India has put on hold the final approvals required for Elon Musk's satellite internet service Starlink to begin commercial operations, following security concerns raised by government agencies.
Officials under the Ministry of Home Affairs have reportedly withheld the final security clearances needed for the service to launch in the country.
Concerns intensified after reports that Starlink terminals were used during the recent Iran conflict despite the service not being licensed in Iran.
According to the sources, Indian authorities are concerned about their ability to ensure compliance from a US-based satellite operator during periods of geopolitical tension.
The delay has also stalled a satellite spectrum pricing proposal that must be approved before Starlink or other satellite communication providers can begin commercial services. While the Department of Telecommunications has finalised the framework, it has not yet been sent to the Union Cabinet for approval.
Starlink received a Global Mobile Personal Communication by Satellite licence in India nearly a year ago, allowing it to prepare for operations and enter into agreements. However, the licence was only one part of the regulatory approval process.
Indian officials have reportedly sought additional compliance measures from the company after reviewing security demonstrations conducted last year. Authorities are seeking assurances on how Starlink would meet Indian security requirements if foreign governments make conflicting demands during international crises.
The increased scrutiny has extended to the wider satellite communications sector. According to the sources, authorities are also examining arrangements involving domestic telecom operators Reliance Jio and Bharti Airtel, both of which have partnerships with European satellite communication providers.
Starlink has continued discussions with Indian authorities and has submitted affidavits emphasising compliance with local data storage requirements. The company has also established infrastructure in India, including around 10 gateways and a hub in Mumbai.
Despite these efforts, authorities are reportedly unwilling to grant final approval until security concerns are fully addressed.