Starlink row: India rejects Musk’s ‘monopoly’ accusation, reveals Amazon also in satellite internet race

Union Communications Minister Jyotiraditya Scindia on Friday (Oct 09) said India would not allow a monopoly in commercial satellite communications, clarifying that three operators, including Elon Musk’s Starlink, are moving through the regulatory process for launching services in the country. Scindia’s remarks came after Musk, the SpaceX and Starlink chief, accused unnamed "oligarchs" of trying to preserve market dominance, maintain "their monopolistic chokehold" by preventing Starlink from entering India despite five years of efforts to comply with Indian requirements.

“India does not allow a monopoly in any sector,” Scindia said, adding that licences had been granted to Reliance Jio, OneWeb and Starlink. He also named Amazon as another company interested in obtaining a licence, saying it would have to follow the prescribed process. “Today there are three licences that are out there. There is a lot of conversation about a particular party. But there are three parties that have got licences,” the minister said.

Pricing framework nearing final decision

Scindia said the government was close to taking a final decision on the pricing framework for satellite communication services. The process involves decisions on spectrum allocation, the pricing regime, and security requirements that operators must fulfil before launching commercial operations.

The decision to assign spectrum administratively rather than auction it has already been taken, he said. The Department of Telecommunications (DoT) and the Telecom Regulatory Authority of India (TRAI) have been discussing the pricing framework, with a final decision expected after those consultations.

Scindia said each operator would have to independently meet the prescribed security requirements and milestones before moving ahead. “The third has to do with security requirements and requisites being followed,” he said, adding that commercial operations could begin only after each company had completed the required compliance process.

Government rejects allegations of unfair treatment

The minister’s remarks follow Musk’s claims that Starlink was being held back by vested interests in India. The Ministry of Communications had earlier rejected allegations of unfair treatment, saying all three licensed operators were at broadly the same stage of the regulatory process.

The ministry said security assessments were under way for all three companies. Once they complete the required process, the operators can move to the next step of seeking spectrum assignment.