Starlink, Elon Musk’s internet company that uses Low Earth Orbit satellites, is advancing its license application in India after agreeing to meet the government’s data localization and security demands. These requirements were previously a major hurdle but are now seen as critical for Starlink’s entry into India’s internet market.
During recent discussions, Starlink reportedly agreed ‘in principle’ to comply with India’s security and data localization policies, marking a significant step toward obtaining a Global Mobile Personal Communication by Satellite Services (GMPCS) license.
The GMPCS license is required for Starlink to provide satellite broadband in India, and it will allow the company to apply for trial spectrum at a nominal fee, which is crucial for establishing its satellite network. Indian regulations require all satellite companies to store data within the country, and Starlink must demonstrate methods for secure data access by intelligence agencies if necessary.
In addition to the GMPCS application, Starlink’s proposal with the Indian National Space Promotion and Authorization Center (IN-SPACe) is also advancing. Meanwhile, the Telecom Regulatory Authority of India is consulting stakeholders on methods for spectrum allocation and pricing for satellite services, with rules expected by December this year.
The entry of Starlink and other global satellite providers has intensified competition with Indian telecom giants, including Reliance Jio, Bharti Airtel, and Vodafone Idea. Local providers have voiced concerns over spectrum allocation, advocating for an auction-based model to ensure fair competition in urban areas where satellite services would compete directly with terrestrial networks. Starlink, however, argues that satellite and terrestrial networks differ fundamentally, and administrative spectrum allocation would better support satellite communication.
As satellite services grow, India’s space economy is projected to reach $44 billion by 2033, up from its current 2% global share to an estimated 8%. Starlink’s entry could accelerate this growth, alongside emerging satellite players and expanding infrastructure.
