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According to the recent report by Centrum, it believes that SpaceX's satellite internet division, Starlink, is not positioned to compete directly with major telecom operators like Reliance Jio, Airtel, or VIL.
The reports say that instead of this, Starlink is strategically positioned to complement India's existing connectivity landscape, specifically targeting remote and hard-to-reach areas where traditional network infrastructure is currently unviable. Starlink is preparing for its highly anticipated launch in India following conditional approvals from the Department of Telecommunications (DoT). This significant regulatory stride, marked by a Letter of Intent (LoI), enables Starlink to operate under stringent compliance and localisation mandates. Centrum says that this initial network capacity is estimated to serve approximately 50,000 users at launch. Even with projected improvements, a total bandwidth of 3 Tbps by 2027 will restrict usage to select high-need zones and high-tiered plans. Pricing is expected to be in a premium range, with a basic plan at around Rs850/month for 50GB and Rs2,500-Rs3,400/month for unlimited data. User equipment costs, ranging from Rs21,000 to Rs43,000, may pose challenges for adoption in rural areas without subsidies. Urban and metro areas are likely to see low uptake due to the availability of low-cost fibre broadband options. However, Starlink's presence is not expected to disrupt existing ISPs or mobile operators in the near term, but rather add value by addressing India's digital access gaps. Due to high terminal and plan costs, it is likely to remain a premium offering focused on specific use cases, rather than widespread consumer adoption. Long-term expansion and cost reductions, coupled with a favourable regulatory framework, could enable broader impact. The report also believes that as a strategic connectivity tool, Starlink could support national goals like Digital India and BharatNet, especially where fibre deployment is impractical. Recently, Minister for Communications Jyotiraditya Scindia said Elon Musk's Starlink will be the third satellite internet company to be given a license for providing services in India. (ANI)
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