India's crucial satellite communication rollout remains suspended in anticipation of final nods from the Department of Telecommunications (DoT). Both Starlink and Eutelsat OneWeb have navigated complex security vetting, yet the commercial launch timeline hinges on a major decision regarding spectrum allocation and pricing.
Security Clearances Met, DoT Approval Pending
Multiple sources indicate that both international players have successfully cleared stringent security requirements mandated by Indian agencies. This includes meeting necessary conditions related to lawful interception and monitoring protocols.Despite these significant security achievements, the final commercial approval from the DoT has yet to materialize. A source familiar with the matter confirmed that while security agencies have given their clearance, the DoT's final sign-off, which incorporates feedback from Law Enforcement Agencies (LEAs), is still pending.
Starlink ramped up its compliance process significantly, commencing equipment testing in Mumbai in October 2025. This marked one of the final stages of mandatory security vetting for satellite and telecom operators in India.
Eutelsat OneWeb also cleared initial hurdles, including a necessary re-demonstration of remote access (RA) last month, which satisfied prevailing security conditions.
Spectrum Allocation and DCC Review Drive Market Uncertainty
The primary bottleneck appears to be the spectrum pricing framework, pitting regulatory bodies against commercial rollout ambition. The DoT is actively finalizing the rules and pricing structure for satcom spectrum.This framework must first be cleared by the apex decision-making body, the Digital Communications Commission (DCC). Following this, the proposal is slated to go before the Cabinet for ultimate sanction. The DCC is reportedly scheduled to convene as early as next week.
Both companies are awaiting this spectrum clarity, as any final approval from the DoT will only be actionable once the department concludes its internal review processes.
Key Disagreement Points in Spectrum Pricing
A key point of contention revolves around the proposed spectrum usage charges. The Telecom Regulatory Authority of India (TRAI) has recommended a 4 percent annual charge, coupled with a ₹500 levy for urban connections.Conversely, the DoT has presented a differing proposal. It has suggested a 5 percent levy, offering a 1 percent concession specifically for hard-to-connect areas. Furthermore, the DoT has signaled a market-driven stance by opposing subsidies for user terminals.
These conflicting recommendations mean that the market watches closely for a unified pricing model to pave the way for any commercial launches from either Starlink or OneWeb. SpaceX and Eutelsat OneWeb did not respond to queries sent to the company representatives regarding the current status.
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