Starlink’s India entry a challenge for telecom majors? Key factors to watch…

With Bharti Airtel and Reliance Jio announcing their respective agreements with SpaceX, JM Financial said that this tie-up is largely neutral for the two telecom companies and there seems to be no significant risk to growth potential for Indus Towers. Currently, the agreement between the two telcos and SpaceX is limited to distributing Starlink’s satellite broadband services via their extensive retail network, mostly to B2C and B2B customers in rural and remote areas, in return for some limited distribution income. However, per the report, Starlink, going forward, may also collaborate with telcos in the field of direct-to-cell satellite services as well.

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