Tech giant Google’s parent company Alphabet has decided to shut down Loon, its division that offers internet from floating balloons, which was the hope of remote parts of Kenya.

This was announced in a post on the blog of Alphabet’s X moonshot division, as the company cited viability challenges for the drastic and sudden decision.

Astro Teller who leads X posted in the blog, “The road to commercial viability has proven much longer and riskier than hoped. In the coming months, we’ll begin winding down operations and it will no longer be on Other Bet within Alphabet.”

Alphabet unveiled Loon in June 2013 with the Loon transforming from a moonshot to a stand-alone company within Alphabet later in the year 2018.

Loon unveiled its initial commercial internet service in Kenya in July last year and this comprised of a fleet of close to 35 balloons that covered approximately 50,000 square kilometers.

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While approving the launch of the service in Kenya, President Uhuru Kenyatta said the Loon services offered in collaboration with Telkom Kenya will enable universal 4G data coverage across Kenya.

Loon balloon launched in Kenya. PHOTO/COURTESY

Kenyatta said it was in line with his government’s efforts to respond to disruptions by Covid-19 pandemic that saw many people in Kenya work from home to avoid contracting the virus.

“Kenya is the first country to have base stations high up in the sky. Now we will be able to cover the whole country in a very short span of time," said ICT Cabinet Secretary Joe Mucheru at the time.

Loon also provided internet services to many areas affected by natural disasters and deployed balloons to Puerto Rico after Hurricane Maria in 2017 and Peru after an earthquake in 2019.

Teller announced that Loon will place staff in other roles at X, Google and Alphabet.

“A small group of the Loon team will stay to ensure Loon’s operations are wrapped up smoothly and safely — this includes winding down Loon’s pilot service in Kenya,” he said.

The Verge reports that Loon services in Kenya will run to March as Loon pledges $10 million to local NGOs and businesses focusing on connectivity, Internet, entrepreneurship and education.