The Government’s Universal Outdoor Mobile Obligation (UOMO) is an innovative way to enhance mobile coverage across Australia by leveraging Low Earth Orbit (LEO) satellites. It is well suited for a country the size of Australia. While this initiative holds promise, it also presents several challenges that require careful policy consideration.
Developmental Uncertainties and Political Risks
A few months ago, we discussed this new technology that the government has now earmarked to use. Direct-to-Device (D2D) technology via LEO satellites via LEO satellites is still maturing but holds lots of good promises. The current infrastructure lacks sufficient satellites equipped for comprehensive D2D services, and achieving universal coverage could take up to five years. This timeline depends on the deployment strategies of LEO operators, which are beyond the immediate control of the government and mobile carriers. Mandating reliance on this nascent technology without guaranteed performance could expose the government to political risks, especially if service failures occur during critical times.
Dependence on a Single Provider
Presently, SpaceX’s Starlink is the primary provider capable of delivering extensive LEO-based services. Relying heavily on a single, privately-owned entity introduces vulnerabilities, particularly given the volatile geopolitical climate and the unpredictable nature of corporate leadership. For instance, recent events in Brazil and Ukraine have highlighted the influence of individual corporate decisions on national infrastructures, underscoring the need for competition and diversified partnerships.
Integration with the Universal Service Obligation (USO)
The introduction of UOMO adds complexity to Australia’s existing Universal Service Obligation (USO), which has been criticised as outdated and in need of reform. The Australian Government is currently reviewing the USO to modernise telecommunications services, considering changes in technology and consumer preferences. Integrating LEO satellite services into this framework necessitates clear policies to address technological uncertainties and ensure cohesive service delivery.
Policy Recommendations
To mitigate these challenges, the government should:
- Diversify Partnerships: Encourage collaboration with multiple LEO satellite operators to reduce dependence on a single provider and enhance service resilience.
- Establish Contingency Plans: Develop backup communication strategies to address potential service disruptions during the D2D technology rollout.
- Clarify USO Framework: Provide clear guidelines on how UOMO will integrate with the existing USO, ensuring that industry stakeholders understand their obligations and that consumers receive consistent and reliable services.
- Incentivise Technological Development: Support research and development to accelerate the maturation of D2D capabilities and the expansion of LEO satellite constellations.
- Implement Regulatory Oversight: Ensure robust regulatory frameworks are in place to monitor service quality and hold providers accountable.
By proactively addressing these issues, the government can enhance the effectiveness of the UOMO initiative, ensuring reliable and widespread mobile coverage for all Australians.
Paul Budde