Bharti Airtel share price down after deal with Elon Musk's SpaceX to provide Starlink services in India

The stock rose as much as 3.2% to ₹1,716.65 apiece on the National Stock Exchange (NSE). However, it pared gains and was trading in red.

The scrip was down 0.65% to ₹1,652.2 per unit at 10:05 am.

In an exchange filing on Tuesday, Airtel said that its agreement with SpaceX is subject to the US-based company receiving authorisations to sell Starlink in India.

It is worth noting that Bharti Airtel was at odds with Starlink concerning licence fees and spectrum pricing for satellite-based internet service providers. The Sunil Mittal-led is also the single-largest shareholder of Starlink's rival firm Eutelsat OneWeb, with a 21.2% share.

Under the deal, the telco will explore offering Starlink equipment in Airtel's retail stores and its services to business customers.

Bharti Airtel Managing Director and Vice Chairman Gopal Vittal called this development a significant milestone and said this demonstrates the company's commitment to next-generation satellite connectivity.

"This collaboration enhances our ability to bring world-class high-speed broadband to even the most remote parts of India, ensuring that every individual, business, and community has reliable internet. Starlink will complement and enhance Airtel’s suite of products to ensure reliable and affordable broadband for our Indian customers – wherever they live and work," he said.

SpaceX President and Chief Operating Officer Gwynne Shotwell said that his company is excited to work with Airtel and unlatch the transformative impact that Starlink can bring to Indians.

"The team at Airtel has played a pivotal role in India’s telecom story, so working with them to complement our direct offering makes great sense for our business," she added.