Explainer | All you need to know about Satellite Broadband and what it means for India

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According to a recent report from Morgan Stanley, Satellite Broadband will account for 50 percent of the global space economy by 2040. That number can even rise up to 70 percent in certain scenarios.

The idea is so enticing that Reliance Jio has teamed up with SES, a global satellite provider, to launch broadband services in India. Bharti Airtel, OneWeb and Hughes are also on board.

You may ask yourself what is Satellite Broadband and why is it such a big deal? Let's break it down.

Also Read: Reliance Jio ties up with SES for affordable satellite broadband services

Satellite Broadband: The future of the internet 

In the simplest of terms, satellites are objects deliberately put into orbit by humans for several applications. These satellites are used for mapping out space or to take pictures of planets they orbit. That isn't their only purpose though.

There are also satellites that help in communication here on Earth by transmitting and relaying radio signals, weather satellites that monitor the climate of our planet and navigation satellites that help provide positioning information by communicating with a Global Positioning System (GPS).

Satellites will soon be used to provide access to high-speed internet using Geosynchronous Satellites, which means they orbit around Earth at the same speed as the planet's rotation.

This enables them to be at a locked position in space, which is very important since that means they will overlook a fixed position on earth, to which they can transmit and receive data.

These satellites enable high-speed, low-latency internet to be beamed to a receiver on Earth. They now provide access to individual internet plans up to 150 Mbps, which will go up once more satellites are put into orbit.

Also Read: Hughes Communications, Bharti Airtel form JV to offer satellite broadband services in India

Okay. But why is it such a big deal? Don't we currently have wired broadband plans that are faster? 

Yes, we do. The answer to that question lies in the question itself, the word 'wired'.

The way it works is that if you want internet coverage in a certain area, you dig up the ground and lay down meters of wire. This is then routed to individual houses and by the end, you are left with a maze of wires and circuits that will be a chore to maintain.

They also limit accessibility, since it is very difficult to dig up and install wires in hilly regions or remote areas with connectivity issues.

With satellite broadband, you are no longer limited in the geographical boundaries you can cover. All you would need is a satellite in space and a receiver on the ground.

Also Read: OneWeb, Hughes sign 6-year pact to provide satellite broadband services in India

Interesting. But are they expensive? 

Currently, Yes. Elon Musk's StarLink charges $99 per month for a plan with advertised speeds up to 150 Mbps. You also have to pony up $500 for the equipment which includes a satellite dish and a router.

For more bandwidth, you will have to get the company's premium plan which costs a whopping $500 per month and this is excluding $2,500 for equipment.

Starlink is also planning a launch in India and according to a Business Line report, that maybe as soon as April 2022. They will offer an introductory price of Rs. 1,58,000 for the first year. This includes the Rs. 37,400 for equipment and the Rs. 7,425 monthly fee.

Besides Starlink, Reliance Jio is all set to launch its service in 2022. Bharti Airtel has announced a partnership with Hughes to provide plans for business and government users.

Also Read: OneWeb is providing satellite internet service in remote areas : Sunil Bharti Mittal

Yikes! So am I missing out if I am not switching over? 

Don't stress. As good as it sounds, Satellite broadband is not for everyone. First, the speeds will be slower than fiber connections, so if you have one, you can wait it out till the plans are cheaper or the speeds, faster.

Even standard Cable internet users need not worry, you already have cheaper and faster plans. If the price isn't an issue, then you might want to consider the drawbacks of Satellite Internet.

First, they are limited by extreme weather conditions. At the start, certain providers may also have fair access policies in place, which will limit the amount of speed you have during specific times.

Even if price isn't an issue, you are paying more for slower speeds than fiber or cable connections can provide. That isn't a great deal.

Providers are also likely to feel their way into the market at first, launching plans for enterprises before they move on to serving customers. This is because current pricing trends will not make it viable for most consumers.

Disclaimer: Reliance Industries Ltd. is the sole beneficiary of Independent Media Trust which controls Network18 Media & Investments Ltd that publishes Moneycontrol.com