Elon Musk has accused unnamed interests of obstructing Starlink’s launch in India, alleging that the delays protect established telecom market positions. His remarks have brought competition in satellite internet services into focus, particularly given the presence of major operators Bharti Airtel and Reliance Jio. The Indian government has rejected claims that its regulatory framework discriminates against Starlink, saying licensed satellite communication providers must meet applicable security requirements. The dispute centres on Starlink’s delayed commercial rollout and the regulatory conditions governing satellite connectivity in India.

Elon Musk has blamed unnamed Indian “oligarchs” for holding up the launch of Starlink, while the government denied suggestions that India’s regulatory framework is unfair or discriminatory.

The beginning of Starlink India has become the subject of a dispute between Elon Musk, the founder of SpaceX, and Indian authorities, after Musk claimed that unnamed vested interests were holding up his satellite internet service.

“This is a crime against the people of India,” Musk wrote on X, alleging the obstruction was intended to safeguard incumbent market positions.

The Indian telecom and internet market is powered by Bharti Airtel, run by Sunil Mittal, and Jio, owned by Reliance Industries and run by Mukesh Ambani.

The report cites data to say that together the two companies account for more than 80% of India’s telecom market, putting a spotlight on competition in satellite connectivity.

Elon Musk targets India’s telecom market

Starlink was being blocked by “certain oligarchs” who wanted to keep what Musk called a “monopolistic chokehold” on Indian consumers, Musk claimed.

In the post, he didn’t name any companies or individuals, but suggested readers might be able to guess which competitors he was talking about based on the market structure.

The comments follow Starlink’s continued delay in launching commercial operations in India, despite SpaceX securing a government licence for the service last year.

India’s government later rejected claims that the country’s regulatory framework discriminates against Starlink, calling the allegations “baseless and misconceived” in an official statement.

The government said in the statement it had issued licences to three global satellite communications providers but did not name them.

It said every licensee would need to demonstrate compliance with the security requirements, citing regulatory obligations related to satellite communications and network operations in India.

Elsewhere, Musk said Starlink would provide low-cost, high-speed internet to Indians who can’t afford current prices for connectivity, and positioned the service as a digital access opportunity.

Reliance Jio remains India’s largest telecom operator and has been credited with dramatically lowering the cost of high-speed mobile data ever since it entered the market.

The planned entry of Starlink is also coming as Indian telecommunications companies are expanding their own satellite connectivity ambitions, creating a more competitive market for emerging internet technologies.

In June, Jio Platforms said it would offer low-earth orbit satellite communications. Akash Ambani said the company was working with global constellation operators to lease satellite capacity.

In 2025, SpaceX announced partnerships with Jio and Airtel to support the eventual deployment of satellite internet services across India by Starlink.

Starlink, however, has not yet launched commercially in India, where regulatory and security considerations are still in the mix.

CNBC reached out to Airtel and Reliance Industries for comment when asked about Musk’s accusations, while representatives for Starlink continued to highlight the benefits of the company’s proposed connectivity.

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According to SpaceX’s Vice President of Starlink business operations, Lauren Dreyer, there are about 11,000 Starlink satellites providing services in more than 170 countries.

Starlink works with governments and private companies to help bridge the digital divide, especially by expanding internet access to people living in remote locations, said Dreyer.

She also said Starlink has been working for years to serve India, citing its memoranda of understanding with Airtel and Reliance Jio.

Starlink has faced pushback on security requirements from regulators, but the company previously denied that was the reason behind the delay of its India launch.

Regulators in New Delhi had suspended some approvals amid concerns that Starlink terminals could be capable of operating without the necessary licenses, Bloomberg reported in June.

Neil Shah, partner at Counterpoint Research, said authorities were still worried about a foreign company operating sensitive satellite communications infrastructure and questioned terminal geofencing and data localisation requirements.

Starlink could get approval in time as Indian companies develop rival satellite internet services, Shah said, but he stressed level playing field conditions would still be important.

“Starlink could effectively monopolise the satellite communications segment in India when commercial operations commence, if there is no level playing field,” he added.

As satellite connectivity becomes increasingly critical to India’s digital infrastructure, Sprouts News will continue to follow regulatory decisions, commercial partnerships and developments around the Starlink India launch.