Singtel ears up to enter India’s satellite internet market : Singapore Telecommunications (Singtel) is planning to launch satellite communication services in India. This will make it the latest global company to enter the country’s nascent but very promising satcom market. Singtel plans to offer its satcom services to public and private companies through Singapore Telecom India, people familiar with the matter told ET.
The company has sought foreign direct investment (FDI) approval from the central government for the scheme, the people said. Although STIPL has been operating in India for over two decades, it needs fresh FDI approval as it is expanding its scope to include satellite communication services, a person said on condition of anonymity.
Consideration of Singtel’s application
Singapore’s state-owned investment company Temasek Holdings owns a majority stake in the company. The company owns 26.85% direct and indirect stake in Bharti Airtel, India’s second largest telecom operator. A government official confirmed that Singtel’s application was being considered, but declined to elaborate.
The company plans to provide satcom (satellite communication) services using a global network of around 36-38 geostationary (GEO) satellites and partnering with companies such as Elon Musk’s Starlink, another person quoted in the media report said.
Singtel also has a platform that allows satellites in various orbits such as GEO, MEO and LEO to connect to ground-based fixed and mobile networks such as 4G/5G. This is the latest addition to the list of companies looking to launch satcom services in India. The list includes companies like Elon Musk’s Starlink, Jeff Bezos’ Amazon LEO, Reliance Jio and Bharti Group’s Utelsat OneWeb.
No one has started the service yet
This includes GEO, medium and low Earth orbit satellites, as well as 4G/5G ground-based fixed and mobile networks. This is the latest addition to the list of companies looking to launch satcom services in India. The list includes Elon Musk’s Starlink, Jeff Bezos’ Amazon Leo, Reliance Jio and Bharti Group’s Utelsat OneWeb, which plans to provide services using low-earth orbit satellites.
Starlink alone has about 11,000 such satellites. None of these companies have been able to launch services in India due to lack of security clearances, unresolved spectrum pricing and regulatory disputes with traditional telecom operators. Notably, Starlink recently sought approval from the Indian government for its Gen 2 LEO constellation, which has the capability to deliver services directly to devices.
India’s Space Economy
According to estimates, India’s space economy could reach US$ 44 billion by 2033, increasing its global market share to 8% from the current 2%. Singtel is currently providing broadcast satellite capacity to a DTH operator in India, for which it has the necessary approvals, said the first person familiar with the ET report.
According to Singtel’s website, the company provides global end-to-end fixed satellite communication services. Products and services offered under the Satellite segment include transponder leasing, teleport hosting, satellite broadcasting, VSAT services and low-latency connectivity through Starlink.
Meanwhile, another source quoted in the ET report said, Singtel has invested significantly in the space sector. Especially for India to advance its plans. India is poised to become a key market for Singtel’s space- ambitions, said the first person. The Indian space sector has seen significant activity since the government opened up the sector through the “Indian Space Policy” in December 2023. The move was to encourage private companies to participate in the sector.
Approval from IN-SPACE required
The new policy allows foreign companies to build infrastructure and provide satellite services in India. The policy empowers the space sector regulator, the Indian National Space Promotion and Authorization Center (IN-SPACE) to act as a single-window agency for approving space activities for both public and private satcom (satellite communications) companies. Any company wishing to provide satcom services in India has to obtain approval from IN-SPACE, a license from the Department of Telecommunications for global mobile personal communication through satellite and spectrum.
