nets360 adjusts Starlink strategy

due to the adventurous reseller requirements

nets360 adjusts Starlink strategy

due to the adventurous reseller requirements

Originally, nets360 planned to offer SpaceX Starlink’s LEO satellite solution as a managed service, combined with solutions like SD-WAN, to its customers. Starlink was intended to be an attractive alternative to 4G/5G or used in a hybrid combination.

However, the startup from Tallinn is now fundamentally changing its strategy. This decision is based on several factors, with the restrictive conditions imposed by SpaceX/Starlink on resellers playing a central role. “The revenue and sales requirements placed on resellers are, from our perspective, completely unrealistic,” explains Bernhard Teufel, CEO of nets360. “Typical American approach, it’s all about maximum revenue and hardware sales, which does not align with our approach. We want to sell solutions, not push products. For us, Starlink is merely an addition to our portfolio.”

Another issue from our point of view is Starlink’s pricing policy. Business customers sometimes receive better deals on hardware and services directly from the Starlink website than resellers do. Resellers are forced to buy and stock large quantities of Starlink kits at fixed prices, while Starlink itself constantly changes the prices. “These price fluctuations are like a lottery,” Teufel continues. 

Due to these uncertainties, nets360 will change its strategy and focus on an advisory role. nets360 customers will in the future sign contracts directly with Starlink. nets360 will then provide support by managing and optimizing these contracts and installing the Starlink hardware.

“With this new strategy, we offer our customers the best way to use Starlink without being exposed to the risks and uncertainties as a reseller,” emphasizes Bernhard Teufel.

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