India satellite services remained on hold as of October 26, 2026, with licensed providers awaiting security clearance and the Cabinet yet to approve a proposed spectrum usage charge.
Key Takeaways
- Three providers have licences, but each must meet security conditions before starting operations.
- India’s space authorisation agency rejected Starlink’s clearance request in August over security concerns.
- A proposed 5% spectrum charge would be reduced for services in specified remote areas, but it has not yet received Cabinet approval.
India satellite services face security checks
Communications Minister Jyotirao Scindia said three parties had received licences and could begin operations once they individually fulfilled security conditions. India’s National Space Promotion and Authorisation Centre, or IN-SPACe, rejected Starlink’s clearance request in August 2026 because of security concerns.
SpaceX owner Elon Musk alleged that India favoured domestic business groups. Rivals and policymakers rejected that account, pointing instead to security considerations. Reliance Industries said every player must serve people in India and comply with its laws.
Spectrum pricing proposal remains pending
In 2024, the government favoured administrative allocation of satellite spectrum rather than the auctions sought by terrestrial telecom operators. A request from telecom companies for a ₹500 urban fee per satellite-service user was rejected.
The Digital Communications Commission has suggested a spectrum usage charge of 5% of adjusted gross revenue, with a one-percentage-point reduction for services in government-notified hard-to-connect and remote border areas. The proposal awaits Cabinet approval; no effective date was specified.
How providers see the market
Airtel regulatory affairs vice president Tarun Chitkara said direct-to-device satellite connectivity could help the 1% of the population unable to access terrestrial services for geographical or commercial reasons, making it complementary to existing networks.
Cost could also affect adoption: Starlink’s annual plan was priced at ₹2,15,600 for speeds of 50–200 Mbps in 2025.
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