Starlink, the satellite internet service owned by Elon Musk’s SpaceX, has seen a major drop in users across Myanmar following crackdowns on online scam centres that relied heavily on the technology. This is according to new data from Apnic, the regional internet registry for Asia-Pacific.
An AFP investigation earlier this year exposed Starlink receivers being used inside several large scam compounds in Myanmar. These centres are known for targeting victims around the world through romance scams, business fraud, and online trickery.
During the middle of the year, Starlink grew rapidly and became Myanmar’s most popular internet provider. Apnic estimates show that in the summer, up to 14% of Myanmar’s internet users were connecting through Starlink.
But by November 10, that number had fallen to less than 7%, dropping Starlink from the number one spot to fourth place nationwide.
Drone footage recorded for AFP in mid-October showed long rows of Starlink satellite dishes installed on the rooftops of the KK Park scam centre near the Thai border. The centre is believed to be one of the largest hubs for online fraud in the region.
Soon after the investigation was published, SpaceX announced that it had deactivated more than 2,500 Starlink receivers “in the vicinity of suspected scam centres” in Myanmar.
US lawmakers also launched a Congressional investigation in July to find out how Starlink technology ended up helping criminal networks.
Most of Myanmar’s scam centres are reportedly controlled by Chinese criminal groups working together with local militias. These groups run massive online fraud operations that have trapped victims across Asia, Europe, and Africa.
Since October, Myanmar’s military junta has carried out high-profile raids on KK Park. Satellite images reviewed by AFP this week show that around 100 buildings in the compound have been damaged or demolished.
However, analysts say three-quarters of the compound remains intact, suggesting that many operations may still be active.
Experts believe that the junta ignores the scam networks because of deals with militia groups. In exchange for protection and cooperation, militias control border areas on behalf of the military while allowing scam operations to continue.
Myanmar has remained unstable and violent since the February 2021 military coup, leaving many regions lawless and making it easier for criminal networks to thrive.