New Delhi:
The Telecom Regulatory Authority of India (TRAI) has proposed a separate authorisation for satellite network providers, allowing companies to share network capacity with telecom operators and opening up a new business model for satellite communications in India.
The recommendations, released on November 5, propose that satellite network providers offer network capacity to eligible telecom operators and service providers, rather than directly selling telecom services to consumers under the new authorisation.
TRAI has proposed that authorised companies “may provide Satellite Communication Network as a Service (SCNaaS) to eligible service providers.”
It has also clarified that such providers “may not provide telecommunication services directly to users.”
Starlink, Jio Satcom and Eutelsat OneWeb could operate under the proposed framework. All three already hold GMPCS authorisations to provide satellite-based services in India. The new network-provider authorisation would be separate from their existing permissions.
The framework would create an additional route for satellite companies to supply network infrastructure to telecom operators, without taking away the existing route for licensed satellite service providers to serve consumers.
TRAI has proposed that the new authorisation cover the entire country, with a maximum validity of 20 years and the option of renewal for another 20 years.
The recommendations also allow satellite network providers to use spectrum assigned to partner service providers. TRAI said authorised entities “may seek appropriate satellite spectrum (FSS and MSS) from the Central Government and/or utilise the spectrum assigned to partnering service providers” to provide network services.
The proposal could also enable telecom operators to partner with satellite companies for direct-to-device (D2D) connectivity, allowing compatible mobile phones to connect to satellites in areas without terrestrial mobile coverage.
TRAI has recommended that both mobile satellite spectrum and terrestrial mobile spectrum be permitted for satellite-based D2D services, subject to regulatory and technical conditions.
For satellite network providers, TRAI has proposed an authorisation fee of 8% of adjusted gross revenue (AGR), with no minimum authorisation fee.
The regulator has also proposed that satellite spectrum be assigned for up to five years, with the government allowed to extend the period by another two years.
The recommendations include an annual minimum spectrum charge of ₹3,500 per MHz where the government assigns FSS or MSS spectrum to a satellite network provider.
The proposed framework is not yet final. The government will decide whether to accept the recommendations and notify the rules.
If implemented, the framework could allow Starlink, Jio Satcom and OneWeb to expand their role in India’s satellite communications market by supplying network capacity to telecom operators, alongside their existing authorised services.
