinkFiber
SpeedHighVery high
LatencyLowVery low
StabilityGoodExcellent
AvailabilityAlmost everywhereDepends on location
InstallationFastDepends on network
RedundancyGood backupExcellent primary line
AI and cloudYes, depending on useVery suitable

The essence of this comparison is not that one technology wins, but that both fulfil their own role. In many future-proof situations they even work together, with fiber forming the primary connection and satellite internet serving as a fallback.

Two residential towers against a cloudy sky
For two buildings on the same street, the most logical connection can differ completely, depending on location and use.

Starlink proves its worth in places where a fixed connection is absent, too expensive or too slow to arrive. Think of business locations outside built-up areas, temporary offices, construction sites, logistics and agricultural locations, ports and event venues.

The service is also valuable as a backup connection for business-critical processes. For owners of business premises on remote sites, satellite internet can make the difference between being operational or not.

When is fiber often the logical choice?

In situations with many users, high data streams and strict latency requirements, a fixed connection is generally the most obvious choice. This applies, for example, to large office buildings, business centers, data-driven organizations, software developers, call centers and organizations that do a lot of video calling.

For a smart building and for office buildings that increasingly rely on cloud and AI applications, fiber also offers the stability and scalability that such use requires.

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How does IT-Label view this?

IT-Label is technology-independent. We do not assess brands or providers and do not express a preference for Starlink, fiber, coax or any other connection. What counts is the overall digital quality of a building.

In the methodology we look at, among other things, reliability, availability, redundancy, scalability, capacity, future-proofing and the fit with the actual use of the building. A building with Starlink can score highly if the overall infrastructure is well organized. A building with fiber can score lower if the rest of the infrastructure falls short.

This also explains the distinction between the different IT-Label categories: it is not the technology that determines the classification, but whether the whole fits what the user needs.

The future of business internet

Internet provisions continue to develop. Alongside fiber and satellite internet, 5G, and later 6G, private networks and AI-driven networks are emerging. Which combination is most suitable will differ per building and per user, and will change over time.

IT-Label moves along with these developments and remains objective. Starlink is therefore not the future of business internet, but one of the building blocks of a future-proof infrastructure.

How to map out your digital infrastructure

Do you want to know how the digital infrastructure of your building stands, regardless of whether it involves Starlink, fiber or a combination? Read how an IT-Label appraisal works and explore the principles of future-proof building. This way you make a choice based on overall digital quality, not on a single technology.

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