Satellite internet Starlink to make entry in Bangladesh

SpaceX's satellite-based internet service, Starlink, is preparing to enter Bangladesh. To facilitate satellite internet in the country's remote and underserved areas, the Bangladesh Telecommunication Regulatory Commission (BTRC) is working on guidelines.

On Tuesday, the regulatory body published a draft guideline titled "Non-Geostationary Orbit (NGSO) Satellite Services Operator," open for public feedback until November 18.

The guideline states that for building, owning, maintaining, and operating NGSO satellite systems and services, 100% foreign direct investment (FDI), foreign partnerships, joint ventures, or investment from expatriate Bangladeshis are permitted.

In the case of foreign investment, companies must follow the government’s FDI policy. In addition, all rules, regulations, and directives from Bangladesh Bank, Bangladesh Investment Development Authority (BIDA), and other relevant authorities will apply.

Licensed companies will be allowed to provide certain NGSO satellite services, including broadband internet, intranet services (domestic data communication), Internet of Things (IoT) and machine-to-machine communication, mobility services with earth stations, earth exploration satellite services, remote sensing or weather-related services, and other BTRC-approved services.

However, these companies will not be permitted to provide direct-to-home, broadcast, satellite IMT-based services, or telecommunications services.

A registration application fee of five lakh BDT has been set for obtaining the license, with an acquisition fee of $10,000 and an annual fee of $50,000. Additionally, an annual station or terminal fee of $20 per terminal will apply. According to the guidelines, the license period will be five years.

License-holding companies must pay BTRC 5.5% of their annual audited gross revenue, along with an additional 1% of gross revenue as a contribution to the "Development and Management of the Space Industry."

Since 2021, Starlink representatives have held several meetings with the previous government to explore satellite internet services in Bangladesh. Recently, a Starlink delegation met with the Executive Chairman of the Bangladesh Investment Development Authority (BIDA), Md. Ashiq Chowdhury. During the meeting, Starlink received positive responses from the government regarding licensing for internet services in Bangladesh.

Under the proposed guidelines, providers like Starlink are required to retain IPDR (Internet Protocol Detail Record), TDR (Transaction Detail Record), and CDR (Call Detail Record). However, Starlink will need to acquire bandwidth through an International Internet Gateway (IIG) to operate internet services within Bangladesh.

SpaceX, one of the largest companies in the global market, currently provides satellite internet services in over 60 countries, with approximately 4,519 Starlink satellites in orbit. Additionally, British company OneWeb has also launched several hundred satellites into space, while Amazon founder Jeff Bezos plans to launch over 3,200 satellites in the coming years to provide global internet coverage.

However, this technology is extremely costly in the context of Bangladesh. Starlink’s monthly service charge is around $120, with hardware setup costs ranging from $350 to $599. In contrast, local internet providers in Bangladesh charge about 500 BDT (around $5) per month for 5 Mbps broadband, and mobile internet costs range from 400 to 500 BDT (approximately $4 to $5) per month for 30 GB of data.

On this matter, telecom policy analyst Mostafa Mahmud Hussain told Views Bangladesh, "Starlink will surely adjust internet data prices, taking Bangladesh's socioeconomic conditions into account."