Why is Elon Musk getting a free pass? Shankar Sharma says 1991 reforms created a culture of dependency

Shankar Sharma

Hailing India's liberalization in 1991 as a great initiative to unlock the true potential of a nation, veteran investor and GQuant Investech founder Shankar Sharma, however, described the period after that (Post 1991) as one that created a culture of dependency on foreign tech and capital to spur India's liberalized economy.

Speaking on a podcast with Rishi Sanghvii, Sharma said: “It gave Indian businesses a very lazy and a very easy way out,”. “Just do joint ventures, get the capital, get the tech… and life is sorted. That’s exactly what our Indian companies have done—till date.”

The ace investor pointed to a persistent outcome of that mindset: “We don't even have even one company which is dominating even South Asia, let alone Asia, let alone Europe, and forget about America… not one company.”

Sharma was equally critical of the government’s policy toward Elon Musk’s ventures. “What is so great about Starlink? It's low-end, low-tech… there is nothing great.” Sharma questioned why India was giving Musk a “free pass,” while domestic firms had to navigate heavy license fees and regulations. He blamed this on Indian firms rushing into foreign joint ventures, handing over market access in exchange for capital and tech—without building original strength. “Ultimately what got created? Nothing.”

Elon Musk’s Starlink has announced deals with the two dominant players in Indian telecom – Reliance’s Jio and Airtel – that will roll out Starlink internet services across India.

Starlink, which uses low earth orbit satellites, may prove useful in non-urban areas and less-populated parts of the country where internet access remains patchy. Starlink’s service currently costs around $110 per month for users in the U.S. Jio’s cheapest WiFi package for individuals in India costs less than that in a year.

Musk has been working relentlessly to break into India’s lucrative market, a point he stressed during his meeting with Prime Minister Narendra Modi in Washington, D.C., last month. In that meeting, the tech giant reiterated to Modi the benefits of widening internet access across the world’s most populous country, according to sources in the room. Musk’s pitch appears to have worked, with SpaceX announcing deals with the two dominant players in Indian telecom – Reliance’s Jio and Airtel – that will roll out Starlink internet services across India.