en.Wedoany.com Reported - The Broadband India Forum (BIF) has urged the Telecom Regulatory Authority of India (TRAI) to revise its proposed authorization framework for Satellite Communication Networks (SCN), arguing that satellite communication should be regulated as a telecom service rather than a network authorization, and should be implemented in accordance with the Telecommunications Act, 2023.
In its final submission following TRAI's open consultation on the SCN authorization framework, BIF stated that the current proposal contains "fundamental structural flaws," does not align with parliamentary intent, and could create legal, operational, and investment challenges for India's rapidly expanding satellite communications sector.
BIF is seeking the establishment of a separate satellite service authorization. The forum stated that the Telecommunications Act, 2023 explicitly recognizes satellite-based communication as an independent telecom service. According to the industry body, Schedule I of the Act lists Global Mobile Personal Communications by Satellite (GMPCS), Very Small Aperture Terminals (VSAT), teleports, Direct-to-Home (DTH), and Mobile Satellite Services (MSS) as separate service categories eligible for administrative spectrum allocation. BIF also noted that TRAI had previously advocated for treating satellite communication as a telecom service in earlier regulatory recommendations. The organization argues that satellite communication should continue to be authorized under Section 3(1)(a) of the Telecommunications Act and be included in the Main Telecom Service Authorization Rules, 2026, rather than being regulated solely as a network authorization.
One of BIF's primary concerns involves the administrative allocation of satellite spectrum. According to the submission, the lack of a dedicated satellite service authorization creates uncertainty regarding who would be the legitimate recipient of administratively allocated satellite spectrum under Item 16 of Schedule I of the Telecommunications Act. BIF warned that allocating spectrum through a network authorization rather than a service authorization could lead to ambiguities in spectrum eligibility, regulatory responsibilities, compliance obligations, and licensing liabilities. The forum believes that such uncertainty could hinder investment at a time when India is preparing for large-scale satellite broadband deployment.
BIF also questioned the Department of Telecommunications' proposed two-tier Satellite Communication Network (SCN) model. Under the proposed framework, satellite network operators would provide network capacity, while separately authorized ground-based service providers would deliver services directly to end users. BIF argues that this additional layer of authorization unnecessarily complicates operations and increases the regulatory burden. Instead, the organization recommends allowing satellite operators to directly provide satellite-based telecom services through an independent authorization, thereby simplifying licensing, improving compliance, and creating a more transparent regulatory framework.
BIF believes that the proposed authorization structure could ultimately impact consumers. Separating wholesale satellite network providers from retail service providers could increase operational expenses, compliance costs, and administrative complexity. According to the forum, these additional costs could lead to higher satellite broadband prices, slower deployment of satellite connectivity, delays in broadband coverage for rural and remote areas, and reduced investor confidence. The organization stated that a simplified authorization framework would help accelerate the deployment of affordable satellite broadband while supporting India's digital inclusion goals.
India's satellite communications industry is entering a critical growth phase as global operators prepare to launch commercial broadband services nationwide. Satellite broadband is expected to complement terrestrial infrastructure in areas where fiber and 5G networks remain economically challenging, extending connectivity to remote villages, maritime operations, aviation, disaster recovery, defense communications, and enterprise applications. Industry forecasts from multiple market research firms indicate that the global satellite communications market will exceed $40 billion by the early 2030s, driven by demand for broadband connectivity, Internet of Things (IoT) applications, direct-to-device communications, and Low Earth Orbit (LEO) satellite constellations. With increasing regulatory clarity and accelerating commercial deployment, India is widely expected to become one of the fastest-growing satellite broadband markets. 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 Chairman T.V. Ramachandran stated that the industry fully supports greater investment, stronger competition, and faster expansion of India's satellite communications ecosystem. He noted that the proposed independent "satellite-based telecom service authorization" would align with the Telecommunications Act, 2023, the Indian Space Policy, and the National Frequency Allocation Plan (NFAP) issued by the Department of Telecommunications. BIF believes that establishing a legally sound and technology-neutral authorization framework will provide long-term certainty for investors while supporting sustainable industry growth.
The SCN consultation is considered one of the most significant regulatory initiatives for India's emerging satellite communications industry. The final framework adopted by TRAI and the Department of Telecommunications will determine how satellite operators are authorized, receive administratively allocated 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 deployment, expanding connectivity in underserved areas, and advancing India's digital India ambitions, as satellite communications increasingly converge with 5G, IoT, and enterprise connectivity.
