Starlink has had a significant impact in Canada, providing high-speed internet access across the country, especially in rural and remote areas. However, a recent trade dispute between Canada and the United States put the satellite internet service in jeopardy, with Ontario Premier Doug Ford briefly announcing plans to cancel the province’s $100 million contract with Starlink, before walking back the decision once the tariffs were paused.
Despite the cancellation of the cancellation, the incident highlighted a pressing issue: What would happen if Starlink were fully removed from Canada’s internet landscape?
Starlink has rapidly become a crucial internet provider in many parts of Canada, particularly in rural and remote areas where traditional broadband options are either limited or nonexistent. According to Ookla’s Speedtest Intelligence data, roughly 2 million Canadians currently rely on Starlink, making up a significant share of internet users in less densely populated regions.
The highest impact would be felt in Nunavut, where approximately 44% of Speedtest samples originate from Starlink users. Similarly, the Northwest Territories and Yukon see reliance rates of 27.8% and 20.9%, respectively. In these areas, Starlink is not just a convenience—it is the only viable option for high-speed internet. Without it, residents would be left with sluggish and often unreliable alternatives, widening the digital divide between urban and rural Canada.
The Impact on Ontario and Other Provinces
Ontario’s potential cancellation of its $100 million contract with Starlink would have had a limited direct impact in urban centers, as traditional broadband services dominate cities like Toronto and Ottawa. However, in rural parts of the province, where the $100 million deal is targeted at, approximately 4.9% of users already depend on Starlink, making its removal a serious concern for those living outside major metropolitan areas.
Similarly, British Columbia and Quebec, which have some of the lowest percentages of rural populations in Canada, would see comparatively smaller effects from Starlink’s cancellation.
Limited Alternatives
One of the key issues with Starlink’s potential cancellation is the lack of viable alternatives. Traditional satellite internet providers offer slower speeds and higher latency, while broadband expansion projects in Canada are still in development and not yet able to cover the most remote locations effectively.
Even with federal and provincial initiatives to improve rural internet access, achieving Starlink’s speed and reliability in these regions would be a long and costly process.
