The Starlink is a division of “SpaceX,” a business founded by American billionaire Elon Musk, and it uses satellites in a low-level orbit to provide Internet access even to isolated locations in mountains and deserts.
After separating “Starlink” from its parent firm, “SpaceX,” and turning it into a stand-alone public corporation, Musk planned to put the shares of the new company up for subscription in the present year 2022.
The implementation of this phase, according to Musk, may take three to four years to complete, delaying the matter until 2025. Musk defended this deferral of the requirement to ensure the completion of “Starlink” in order to generate predictable, regular income.
But the justification made by Musk left several questions between the investors, about the truth of the “arguments” that he provides for the frequent postponement of the “Starlink” of subscription. Is it a reality that goes beyond generating consistent income?
Dr.
Professor of economics Abdullah Al-Shami claims in an interview with “Sky News Arabia” that “Starlink” is in a unique situation and is not like the other companies because the delay in its proposal for public subscription is the result of hedging from a number of factors, including the political aspect and the fact that “Starlink” is currently used in global politics.
Al-Shami continues by saying that “Starlink” is currently one of the instruments of the American presence in the world, and the best illustration of this is its choice to support Ukraine by offering free internet service after that nation was subjected to Russian bombing; therefore, it is preferable to wait until things calm down so that “Starlink” is transferred to a business. In light of the current circumstances, it was generally put to subscription, which exposed it to interactions, decreased its worth, and made it open.
Al -Shami notes that the global situation in economic and financial point of view is also unstable, as the pressures that exist at the level of global economies and fluctuations have contributed to the transformation of the “mood” of investors from “risks” to “avoiding risk”, and thus this element also played a role in keeping “Starlink” Under the “SpaceX” suite until the situation stabilizes.
Al-Shami said that there are several sides to subscriptions.
Since investments in most companies were made based on expected earnings and profits over the next ten to fifteen years, it is clear that people were purchasing shares based on their expected capacity for growth. As a result, most companies in recent years have not generated any real returns or profits.
Al-Shami noted in his closing remarks that various businesses, including Snapchat, Facebook, and Nviex, encountered numerous issues after submitting their subscription requests.
What is the reason for Elon Musk’s delay of “Starlink,” which was delayed for subscription?
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