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Ambani's Reliance lobbies India on satellite spectrum in new face-off with Musk
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Ambani's Reliance lobbies India on satellite spectrum in new face-off with Musk
Oct 13, 2024 10:22 PM

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Fight over satellite broadband spectrum rages in India

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Billionaire Ambani at odds with Elon Musk's Starlink

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Reliance asking for consultation to start afresh, letter

shows

By Aditya Kalra and Aditi Shah

NEW DELHI, Oct 13 (Reuters) - Indian billionaire Mukesh

Ambani's Reliance has argued that the telecom regulator

incorrectly concluded that home satellite broadband spectrum

should be allocated and not auctioned, a letter seen by Reuters

shows, intensifying a face-off with Elon Musk's Starlink.

The methodology of giving out spectrum for satellite services in

India - a market set to grow 36% a year to reach $1.9 billion by

2030 according to Deloitte - has been a contentious issue since

last year.

Musk's Starlink and global peers like Amazon's Project

Kuiper back an administrative allocation, while Ambani - Asia's

wealthiest man who runs India's Reliance Jio - is arguing for an

auction process.

The current dispute is over an interpretation of Indian law

that some in the industry say paved the way for the allocation

of spectrum last year as Musk wanted.

But Reliance is arguing no provisions are in place for

satellite broadband services for individual or home users,

industry sources said on Sunday.

The telecom regulator, TRAI, is holding a public

consultation, but Reliance in a private Oct. 10 letter seen by

Reuters asked for the process to be started afresh as the

watchdog has "pre-emptively interpreted" that allocation is the

way forward.

"TRAI seems to have concluded, without any basis, that

spectrum assignment should be administrative," Reliance's senior

regulatory affairs official Kapoor Singh Guliani wrote in the

letter to India's telecoms minister Jyotiraditya Scindia.

LEVEL PLAYING FIELD

TRAI has in its consultation paper indicated Indian laws

mandate allocation of spectrum for such services without

conducting any studies, Reliance added in its letter.

"We have requested (the) TRAI to amend the consultation

paper" to ensure a level playing field, Reliance Jio said in a

statement to Reuters on Sunday, adding that "it is imperative

upon TRAI to also consult on the methodology of assignment" of

spectrum.

A senior TRAI official said on Sunday that due process is

being followed and Reliance is welcome to share feedback during

the consultation period.

The recommendations of the watchdog will form the basis for

the government's decision on the matter.

Tesla boss Musk is keen to launch Starlink in

India, though a final decision on spectrum allocation remains a

sticking point.

Starlink argues that the administrative allotment of licences is

in line with a global trend. Reliance says an auction is needed

for a level playing field as foreign players could offer voice

and data services and compete with traditional players, Reuters

has reported.

Reliance's Jio is India's No. 1 telecoms player with 480

million users.

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