Telecom operators are pressing the department of telecommunications (DoT) to ensure a level regulatory playing field for satellite communication (satcom) and over-the-top (OTT) platforms, saying existing rules need to evolve in line with the digital economy.“Satcom is complementary, not competing. It can help extend coverage in rural areas faster and cheaper.
But it must operate under the same rules if it’s offering the same services,” SP Kochhar, director general, Cellular Operators Association of India (COAI), told FE. COAI’s members include private telecom majors Bharti Airtel, Reliance Jio, and Vodafone Idea.
The push comes as global satellite players such as Eutelsat OneWeb, Jio-SES, and Starlink prepare to enter the broadband market, with their licences ready for rollout. Telcos argue that asymmetrical regulation could distort market dynamics if similar services are governed by different standards.
Satellite internet providers, including Viasat, OneWeb, Hughes, and Nelco, have urged the DoT to create a separate licence category for satcom operators. They claim that the draft telecom authorisation framework could slow growth and discourage investment if it subjects satellite services to the same rules as traditional telecom operators.
Both sides have raised concerns over regulatory delays and the structure of approvals for satellite-based connectivity. Incumbent telcos argue that preferential treatment for new entrants could undercut players already burdened by high spectrum costs and statutory levies.
Another major demand from telecom operators is regulatory intervention to make OTT platforms contribute to infrastructure expenses.
“They are contributing nearly 70% of the traffic but paying nothing. If someone is getting something free, they won’t come to the table voluntarily. The government should make them sit and decide,” Kochhar added.
Operators want a framework that would require major OTTs like Netflix, WhatsApp, Amazon Prime Video, Facebook, Instagram, and Zoom to pay a share of network costs, possibly through a levy similar to the Universal Service Obligation fee.
Telcos also want lower spectrum reserve prices and rationalised levies, arguing that the current pricing models date back to the 2G era and are unsuited to today’s digital ecosystem. They say fair pricing is crucial as the industry prepares for 6G deployment and satcom integration.