Elon Musk’s Starlink gets in-principle govt nod, close to bagging satellite services licence: Report

Starlink, the satellite communication venture of billionaire Elon Musk, has received an in-principle nod from the Indian government, a report said on Monday, April 16. The development comes a week ahead of Musk’s scheduled visit to India.

The in-principle nod, which takes Starlink closer to receiving the licence for offering its satellite communication services, has been issued by the telecom ministry, the Times of India report said, citing sources.

The file is now placed before Union Telecom Minister Ashwini Vaishnaw, who is awaiting the home ministry’s nod over security matters, the newspaper reported, citing the persons who are privy to the development. Following Vaishnaw’s nod, Starlink would be granted the global mobile personal communication by satellite (GMPCS) services licence, the report noted.

The government sought clarity over the ownership structure of Starlink, as it wanted to make sure that no person or entity sharing a land border with India is one of the stakeholders in the company, as per the report. “The matter is sorted now,” one of the sources reportedly said.

Govt’s checklist

Starlink has been directed to ensure that KYC (know-your customer) details and other information of Indian users should remain in India only, the report claimed. The directive, reportedly issued by the telecom ministry, is aimed at preventing the flow of data outside the borders.

The Musk-headed firm has also been asked to submit an undertaking that traffic over Indian waters and airspace should only terminate at a local gateway, the report said, citing the sources. The undertaking has been sought for security-related aspects, it added.

The report further noted that the government has asked Starlink to ensure that the data beams from satellites “should only land in India and not end up on foreign shores due to movement of satellites”.

Existing players

While Starlink’s entry into the Indian satellite communication segment could be a potential game-changer, the existing telecom players – Bharti Airtel and Reliance Jio – have emerged as the early-starters.

One Web – in which Airtel’s Sunil Mittal is a stakeholder – and Jio Satellite Communications, a venture of Reliance Jio, received the GMPCS licence in November last year. However, the allocation of spectrum and its pricing is yet to be finalised by the Telecom Regulatory Authority of India (TRAI).

Musk's India visit

The in-principle nod for Starlink, as claimed in the report, comes at a time when Musk is headed towards India for a two-day visit from April 21-22. He is scheduled to hold crucial meetings with policymakers, including Prime Minister Narendra Modi. The billionaire, who is looking at the Indian market, also owns the electric vehicle manufacturing giant Tesla.