John Deere, the world’s largest tractor manufacturer, has just established an unprecedented partnership with Starlink, SpaceX’s satellite constellation, to equip its machines with an Internet connection. A great opportunity for Elon Musk’s firm, which continues to increase its influence.
This is Starlink’s goal: to provide a high-speed network to the most remote areas of the world. The agricultural sector logically stands out as a market with high potential for the space company. According to John Deere, approximately 30% of cultivated acreage in the United States does not have sufficient Wi-Fi service. This deficit is increasing in other parts of the world. In Brazil, one of the world’s largest producers of soy, sugar cane and fruit, more than 70% of cultivated areas lack adequate connectivity. It is the farmers of these two countries who will benefit from the new offer.
Connectivity offers new opportunities for farmers
John Deere will thus be able to complete its digital offering, which allows farmers to monitor their equipment remotely as well as receive real-time data on the soil, seeds and plantations. They mainly depend on surrounding wireless networks to benefit from them. A dish adapted to difficult conditions will be delivered to workers who wish it.
“ The value of connectivity to farmers is broader than any single task or action. It opens up vast possibilities that were previously limited or unavailable “, notes Aaron Wetzel, vice president of production systems and precision agriculture at John Deere, in a press release.
Starlink’s connection has been tested for eight months by the manufacturer. The speed of the network as well as SpaceX’s ability to launch its own satellites tipped the scales in its favor. “ We have never had any problems in the areas we have been to. With satellite, we are always connected, whether we are at the foot or at the top of a hill or 80 km away says JC Schemper, owner of an agricultural business in rural Nebraska.
Starlink continues its conquest
John Deere has invested billions of dollars in implementing software-assisted services for farmers. By the end of the decade, the company aims to generate 10% of its turnover through this activity.
With this new contract, Starlink continues its diversification. Since the end of 2022, the company has, for example, offered an offer called Starshield designed for governments. It sometimes plays a predominant role in the world, notably in Ukraine when Elon Musk decided to deliver antennas for free to the armed forces.
Last year, Starlink finally broke even. The unit should soon be SpaceX’s most profitable branch. It has more than 2.3 million customers, covering households and businesses ranging from container ships to small airlines.
Sources: Bloomberg, The Wall Street Journal, John Deere
Starlink
Network devices
release date: 10-05-2021
8