Starlink Edges Closer to Entering the Indian Market Amid Compliance with Government Regulations: Elon Musk’s Starlink is one step closer to launching in India after agreeing, in principle, to meet the Indian government’s data localization and security requirements. This significant development follows extensive discussions with India’s Department of Telecommunications (DoT). As a result, Starlink is now on track to obtain a Global Mobile Personal Communications by Satellite (GMPCS) license, a vital regulatory approval required to operate satellite broadband services in the country.
Key Compliance Requirements for Starlink’s License
To secure its GMPCS license, Starlink must adhere to India’s data localization policies, which mandate that all user data be stored within the country. Additionally, these policies grant Indian government intelligence agencies the authority to intercept data when necessary. Without meeting these conditions, Starlink cannot receive the spectrum allocation essential for launching its satellite broadband services in India. Although Starlink has agreed to these requirements in principle, it has yet to formally submit its compliance documentation.
Government’s Stance on Satellite Broadband and Licensing
India’s Telecom Minister, Jyotiraditya Scindia, recently confirmed Starlink’s progress and expressed optimism about the company’s licensing prospects. Scindia emphasized the importance of addressing all security concerns, stating, “We are more than happy to give Starlink a license once they comply with all the conditions. From a security perspective, making sure all concerns are addressed is essential. When they do that, we would be more than happy to grant it. They are in the process of doing it.”
Current GMPCS License Holders and Market Outlook
Currently, only two GMPCS licenses have been granted in India—one to Bharti-backed OneWeb and another to Jio Satellite Communications, a joint venture involving Reliance Jio. However, both companies are still waiting for their spectrum allocations and have yet to commence operations. Earlier this year, Scindia confirmed that spectrum allocation for satellite broadband services will be handled administratively, avoiding a competitive auction process—a decision that may favor Starlink.
Challenges and Market Potential
The satellite broadband industry is set to proliferate in India, with market value projections reaching up to $1.9 billion by 2030. Although telecom companies have expressed concern about creating a level playing field for satellite internet providers like Starlink and Amazon, the government maintains that satellite broadband is fundamentally different from terrestrial telecom networks. Starlink, for example, operates through a vast satellite network rather than physical infrastructure, creating unique regulatory considerations.
In the coming months, the Telecom Regulatory Authority of India (TRAI) is expected to finalize rules on pricing, spectrum allocation, and other critical details, paving the way for new market players. With Starlink’s anticipated compliance, SpaceX aims to leverage its mega constellation of satellites, potentially up to 42,000, to deliver high-speed internet across rural and urban India.
