SATCOM (Satellite Communication) services refer to the use of satellites to provide telecommunications services. These services include Internet Connectivity, Television Broadcasting, Mobile Communication, Maritime and Aviation Connectivity, Government and Military Applications. SATCOM services leverage the capability of satellites to transmit signals over vast distances, covering large geographical areas, including rural and remote regions, oceans, and airspace. Now, several companies have received or are seeking approval to launch SATCOM services in India.
Here are some of the companies that have received approval from India’s space regulator to operate satellites for high-speed internet and satellite communication services:
Jio Platforms (Reliance Industries) in Partnership with SES (Luxembourg)
Jio Platforms is a subsidiary of Reliance Industries, one of India’s largest conglomerates. Launched in 2016, Jio revolutionized the Indian telecommunications market with its affordable data plans, rapidly becoming the largest mobile network operator in India. SES, based in Luxembourg, is a leading global satellite operator with a fleet of over 70 satellites.
Current Status: Jio Platforms, in collaboration with SES, has received the green light from the Indian National Space Promotion and Authorisation Centre (IN-SPACe) to operate satellites for high-speed internet. They still require further approvals from the Department of Telecommunications before they can start their SATCOM services in India.
Pros:
- Local Expertise: Jio has deep penetration in the Indian market and a strong understanding of local needs.
- Strategic Partnership: SES brings in advanced satellite technology and global experience.
Inmarsat
Inmarsat is a British satellite telecommunications company founded in 1979, originally established to provide safety communications for ships. It has since grown to offer mobile and fixed satellite communications services to businesses and governments worldwide. In India, it has earlier partnered with BSNL and has approvals to sell high-speed broadbands to shipping vessels and planes. Also, BSNL has entered is in strategic partnership with Inmarsat to provide IoT Services in India.
Current Status: Inmarsat has received approval to operate satellites in India, contributing to the growing competition in the satellite broadband market. (Source: Reuters)
Pros:
- Global Expertise: With decades of experience, Inmarsat brings a wealth of knowledge in satellite communications.
- Diverse Service Offerings: They offer a range of services beyond internet, including emergency communication and IoT connectivity.
Amazon Kuiper
Project Kuiper is Amazon’s initiative to build a satellite constellation capable of providing broadband internet globally. Announced in 2019, Amazon plans to invest $10 billion in this project, which aims to deploy 3,236 satellites.
Current Status: Kuiper is still seeking permission to operate in India. However, with its substantial investment and strategic vision, it is poised to be a key player in the global satellite internet space.
Pros:
- Massive Investment: A $10 billion commitment highlights Amazon’s serious intentions.
- Global Reach: Potential to leverage Amazon’s existing global infrastructure and logistics.
Elon Musk’s Starlink
Starlink is a satellite internet constellation project by SpaceX, the private spaceflight company founded by Elon Musk in 2002. Starlink aims to provide high-speed internet globally, especially in remote and underserved areas. Since its first launch in 2019, Starlink has deployed over 6,000 satellites.
Current Status: Starlink has received preliminary approval from Sri Lanka to offer its services there and has got in-principal approval in India. Its operational status in multiple countries such as United States, Canada, United Kingdom, Germany, aur Australia underscores its capability and readiness to deliver.
Pros:
- Massive Investment: A $10 billion commitment highlights Amazon’s serious intentions.
- Global Reach: Potential to leverage Amazon’s existing global infrastructure and logistics.
OneWeb India
OneWeb is a global communications company with a mission to connect everyone, everywhere through a constellation of low Earth orbit (LEO) satellites. Backed by Sunil Mittal’s Bharti Enterprises and other investors, OneWeb has launched hundreds of satellites as part of its network.
Current Status:
OneWeb India is in the process of obtaining the necessary licenses to provide satellite communication services in India. It has received all required approvals late last year and is gearing up for operations.
Pros:
- Strong Backing: Support from Bharti Enterprises ensures solid financial and operational foundations.
- Focus on Connectivity: A clear mission to provide global internet access, particularly in remote regions.
Market Outlook of Satcom Services in India
Growth Projections: India’s satellite broadband service market is expected to grow at a rate of 36% per year over the next five years, potentially reaching $1.9 billion by 2030, according to Deloitte.
Challenges and Innovations:
- Pricing Pressure: The comparatively low pricing of communication services in India will compel global players to innovate to reduce their pricing.
- Regulatory Approvals: Companies must navigate India’s regulatory landscape, obtaining necessary clearances to operate effectively.
Government Support:
Prime Minister Modi’s government, having secured a rare third term, is pushing for the development of India’s space industry. This includes opening the gates for foreign direct investment, allowing outside companies to invest up to 100% in the manufacture of satellite components and systems without approval.
Investor Interest:
Investor interest in India’s satellite sector has significantly increased. Last year, investments in private companies ranged from $2 million to $7 million. This year, discussions are about investments between $20 million and $30 million, indicating a proof of concept and growing confidence in the market.
These companies are actively working to enhance satellite communication services and improve connectivity across India. It’s only time SATCOM services in India takes high-speed now!
