Billionaire Mukesh Ambani’s Reliance has challenged the telecom regulator’s decision to allocate home satellite broadband spectrum administratively rather than through an auction, escalating its conflict with Elon Musk’s Starlink. The debate over how India should distribute spectrum for satellite services has been ongoing since last year. Starlink, along with global competitors like Amazon’s Project Kuiper, supports administrative allocation, while Ambani—Asia’s richest man and head of Reliance Jio—advocates for a competitive auction process.
The crux of the dispute lies in the interpretation of Indian law, which some industry players argue allowed for administrative spectrum allocation last year, as Musk had sought. However, Reliance contends that the laws don’t cover satellite broadband services for individual or home users, according to industry sources.
The Telecom Regulatory Authority of India (TRAI) is currently conducting a public consultation on the matter, but in a private letter dated October 10, Reliance urged the regulator to restart the process. The company argues that TRAI prematurely interpreted the situation by favoring spectrum allocation over auction. “TRAI seems to have concluded, without any basis, that spectrum assignment should be administrative,” wrote Kapoor Singh Guliani, Reliance’s senior regulatory affairs official, in the letter to India’s telecom minister, Jyotiraditya Scindia. The letter also criticizes TRAI for basing its stance on Indian laws without conducting necessary studies.
While neither Reliance nor the telecom ministry immediately responded to requests for comment, a senior TRAI official stated that due process is being followed, and Reliance is welcome to provide feedback during the consultation period.
TRAI’s final recommendations will play a crucial role in the government’s decision. According to Deloitte, India’s satellite broadband market is projected to grow by 36% annually, reaching $1.9 billion by 2030. Elon Musk, eager to launch Starlink in India, supports administrative allocation, which he says aligns with global trends. Meanwhile, Reliance argues that an auction is necessary for fair competition, as foreign companies could potentially offer voice and data services, competing with traditional telecom players. Reliance Jio, India’s leading telecom provider, currently serves 480 million users.
