Starlink to launch services in India; pricing likely to be higher

Elon Musk-led Starlink has received a licence to launch satellite broadband services in India. However, its pricing is expected to be significantly higher than that of existing terrestrial networks.

While Starlink is preparing to begin commercial operations in India, it is already active in neighbouring countries like Bangladesh and Bhutan. A closer look at its pricing in these markets indicates that the service may be relatively expensive for Indian users compared to broadband services provided by companies such as Reliance Jio, Bharti Airtel, and Vodafone Idea.

In May, Starlink commenced operations in Bangladesh with two primary plans. The Residential Lite Plan is priced at nearly BDT 4,200 per month (about `3,000 to `3,150) and offers unlimited deprioritised data, making it suitable for smaller households with lower usage. The Standard Residential Plan costs BDT 6,000 per month (roughly `4,000 to `4,500) and includes unlimited data for regular household usage. Customers in Bangladesh also face a one-time hardware cost of BDT 47,000 (about `33,000 to `39,000).

Even if the company maintains similar or slightly reduced pricing in India, it would still be expensive compared to wired broadband service providers. In India, most internet service providers charge a one-time installation fee of around `1,000, while monthly charges range from `699 to `999, offering unlimited high-speed internet.

According to a report by Bernstein, Starlink offers broadband speeds ranging from 50 to 200 Mbps. The service currently requires an upfront payment of `52,242, with a monthly subscription fee of `10,469. Due to this high pricing model, Starlink may struggle to compete with established players in India’s price-sensitive market.

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