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Elon Musk’s Starlink Scores Indian Approval Amid Quiet Trade Talks with U.S.

Elon Musk’s Starlink, a satellite internet service run by SpaceX, has reportedly received the initial approval to start operations in India.

Government Gives First Green Signal to Starlink

Starlink has received a “Letter of Intent” (LoI) from the Indian Department of Telecommunications (DoT). This means the government has agreed to let the company start setting things up. However, Starlink has not yet received the final licence it needs to begin full operations.

A government official, speaking to Moneycontrol, confirmed that the LoI covers three types of licences — GMPCS (Global Mobile Personal Communication by Satellite), VSAT (Very Small Aperture Terminal), and ISP (Internet Service Provider). For Starlink to provide its internet services in India, all of these are necessary. The final license will be issued once Starlink has fulfilled all standards set forth by the government.

Getting this LoI is a major step forward. It allows Starlink to begin preparing to offer its services to Indian users. But until all rules are followed and conditions met, the company cannot fully launch its operations.

Trade Talks May Have Influenced Approval

While this move is about technology and internet services, reports suggest there might be more behind the quick approval. According to The Washington Post, the fast-tracking of Starlink’s entry into India may be connected to trade talks between India and the United States.

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An unnamed Indian official told The Washington Post that although Starlink is not a direct part of the trade negotiations, its approval is seen as something that could help ease broader discussions. In simple words, it may not be written in any official trade deal, but approving Starlink could help improve the overall relationship between India and the U.S.

For SpaceX, India is a massive market. Even if Starlink manages to capture just 1% of India’s consumer broadband users, it could earn close to $1 billion (roughly ₹8,300 crore) every year. That’s a huge potential profit for providing internet in rural and remote parts of the country.

IStarlink is expected to offer upload speeds between 5 Mbps and 20 Mbps and download rates between 25 Mbps and 220 Mbps. It is anticipated that the latency—the amount of time it takes for data to move—will be between 25 and 50 milliseconds. This should be enough for video calls, streaming, and even online gaming.

Indian Companies Already Partnered with Starlink

Even before Starlink received the LoI, Indian telecom giants had already started working with the company. In March 2025, both Reliance Jio and Airtel announced that they had made deals with Starlink. These deals were dependent on the company getting approval from the Indian government — which it now has.

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Jio said that once Starlink is fully allowed to operate, it would start offering its services through Jio stores and online platforms. Airtel, on the other hand, said it might sell Starlink’s equipment in its retail outlets and also use it to provide high-speed internet to businesses.

Remarkably, Airtel already has stock in another satellite internet provider, OneWeb.  In India, OneWeb is already operational and provides services to both rural populations and enterprises. With Starlink entering the market, there will be two major satellite internet providers in the country.

Both Jio and Airtel plan to use Starlink to provide better internet in areas where regular internet cables are hard to install. These include remote villages, mountain regions, and healthcare centres far from cities. Schools and hospitals in rural India may also benefit from this service.

Furthermore, Airtel plans to let Starlink to make use of its current telecom network. This could make it easier for Starlink to expand faster and reach more people.

Starlink works by sending signals from space. The service makes use of a constellation of satellites in Earth’s orbit. These satellites talk to ground stations and send data to users through small satellite dishes installed at homes or offices. This system helps bring fast internet even to places that don’t have telephone lines or fibre cables.

Starlink’s service is already working in many countries around the world. In fact, SpaceX launched its Starlink service in Brazil earlier this week. With India now moving forward in giving approval, it could soon become one of the largest markets for Starlink.

For now, Starlink still has to meet all the licence requirements set by the Department of Telecommunications. Only then will it receive its final licence to begin full operations across the country. However, obtaining the LoI is a clear indication that Starlink’s operations in India are progressing as planned.

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