Musk’s Starlink has won the auction to provide rural satellite internet in Mexico

Mexico’s government believes that connectivity is a revolution because there is still no signal in many parts of the country.

According to documents obtained by Reuters on Monday, Starlink, the satellite internet service of billionaire Elon Musk’s rocket manufacturer SpaceX, has won a tender from Mexico’s state energy firm to supply services through December 2026.

According to the decision of Mexico’s Comision Federal de Electricidad (CFE), the contract is worth between 887.5 million pesos ($51 million) and 1.8 billion pesos ($101 million).

Starlink’s bid was chosen over that of two other companies because it «offered the best conditions in terms of price,» according to the document.

According to a separate document reviewed by Reuters, a draft contract from CFE, the contract would provide infrastructure for CFE’s spread of internet connectivity throughout rural Mexico.

According to the proposed contract, the agreement began last month and will endure until December 31, 2026.

CFE and a Starlink legal representative did not react quickly to queries for information on whether the contract had already begun or the status of Starlink’s other open tender offers.

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