Starlink’s India Entry Faces Fresh Hurdle Over Satellite Data Routing Concerns

Starlink’s potential India rollout appears to have encountered a fresh regulatory hurdle days after the Elon Musk-led satcom company said it was in active discussions with the central government.

According to an ET report, the government is unlikely to permit the use of interlinked satellites for internet services unless adequate safeguards are put in place to address security concerns. Citing sources, the report mentioned that the concern with Starlink’s interlinked satellites is that such internet service may allow data to bypass national borders.

Starlink’s laser inter-satellite link (LISL) technology enables newer-generation satellites to transmit data directly to one another in space, creating a mesh network that can route traffic without requiring immediate access to ground stations.

The government is understood to have raised concerns that Starlink’s LISL technology may transmit data generated by Indian users through servers located in foreign jurisdictions, potentially posing national security risks.

Although Starlink has obtained a satcom licence, it is still awaiting final security clearance. 

Concerns linked to the use of its satellite terminals have served as a key overhang for the US-based company to commence satcom business in India. 

Last week, the home ministry (MHA) was said to have effectively frozen approvals for Starlink after reports emerged that its terminals were in use in Iran during the ongoing geopolitical tensions.

Starlink had dismissed the reports, claiming that it remains engaged in active discussions with the Indian government and has received encouraging feedback regarding its plans for the country.

“Starlink remains in active and productive discussions with the Government of India contrary to misleading stories based upon unsubstantiated claims from anonymous sources,” Lauren Dreyer, VP of Starlink’s business operations, said on X.

She said the company has engaged with Indian authorities throughout the regulatory approval process while adhering to all compliance requirements.

Meanwhile, authorities are said to be exploring safeguards that could require Starlink to restrict or disable such routing for Indian traffic as they are also wary of SpaceX’s ability to remotely control Starlink’s satellite network, including routing configurations and coverage areas.

As per reports, these capabilities were used to manage connectivity during conflicts in Ukraine and in West Asia. As part of potential compliance requirements, Starlink may be required to ensure that all traffic from Indian users is routed through gateways located within India.

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