Musk's Starlink licence application nears India nod as DoT fast-tracks process

Starlink

The Department of Telecommunications (DoT) has accelerated the process of allocating the licence to Elon Musk's Starlink satellite internet unit ahead of the Tesla and SpaceX CEO’s India visit later this month, sources told Moneycontrol.

In the coming days, the department may issue a letter of intent (LoI) and trial spectrum to Starlink for its satellite communications services, sources said.

“Due diligence is in an advanced stage, and DoT is having inter-ministerial discussions because of a security issue," a senior government official told Moneycontrol on condition of anonymity.

Starlink is the satellite internet service of Musk's rocket manufacturing firm SpaceX that provides high speed internet connections. Musk will be in India on April 21 and 22.

With a global mobile personal communication by satellite services (GMPCS) licence, the first step towards setting up a satellite internet service, and trial spectrum, through the administrative route at a nominal application fee, Starlink could pilot its services in the retail consumer space.

Starlink would also need permission from the home ministry, law enforcement, and the country's security agencies as the government has some security concerns, the official said.

Starlink has previously provided clarification on its shareholding pattern to the Department for Promotion of Industry and Internal Trade (DPIIT).

While citing US regulations in its inability to disclose all ownership details, Starlink gave a declaration that it does not have investors from countries with which India shares land borders.

Eutelsat OneWeb has already received the trial satellite spectrum in both the `Ka’ and `Ku’ bands for 90 days and has started using the demo airwaves to run advanced trials with key customers.

It is the only satcom player with mandatory authorisations from the space industry regulator India National Space Promotions and Authorisation Centre (IN-SPACe).

Eutelsat OneWeb, Starlink, Jio Satellite Communications Amazon are vying for a portion of the burgeoning Indian market, which has significant growth prospects.

In November 2022, Starlink initiated the process of applying for the GMPCS licence after it faced issues with the government for accepting pre-orders for its terminals.

Though Starlink planned to conduct trials for its satcom services in India but they didn’t materialise. The government directed Starlink to refund the fees because it didn’t have the necessary permissions to operate in India.

Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.