‘Must compliment Elon Musk…’: Sunil Bharti Mittal on pushing the boundaries of satcom connectivity

Bharti Group founder Sunil Bharti Mittal complimented Elon Musk for pushing the boundaries of satcom connectivity but also underlined the caveat. He said the amount of capacity that’s being created now was unimaginable earlier.

In an interview to The Economic Times, Mittal said, “Satcom connectivity is definitely coming, but I strongly believe it's a complementary service and not a supplementary service. It cannot supplement terrestrial networks by its very nature of design. I must compliment Elon Musk that he is pushing the boundaries. The amount of capacity being created was earlier thought to be impossible. So you have to give him the credit, but at the same time, the cost for a bit, cost for a GB, is never going to be at a point where he can contest fibre or terrestrial radio connectivity.”

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He said some markets like the US, Europe and Japan can be picked up by satellite services because the ARPU – average revenue per user – is  $50-60. “There's a game to be played there,” he said, adding that connecting a home or getting a mobile customer at $50 is sustainable.

Mittal said even Elon Musk with his “fanciful technology” is picking up on local spectrum, building networks on the ground and then combining satcom and terrestrial networks. “So in the end, even he's saying the same thing that we are saying, you can only be complementary,” said Mittal.

He said in India the ARPU is around $3 and questioned why anyone would want to fight a $3 ARPU market when satcom needs very high ARPU. “Secondly, in India, unlike even the US, we don't have dark spots. We have coverage available everywhere the population is there. It’s unique that in $3 you have covered the entire country,” said Mittal.

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“I think the ARPUs are so low, and connectivity is very good, so I don't see a problem. My own view is you will see them combining with local terrestrial operators in India and try their luck in the US,” he added.

Mittal had earlier said that the delay in licences for satellite internet services was not only for Elon Musk, unlike what he had claimed. “We are all awaiting our approvals. I am significantly ahead of him in the queue. I applied five years back. I have had my ground network ready for the last three years. My satellites have been hovering over India for the last five years. We don't have the permission. So, we will be very happy to get it at least a few days before him,” he had said.