The proposal, due for a vote at the end of April, would update decades-old rules governing how much power satellites can use when transmitting signals to Earth.

These limits were originally designed in the 1990s to prevent interference between satellite systems, particularly between newer low Earth orbit (LEO) constellations and traditional geostationary (GEO) satellites.

Regulators now argue that advances in satellite technology and spectrum management mean those constraints are increasingly outdated. By easing the limits, the FCC aims to enable more efficient use of spectrum and improve overall network performance.

The changes are expected to benefit LEO operators, including services such as SpaceX’s Starlink network, which rely on large constellations of satellites operating closer to Earth. Higher permitted power levels could translate into faster speeds, lower latency and greater capacity, particularly in underserved or remote areas.

However, the proposal has exposed a divide within the satellite industry. GEO operators, including Viasat, have raised concerns that loosening the rules could increase the risk of interference with existing systems. They argue that current safeguards remain necessary to protect service quality and reliability.

The FCC maintains that the revised framework will continue to protect incumbent operators while unlocking additional capacity for emerging services. The agency has also pointed to the potential economic benefits of expanding broadband access, particularly in areas where terrestrial infrastructure remains limited.

The move forms part of a broader effort to modernise spectrum policy in line with growing demand for connectivity. As satellite broadband becomes an increasingly important complement to fibre and mobile networks, regulatory changes are expected to play a key role in shaping market development.

If approved, the decision could accelerate deployment of high-capacity satellite services, while setting a precedent for how other markets approach spectrum sharing in space.

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