Government reiterates satcom spectrum to be alloted, rejects auction pitch from Ambani, Mittal

In a boost to Elon Musk's Starlink, Communications Minister Jyotiritya Scindia has said spectrum for satellite broband will be allocated and t auctioned as sought by Indian billionaires Mukesh Ambani and Sunil Mittal. satellite broband spectrum will however be t given free and sector regulator TRAI will fix a price for resource, he told PTI in a text and video interview.

"Every country has to follow International Telecommunications Union (ITU), which is organisation that lays out policy for spectrum in or satellites, and ITU has been very clear in terms of spectrum being given out on an assignment basis. In dition, if you look across world today, I cant think of a single country that auctions spectrum for satellite," Scindia said.

India is a member of International Telecommunication Union (ITU), a UN ncy for digital techlogy.

Musk's Starlink and global peers like Amazon 's Project Kuiper back an ministrative allocation.

While Ambani's Reliance Jio has been vocal about need to allocate such spectrum through an auction to provide a level playing field to legacy operators who buy airwaves and set up infrastructure like telecom towers, Mittal last month at an industry event where Prime Minister Narendra Modi was also present articulated need to use bidding for such allocation.

Jio and Mittal's Bharti Airtel - India's largest and second-largest operators, respectively - feel that giving away satellite broband airwaves at a pre-decided price by government will create an uneven playing field since y h to compete in an auction to get spectrum for ir terrestrial wireless phone networks.

two are vying for a piece of satellite broband segment as well.

Musk-led Starlink is demanding ministrative allotment of licences in line with global trend as it looks to tap into world's fastest-growing mobile telephony and internet market.

Scindia said Telecom Act of 2023 passed in December has put matter in 'Schedule 1', which means that Satcom spectrum will be allocated ministratively. Such an allocation will be at a government-decided price, and allow foreign firms like Starlink to offer voice and data services. If spectrum were to be auctioned, it would have me it costlier for Starlink to roll out services.

Starlink has applied for a licence to start operations in country.

Scindia, however, offered clues on fate of his application. minister said that regulatory process is very clear and transparent.

new Telecom Act has been passed, and Satellite spectrum is very clearly a part of that in schedule one, he pointed out.

"...and refore, we are open to looking at application of any entity that wants to invest in India at this point in time. I think only one or two licenses have been given out. And whoever else wants to participate, India is surely going to welcome that," minister said.

Last month, Musk, in a post on X, termed demand me by Jio for shunning sector regulator Trai's consultation paper on satellite broband being allocated and t auctioned as "unprecedented", and when Mittal me pitch in presence of Prime Minister, he asked if it was "too much trouble" to allow Starlink to provide internet services in India.

This was perhaps first time that Musk, whose networth of USD 241 billion is more than combined wealth of Ambani, Mittal and Gautam ani, h spoken directly against demands for a level playing field me by Indian firms.

Musk, mind behind PayPal, founder of Tesla and X and owner of X (formerly Twitter), uses his social media platform on a daily basis to make his views kwn on a vast array of topics.