India is implementing stricter security and data compliance rules for satellite connectivity, presenting obstacles for companies such as SpaceX’s Starlink and other broadband constellations aiming to access the world’s most populous market. The Department of Telecommunications (DoT) introduced 29 additional regulations on May 5th, citing national security concerns. These rules apply to existing and prospective providers of direct-to-user space-based communication services.
New requirements include mandatory storage of call logs and user data within India, alongside obligations for interception and monitoring under Indian law. Satellite operators must also demonstrate a plan to source at least 20% of their ground infrastructure equipment domestically within five years of commercial launch.
These regulations create further challenges for Eutelsat, which awaits spectrum allocation to launch services in India using its OneWeb network in low Earth orbit (LEO), despite already holding a Global Mobile Personal Communications by Satellite (GMPCS) license. Reports preceding the DoT announcement suggested that Starlink was close to securing its GMPCS license after extensive negotiations.
India's massive population of over 1.4 billion presents substantial subscriber potential for connectivity providers. For Starlink, already established in numerous markets, India represents a significant growth opportunity, once regulatory hurdles are overcome. Grace Khanuja, a Novaspace management and strategy consultant, noted during a SpaceNews webinar on May 6th that Starlink’s entry into India promises a “boom of growth”. However, Novaspace's forecast does not predict regulatory approval for Starlink in India during 2025.
“We still expect more than 50% growth in subscribers with the current countries,” Khanuja stated during the webinar, referring to approvals in smaller markets. She anticipates Starlink will reach around 6.5 million active subscribers by year’s end, encompassing mobility, consumer, enterprise, and other broadband clients. SpaceX hasn't responded to requests for comment, while Eutelsat indicated a need for more time before responding.