In a move that could reshape India’s satellite broadband landscape, Elon Musk’s StarLink, a SpaceX subsidiary, is set to acquire its General Mobile Personal Communication by Satellite (GMPCS) license. This milestone follows StarLink’s commitment to meet stringent localisation and security requirements set forth by the Indian government — a longstanding hurdle in its India ambitions.
This development comes on the heels of Donald Trump’s recent election victory, securing his return to the White House as the 47th President of the United States. Musk, the world’s richest man, was a notable backer of Trump’s campaign and is poised to influence the new administration. Musk’s influence over Trump extends beyond financial contributions, with Musk credited for persuading Trump to rejoin the X platform (formerly Twitter) after his ban under previous ownership.
StarLink’s pledge to comply with India’s data storage mandates, established by the Department of Telecommunications (DoT), is critical for its GMPCS license. These requirements demand that satellite broadband providers store user data locally and make it accessible for national security agencies if needed. However, despite its verbal agreement, StarLink has yet to submit formal documentation verifying its compliance with these regulations.
Obtaining the GMPCS license is just one step in StarLink’s strategy for India. In 2022, StarLink, along with Amazon Kuiper, submitted an application to India’s space regulatory body, In-SPACe. Pawan Goenka, In-SPACe Chairman and former CEO of Mahindra and Mahindra, confirmed that both companies are progressing through the regulatory process but have been asked to provide additional details for final approval.
The road to operationalising StarLink in India also hinges on the government’s impending guidelines on spectrum pricing and allocation. The Telecom Regulatory Authority of India (TRAI) is expected to release its recommendations by the end of December. Local telecom giants — Reliance Jio, Airtel, and Vodafone Idea — have urged the government to ensure a level playing field, advocating for spectrum auctions in high-demand urban areas to prevent international players from cannibalising local market share.
India’s space economy is forecasted to reach $44 billion by 2033, capturing 8 percent of the global market, up from 2 percent today, according to In-SPACe projections. Local telecom operators remain concerned that StarLink and Amazon Kuiper’s entry into the Indian market could disrupt domestic players’ hold on urban customers.
Musk’s potential influence in India may extend beyond StarLink. His electric car company, Tesla, has faced regulatory challenges due to high import duties, hindering its launch in the Indian market. Similarly, X, Musk’s social media platform, is also under scrutiny from Indian regulators. Musk’s growing proximity to Trump’s administration could open new avenues for his business ventures in India, potentially alleviating some of these regulatory pressures.
With the anticipated entry of StarLink and Amazon Kuiper, competition in India’s satellite broadband sector is poised to escalate, bringing global connectivity players into direct rivalry with established Indian telecoms.
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