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The mobile operator says that satellite constellations like SpaceX’s Starlink could pose a major competitive threat to terrestrial telecoms operators
According to a report from Reuters, Reliance Jio has sent a letter to India’s telecoms regulator, asking it to review the potential reach of telecoms satellite constellations like SpaceX’s Starlink and Amazon’s Kuiper before awarding spectrum.
The operator argues that the immense reach of these satellite players will put them in direct competition with wireless operators, hence they should be subject to similar regulations – including attaining spectrum at auction rather than via direct allocation.
Allocating satellite spectrum directly is the norm around the world, but Reliance Jio and Bharti Airtel had argued that the spectrum should be auctioned like traditional wireless spectrum because Starlink would be in direct competition with the mobile operators.
Reliance Jio notes that it currently carries 15 billion gigabytes of data a month in India using spectrum for which it paid roughly $23 billion over various auctions. Starlink, by contrast, would have capacity to carry 18 billion gigabytes of data per month, for which it would have paid considerably less.
This, the company claims, would create an unlevel playing field, making the telecoms sector less competitive.
Reliance Jio – and fellow telco giant Bharti Airtel – have been making this argument in various forms for many months, warning that the introduction of Starlink could lead to aggressive price wars in an already challenging operating environment.
Indeed, SpaceX already has a history of such aggressive pricing schemes for its Starlink services, notably in Kenya where Starlink plans are offered for as low as $10 a month. This contrasts with the $120 dollars charged in the US.
Last month, however, Indian communications minister Jyotiraditya Scindia confirmed that the government currently has no plans to auction satellite spectrum.
A government source suggested that the official decision was likely to be made before the end of the year.
Starlink has been seeking regulatory approval to begin operations in India since 2022, with the process now close to completion. Earlier this month, reports suggested that the satellite operator was seeking final security clearances to begin operations.
It should be noted that India’s major telcos are not the only opponents of allowing Musk’s Starlink to begin operations in the country. The Kutniti Foundation – an Indian think tank whose stated goal is to help India “develop an arsenal in the fields of Intelligence, Economic Warfare, Psychological Warfare & Soft Power” – recently released a report calling Starlink a “a wolf in sheep’s clothing”, given the company’s strong ties to the US intelligence services and the country’s military.
The issue will only be further complicated if Elon Musk is ultimately given a US government position, as suggested by incoming President Donald Trump.
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