The Broadband India Forum (BIF) has urged the Telecom Regulatory Authority of India (TRAI) to revise its proposed Satellite Communication Network (SCN) Authorization Framework, arguing that satellite communications should be regulated as telecommunication services rather than as network authorizations under the Telecommunications Act, 2023.
In its final submission following TRAI’s Open House Discussion on the SCN Authorization Framework, BIF said the current proposal creates a “fundamental structural defect” that is inconsistent with the intent of Parliament and could create legal, operational and investment challenges for India’s rapidly expanding satellite communications sector.
BIF Seeks Standalone Satellite Service Authorization
BIF stated that the Telecommunications Act, 2023 clearly recognizes satellite-based communications as distinct telecommunication services.
According to the industry body, the First Schedule of the Act identifies Global Mobile Personal Communication by Satellite (GMPCS), Very Small Aperture Terminal (VSAT), Teleports, Direct-to-Home (DTH) and Mobile Satellite Services (MSS) as separate service categories eligible for administrative spectrum assignment.
BIF also noted that TRAI had previously recommended treating satellite communications as telecommunication services in earlier regulatory recommendations.
The organization argued that satellite communications should continue to be authorized under Section 3(1)(a) of the Telecommunications Act and incorporated into the Principal Telecommunication Services Authorization Rules, 2026, rather than being regulated solely as network authorizations.
Spectrum Assignment Concerns
One of BIF’s primary concerns relates to the administrative assignment of satellite spectrum.
According to the submission, the absence of a dedicated satellite service authorization creates uncertainty regarding who would be the legitimate recipient of administratively assigned satellite spectrum under Entry 16 of the First Schedule of the Telecommunications Act.
BIF warned that assigning spectrum through a network authorization instead of a service authorization could create ambiguity over:
Spectrum eligibility
Regulatory accountability
Compliance obligations
Licensing responsibilities
The forum believes such uncertainty could discourage investment just as India prepares for large-scale satellite broadband deployment.
BIF Opposes Two-Layer SCN Framework
BIF also questioned the Department of Telecommunications’ proposed two-layer Satellite Communication Network (SCN) model.
Under the proposed framework, satellite network operators would provide network capacity, while separately authorized terrestrial service providers would deliver services directly to end users.
According to BIF, this additional authorization layer unnecessarily complicates operations and increases regulatory burdens.
Instead, the organization recommends allowing satellite operators to provide satellite-based telecommunication services directly through a standalone authorization, simplifying licensing, improving compliance and creating a more transparent regulatory framework.
Higher Costs Could Impact Consumers
BIF believes the proposed authorization structure could ultimately affect consumers.
Separating wholesale satellite network providers from retail service providers may increase operational expenses, compliance costs and administrative complexity.
According to the forum, these additional costs could result in:
Higher satellite broadband prices
Slower rollout of satellite connectivity
Delayed broadband coverage in rural and remote regions
Lower investor confidence
The organization said a simplified authorization framework would help accelerate affordable satellite broadband while supporting India’s digital inclusion objectives.
India’s Satellite Broadband Market Poised for Growth
India’s satellite communications industry is entering a crucial growth phase as global operators prepare to launch commercial broadband services across the country.
Satellite broadband is expected to complement fiber and 5G networks by extending connectivity to remote villages, maritime operations, aviation, disaster recovery, defence communications and enterprise applications where terrestrial infrastructure remains economically challenging.
Industry estimates from multiple market research firms project the global satellite communications market will exceed US$40 billion by the early 2030s, driven by rising demand for broadband connectivity, Internet of Things (IoT) applications, direct-to-device communications and low Earth orbit (LEO) satellite constellations.
India is widely expected to become one of the fastest-growing satellite broadband markets as regulatory clarity improves and commercial deployments accelerate.
Global satellite operators including Starlink, Eutelsat OneWeb, SES, Amazon’s Project Kuiper and Viasat are expanding satellite broadband capabilities worldwide, while Indian companies are preparing for commercial opportunities under the evolving regulatory framework.
BIF Calls for Regulatory Certainty
BIF President T.V. Ramachandran said the industry fully supports greater investment, stronger competition and faster expansion of India’s satellite communications ecosystem.
He said the proposed standalone Satellite-based Telecommunication Service Authorization would be consistent with the Telecommunications Act, 2023, the Indian Space Policy, and the National Frequency Allocation Plan (NFAP) issued by the Department of Telecommunications.
According to BIF, establishing a legally sound and technology-neutral authorization framework would provide long-term certainty for investors while supporting sustainable industry growth.
Why the TRAI Consultation Matters
The SCN consultation represents one of the most significant regulatory exercises for India’s emerging satellite communications industry.
The final framework adopted by TRAI and the Department of Telecommunications will determine how satellite operators obtain authorizations, receive administratively assigned spectrum and compete in India’s broadband market.
A clear authorization regime is expected to play a critical role in attracting investment, accelerating commercial satellite broadband deployments, expanding connectivity in underserved regions and advancing India’s Digital India ambitions as satellite communications become increasingly integrated with 5G, IoT and enterprise connectivity.
FASNA SHABEER