SUMMARY
- Elon Musk’s Starlink agrees to India’s data localisation and security norms, moving its GMPCS licence application forward.
- DoT and IN-SPACe receive conditional compliance from Starlink, with spectrum allocation awaiting final Trai recommendations.
- Local telecoms express concerns over satellite internet’s urban expansion, calling for fair regulatory practices.
Elon Musk’s satellite internet venture, Starlink, has agreed to comply with India’s security and data localisation requirements, positioning itself to secure the crucial Global Mobile Personal Communication by Satellite Services (GMPCS) licence. This licence, vital for initiating satellite broadband services in India, has been on hold due to regulatory requirements on data storage and interception for security agencies. Sources indicate that Starlink’s “in-principle” compliance has propelled its application forward with both the Department of Telecommunications (DoT) and the Indian National Space Promotion and Authorization Centre (IN-SPACe).
In recent meetings with DoT officials, Starlink representatives committed to following India’s data guidelines, which mandate that all data must be stored domestically and allow access for security monitoring. However, Starlink is still expected to formally submit a document outlining its compliance with these norms. This commitment marks a significant step toward fulfilling licensing requirements, though sources suggest additional details may be needed for full approval. Moneycontrol’s outreach to Starlink India for comment has, so far, gone unanswered.
Currently, Starlink’s licence request with IN-SPACe is moving forward, with IN-SPACe chairman Pawan Kumar Goenka confirming ongoing discussions with Starlink and Amazon Kuiper. Both companies are providing additional details to IN-SPACe, which, in turn, will require Trai’s recommendations on satellite spectrum allocation and pricing. Trai’s final decision, anticipated by December, will set the ground rules for spectrum access, a vital factor in the rollout of satellite broadband.
The regulatory landscape is tense, as leading Indian telecom operators — Reliance Jio, Bharti Airtel, and Vodafone Idea — voice concerns over satellite operators potentially targeting urban retail markets. In a recent open house session, representatives from these telecom companies stressed the need for a level playing field, advocating for auction-based spectrum allocation to prevent preferential treatment of satellite firms.
Starlink’s India Director, Parnil Urdhwareshe, countered, arguing that satellite and terrestrial services operate in fundamentally different realms. He proposed administrative spectrum allocation for satellite companies, given the different technical and infrastructure requirements compared to traditional telecom services. He also highlighted how 5G spectrum is shared among telecom players, suggesting that a similar approach would better suit satellite operations.
IN-SPACe projects that India’s space economy could reach $44 billion by 2033, which would capture around 8% of the global space market. This growth could be boosted by satellite communications, a sector that stands at the frontier of digital connectivity and is poised to transform internet access in underserved and remote regions.
