Satellite Communications Presents Numerous Opportunities for Indian Startups: ISpA

AK Bhatt
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Spotlight on Satellite Communications | TelecomDrive.com

The rapid introduction of next-generation satellite communications technology in India is driving huge opportunities for Indian startups to drive innovation ahead. Whether it is Tele-Education, Tele-Medicine or Remote Asset Monitoring, Precision Agriculture, startups can develop innovative applications and services tailored to the unique needs of various sectors in India. As a leading industry body – ISpA is playing a pivotal role towards driving growth for this segment in India.

Lt. Gen. AK Bhatt (Retd.), Director General, Indian Space Association (ISpA) speaks with Zia Askari from TelecomDrive.com about challenges and huge opportunities that Satellite Communications is presenting in India today.

Indian Space Assoiciation

What is the potential for satellite communications in a country like India? Please elaborate on the future applications of satellite communications.

India holds immense potential for satellite communications due to its vast geographical expanse, diverse terrain, and the need for reliable connectivity in remote and rural areas. Satellite communications can play a crucial role in bridging the digital divide and providing seamless connectivity to underserved regions where terrestrial infrastructure is limited or challenging to establish.

As a matter of fact, ISpA along with nasscom and Deloitte carried out a comprehensive report titled “Exploring Opportunities for Indian downstream space-tech” report focusing on the downstream segment of space value chain by deep diving into three major areas Earth observation, satellite communication and positioning, navigation, and timing services (PNT) and the potential value that these areas can create. Satcom in total in the next 5 years has the market potential of ~1 Billion USD. Similarly, the decadal vision laid out by IN-SPACe envisages the satellite communication sector to grow to 14 Billion USD by 2033.

Future applications of satellite communications in India include a plethora of sectors:

  • Broadband Internet Access: Satellite based communication services can deliver high-speed internet connectivity to remote and rural areas, enabling access to online education, telemedicine, e-governance services, and other digital opportunities.
  • Disaster Management and Emergency Communications: Satellite networks can provide vital communication links during natural disasters, ensuring uninterrupted communication for rescue and relief operations.
  • Internet of Things (IoT) and Machine-to-Machine (M2M) Communications: Satellite networks can support the rapid growth of IoT and M2M applications, enabling connectivity for various sectors such as Agriculture [Supporting precision farming and monitoring of agricultural activities through satellite-based data and analytics], smart cities, mining, transportation, and logistics.
  • Broadcast and Media Services: Satellite technology can deliver high-quality video and audio content to a wide geographic area, enabling efficient distribution of television, radio, and other media services.
  • Maritime and Aeronautical Communications: Satellite communications can provide reliable connectivity for maritime vessels and aircraft, ensuring safety, navigation, and real-time communication.
  • Strategic Communication: Military intelligence and operations require constant connection of the command centres with their edge devices. The adoption of the Internet of Military Things and Internet of Battlefield Things will heavily rely on SATCOM for persistent and reliable connectivity.

What are the current obstacles hindering the widespread adoption of satellite communications technology in India?

While satellite communications offer numerous advantages, there are several obstacles hindering its widespread adoption in India. Limited and contested spectrum availability pose challenges to the efficient deployment of satellite networks. The allocation of spectrum for satellite communications post the New Telecommunications Act 2023 has been decided to be allocated by administrative method. However, the final allocation and method of charging fees has yet to be finalized resulting in opportunity cost.

The satellite communications industry in India is subject to strict regulations and licensing requirements, which create bottlenecks and delays in implementation. However, IN-SPACe is slowly becoming the single-window platform for authorization with NGP in place the regulatory clarity is approaching. There is also a need for increased awareness and education among potential users, especially in rural and remote areas, to facilitate the adoption of satellite-based services.

Establishing and maintaining satellite networks requires significant capital investment, which is a barrier for widespread deployment, especially in rural and remote areas. Additionally, traditional geostationary satellites may have limited capacity and higher latency compared to terrestrial networks, which affect certain applications that require low latency or high bandwidth.

Which are the leading companies in the global satellite communications industry? How might the entry of these major foreign players impact the satellite communications landscape in India?

Some of the leading companies in the global satellite communications industry include Eutelsat-OneWeb, SpaceX (Starlink), Amazon (Project Kuiper), Viasat-Inmarsat, Intelsat and SES. Amongst which Eutelsat-OneWeb & Jio-SES received their GMPCS licence in India 2023 and Starlink is in the process. Also, Tata NELCO and Hughes India are major players in the VSAT domain. These companies are investing heavily in developing advanced satellite constellations and technologies to provide global broadband internet connectivity.

We believe that the entry of the major foreign players into the Indian market will have a positive effect in the ecosystem. This will help foster competition, driving innovation, and potentially reducing costs for consumers and businesses in India. With their significant financial resources and expertise, these companies can accelerate the deployment of satellite-based services across India, bridging the digital divide more rapidly.

The collaborations and partnerships between Indian and foreign companies could facilitate technology transfer, skill development, and capacity building within the Indian satellite communications ecosystem. Also, the entry of foreign players may necessitate regulatory reforms and policy adjustments to ensure a level playing field and address concerns related to data sovereignty, national security, and fair competition.

What opportunities exist for Indian startups to drive innovation with the introduction of satellite communications technology in India?

The introduction of satellite communications technology in India presents numerous opportunities for Indian startups to drive innovation. Startups can develop innovative applications and services tailored to the unique needs of various sectors in India, leveraging satellite connectivity for areas such as Precision Agriculture, Remote Asset Monitoring, Tele-education and Telemedicine.

There is also opportunity for startups to focus on developing ground infrastructure and solutions for satellite communications, including user terminals, gateways, and specialized equipment for different applications.

With the vast amount of data generated by satellite systems, startups can explore opportunities in data analytics, processing, and value-added services for various industries. They can also contribute to capacity building and skill development by offering training and education programs in satellite communications technologies and applications. Furthermore, these new companies can work on localizing and integrating satellite communications solutions with existing terrestrial networks, enabling seamless connectivity and efficient resource utilization.

How do you see the recent policy reforms in shaping the space and satellite Industry in India?

Recent policy reforms in India, such as the New Space Policy 2023, New Telecommunication Act 2023, New FDI Policy 2024, the formation of the Norms, Guidelines and Procedures for Implementation of the Indian Space Policy 2023 by IN-SPACe (Indian National Space Promotion and Authorization Center) have provided a lot of regulatory clarity and the potential to shape the space and satellite industry and take the lead in the global space economy.

These recent reforms aim to facilitate and promote greater private sector participation in space activities, fostering innovation, competition, and cost-effective solutions. The introduction of transparent and streamlined processes for obtaining licenses, authorizations, and sharing of facilities can accelerate the development and deployment of satellite-based services. The reforms emphasize international collaborations and partnerships, enabling knowledge sharing, technology transfer, and access to global markets for Indian space and satellite companies. It is good to see that these policies also prioritize capacity building, skill development, and the promotion of research and development activities, which are crucial for the long-term growth and sustainability of the sector.

We believe that the policy reforms, combined with initiatives like the Production Linked Incentive (PLI) scheme, can attract domestic and foreign investment in the space and satellite sector, driving economic growth and technological advancement.

This interview is first published inside the July 2024 issue of Disruptive Telecoms


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