Opposition To Opportunity: How Jio And Airtel Finally Partnered With Starlink

In a significant development, Jio Platforms has announced a collaboration with Elon Musk’s SpaceX to offer Starlink internet services in India. However, this partnership is contingent upon SpaceX obtaining the necessary approvals from the Indian government before commencing operations in the country.

Starlink had been trying to find a way into the Indian market since October 2022.

The journey to this collaboration has been marked by initial resistance from both Jio and Airtel, who opposed Starlink’s entry into the Indian market. The two telecom giants, along with Starlink, were poised to launch satellite broadband services in India following the government’s decision to allocate spectrum administratively. Jio had advocated for an auction-based approach, while the government preferred to follow global practices and allocate spectrum administratively.

During the India Mobile Congress (IMC) 2024, Sunil Mittal, the chairman of Bharti Airtel, emphasised the need for a level playing field, stating that satellite companies should be required to purchase spectrum and pay license fees, just like traditional telecom companies. Mittal’s stance was echoed by Jio, which had also called for satellite firms to be treated on par with telecom companies.

Elon Musk responded to Jio’s comments, characterising the demand for an auction-based approach as “unprecedented.” Following Mittal’s speech at the IMC, Musk expressed frustration, asking if it was “too much trouble” for Starlink to obtain permission to operate in India.

Despite initial reservations, both Jio and Airtel have now partnered with Starlink. Jio’s announcement comes on the heels of Bharti Airtel’s similar deal with SpaceX. This development sets the stage for intense competition between the two telecom giants, not only in traditional broadband but also in the satellite internet space.

The agreement between Jio and SpaceX enables the companies to explore synergies and deliver reliable broadband services across India, including rural and remote areas. Jio’s position as the world’s largest mobile operator in terms of data traffic, combined with Starlink’s expertise in low Earth orbit satellite constellation operations, is expected to enhance the country’s digital ecosystem.

Bharti Airtel’s Managing Director and Vice Chairman, Gopal Vittal, hailed the partnership with SpaceX as a significant milestone, demonstrating the company’s commitment to next-generation satellite connectivity. The agreement is expected to enable Airtel and SpaceX to explore opportunities for collaboration and expand their offerings in the Indian market.

“The agreement will enable Airtel and SpaceX to further explore how Starlink can complement and expand Airtel’s offerings, and how Airtel’s expertise in the Indian market could complement SpaceX’s direct offerings to consumers and businesses,” Airtel said in a statement on Tuesday.

These developments follow Prime Minister Narendra Modi’s visit to the US and his meeting with Elon Musk.