Elon Musk’s Starlink has officially received a licence from the Indian government to provide satellite internet services in the country, nearly three years after its initial application. The licence, known as the Global Mobile Personal Communication by Satellite (GMPCS), was granted after comprehensive due diligence, including security assessments, a senior government official confirmed.
This development positions Starlink as the third satcom licensee in India, alongside Eutelsat’s OneWeb and Reliance Jio. Starlink’s approval follows a letter of intent issued last month by the Department of Telecommunications (DoT), paving the way for formal clearance.
Regulatory debates and spectrum policy disagreements
Starlink’s entry into the Indian market was not without challenges. It clashed with domestic telecom giants, particularly Reliance Jio, over how satellite spectrum should be allocated. While Starlink favoured administrative allocation, Jio advocated for spectrum auctions. The government ultimately chose administrative allocation, citing the shared nature of satellite spectrum and the technical impracticality of auctions.
However, a new regulatory debate is now underway regarding pricing recommendations by the Telecom Regulatory Authority of India (TRAI). Telcos have pushed back against TRAI’s proposed charges—4% of adjusted gross revenue (AGR) as spectrum usage fees, plus ₹500 per urban subscriber annually—calling them unfair and unbalanced in comparison to terrestrial operators.
Commercial strategy and government conditions
Despite regulatory tensions, Starlink has secured retail distribution agreements with both Jio Platforms and Bharti Airtel. While they may compete in some market segments, these partnerships will also allow Starlink to access Indian customers through established telecom networks.
Also read: Govt finalising Starlink entry; remote connectivity in focus
The satcom sector is expected to primarily target affluent urban households due to the relatively higher costs associated with satellite-based connectivity. Starlink’s constellation, comprising around 7,000 satellites in orbit, offers global internet coverage and is touted for its resilience and broad reach, though latency may be higher than ground-based alternatives.
Compliance requirements for India operations
Under recently released DoT guidelines, satcom providers must localise manufacturing, adopt India’s NavIC navigation system, ensure data localisation, and cooperate with law enforcement agencies. Companies must submit a phased manufacturing plan that reaches 20% indigenisation of their ground infrastructure within five years of commercial rollout.
They must also transition to NavIC-based systems by 2029 and implement mechanisms to prevent Indian user data from being routed or decrypted outside Indian territory. These requirements are part of India’s broader effort to assert technological sovereignty in its rapidly growing digital and telecom sectors.
With Starlink now officially licensed, the next phase will involve complying with these operational norms and navigating pricing challenges as it begins offering satellite broadband services across India.
