Canadian Telecom Giant Pushes Back On SpaceX's Starlink Subsidies, Activists Slam Public Funding For 'Unaccountable Imperialist Like Elon Musk'

Canada’s telecom giant, Bell Canada, is pushing back against subsidies for Elon Musk‘s Starlink, amid a wave of national criticism for Musk’s ventures due to his ties with the Trump administration.

What Happened: Bell Canada has urged the Canadian Radio-television and Telecommunications Commission (CRTC) to exclude Starlink from receiving millions in annual subsidies, according to a report by the Financial Times.

Bell Canada and its subsidiary Northwestel, the country’s top telecom company by revenue, are opposing the CRTC’s plan to subsidize Starlink.

"Starlink charges the same price to Canadian customers no matter where they live," Bell Canada told Fortune. "Therefore, if they were eligible for a subsidy, Canadians in the rest of the country would pay more than those in North. This outcome is against the purpose of the proposed subsidy,” the telecom giant added.

SpaceX, Starlink’s parent company, counters that Bell’s actions would restrict options for individuals in remote and isolated communities, including Aboriginal groups. The CRTC has stated that the public consultation on the Internet service subsidy is ongoing and a decision will be announced in due time.

Meanwhile, Geoff White, the executive director of the Public Interest Advocacy Centre (PIAC) told FT, "We should not be giving one cent of public money to an unaccountable imperialist like Elon Musk.” White has advocated for more accessible and affordable internet services for all Canadians.

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Why It Matters: This development comes in the wake of a series of setbacks for Musk’s ventures in Canada. In February, Ontario Premier Doug Ford scrapped a nearly $100 million contract with Starlink, citing U.S. tariffs threatening Canadian businesses. FT also reported that ​Quebec, which invested nearly $130 million since May 2022 to provide high-speed internet to remote areas through a partnership with Starlink, will not renew its subsidy program when it expires in June. The provincial government is exploring the development of a Canadian-owned satellite system to achieve “connectivity sovereignty” and reduce reliance on foreign providers.

In March, Tesla’s TSLA electric vehicle charging stations and home batteries were excluded from rebates in the Canadian province of British Columbia due to U.S.-Canada trade tensions.

The dispute in Canada highlights how Elon Musk's strong association with former U.S. President Donald Trump has made his global business ventures more vulnerable. Currently, about half of Musk's net worth—exceeding $300 billion—is linked to SpaceX, which was recently valued at $350 billion in a private tender offer.

These events have contributed to the nationwide disapproval of Musk’s ventures and may influence the CRTC’s decision on Starlink’s subsidies.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.