India's Telecom Giants Challenge Satellite Spectrum Pricing

Indian telecom leaders, such as Reliance Jio and Bharti Airtel, are voicing opposition to India's telecom regulator's proposal on low satellite spectrum pricing, favoring satellite internet services like Elon Musk's Starlink. The proposal includes a 4% annual revenue payment for spectrum usage, deemed unfair by the Cellular Operators Association of India.

The Association, in a letter dated May 29, urged the telecom ministry to reassess the pricing strategy, noting that telecom companies shoulder higher auction charges, resulting in a 21% premium over satellite operators. The letter emphasized the need for comparable pricing structures for both sectors, given they serve similar consumer bases.

Despite lobbying efforts by companies like Reliance to administratively allocate spectrum, aligning with global trends Starlink advocates, the government continues deliberations. Meanwhile, Reliance and Airtel's distribution agreements for Starlink equipment signal future competitiveness in the satellite service arena.

(With inputs from agencies.)