How Each System Works
Satellite internet works by sending signals up to satellites orbiting Earth and then back down to a receiver dish at your location. These satellites act like relay stations in space. Terrestrial broadband uses physical networks of cables buried underground or strung on poles, plus wireless towers that transmit signals through the air over shorter distances.
Speed and Latency Differences
Terrestrial broadband is generally much faster because signals only travel short distances. Satellite internet is slower because data must travel hundreds of miles up to space and back down, causing noticeable delays. This delay, called latency, makes satellite less suitable for activities like online gaming or video calls that need immediate responses. Terrestrial broadband typically has latency under 50 milliseconds, while satellite ranges from 400-600 milliseconds or higher.
Coverage Areas
Terrestrial broadband requires physical infrastructure in your area, so it's mainly available in cities and suburbs. Rural and remote locations often have no terrestrial broadband options. Satellite internet can reach almost anywhere on Earth because the satellites orbit the entire planet. This makes satellite the only option for people in very remote areas, on ships, or in locations where building physical infrastructure isn't practical.
Cost and Installation
Terrestrial broadband typically has lower monthly costs and doesn't require special equipment beyond a modem. Satellite internet requires purchasing or renting a satellite dish and router, which adds upfront costs. However, satellite installation is faster since technicians don't need to dig trenches or run cables to your home. Monthly satellite costs have become competitive with terrestrial broadband in recent years.
Weather and Reliability
Terrestrial broadband is not affected by weather conditions. Satellite internet can experience signal loss during heavy rain, snow, or storms because the signal travels through the atmosphere. This makes satellite less reliable in areas with frequent bad weather. Terrestrial networks may also experience outages, but weather is a less common cause.
Data Limits
Many satellite internet providers impose data caps or throttle speeds after you use a certain amount of data each month. Terrestrial broadband providers less frequently use data caps, especially for high-speed options. Satellite providers use data limits because satellite bandwidth is more limited and expensive to provide than terrestrial networks. 
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