Nevertheless, question experts are asking if it will ring a bell with rural people in remote areas, which are its target audiences, and that too at a higher price than the current wireless services. Nevertheless, some experts think that the brand Starlink and its iconic visibility of its icon musk may provide a initial booster dose for a service that many takers may not get immediately.
On Tuesday, Sunil Bharti Mittal -backed Bharti Airtel announced a partnership for consumers to offer Starlink satellite internet service for consumers, even its existing joint venture will be used to offer satellite internet for businesses with YouTelst OneWeb.
A day later, Mukesh Ambani-supported Jio Platform Limited announced the same partnership with Starlink- customers get their operating license from the Ministry of Communications once later for satellite internet service. In a press statement, the company said that Reliance Jio’s websites and retail outlets would sell Starlink terminals – equal to a dish receiver in satellite television services – as well as offer customer service from Starlink.
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However, the stakeholders of the industry have questioned how important the satellite service will be, especially in remote areas which is its main proposal.
An experienced telecom industry advisor said that by FY 28, satellite internet service industry is unlikely to cross $ 100 million ( 870 crores in cumulative annual revenue).
The advisor said, “Services for people in rural and remote areas are very expensive, which claims the main purposeful claims of SATCOM.” 30,000, who will buy Starlinks in a remote village somewhere in the north-east India hills? ,
Sidhant Cali, Telecom Research Analyst, Consideration at Market Researcher Counterpoint India. “Given the cost, for the first few years, the target customers for this may not be average domestic, but the distance mission-cultical projects, healthcare or education such as education,” he said. “This will not be an initial bounce in adoption like 5G fixed wireless access services, but as technology develops and becomes cheaper, the customer will be the base.”
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Another industry advisor pointed to the huge market of India, saying that Starlink would have to offer special pricing for India, “but this does not mean that it will not look at traction”. He said that rolling out the service with Jio and Airtel means that the service provider would reach the width of the maximum market, which would be without the need to rent a partnership with an on-ground service team.
In January 2022, the initial rollout of Starlink’s pre-registration users was stopped by the Ministry of Communications citing the lack of operational license in the country. At that time, within less than a year of time, reports underlined that Starlink had gathered more than 5,000 pre-regulations-even with a deposit fee of $ 99 ((( 7,500 at foreign exchange rates of 2021).
In comparison, terrestrial fiber broadband services in India are available at half cost, and there is no additional deposit fee, with a speed of 1 gigabit per second (GBPS). This inequality is expected to make the SACCOM services hard to sell at first, but the anticipation around the Starlink, both Airtel and Jio can give a clear filling for rope in users.
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“To be beneficial for satellite internet, it requires a comprehensive customer base, and the huge market of India offers an important opportunity for low-earth observation systems to create such a customer base,” said Caliley of Counterpoint. “Pricing is of course more expensive than Legi Broadband, but partnership with Jio and Airtel will include both sides more than more profit as well as a larger market.
On March 5, Mint reported that satellite spectrum allocation by the Center is likely to be held by June this year, after which the operators will be free to start their services in the country. While Airtel and Jio already have necessary licenses and have organized on-ground satellite internet trials in India, Starlink has not yet received its license.
In the long run, stakeholders believe that these participation can be important in making a basis by roping in customers – even at a subsidy fee. Subsequently, services can also see independent development.
“Each of these companies will require to take advantage of their main strength to attract customers – one can focus on its broad network, while the other prefer better customer support, as competition at price will be challenging. Finally, consumers stand for profit, get an additional layer of connectivity with 5G fixed-line internet via Wi-Fi at home, “Callie said.
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