Mobile Hot Spot or Satellite Internet: Which Is Right for Your Business?

What is a mobile hot spot?

A mobile hot spot is a device or software feature that provides internet access wherever you have a strong cellular signal. 

“A mobile hot spot essentially works by receiving a cellular signal and converting it to Wi-Fi,” explained Seth Geftic, vice president of product marketing at Huntress Labs. “As long as you have a solid connection, you can connect numerous devices, making it a great solution when you’re on the move.”

• Smartphone-based hot spot: You can create a mobile hot spot on your smartphone and share your connection with other devices (like tablets and laptops) via Wi-Fi, Bluetooth and USB cables. However, regularly using your smartphone as a hot spot will drain your battery quickly.
• Dedicated hot spot devices: For more robust functionality, you can also use a dedicated hot spot device. Dedicated mobile devices are built to create a business Wi-Fi network that others can log into. As a result, they’re equipped with much larger antennae and lithium-ion batteries that can deliver a business broadband connection for up to 24 hours on high-quality models.

Mobile hot spot upsides

Mobile hot spots are increasingly popular for the following reasons: 

• Convenience: Mobile hot spots are incredibly convenient for remote team members and workers who need internet access while in temporary locations. “Think of it as your own portable internet bubble, powered by your phone’s data plan,” said Mithilesh Ramaswamy, a senior AI and security engineer at Microsoft.
• Fast and strong connections: Dedicated hot spot devices, such as the Inseego MiFi X PRO 5G UW for Verizon, provide strong signals and fast service. You can use them to create a Wi-Fi hub to share your broadband connection with multiple devices.
• Improved communication: If you live somewhere with a consistently strong 4G LTE or 5G cellular service, setting up a hot spot for your business is an excellent way to stay connected. Clients, vendors and co-workers can be a call away wherever business takes you. 
• Portability: Ramaswamy identified portability as the greatest benefit of mobile hot spots. “You can literally take it anywhere you have cell service, making it perfect for remote work, travel, temporary office setups or working from home,” Ramaswamy explained.
• Versatility: Mobile hot spots are especially useful for professionals who frequently travel for business. Joe Warnimont, a security and technical expert for HostingAdvice, noted that some professionals can even run their entire operations on mobile hot spots. “Hot spots have the rare advantage of going where your workforce goes, since it’s not as hard as it used to be to secure those networks privately,” Warnimont noted. “I like hot spots for anyone traveling to clients, trade shows or conferences, all thanks to their affordability and mobile connectivity.”
• Easy setup: Mobile hot spots are straightforward. “They are also generally easy to set up and use, requiring minimal technical expertise,” Ramaswamy noted. “For businesses with fluctuating internet needs or temporary job sites, mobile hot spots offer a flexible and cost-effective solution.”

Prices, speeds and data caps vary widely by provider, so make sure to read the fine print before you commit to a new contract for a dedicated mobile device. Even if you have an unlimited data plan through your mobile service provider, it probably does not apply to hot spots. 

What is satellite internet?

Satellite internet is a wireless internet service that can provide a data connection when the skies are clear enough for your satellite dish. Once you install your dish correctly, you’ll have access to broadband speeds through a modem and Wi-Fi router, just like standard cable internet or business DSL connections. 

Availability, pricing, speeds and data limits vary by provider. Your satellite internet connection’s performance depends on your location and whether your dish has a clear view of the sky. If your location is surrounded by tall trees, large hills, mountains or buildings, it may be difficult to maintain a direct connection with the satellite.

While satellite internet may offer poor download speeds, very long latency and data usage limits, newer technologies are providing greatly improved performance.

Satellite internet benefits

• Internet for remote areas: Ramaswamy noted that satellite internet is an excellent option for remote and underserved areas where traditional internet options are unavailable. “For businesses operating in rural locations or needing internet access in disaster-stricken regions, satellite internet can be a lifeline,” Ramaswamy said. “It offers a reliable connection, independent of landlines or cable infrastructure, ensuring business continuity even in challenging environments.” 
• Reasonable internet speeds and reliability: Geftic agreed that people in remote or off-grid locations benefit the most from satellite internet. “With a clear view of the sky, the latest technologies offer decent internet speed, making working in the most far-flung settings a realistic possibility,” Geftic explained.

Mobile hot spot vs. satellite internet speeds and latency

You’ll hear the terms “speed” and “latency” in regard to an internet connection’s quality.

• Speed: Internet speed is expressed in megabits per second (Mbps) or terabits per second (Tbps). It refers to how fast your internet connection sends and receives data from your device. Generally, download speeds are faster than upload speeds.
• Latency: Latency refers to how long it takes for data to travel from your computer to an internet server and vice versa. Lower latency means faster data transfer, which is better for tasks like video calling.

So, how do mobile hot spots and satellite internet compare in terms of speed and latency? 

