A Tangled Web: Unpacking the Implications of Starlink’s Alliance with Indian Telecom Giants

Last month, Bharti Airtel and Reliance Jio joined hands with Starlink to bring internet through satellites in India. This could help Starlink finally enter the Indian market after trying for almost five years.

The internet service market in India is already dominated by just two major players — Airtel and Jio — who together control 81% of the market. These two companies, known as Internet Service Providers (ISPs), which simply means companies that give people access to the internet, have been cautious and concerned about new competition that could affect their business and the money they’ve put into building their networks.

In the last few years, both Airtel and Jio have started working on bringing satellite internet to India. In 2020, the Bharti Group (which owns Airtel) invested heavily in a company called OneWeb to help make this possible. Later, in 2022, Reliance Jio partnered with another company called SES to do the same. Both companies have been working on getting government approval so they can start offering satellite internet services to people across the country.

About OneWeb and SES:

OneWeb is a satellite internet company based in the United Kingdom. It is partly owned by the Bharti Group from India, along with other international investors. OneWeb uses satellites in space to provide internet access, especially in rural or remote areas where regular internet lines can’t reach easily.

SES is a company from Luxembourg that operates a large number of satellites around the world. It provides internet and communication services to different countries, including India. By partnering with local companies like Jio, SES helps bring high-speed satellite internet to places where traditional networks are not available.

These deals came after Indian Prime Minister Narendra Modi visited the United States, where he met with Elon Musk. Musk is the head of SpaceX, the company that owns Starlink, and also a key figure in the U.S. tech world. During this time, even U.S. President Donald Trump commented that Musk probably met Modi because he’s interested in doing business in India.

The timing and details of these deals have caught the attention of opposition parties in India. They claim that the agreements may have been made under pressure from the Indian government, possibly to keep the U.S. government happy.

People are right to worry about big companies and governments working too closely in ways that may not be fair. But that’s only one reason why Indians should be concerned about Starlink coming to India. There are other things to think about as well.

These deals might not do much to actually improve internet access for most people. At the same time, they could raise serious concerns about India’s control over important technology areas. This is especially true because SpaceX, the company behind Starlink, has strong ties with the U.S. government and intelligence agencies. Letting a foreign company like this operate in such a sensitive area could affect India’s independence in technology and security.

Questionable Agreements and Unreliable Internet Access

Starlink mainly provides internet directly to customers, who use Starlink’s own devices to connect to the internet through their network. In India, the service is expected to work in the same way.

As part of the deal, Jio will sell Starlink products through its stores. On the other hand, Airtel is less certain — the company said it might offer Starlink devices in its shops, but it’s still just thinking about it for now.

If someone buys Starlink equipment from an Airtel or Jio store and uses it, their internet connection will go directly through Starlink’s network. It won’t pass through Airtel’s or Jio’s systems at all. This setup is unusual because, normally, internet providers and satellite companies work more closely together and share parts of the network.

What is an ISP ?

An ISP, or Internet Service Provider, is a company that gives you access to the internet. In India, companies like Jio, Airtel, and BSNL are examples of ISPs. They usually provide internet through cables, mobile networks, or fiber connections. When satellite internet like Starlink is used, it connects directly to satellites in space, which is different from how traditional ISPs work.

In a more typical setup—like the partnerships between Jio and SES, or Airtel and OneWeb—the internet provider (ISP) gets internet capacity from a satellite company to support its existing ground-based network. In this kind of arrangement, the ISP still manages the connection that reaches the customer’s phone, computer, or other devices. Behind the scenes, the ISP decides whether to use its regular land-based network or the satellite service, depending on what’s available and what works best at the time.

This setup allows the ISP to stay in full control of the customer’s internet experience, while using satellite help only when needed—such as in remote areas where laying cables is difficult. It’s a way to extend coverage without giving up control over the network.

In their official announcements, both Airtel and Jio mentioned that they are still in the process of “evaluating” and “exploring” how Starlink could help expand their internet networks. Normally, Starlink doesn’t connect directly with ground-based networks, but in 2021, they did make an exception by partnering with a Japanese internet provider to do just that.

For now, it’s unclear if a similar setup will happen with Airtel or Jio. We’ll have to wait and see how things develop—whether Starlink will fully integrate with their networks or not. Until then, Airtel and Jio may end up mainly acting as sales and support channels for Starlink products, rather than being deeply involved in how the internet service itself works.

Satellite internet services like Starlink, which connect directly to users, usually come with high prices and some downsides.

One reason for the high cost is that Starlink and similar companies use low Earth orbit (LEO) satellites. These satellites fly much closer to the Earth than traditional ones, which helps provide faster internet with less delay. However, to give stable and direct internet service to people all over the world, Starlink needs to launch and maintain thousands of these satellites in space. Building, sending, and managing such a large number of satellites is very expensive, which adds to the overall cost of the service.

According to “The Diplomat”, Starlink currently operates over 7,000 satellites in space, which is a huge number compared to the 127 satellites launched by Indian organizations in total. Since each Starlink satellite has a lifespan of around five years, maintaining the system is very costly. Despite these expenses, SpaceX has shared plans to expand the network to 12,000 satellites, and possibly even grow it to 30,000 in the coming years.

