Starlink: India's new satellite internet rules are a fresh hurdle – what five experts think

Scroll.in

17-06-2025

This article was originally published in Rest of World, which covers technology's impact outside the West.
India has just made it harder for Starlink to enter the market.
Around two months after Starlink announced retail partnerships with the country's leading telecom operators, India – home to the world's second-largest internet user base – introduced a new set of rules that satellite internet providers must comply with for permission to operate.
The 29-point directive issued on May 5 mandates that companies provide real-time location tracking, data localisation, metadata sharing, and website blocking as well as set up surveillance zones near borders. The new rules come in the wake of a surge in tensions between India and neighboring Pakistan.
The rules will affect existing license holders, like Indian telecom giants Airtel and Jio, as well as those awaiting regulatory approvals, like Amazon's Project Kuiper and Elon Musk's Starlink.
Rest of World spoke to telecom experts to understand the implications of the new rules. The comments have been edited for length and clarity.
Delay in rollout
Varun Gupta, senior analyst, Counterpoint Technology Market Research
'The new rules represent a welcome step toward regulatory clarity, which was previously lacking.
Certain aspects of these rules will be enabled for the first time in any market where satellite internet has been used. Their implementation could delay the rollout of satellite broadband services, as potential operators may need time to test these requirements in the Indian context.
This might involve conducting live proof-of-concept trials, which could further extend the timelines for commercial readiness.'
Starlink's prospects
Pulkit Pandey, director analyst, Gartner
'Indian telecom companies are aware of regulatory norms, making it relatively easier for them to adapt to these guidelines. However, for organisations such as Starlink and Kuiper, this could be an additional step to receive their licence.'
Varun Yadav, lawyer at Indian legal firm S&R Associates
'The issuance of formal guidelines is a positive step for any pending applicant, including Starlink, as it replaces uncertainty.
However, certain provisions – such as traffic routing through Indian gateways and user terminal-level controls – may necessitate operational adjustments. Whether this facilitates or delays licensing will depend on the applicant's alignment with the framework and responsiveness to national security considerations.'
Irina Tsukerman, a New York–based human rights and national security lawyer
'Starlink's entire model is built on global interoperability, low latency, and centralised deployment. India wants the opposite – fragmented control, localised nodes, and bilateral oversight.
If Starlink is willing to adapt – to Indianise its operating model, to accept bureaucratic encumbrances, and to play by India's hard rules – then yes, the market is enormous and the rewards tempting. But if it insists on moving fast and breaking things, it will find itself permanently grounded.'
Not unprecedented
Raman Jit Singh Chima, senior international counsel and Asia Pacific policy director, Access Now
'India is responding to pressures from security establishments, which want to carefully and tightly control the deployment of satellite internet. They're quite hostile to the expansion of satellite internet.
But this is not unprecedented. Other countries also have their requirements.
For example, South Africa has requirements regarding being able to work with South African businesses or being owned by South Africans, particularly those from less economically empowered communities in the past. Musk has categorically been railing against that publicly as a concern, as an impediment holding South Africa back.
You have similar requirements, on the books, in Nigeria, which haven't necessarily been implemented with Starlink.'
Varun Gupta, senior analyst, Counterpoint Technology Market Research
'There are precedents from countries like China and Russia. However, the requirement for 20% indigenisation is unique to India.
This move is expected to boost the local ecosystem. Companies like Starlink could benefit from it, particularly through its partnerships with Jio and Airtel. These domestic players have an established ecosystem for telecom equipment production and can collaborate with Starlink to co-develop products, potentially accelerating time to market for their satellite broadband services.'