Starlink, Amazon Kuiper Sign First Commercial Deals with VSAT Players in India: Report

American satellite companies, Starlink and Amazon Kuiper, have initiated their first commercial agreements with VSAT operators in India. This move is a significant step towards launching satellite broadband services for businesses and government entities. These developments come even before the official allocation of satellite spectrum, according to sources who spoke to Moneycontrol.

By forming these partnerships, both Starlink and Amazon Kuiper aim to capitalise on their low-Earth orbit (LEO) satellite broadband services in the B2B (enterprise) and B2G (government) sectors. They are also gearing up to enter the retail consumer market, although pricing strategies for this segment are still under discussion.

Focus on Enterprise and Government Segments

"Both Starlink and Amazon have been working to form partnerships in India. They are already scouting VSAT partners and have secured a few in India, focusing on the B2B and B2G spaces. They want their India capacity to be optimally utilized," a source familiar with the matter told Moneycontrol.

In India, notable VSAT players include Hughes Communications, Nelco, and Inmarsat. These companies are likely to play a crucial role as partners for the satellite giants as they expand their operations in the country.

Competing with Established Players

Starlink and Amazon Kuiper plan to operate in both enterprise and retail markets. Their strategy involves directly competing with Eutelsat OneWeb. Eutelsat OneWeb intends to use a sell-through model via Indian partners, according to another individual aware of these plans.

The entry of these American firms into India's satellite broadband market signals an exciting phase of competition and growth. As they establish themselves, they will likely influence pricing models and service offerings across different segments.

The strategic partnerships formed by Starlink and Amazon Kuiper highlight their commitment to leveraging India's growing demand for advanced broadband solutions. By targeting both enterprise clients and government agencies initially, they aim to build a strong foundation before fully entering the consumer market.

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