Mobile hot spot speed and latency 

• Mobile hot spot speed: A mobile hot spot device can deliver download speeds of up to 100 Mbps and upload speeds of up to 50 Mbps to share among users. “If you’re someone with a reliable 5G cellular connection, someone using a 5G hot spot could expect to achieve speeds above and beyond 100 Mbps,” Geftic explained. “This performance makes mobile hot spots a fast and reliable option if you need a dependable connection.”
• Mobile hot spot latency: Latency is low, at about 50 to 65 milliseconds, depending on your carrier. This should be reliable enough for day-to-day tasks like sending emails, making VoIP calls, and running HD video conferences. It’s also more than enough for working with business tools like accounting software, POS systems and the best CRM software.

Satellite internet speed and latency

• Satellite internet speed: Download speeds typically range from 20 Mbps to 250 Mbps, though this can vary by weather, service provider and location. Upload speeds are generally much lower, often ranging from 3 Mbps to 20 Mbps. The best satellite systems can offer download speeds of up to 250 Mbps with a clear sky and a good location.
• Satellite internet latency: The drawback of satellite internet is its latency, which can range from 675 to 825 milliseconds because of the distance data must travel between the orbiting satellites and your dish. While this won’t make much of a difference when sending emails or downloading files, it could frustrate users conducting video conferences or content creators who must upload videos to sites like YouTube. It can also be hard to maintain a decent signal when you’re on the move.

Your service provider can greatly affect your satellite internet speed and latency. Geftic prefers Starlink — a low earth orbit (LEO) satellite system, unlike traditional GEO (Geostationary) systems. 

“Starlink tends to have the best speeds and lowest latency at around 50 to 250 Mbps and 50 milliseconds,” Geftic explained. “But beware that your connection can be throttled during periods of high usage.” 

Mobile hot spot vs. satellite internet pricing and caps

Consider these factors when deciding between a mobile hot spot and satellite internet.

Service costs

For both types of internet service, you’ll typically pay a flat monthly fee (which includes data). 

• Mobile hot spots: Mobile hot spot services start at around $25 per month. Verizon and T-Mobile offer plans ranging from $40 to $80 per month for unlimited premium data and fast speeds. While some providers exclusively offer 4G and 5G connectivity, most will require you to sign up for a standard business broadband package. 
• Satellite internet: Satellite services can be much more expensive, ranging from $69.99 to $500 per month. Some providers, like Starlink, allow you to pay more for additional priority or mobile priority data.

Equipment costs

• Mobile hot spots: Costs vary widely depending on whether your provider bundles devices or you pay for one outright. You may pay around $10 per month as part of a plan or spend from $50 to $600 to buy a device. 
• Satellite internet: With Starlink, you’ll pay an up-front equipment charge between $699 and $1,500. With providers like HughesNet and Viasat, the equipment cost is often included in the monthly fee or rented separately.

Data usage

When researching mobile hot spots or satellite internet plans, you’ll likely see plan options for soft data caps and unlimited data. (Note that hard data caps refer to absolute limits on your data usage, while soft data caps are more like guidelines.)

​​Mobile hot spots

• Soft data caps: Many mobile hot spot providers offer soft data caps, meaning they may deliberately slow your internet speed if you exceed your monthly allotment — but they won’t interrupt your service. This could affect video conferences and other activities and be extremely inconvenient. If you often exceed your soft data cap, you may be asked to upgrade or pay more for additional data.
• Unlimited data plans: Some providers offer unlimited data plans — but “unlimited” may come with caveats. For example, if you exceed a specific data amount, the provider may “deprioritize” your data, and you may notice slower speeds when the network is congested. 

Satellite internet data usage

• Soft data caps: All three major satellite providers — HughesNet, Starlink and Viasat — have soft data cap plan options. If you choose a plan with a soft data cap and you regularly exceed the monthly limit, your provider may ask you to move to a more expensive plan or to make a separate payment for the overage. Here are their current data thresholds:
  • HughesNet: 100 to 200 GB
  • Viasat: 850 GB
  • Starlink: 40 GB to 5 TB (depending on the plan)
• Unlimited data plans: All three major satellite providers — HughesNet, Starlink and Viasat — offer unlimited data plans. However, Starlink has data limits on its “Priority” and “Mobile Priority” add-on plans, after which the data you’re downloading is no longer first in line.

Should your business use a mobile hot spot or satellite internet for work?

You should use a mobile hot spot if …

• You and your colleagues work on the go and need reliable internet connections.
• You and your team often log in from temporary and remote locations.
• You need a cost-effective, low-latency solution for everyday tasks like video conferencing and file sharing.

You should use satellite internet if …

• You’re located in an area with limited or no broadband and cellular options.
• You must be able to connect in emergency situations and disasters without needing local cables or landlines.
• You need higher download speeds and have a clear line of sight to the sky for the best performance.