No one really knows what this means. If Starlink is as vital to Ukraine’s defense as it’s hyped up to be, we might see Ukraine start to lose ground at a faster pace. My feeling is this announcement may be kayfabe, that nothing has changed. If Starlink is that important, it wouldn’t surprise me if Putin sent contract killers (sicarios or various organized crime hitmen) or illegals* after SpaceX employees. So the announcement might actually be a way to signal to Putin that Starlink has been downgraded to the point it’s barely useful. The Ukrainians would presumably be asked to chime in with complaints so the deception acquires an aura of plausibility.
Seems to me that as a non-defense contractor, Musk’s businesses are very vulnerable to armed attack. So anything that he can do to lower the risk of repercussions to his employees from covert operations mounted on Putin’s orders is a good thing.
* Spetznaz, FSB or other trained shooters without diplomatic cover, guided by deep cover or sympathetic locals, much as the Mossad targeted Nazis and Palestinian terrorists abroad.
Starlink is simply stopping signals in general near the front lines and/or Internet video streaming from the drones. The drones already have separate controllers. Our Army has been training and providing Ukrainian soldiers with alternative communications since Musk’s last tantrum.