SpaceX’s plans to add millions of new subscribers to its satellite internet network may be based on Indian government fears that the company will not obey its own laws.
SpaceX got a license It will launch in India in 2025, after years of lobbying in New Delhi. While progress has been made to roll out the service there, now Bloomberg reports Indian officials suspended the effort after allowing Starlink to enter Iran, even though SpaceX did not have legal permission to operate there.
Lauren Dreyer, SpaceX’s vice president of Starlink operations, said, “Starlink remains in active and productive discussions with the Indian government, contrary to the misleading narratives based on unsubstantiated claims from anonymous sources.” he said in a social media post. Bloomberg did not report that the discussions were suspended.
Delays in rolling out the service in India could pose a problem ahead of SpaceX’s IPO, where financial disclosures showed Starlink’s customer growth slowing.
The cost of SpaceX’s Starlink network depends on the number of countries it can offer service to; there are certain costs for building a global infrastructure, and revenues depend on the number of subscribers using the service. Market access is country-by-country, and many governments seek to protect local telecommunications companies through joint venturesor directly control who can access the service and how.
India has set local data storage and network security requirements that SpaceX is working to meet. However, anonymous sources told Bloomberg that the government is concerned about its inability to exercise actual control over Starlink following its unauthorized use in Iran.
SpaceX’s control over the network has been a problem before. Ukrainian forces using Starlink to fight the Russian invasion have since complained is being interrupted service in 2022, when Musk worries about their progress. Starlink’s talks with Taiwan’s government have not progressed due to Musk’s past claims that the country is part of China and the company’s apparent refusal to work with local partners there.
