Elon Musk’s satellite internet venture, Starlink, will be restricted to serving only 20 lakh customers across India, with speeds of up to 200 Mbps, Union Minister of State for Communications, Pemmasani Chandra Sekhar, said on Monday.

Speaking on the sidelines of a Bharat Sanchar Nigam Limited (BSNL) review meeting, the minister downplayed concerns that satellite communication services would pose a significant threat to existing telecom operators, particularly the state-run BSNL.

“Starlink can have only 20 lakh customers in India and offer up to 200 Mbps speed. That won’t affect telecom services,” Pemmasani stated, aiming to ease fears of disruption in India’s established telecommunications market.

The satellite internet service is expected to primarily target rural and remote areas where traditional broadband infrastructure remains limited—regions where BSNL already has a strong presence. However, the minister emphasized that high costs would limit widespread adoption.

“The upfront cost for satcom services will be too high, and the monthly cost may be around Rs 3,000,” he said, suggesting that the premium pricing would naturally restrict the service’s market penetration.

These high entry costs are likely to position Starlink as a niche service rather than a mass-market competitor to existing mobile and broadband operators, who serve millions of customers at significantly lower price points.

Addressing BSNL’s competitive position, Pemmasani announced that the state telecom operator has completed its 4G network rollout across the country. He indicated that the company would now focus on market expansion rather than revenue optimization through tariff hikes.

“We want the market first. There are no tariff hikes planned,” the minister said, suggesting BSNL will maintain competitive pricing to defend its market share, especially in rural areas where Starlink may aim to establish a foothold.