Elon Musk's Starlink terminals are reportedly falling into the wrong hands as they become targets for a flourishing black market trade worldwide.  

Elon Musk's Starlink Faces Black Market Problem 

A Bloomberg News investigation discovered wide-spanning cases of Starlink kits being traded and activated illegally. Its misuse seems to be a systemic global problem due to Starlink's availability on the black market and smuggling issues, which raise questions about SpaceX company's control of a system with precise national security dimensions.

Bloomberg reported that Starlink terminals are being used and traded illegally in countries including Sudan, Yemen, and Venezuela. This revelation came a month after Ukraine accused Russian troops of using thousands of Starlink terminals after acquiring them from private Russian firms that bought them from intermediaries.

Currently, SpaceX's Starlink internet terminals are reaching numerous countries, including territories governed by repressive regimes.

The Starlink black market issue could worsen as the company expands in regions with weak connectivity and since its high-speed internet and easily-to-install kits are very attractive to consumers and businesses.

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Alleged Usage of Starlink by Russia

In February, Forbes reported that a Ukrainian general said that Russian military units in Ukraine were purchasing Starlink terminals on "an open market."

Ukrainian Lt. Gen. Kyrylo Budanov told the Wall Street Journal that Russian intermediaries, such as private firms, purchased the Starlink terminals via third-party vendors in other countries before handing them over to troops in Ukraine.

Budanov noted that the terminals were also being bought in other post-Soviet republics neighboring Russia. There were also reports that the terminals could also be purchased on Russian websites, such as Yandex.ru and strlnk.ru, where these internet kits were advertised as "tested" in the occupied territories.

SpaceX has previously denied that its terminals are sold, shipped, or function within Russia and claimed that those who sell Starlink terminals are "scamming their customers."

Related Article: Is Starlink Being Used in Russia? US Lawmakers Demand Answers From SpaceX