Indian Govt Requires Starlink Data Storage as Condition for Market Entry

Elon Musk’s Starlink has agreed to store all data and user traffic from its Indian customers within India’s borders, fulfilling a critical condition to launch its satellite internet services in the country.

The Indian Department of Telecommunications (DoT) granted Starlink Satellite Communications Private Limited a Unified License after the company accepted rigorous security measures, including the installation of earth station gateways physically located in India.

The data localization mandate ensures that no Indian user traffic is routed through or stored on servers outside India. This security requirement prohibits data mirroring, copying, or decryption abroad, reflecting India's growing focus on data sovereignty and safeguarding national security.

Data Localization Requirements

Under the regulatory framework, Starlink must process all domestic user traffic exclusively within Indian geographic boundaries. No traffic can be relayed through gateways or servers outside India, ensuring full control over data generated or exchanged within the country.

Did you know?
Starlink must establish earth station gateways in India to legally provide satellite internet services, ensuring user data remains within country borders.

Market Launch and Licensing

Starlink received its Unified License from the DoT in June, followed by clearance from the Indian National Space Promotion and Authorisation Centre (IN-SPACe) valid for five years.

Before commercial services begin, Starlink must acquire spectrum and build necessary infrastructure, with trial spectrum allocation planned to verify security compliance.

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Impact on India’s Connectivity Landscape

We expect the launch of Starlink's satellite internet services to improve connectivity in underserved and remote areas of India. The initiative will also generate local employment through the installation, operation, and maintenance of telecom networks and user equipment.

Services could begin by late 2025 or early 2026, with monthly subscription costs expected between ₹3,000 and ₹4,200.

Strategic Implications

India’s insistence on local data storage highlights its emphasis on securing digital infrastructure amid expanding satellite internet technologies. Starlink’s compliance ensures it meets Indian regulatory standards, paving the way for broader adoption of satellite internet in one of the world’s largest markets.

Starlink’s entry represents a significant step in balancing cutting-edge global technology with stringent national data governance policies.