Up in the air: High-flying battles for satellite broadband services

The industry is sharply divided over whether spectrum should be auctioned or distributed by administrative fiat

The market for satellite broadband services may be tiny still — just $10-15 million, according to Bharti’s Sunil Mittal. But the big potential that lies in reaching remote locations, especially in rural areas, factories and eventually homes and even mobile phones has attracted global satellite companies in droves to India. That is why industry arguments over spectrum pricing have become crucial to the future of the business.

The battle lines were clear last week following a consultation paper circulated by the Telecom Regulatory Authority of India (Trai) asking stakeholders about the best way to allocate spectrum.

There was broad consensus