TL; DR
- Starlink has secured an LoI for GMPCS (Global Mobile Personal Communication by Satellite), VSAT, and ISP licenses in India.
- An LoI is a formal indication of the government’s intent, subject to the conditions being met; it is not the final license.
- The conditions include providing real-time terminal tracking, ensuring local data processing, and localization of a minimum of 20% of the ground segment infrastructure; Starlink must get approvals from the Indian National Space Promotion and Authorization Center (IN-SPACe).
- Starlink’s monthly subscription could cost between Rs. 3,000 and 7,000, which is about six to 14 times higher than the subscription cost of conventional broadband services.
Elon Musk’s Starlink has received approval from the Department of Telecommunications (DoT). The regulatory body has issued a Letter of Intent (LoI) after the company’s application in 2022, indicating that the department is inclined to grant Starlink the required licenses and permissions to operate its satellite-based broadband services in the subcontinent.
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What Does A Letter of Intent Mean?
However, it is important to mention that an LoI is a formal indication of the government’s intent, subject to the conditions being met; it is not the final license. On the positive side, reports suggest that the Musk-led company has already agreed to comply with the revised conditions (reported to be 29 in number) mentioned in the new national security guidelines.
Starlink Has Agreed To Meet the Indian Government’s Strict Guidelines
The conditions include providing real-time terminal tracking, ensuring local data processing, and localization of a minimum of 20% of the ground segment infrastructure. Reports also suggest that government officials dropped two controversial proposals, including those related to maintaining a majority shareholding and prohibiting terminal use near international borders (citing clashes with existing regulations).
Elon Musk’s Satellite-Based Internet Service Provider Could Be The First To Offer GMPCS
In a report, moneycontrol.com mentions that Starlink has secured an LoI for GMPCS (Global Mobile Personal Communication by Satellite), VSAT, and ISP licenses in India. However, the final permit will only be extended when the company agrees to fulfill all the guidelines issued by the government of India. The company can still demo its satellite-based internet services in the region.
Before launching the satellite-based internet services commercially, Starlink must get approvals from the Indian National Space Promotion and Authorization Center (IN-SPACe). If the company gets the permission, it could become the first to offer GMPCS services in India, providing a connection on the go.
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Here’s How Much Starlink’s Services Could Cost In India
Speaking of the commercial launch, Starlink’s monthly subscription could cost between Rs. 3,000 and 7,000, which is about six to 14 times higher than the subscription cost of conventional broadband services. Subscribers must pay the upfront cost of installing the satellite dish receiver and Wi-Fi router, which could cost between Rs. 20,000 and 35,000.
If the services are released at this price, Starlink will be too expensive for rural establishments. However, the service could still get some customers in the form of businesses, government setups in remote areas (such as healthcare, security, etc.), or other institutions. Starlink has already partnered with Indian telecom providers Jio and Airtel, which will help the company sell its services.
The government’s nod to Starlink came amid the rising tension on the Indian border with Pakistan, but the government officials have clarified that the approval isn’t related to or based on the recent military activities.
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