Starlink Targets Broader Audience with Free Hardware Offering
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 7 hours ago
0mins
Should l Buy AMZN?
Source: Benzinga
- Price Reduction Strategy: Starlink has announced significant price cuts and will provide free hardware to distribution partners, aiming to attract a broader customer base, particularly in developing countries, thereby expanding market share and enhancing brand competitiveness.
- Market Response: This move is seen as a response to Amazon's Kuiper's imminent launch, although Musk emphasizes that it is unrelated to Kuiper, indicating Starlink's intent to strengthen its global market penetration through cost reduction.
- Direct Connectivity Service: Starlink is also set to offer direct-to-cell connectivity in the EU following an agreement with Spanish telecom operator MasOrange, with initial trials commencing in Valladolid, Spain, further extending its service reach.
- Global Market Positioning: Musk highlighted that lowering costs will enable Starlink to serve economically disadvantaged users, especially in developing countries, which not only helps to increase the user base but also enhances the company's social responsibility and brand image.
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Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise
44 Analyst Rating
41 Buy
3 Hold
0 Sell
Strong Buy
Current: 205.270
Low
175.00
Averages
280.01
High
325.00
Current: 205.270
Low
175.00
Averages
280.01
High
325.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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