Satcom players at same regulatory stage in India, spectrum pricing decision close: Report

New Delhi, Oct 26 (IANS) The government has said security assessments are underway for all three licensed satellite communication operators, including Starlink with all at broadly the same regulatory stage, even as a decision on spectrum pricing is close, according to a report.

India’s satellite internet debate is increasingly being viewed through the lens of what it delivers to end users — reliability, affordability and choice – even as attention remains on the regulatory timeline for new entrants, as per analysis of Gulf News.

The discussion has intensified amid delays to Starlink rollout in India with Musk alleging that business interests have impeded the company’s progress, it added. However, no evidence has been publicly provided to support those claims.

The government has said security assessments are under way for firms, indicating that operators are at a broadly similar stage in the approval process, the report said.

While Starlink has secured a telecommunications licence, commercial operations still require compliance with security conditions and assignment of spectrum needed to provide services.

Meanwhile, Communications Minister Jyotiraditya Scindia has also indicated that a decision on satellite spectrum pricing is nearing completion.

The debate has highlighted the need for greater clarity around which approvals remain outstanding and whether progress depends on government decisions or actions required from applicants.

India’s telecom operators have also moved to partner with Starlink despite competing interests.

The partnerships underscore a more complex competitive landscape than a simple contest between a foreign entrant and domestic rivals with companies potentially cooperating on distribution while competing in satellite broadband services.

In addition, industry observers say the success of satellite internet services will ultimately depend less on regulatory disputes and more on their ability to offer reliable connectivity, competitive pricing and clear service options for consumers.

In mid-2025, the Telecom Regulatory Authority of India (TRAI) recommended spectrum charges of 4 per cent of adjusted gross revenue for certain satellite broadband services, along with an annual charge of Rs 500 per urban subscriber.

Rural and remote subscribers would be exempt from the additional levy.

The report further highlighted that the recommendations are yet to be finalised and do not determine the eventual cost to customers.

Equipment prices, installation charges, subscription fees and contract terms are expected to play a major role in adoption, it added.

Security reviews also remain a key part of the process.

The report noted that ongoing assessments do not in themselves indicate wrongdoing by any operator but reflect regulatory requirements that apply across the sector.

For consumers, the outcome may ultimately be judged by whether satellite internet providers can deliver dependable and affordable connectivity, particularly in areas where existing broadband and mobile networks remain limited.

–IANS

ag/