The Department of Telecommunications (DoT) is expected to seek approval and guidance from the National Security Council Secretariat (NSCS) regarding satellite communications, particularly concerning data transfer, usage, and the equipment and components used in satellite gateways located in India, according to officials familiar with the matter. The department is still in the process of finalizing the terms and conditions for awarding satellite communication licenses, with the objective of safeguarding the security and integrity of the country, the officials revealed.
“The perspectives of NSCS regarding security parameters are crucial since satellite communications transcend physical borders,” noted one of the individuals mentioned above. The NSCS, which operates under the National Security Council (NSC) chaired by the Prime Minister, plays a pivotal role in national security matters.
Another source stated that once the NSCS provides its input, the government will formulate terms and conditions concerning security, and if necessary, consult the Telecom Regulatory Authority of India (TRAI). It is emphasized that robust measures are essential to prevent the misuse of satellite communications, especially by hostile entities. To fortify telecom networks, the government previously mandated operators to procure equipment exclusively from “trusted sources,” effectively prohibiting Chinese firms like Huawei and ZTE from participating in network deployment, including 5G infrastructure.
Given the increasing prominence of satellite communications in the future, experts stress the importance of ensuring the security of networks. However, the DoT has yet to determine when it will administratively allocate satellite spectrum to companies. Besides finalizing details regarding pricing and frequency allocation for satellite communications, the department requires clarity on security parameters. The Telecom Act of 2023, notified by the government, delineates the spectrum types eligible for administrative allocation.
In April, the Supreme Court registrar declined the government’s request to permit administrative spectrum allocation in certain special cases, such as for satellite communications, citing a 2012 order related to the 2G case. Nonetheless, officials clarified that the government’s application aimed to highlight potential future exceptional circumstances for administrative bandwidth allocation and did not seek a modification of the court’s 2012 order.
Mindful of the rapid evolution of satellite communication technology, the government is proceeding cautiously, acknowledging that in the future, satellite communication services may be directly accessible to mobile consumers on their devices. While India’s satellite communications market is currently in its infancy, its potential, particularly in rural and remote areas, is significant. According to an EY-ISPA report, India’s space economy is projected to reach $13 billion by 2025, with a compound annual growth rate of 6% from nearly $9.6 billion in 2020.