TRAI Released Recommendation for Satellite Spectrum Allocation, Starlink Services in India
Friday, 09 May 2025, 16:20 IST
In short
•The Telecom Regulatory Authority of India (TRAI) has recommended that satellite internet services
•The spectrum for satellite broadband will be allocated for an initial five years
•Starlink has received a Letter of Intent to operate in India and will collaborate with Reliance Jio and Bharti Airtel
The Telecom Regulatory Authority of India (TRAI) made public its recommendations on Friday for pricing of the spectrum of satellite-based internet services. The recommendation is for operators such as Elon Musk's Starlink to pay 4 percent of their annual revenues by way of levy. For those offering services in urban locations, a further charge of Rs 500 per subscriber yearly will be levied, whereas no additional charge will be made for rural area services. TRAI suggested that the spectrum for satellite broadband be provided for a period of five years initially, extendable by another two years. The 4 percent fee on adjusted gross revenue (AGR) will be charged on both geostationary orbit (GSO) and non-geostationary orbit (NGSO) operators, with a minimum annual fee of Rs 3,500 per MHz.
Presenting these suggestions on their announcement day, TRAI chairman Anil Kumar Lahoti stressed the need for satellite communications services to further enhance connectivity within unconnected, under-connected pockets that do not have telecom infra. They play a vital part in disaster rescue and relief
Starlink earlier this week was issued a Letter of Intent (LoI) to start its operations in India, though it needs to obtain a license prior to starting operations. SpaceX, the space company led by Elon Musk, has already signed up with rivals Reliance Jio and Bharti Airtel to bring Starlink's broadband services to the nation. Both Indian firms will sell Starlink equipment via their networks and provide customer setup and activation.
Jio and Airtel had collaborated in the past few months to campaign for an auction process to assign spectrum for satellite services in India. Musk, on the other hand, had lobbied for an administrative assignment in accordance with global standards. The government went along with Musk's line last October by deciding on a pre-determined price for the airwaves used to provide low-latency internet through satellite.
Jio, the country's biggest wireless carrier, and Airtel, its second-largest player in a fast-expanding data market, had been concerned that reduced entry prices would lead to a loss of their customer base. In line with TRAI advice, the Department of Telecommunications (DoT) will lay the price of satellite spectrum before the Cabinet for approval. After being sanctioned, any satellite communication company that wants to operate in India will be able to apply.
Starlink runs the largest Low-Earth Orbit (LEO) satellite constellation worldwide, owned by SpaceX. Bharti Airtel also partners with Eutelsat OneWeb, the second-largest LEO constellation. Jio has also formed a joint venture with SES, one of the world's top satellite-based content connectivity leaders. Jio Space Technology Ltd, in which Jio owns 51 percent and SES 49 percent, will leverage multi-orbit space networks. This configuration integrates geostationary (GEO) and medium-earth orbit (MEO) satellite constellations to offer high-capacity, multi-gigabit connectivity to enterprises, mobile backhaul, and retail consumers in India and surrounding areas.
Eutelsat OneWeb, whose largest shareholder is Airtel with a 21.2 percent stake, and Jio's alliance with SES have both already obtained GMPCS licenses and approvals from IN-SPACe. Starlink, on the other hand, has more than 6,000 LEO satellites operational, while Amazon's Kuiper project will launch 3,236 satellites beginning in early 2025.
•The Telecom Regulatory Authority of India (TRAI) has recommended that satellite internet services
•The spectrum for satellite broadband will be allocated for an initial five years
•Starlink has received a Letter of Intent to operate in India and will collaborate with Reliance Jio and Bharti Airtel
The Telecom Regulatory Authority of India (TRAI) made public its recommendations on Friday for pricing of the spectrum of satellite-based internet services. The recommendation is for operators such as Elon Musk's Starlink to pay 4 percent of their annual revenues by way of levy. For those offering services in urban locations, a further charge of Rs 500 per subscriber yearly will be levied, whereas no additional charge will be made for rural area services. TRAI suggested that the spectrum for satellite broadband be provided for a period of five years initially, extendable by another two years. The 4 percent fee on adjusted gross revenue (AGR) will be charged on both geostationary orbit (GSO) and non-geostationary orbit (NGSO) operators, with a minimum annual fee of Rs 3,500 per MHz.
Presenting these suggestions on their announcement day, TRAI chairman Anil Kumar Lahoti stressed the need for satellite communications services to further enhance connectivity within unconnected, under-connected pockets that do not have telecom infra. They play a vital part in disaster rescue and relief
Starlink earlier this week was issued a Letter of Intent (LoI) to start its operations in India, though it needs to obtain a license prior to starting operations. SpaceX, the space company led by Elon Musk, has already signed up with rivals Reliance Jio and Bharti Airtel to bring Starlink's broadband services to the nation. Both Indian firms will sell Starlink equipment via their networks and provide customer setup and activation.
Jio and Airtel had collaborated in the past few months to campaign for an auction process to assign spectrum for satellite services in India. Musk, on the other hand, had lobbied for an administrative assignment in accordance with global standards. The government went along with Musk's line last October by deciding on a pre-determined price for the airwaves used to provide low-latency internet through satellite.
Jio, the country's biggest wireless carrier, and Airtel, its second-largest player in a fast-expanding data market, had been concerned that reduced entry prices would lead to a loss of their customer base. In line with TRAI advice, the Department of Telecommunications (DoT) will lay the price of satellite spectrum before the Cabinet for approval. After being sanctioned, any satellite communication company that wants to operate in India will be able to apply.
Starlink runs the largest Low-Earth Orbit (LEO) satellite constellation worldwide, owned by SpaceX. Bharti Airtel also partners with Eutelsat OneWeb, the second-largest LEO constellation. Jio has also formed a joint venture with SES, one of the world's top satellite-based content connectivity leaders. Jio Space Technology Ltd, in which Jio owns 51 percent and SES 49 percent, will leverage multi-orbit space networks. This configuration integrates geostationary (GEO) and medium-earth orbit (MEO) satellite constellations to offer high-capacity, multi-gigabit connectivity to enterprises, mobile backhaul, and retail consumers in India and surrounding areas.
Eutelsat OneWeb, whose largest shareholder is Airtel with a 21.2 percent stake, and Jio's alliance with SES have both already obtained GMPCS licenses and approvals from IN-SPACe. Starlink, on the other hand, has more than 6,000 LEO satellites operational, while Amazon's Kuiper project will launch 3,236 satellites beginning in early 2025.