This means that, unless there’s major financial support in form of subsidies , the high costs of satellite internet make it an unrealistic option for large-scale internet access in many developing countries. Even estimates from the U.S. government suggest that, over time, satellite internet will be more expensive than other ways of providing internet.

Having so many satellites in space also raises the risk of space junk and possible crashes. It can also seriously affect the work of astronomers by making it harder for them to observe the sky clearly.

Internet connectivity expert Steve Song pointed out that satellite services offering bulk internet to local providers and community networks—especially those using satellites in middle or geosynchronous orbits—need fewer satellites. This helps reduce environmental issues and creates more chances for local involvement and economic growth.

Indian Sovereignty Under US Surveillance Lens

Both the BJP-led central government and the opposition Congress party raised concerns about Starlink’s entry into India. They were worried about whether the company would stop internet services if the existing Indian government asked it to.

These arguments show a lack of concern for the human rights that internet access supports, and they also reveal a poor understanding of how Starlink closely watches user activity and its strong links with U.S. intelligence agencies.

U.S. intelligence agencies have a wide-reaching spying program that is legally supported by a law called the Foreign Intelligence Surveillance Act (FISA). One part of this law, Section 702, gives them almost unlimited power to monitor the communications of people who are not U.S. citizens.

The main way U.S. intelligence collects this information is through “electronic communications service providers” — basically, American tech companies that offer online services to people all over the world.

In April 2024, the U.S. House of Representatives updated a law to include more companies under its spying rules. Now, any company that can access devices used to send or store messages may have to share data with U.S. intelligence. This means a lot more businesses could be asked to help with government surveillance.

This means that all internet data from Indians and other people outside the U.S. that goes through Starlink can easily be accessed by U.S. intelligence agencies.

Even if the content of what you do online is hidden through encryption, there’s still some information that can be seen. This includes things like which apps or websites you’re using and what time you accessed them. This kind of information is called metadata , and it can still give clues about your online activity, even if the exact messages or data are protected.

According to The Diplomat, Starlink may be getting more than just internet data. It’s not just a service that provides internet — it’s also a network of satellites in low Earth orbit (LEO). E. A. S. Sarma, a former government official, and the Communist Party of India (Marxist) have both pointed out that these satellites could also carry extra equipment like radars, infrared sensors, and cameras that can capture images.

Starlink has a related project under SpaceX called Starshield. It uses similar satellites but is specifically designed to work with the U.S. military and intelligence agencies. Its main goal is to support government and defense operations.

SpaceX has signed contracts worth billions of dollars with different U.S. government agencies, but many of the details are kept secret. According to a report by Reuters last year, Starshield — a part of SpaceX — made a deal with the U.S. National Reconnaissance Office to create and manage a network of spy satellites.

A spokesperson from the agency described it as the world’s most powerful and advanced system for gathering intelligence, watching activities, and collecting information from space.

It’s not clear if Starlink and Starshield operate completely separately, but from a technical point of view, it’s very likely that their satellite systems can be linked and work together. Starshield is expected to keep growing, especially with strong support from the U.S. government. However, there’s no good reason for India to support or allow the expansion of something that could be used in harmful ways.

Even if Starlink’s satellites don’t have equipment for spying, the U.S. has a history of using its power over American companies to pressure both its friends and its rivals.

After SpaceX got a contract from the U.S. Department of Defense to offer satellite services in Ukraine, Starlink was provided to the Ukrainian military at no cost and was later used to support their military operations.

Earlier this year, when the U.S. showed interest in gaining access to Ukraine’s rare earth minerals, American officials reportedly warned that they might cut off Starlink services in Ukraine if their demands weren’t accepted. On the other hand, in Gaza—where Israel has been accused of committing serious violence against Palestinians—the U.S. said that Starlink could only be made available to people in Gaza if the Israeli government agreed to it.

This shows that SpaceX is closely tied to U.S. intelligence and foreign policy goals. Allowing it to enter India could quietly weaken the country’s independence in important areas. However, these risks haven’t been properly studied or understood yet.

That said, these concerns don’t change the fact that satellite-based internet has many benefits. It’s often expensive and difficult to lay fiber cables in remote or hilly areas. Since India has only made limited progress in bringing internet to rural regions, satellite internet can help boost connectivity and fill the gaps left by slow-moving government programs.

However, allowing a U.S. tech company that focuses on expensive, direct-to-consumer services and could open the door to foreign influence in India may not be the best way to improve internet access across the country.

As Dr. Raquel Renno explained, calling satellite internet the perfect solution for all connectivity problems can be risky. It may strengthen the control of big tech companies from richer countries, while holding back local innovation and reducing a country’s control over its own technology, according to The Diplomat.

Instead of improving ground-based internet or looking into more sustainable satellite options, recent developments suggest that India is placing too much blind trust in U.S. tech companies. This over-reliance could end up weakening the country’s own goals for national and technological growth.

(The author, Girish Linganna, is an award-winning Science Writer and a Defence, Aerospace & Political Analyst based in Bengaluru. He is also Director of ADD Engineering Components, India, Pvt. Ltd, a subsidiary of ADD Engineering GmbH, Germany. He can be reached at: girishlinganna@gmail.com)

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