India To See Fastest Satcom Rollout In The World: Telecom Minister

Telecom minister Jyotiraditya Scindia reportedly said that India will see the fastest rollout of satellite communication (satcom) network in the world.

As per news agency PTI, Scindia claimed that the homegrown satcom market is well poised to grow tenfold to become a $20 Bn opportunity in the next three years.

“I am very confident that this rollout of satellite network as well will probably be the fastest in the world in the years to come, growing from current $2.3 Bn market to almost a $20 Bn market by 2028, so we are talking about a ten multiple over the next three years… these are growth rates you would probably not see anywhere else in world,” Scindia was quoted as saying.

It is pertinent to note that current satcom use cases in India are largely limited to B2B offerings provided by players like Bharti Airtel and Tata-owned Nelco. These conglomerates largely offer very-small-aperture terminal (VSAT) connectivity for offshore oil rigs.

The minister said that the Telecom Regulatory Authority of India (TRAI) has , adding that the government will now “vet the recommendations and push forward the policy”.

“And as I have mentioned to you, we are very eager in pushing forward this policy as soon as possible, so that now they (TRAI) are done with their task, the onus is on us to take it forward,” Scindia said.

The minister was addressing the World Telecommunications and Information Society Day event. He emphasised that satcom will be complementary to the current bouquet of terrestrial telecom services. He also underlined that multiple players have submitted applications for the administrative assignment of satcom spectrum.

Scindia added that satcom players, once granted permission to operate commercially, will reach far and wide. “The timeline has to be worked out by every single company individually but my assessment is that as a market, we will grow very, very fast,” he added.

This comes weeks after Elon Musk-led (DoT) to operate satellite-based internet services in India. The conditional nod is still subject to other clearances and this is not the final approval yet.

This also follows the DoT, earlier this month, for potential satcom players. These include requirements such as hosting critical network infrastructure within India, ensuring data localisation, and granting the government the authority to intercept or block communication in cases of national security threats.

Global giants like Amazon’s Project Kuiper and Apple vendor Globalstar have also in the country. Meanwhile, Airtel-backed Eutelsat OneWeb and Jio SES have already bagged the Centre’s Global Mobile Personal Communication by Satellite (GMPCS) license.

That said, questions remain over the commercial viability of satcom services in the country. A Jefferies report also underscored that for its services in India.

Industry insiders reportedly believe that Starlink’s monthly subscription prices could range between INR 3,000 and INR 7,000, making it out of reach for masses in India’s hinterlands, which satcom players plan on targeting. On top of this, the one-time cost for Starlink’s user terminal kit, which includes a satellite dish and Wi-Fi router, is expected to fall between INR 20,000-35,000.

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