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Bharti Airtel teams up with Elon Musk’s SpaceX to launch Starlink internet in India

India's satellite broadband service market is expected to reach $1.9 billion by 2030, according to Deloitte.

Small Low Earth Orbit (LEO) satellites like Starlink have aluminium in abundance, and they have a lifetime of about five years. (Image for representation: StarlinkInstallationpros.com)Small Low Earth Orbit (LEO) satellites like Starlink have aluminium in abundance, and they have a lifetime of about five years. (Image for representation: StarlinkInstallationpros.com)

Bharti Airtel is partnering with Elon Musk-owned SpaceX to bring Starlink’s satellite-based internet services to India.

The telecom major announced on Tuesday, March 11, that it has signed an agreement with SpaceX to explore offering Starlink equipment in Airtel’s retail stores. Starlink services could also be offered to Airtel’s business customers as part of the deal. The partnership will also enable “opportunities to connect communities, schools, and health centers, among many others, in some of the most rural parts of India.”

However, Airtel said that the agreement is subject to SpaceX receiving its own authorisations to sell Starlink in India.

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SpaceX’s application for security clearance is reportedly under review by the Union Home Ministry. The US-based satellite company has also applied for landing rights in India and its application is being processed by the Indian National Space Promotion & Authorisation Centre (In-SPACE), according to a 2024 report by Reuters. 

Airtel said it is looking to Starlink to help expand and enhance its ground network in India. “By adding Starlink, (in addition to its existing alliance with Eutelsat OneWeb) to its offerings, Airtel will further its ability to offer nationwide connectivity and connect previously under-served areas, particularly those with limited to no coverage today,” the press note read.

“With Starlink enterprise suite, Airtel will be able to offer enterprises, businesses, and communities comprehensive and seamless connectivity packages,” it added.

The newly inked pact is likely to pit Starlink more directly against Reliance Industries’ Jio Platforms as the race to capture India’s satellite internet market intensifies.

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The Airtel-Starlink partnership is also notable given that the two companies were on the opposite sides of a raging debate on how to divvy up satellite spectrum. While Indian telcos like Jio and Airtel largely favoured the auction-based allocation of satellite spectrum, the Union government sided with Starlink and opted for the spectrum to be allocated by administrative means in accordance with global norms.

“Working with SpaceX to offer Starlink to Airtel customers in India is a significant milestone and further demonstrates our commitment to next-generation satellite connectivity,” said Gopal Vittal, managing director and vice chairman, Bharti Airtel Ltd.

“This collaboration enhances our ability to bring world-class high-speed broadband to even the most remote parts of India, ensuring that every individual, business, and community has reliable internet. Starlink will complement and enhance Airtel’s suite of products to ensure reliable and affordable broadband for our Indian customers – wherever they live and work,” Vittal added.

“We are excited to work with Airtel and unlock the transformative impact Starlink can bring to the people of India. We are constantly amazed by the incredible and inspiring things that people, businesses and organizations do when they are connected via Starlink,” said Gwynne Shotwell, president and CEO of SpaceX.

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Who are the key players in the fray?

Elon Musk’s Starlink has been looking to make inroads in India’s lucrative telecom market for several years now. Amazon’s Project Kuiper has also been looking to enter the country’s broadband market.

Meanwhile, domestic players such as Reliance Jio have also launched bids to offer satellite internet services in the country. The telecom giant signed a joint venture with Luxembourg-based satellite operator SES in 2022. Beyond its SpaceX partnership, Bharti Airtel will have its own fleet of low-earth orbit (LEO) satellites as part of a joint venture with Hughes Communications India and Eutelsat OneWeb.

India’s satellite broadband service market is expected to grow 36 per cent year-over-year (YoY) over the next five years and reach $1.9 billion by 2030, according to consultancy firm Deloitte. A report by Morgan Stanley found that over 290.4 million households in India have been untapped by fixed broadband services (which has a 3 per cent penetration rate) and hence, can make for a strong market opportunity for satellite operators.

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