Indian Space Association (ISpA) has requested Telecom Regulatory Authority of India (TRAI) to adopt differential pricing for satellite spectrum based on end-use. The industry body has warned against large players who can launch predatory pricing if spectrum is given cheaply.
As per ISpA, TRAI and government should price the satellite spectrum in a manner that addresses the concerns related to fair pricing. Additionally, the traditional use cases of satellite services for the traditional market that is in rural and remote areas and for government agencies can be priced differently.
Traditionally, satellite-based communication systems are used to provide coverage to the remotest and most inaccessible areas of a geographically widespread country like India. They can also cater to strategic defence requirements and improve the disaster resilience of the country in addition to offering backhaul bandwidth to telecom operators. However, some players have built capabilities to offer broadband services directly to mobile phones and want to break into urban markets as well. This could disrupt traditional mobile operators’ business models.
