Jio and Airtel Strike Deals with Musk’s Starlink

• 13 Mar 2025
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India's largest telecom operators, Reliance Jio and Bharti Airtel, have independently partnered with Elon Musk's SpaceX to introduce Starlink’s satellite internet service in the country. These partnerships aim to improve internet access across India, particularly in rural and underserved areas, by using Starlink's low Earth orbit satellite network. However, the deals remain subject to approval from the Indian government before operations can commence.

Reliance Jio plans to distribute Starlink equipment through its physical stores and online platforms, offering installation and customer support. Airtel is considering a similar approach and views the deal as a way to enhance its existing network alongside its partnership with Starlink’s competitor, Eutelsat OneWeb. 

Policy Shifts and Competitive Market

Billionaires Mukesh Ambani and Sunil Bharti Mittal, who own Jio and Airtel respectively, had previously opposed Musk's push for administrative spectrum allocation, preferring a competitive auction process instead. 

Musk argued that administrative allocation aligns better with international practices. In October 2024, the Indian government sided with Musk, announcing that spectrum would be allocated administratively—a major win for Starlink.

Impact on Pricing and Market Reach

India is the second-largest internet market globally, yet over 670 million people remain without internet access, according to a 2024 GSMA report. Satellite internet can bridge this gap, providing reliable connectivity where traditional services like DSL and cable are unavailable. Analyst Tarun Pathak remarked, "Starlink is a clear winner here," as approval would give Musk access to 70% of India’s mobile users.

Pricing will be a key factor for consumer adoption. While satellite internet plans typically cost around $150 a month, partnerships with Jio and Airtel could lower prices to approximately ₹3,000 ($36). 

For Jio and Airtel, the partnership reflects a strategic shift after the government’s decision on spectrum allocation didn’t go in their favor. Pathak added that the Indian government may have decided to “cooperate rather than compete” with Musk, particularly with US trade tariffs looming and negotiations underway.

Source: BBC News