Jio, Airtel and Vi have written to the government.
New Delhi: SpaceX CEO Elon Musk is set to enter the Indian market with his Tesla car and Starlink internet service. He has made it known that he seeks a fair competition in the Indian telecom market.
He was replying to a post on X which mentioned that Indian telecom majors Reliance Jio, Airtel and Vodafone Idea’s (Vi) request to the Indian government to ensure a level playing field in the satcom sector in view of the granting of licenses and spectrum allocation for Starlink service. The Indian telecom operators Reliance Jio, Airtel and Vodafone Idea have asked the government to offer comparable spectrum pricing so that there is no market distortions for satellite operators in India.
Musk, replying to the request made by Indian telecom operators to the Telecom Regulatory Authority of India (TRAI), wrote: “Fair competition would be much appreciated.”
Jio, Airtel and Vi in a petition to the government have accused TRAI of failing to address the competitive imbalance between satellite and terrestrial spectrum allocation.
“Comparable spectrum pricing to terrestrial services should be enforced for competing satellite services in urban/semi-urban/rural areas for retail/enterprise customers,” they wrote in the letter as they argued that satellite operators offering similar services should adhere to the same pricing, regulatory levies, and fees as terrestrial telecom providers.
Satellite spectrum is allocated administratively for a fee, unlike terrestrial spectrum, which is auctioned under the telecom law passed in December 2023. However, TRAI is still finalising the specific details of pricing and allocation.
Jio and Airtel have also raised concerns over low-earth orbit (LEO) mega-constellations, arguing that their broadband speeds and capacity are comparable to terrestrial networks.
“Given the oversupply of broadband capacity that these entities are bringing to market, they will distort competition of terrestrial broadband, especially in urban/semi-urban areas serving retail/enterprise customers,” the petition noted.
The telecom operators also documented that satellite spectrum should be allocated administratively at reduced prices for non-competing uses, such as government functions, disaster recovery, cellular backhaul, and sectors like defence, maritime, and aviation.