Indian government hesitant over Starlink ahead of SpaceX IPO

Plans by Elon Musk's SpaceX to bring millions of new users to its satellite internet network may be at risk due to issues with the Indian government. After years of negotiations, SpaceX had obtained a license to operate in India in 2025, but according to Bloomberg, New Delhi has temporarily halted the process. This is reported by Techcrunch.com reports .

The reason is reportedly the unauthorized use of the Starlink system in Iran. Indian officials are concerned that the company may not fully comply with local laws. SpaceX Vice President Lauren Dreyer denied these reports on social media, stating that negotiations with the government are proceeding productively. Nevertheless, Bloomberg notes that negotiations have not stopped entirely, but the process has slowed down.

The delay in entering the Indian market could negatively impact the expected SpaceX IPO process. Financial reports show that the growth in the number of Starlink users is slowing. The value of the system depends on the number of countries it covers, as the costs of building global infrastructure are fixed, and revenue relies solely on the number of subscribers.

The Indian government has set strict requirements for local data storage and network security. Although SpaceX is trying to meet these conditions, the incident in Iran has sparked fears in the government about losing control over Starlink. Previously, Ukrainian military officials also complained about communication being cut off by Elon Musk in 2022.

Additionally, Starlink's negotiations with the Taiwanese government have reached a deadlock. This is attributed to Musk's view of Taiwan as part of China and his refusal to work with local partners. Uncertainties in a major market like India are calling into question the future of a project that is of strategic importance to SpaceX.