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Musk in his recent posts on X has categorically targeted Reliance Industries chairman Mukesh Ambani, accusing him of monopolising the telecommunication sector. File photo

As Musk flays Modi govt, space start-ups tread carefully, ex-ISRO chief, Zoho co-founder hit back

G Madhavan Nair tells Musk India is self-reliant in telecommunication services while Vembu defends India’s low-cost data ecosystem and Centre’s thrust on competitive economy


At a time when notable Indian space sector players have remained largely silent over American businessman Elon Musk's swipes at the Indian government over regulatory approvals for Starlink, former Department of Space secretary G Madhavan Nair and Zoho co-founder Sridhar Vembu have rallied behind the government, defending its regulatory policies and asserting that India is self-reliant and doesn’t need Starlink for its Satcom needs.

In a post on X, Nair told the SpaceX and Starlink promoter that he has no understanding of India.

“Apologies Mr Elon You have no understanding of India We have strong digital connectivity covering entire Indian continents Thanks to Ambani and others for terrestrial network 4/5G and ISRO for satellite systems There is nothing left for you to cooperate," Nair posted on X.

Also read: Musk takes fresh swipe at Ambani, says Starlink will benefit Indian consumers

Interestingly, none of the Indian space sector lobby bodies or the notable promoters of various startups have publicly commented on Musk's remarks, while industry leaders from other sectors have voiced their views in support of India.

Why are Indian space startups silent?

With Indian space startups receiving funds from US-based private equity players and launching their small satellites on SpaceX rockets, perhaps the startups have taken the view that remaining silent was better.

Nair, a former chairman of the Indian Space Research Organisation (ISRO), told The Federal: "There should be a ban on Indian startups using foreign rockets for launching their small satellites. There is enough capacity within India."

"What is the fun in getting foreign investment, buying foreign sub-assemblies and launching in US rockets? Indian startups seems to be foreign agents not interested in the Indian economy or technology. The government should ban such operations," he said.

"India has proven technology for earth observation in multispectral infrared to UV X-ray and microwave. I feel these startups lack proper guidance. They are wandering like headless chickens," Nair remarked.

Nation’s security most important: ISpA

When asked why the Indian Space Association (ISpA) was silent on the issue, its director general, Lt. Gen. AK Bhatt (retd.) said the organisation respects the government procedure that is being followed to allow Satcom players to operate in India.

“As an industry body we respect the Indian procedure and process being followed to allow Satcom players to operate in India. India's sovereign rights cannot be for the convenience of some foreign entity,” he told The Federal.

Also read: Elon Musk, world's first trillionaire, lives in a 400 sq ft house in Texas: 'No food in fridge'

“The nation’s security in this critical domain is most important in the larger context," Bhatt added.

The other lobby body, Satcom Industry Association (SIA-India), remained silent on the issue when contacted for comments.

Vembu Defends India's low-cost data ecosystem

On the other hand, Sridhar Vembu, co-founder and chief scientist at Zoho while lauding India’s low data prices, praised Reliance’s Jio for making it possible.

“India has the among the lowest data prices in the world. It is so good that I don't even bother to connect to local Wifi when I travel in India and just tether my phone to work on my computer. Indians routinely have dual SIM phones with large data plans because they are so affordable. Ambani's launch of Jio is directly responsible for the low data prices Indians enjoy,” he said in a post on X.

Stating that the Narendra Modi government doesn’t tolerate monopoly, something which Tesla has managed to do in the US by removing Chinese competition, Vembu said it instead worked towards a competitive economy where the benefits flow to the average Indian.

"Directly due to Modi government policy, Indian startups are making major advances in low cost rockets and that poses a threat to SpaceX the same say the Chinese EVs threaten Tesla. These are the facts Elon," Vembu added.

Musk’s attack

Musk, the promoter of SpaceX and Starlink Satellite Communication, has been making sarcastic comments about the Indian government and others on X.

It started with an X post on October 7 in which he targeted certain “oligarchs” in India whom he accused of blocking companies like Starlink in their bid to “maintain their monopolistic chokehold on the Indian people.”

Also read: Centre rejects Elon Musk’s Starlink ‘Oligarchs’ allegation, says rules are fair

“You can guess who they are … This is a crime against the people of India!” Musk’s post said.

In his second post on the issue the next day, he chose to directly target Reliance Industries chairman Mukesh Ambani, asking if he was the “real boss of India”.

“Starlink is licensed in over 165 countries and has spent five years complying with every single law and requirement of the government of India, so why still no license? Is Ambani the real boss of India?”

On October 9, Musk escalated his attack on Ambani with another acerbic post: "Dear Prime Minister Ambani, Please accept my humble apologies for not realizing that you are the real boss of India. Naturally, you would prefer to maintain your monopolistic exploitation of the great people of India, but would you nonetheless consider allowing Starlink to compete? There are many areas of India, as there are in all countries, with no Internet access, which denies children the opportunity for education and for small businesses the opportunity to sell their goods to a global market. Starlink would change their lives for the better. Thank you."

Government rejects Musk’s charges

For its part, the Indian government has refuted all the allegations Musk levelled.

"The government has put in place a fair and non-discriminatory authorisation framework for all telecommunication services, including satellite communication services. Under this, telecom licences have been granted to three Global Mobile Personal Communication by Satellite services based on non-geosynchronous satellite orbit based satellite communications, as part of its commitment to enable provision of satellite communication services in India," it said in a statement.

Also read: Oligarch Star Wars: Musk, Mukesh, and the fight for India’s satcom market

"Under the terms and conditions of license, every such licensee is required to demonstrate compliance with security conditions. This is aimed at ensuring that services provided meet various security requirements to ensure safety of all users and their data," the statement said.

"Security assessment as part of this process is currently under way in respect of all three licensees. As and when this process is completed for a licensed entity, it may proceed to the next step of seeking assignment of spectrum. At present, all three entities are at broadly the same regulatory stage. As such, the suggestion that the framework or its application is unfair or discriminatory is baseless and misconceived," it added.


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