NEW DELHI: A day after Airtel announced a deal to market the satellite internet services of Elon Musk’s Starlink in India and supplement its network coverage, Mukesh Ambani’s Reliance Jio too joined the bandwagon, coming out with a twin deal, making it a strong entry ecosystem for the American satellite company.
But it will take a while for Starlink to offer services as the company awaits a licence, which will be followed by spectrum and the creation of required ground infrastructure for the services, which are seen to be highly expensive when compared to what current telecom operators charge in India.
From challenger to ally
Sources said the rapprochement between the domestic telecom majors and Starlink may have come after a nudge from the Indian and US govts. The partnerships come less than a month after Musk met Modi in Washington.
‘Telcos’ Starlink deals can plug dark spots’
The two deals within a span of a few hours have cashreated a buzz around Voda Idea also announcing a similar arrangement with SpaceX.
After years of waiting, a global mobile personal communication by satellite (GMPCS) services licence has been pending with the department of telecom and ministry of home affairs. “Once it gets GMPCS, Starlink will need to receive certain other approvals and also one from the department of space before it formally begins taking orders and works towards launching operations. It also needs to set up landing stations in India, and needs to assure the govt on non-transfer of data of Indians during its operations and adherence to ‘requests’ from law enforcement agencies,” the source said.
Voda idea next in line?
Starlink has long been pushing bureaucracy for its satcom licence but has so far remained unsuccessful, with security establishments raising a few red flags and seeking clarifications.
Officials are certainly bullish about the development. A senior govt official said having satellite communications blend with the current terrestrial networks of Airtel and Jio would mean “effectively plugging the dark spots” in rural India, difficult terrains, and even in congested metros. “Even the Universal Service Obligation Fund, created through a levy on telecom players, has not been able to close this gap and we are hoping that an agreement such as this will help achieve 100% coverage across the country.”
The official further added: “Importantly, a new operator and a new communications medium — satellite in this case — enters India, giving more options to the consumer and driving new competition in the market. Remember, we have progressed from landlines, to mobile phones, to data-led conversation through WhatsApp and FaceTime. Soon, it will be enabled through satellites. This will also see new investments by new satellite players and also help further the maturing of the telecom ecosystem.”
However, there are still technological challenges. “Most of the regular mobile phones being used by the public do not have provision to get satellite connectivity. So, the integration on regular calls will not be seamless as the handover between terrestrial and satellite networks will not be available automatically until telecom companies and phone manufacturers work out solutions. So far, a customer — on a few select expensive devices — has the option to choose satellite communications manually.”
Regarding home broadband, the satellite services will be very expensive compared to the current fibre-based solutions that are priced lower than one-tenth of satcom. Also, the speed through home fibre is much more than what a satcom provider gives. “The biggest use in the beginning will be in enterprise areas such as mining, oil rigs, airlines, and shipping. Also, satcom will help provide internet connectivity in difficult terrains such as jungles, wildlife safaris, and rural areas, where mobile services have not percolated effectively,” an official said.
Bharti group chief Sunil Mittal said there is a need for terrestrial operators to join forces with satcom players. “In my opening remark at the recently concluded Mobile World Congress 2025 in Barcelona, I made a call to both telecom and satellite players to work together, combine their strengths, and complete the mission of connecting the unconnected, covering the oceans and the skies as well as difficult-to-reach areas. I am glad that this is being followed through with active announcements of partnerships between satellite companies and telecom operators… Soon customers will be able to carry their mobiles to the remotest part of the world, with them in the skies and blue oceans.”
Welcoming Starlink to India, communications minister Ashwini Vaishnaw said, “It will be useful for remote area railway projects.”