Tech billionaire Elon Musk has said Starlink will have to offer affordable satellite internet services in India to attract customers, arguing that greater competition would benefit consumers by expanding their choices, even as he renewed his criticism of Reliance Industries Chairman Mukesh Ambani over the company's entry into the Indian market.
Musk's latest remarks on social media platform X come amid an escalating exchange over competition in India's satellite broadband sector and ahead of the much-anticipated initial public offering (IPO) of Jio Platforms, the digital services arm of Reliance Industries. "The reality is that competition would greatly benefit the average citizen in India by giving them more choices, as it always does. Ambani's profits will be lower, but he is not going out of business," Musk wrote.
He also acknowledged that Starlink's pricing would have to reflect the purchasing power and competitive conditions of the Indian market. "And, obviously, if Starlink is too expensive in India, no one will buy it, so SpaceX will need to make pricing affordable," he added.
Musk questions competition claims
In the same post, Musk accused Ambani's supporters of making contradictory arguments about Starlink's ability to compete in India. He claimed that critics were simultaneously suggesting that Starlink could not match the low prices offered by Reliance Jio and warning that the satellite internet provider could become a formidable competitor.
"On the one hand, they say Starlink couldn't possibly compete with the amazing low prices offered by Ambani's de facto monopoly in India and then, in the same breath, they essentially claim that Starlink would be too strong of a competitor! This is absurd hypocrisy and hyperbole," Musk wrote. The SpaceX chief described the arguments as inconsistent, accusing Ambani's online supporters of exaggerating the potential consequences of Starlink's entry into the Indian market.
His reference to a "de facto monopoly" was an allegation directed at Reliance and did not constitute a finding by any competition regulator.
Government rejects selective treatment
Musk's remarks follow his criticism of what he considers persistent delays in the commercial launch of Starlink's satellite broadband services in India.
Reliance Industries has not publicly responded to his allegations. The Union government, however, has maintained that India's regulatory framework for telecommunications and satellite services is fair and non-discriminatory. Officials have rejected suggestions that the authorisation process is being selectively applied to individual companies.
Communications Minister Jyotiraditya Scindia said on Friday that India did not permit monopolies in any sector and that multiple companies had already secured the necessary satellite communication licences. He pointed out that three operators had received authorisations and could begin commercial services after fulfilling the prescribed security requirements and operational milestones.
The licensed operators include Starlink, Reliance Jio's satellite venture Jio Satcom and Bharti-backed Eutelsat OneWeb. Amazon's Project Kuiper has also expressed interest in entering the Indian market but will have to complete the established regulatory process.
Akash Ambani declines comment
The dispute unfolded during the India Mobile Congress, the country's annual telecommunications industry event, where satellite connectivity and emerging communication technologies were among the major areas of discussion. Reliance Jio Infocomm Chairman Akash Ambani declined to comment on Musk's criticism when asked about the ongoing debate over satellite communication services.
He said the company remained focused on delivering value to Indian consumers. The competing satellite broadband ventures are developing extensive infrastructure to provide internet connectivity, particularly in areas where conventional terrestrial networks face geographical or commercial limitations.
Jio is developing a satellite constellation comprising more than 1,600 low-Earth orbit satellites, supported by 23 ground stations. Starlink, operated by Musk's SpaceX, has a constellation of more than 11,000 satellites, giving it an extensive global satellite network.
Jio IPO approaches
Musk's latest criticism comes as Jio Platforms prepares for what could become India's largest initial public offering. The company is expected to open its public issue for subscription on October 21, with the offering likely to close on October 23, according to market expectations. The anchor investor round is expected to take place on October 19, while the shares could be listed on domestic stock exchanges on October 28.
However, Jio Platforms has not formally announced the subscription and listing dates.
The proposed offering is estimated to raise approximately $3.8 billion, potentially making it the largest IPO in Indian capital market history. The company has completed overseas investor roadshows and is expected to file its final IPO documents with the Securities and Exchange Board of India (Sebi) during the week beginning October 12. Sebi issued its final observations on August 28 after Jio Platforms submitted its draft IPO documents in June.
According to the draft prospectus, the company proposes to issue up to 27 crore fresh equity shares, representing approximately 2.9 per cent of its post-issue equity capital.
Satellite broadband competition
The controversy has brought renewed attention to the emerging market for satellite-based broadband services in India, where operators are positioning themselves to serve remote regions, enterprises and customers requiring connectivity beyond the reach of conventional networks.
Unlike terrestrial mobile networks, low-Earth orbit satellite systems can provide internet access without requiring extensive fibre or mobile tower infrastructure at every location.
However, the commercial success of such services will depend on several factors, including equipment costs, monthly subscription charges, spectrum arrangements, regulatory compliance and network performance.
Musk's acknowledgement that Starlink must offer affordable services underscores the importance of pricing in a market where mobile data tariffs remain relatively low.
With several operators preparing to enter the satellite broadband segment, the debate over competition, market access and regulatory approvals is likely to remain central to the sector's development.