Alphabet Ends Loon Project After Failing to Make Balloon Internet Viable
Alphabet is shutting down Loon, its ambitious high-altitude balloon internet project, because the business model remains unsustainable. The division fails to find a reliable path to commercial success despite achieving significant technical milestones.
Alphabet officially shuts down Loon, its high-altitude balloon internet project, after years of experimental testing. The company determines that the radical moonshot lacks a sustainable, long-term business model to remain operational.
The division achieves significant technical milestones, including successful data transmissions in remote areas like Kenya. However, the high costs of manufacturing and maintaining the floating cell towers prevent the project from becoming a commercially viable solution.
The closure marks a rare defeat for Alphabet's X lab, which focuses on developing futuristic technologies. While Loon ultimately floats away, the research team plans to share its accumulated knowledge to help advance other stratospheric and connectivity projects in the future.