TRAI's Steep Spectrum Charge for Satellite Internet Sparks Industry Debate
TRAI recommends satellite companies like Starlink pay 4% of AGR as spectrum charges. Criticized by the industry for being higher than their lobbying efforts, TRAI's recommendation aims to simplify processes with a focus on investment and innovation. The decision now awaits Cabinet approval.
- Country:
- India
The Telecom Regulatory Authority of India (TRAI) has proposed that satellite communication firms, including Starlink, pay 4% of their adjusted gross revenue (AGR) as spectrum charges, a rate considerably higher than what these companies were advocating for.
TRAI stated that operators offering satellite-based broadband in urban areas must pay an additional Rs 500 per subscriber, per year. No extra fee applies to rural services, however. The regulator emphasized the importance of satellite services in expanding connectivity to underserved regions and aiding disaster response efforts.
These recommendations are set for review by the Department of Telecommunications before being forwarded to the Cabinet for approval. Once sanctioned, companies like Starlink can begin applying for the necessary licenses to commence operations in India.
(With inputs from agencies.)
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