OneWeb services can add immense value to telcos in form of backhaul for 5G: Rahul Vatts, Airtel

At the ongoing TLF 2022, Rahul Vatts, Chief Regulatory Officer, Bharti Airtel, presented the keynote on the space race and ground realities.

He said that the conference theme, “Era of convergence from 5G to GenZ," is timely as India is set to usher in the league of 5G nations this year.

At Airtel we are really excited to be part of this journey. We have our 5G ready network, and are ready to deliver this new experience to our valued customers.

Today, I would like to talk about the space segment where the Bharti Group has taken a very giant leap by investing in OneWeb, and partnering with the best with the aim to bring connectivity to the hitherto unconnected parts of the world through its LEO constellation of satellites.

Space the next frontier

Space is the next growth frontier for mankind, from inter planetary travel to setting up broadband networks in the sky, to LEOs, with the aim to connect everyone to a better future.

As India continues to position itself as an important international player in space technology, it is moving towards increasing its capacity and capability to use space technology products and services, not just for societal applications, but to support commercial space activities and pursue diplomatic as well as security objectives.

The Indian space programs is one of the world’s fastest growing. India’s space sector has grown in the last decade to include TV and broadband services, space science, exploration, space-based navigation, defence and security applications, applications from schools, hospitals, etc., and, as we have seen, an increase in the investment in space product and services.

The government of India, under the visionary leadership of Prime Minister Narendra Modi, has unleashed bold reforms for the space industry. These include setting up In-SPACe, the space regulator, and encouraging the participation of private enterprise through the ease of business. The PM had asked the industry to look at forming an association that can complement the efforts of the government and unlock the benefits of the reform process.

This underscores the government's fresh approach to get participation and views from the private sector to accelerate the growth of India's space industry and make it a global hub.

The PM, at the launch of ISPA or Indian Space Association, said that under government of India's approach there are four pillars, namely: freedom of innovation to private sector, government of India as an enabler, future-ready talent, and space as a resource for the common man's purpose. The time for linear innovation is over. But, it is for exponential growth now, and the government is not a handler, but an enabler. We strongly echo the views of the government that India has the potential to become a major player.

With around $360 billion space industry globally, India has a potential to become a technology leader in the global space industry. Globally, the space race has totally begun and is accelerating every day with powerful, large countries moving their space agenda at fast pace. In such cases, government support is critical. We have the skills and infrastructure in form of ISRO to grow our share of global marketing, high end technology into the country and also create skilled jobs.

Private participation in space communication sector opens up multiple opportunities for India. Out of a total space economy globally at $370 billion, Indian share is hardly 2.6% in 2020, whereas India's space economy is likely to reach $12.8 billion by 2025 with a CAGR of more than 6%. We are at a tipping point for satellite industry's growth in India. All industries and technologies need to work in harmony to fulfill the vision of global connectivity, and broadband for all.

Our view is that satellite companies and telcos can co-exist, which is critical for satellite services. We also await the final clarity on the new spacecom policy from the government. Media reports suggest that the government is ready to come up with this policy in early April.

OneWeb is here!

Now, let me turn to OneWeb. As a major investor in OneWeb, Bharti group is leading the private satellite revolution in India. OneWeb will bring connectivity to every square inch of the country, connect the remotest part of the country, all the way from Jaisalmer to the hills of Northeast, from the Indian Ocean all the way up to the North. OneWeb has already launched nearly 400 satellites, and a total of 650 plus LEO satellites will be finally launched.

We believe that OneWeb services can add immense value to telcos in the form of backhaul for 5G in remote areas serving industry, as well as in IoT for use cases like maritime aviation and defense. In India. We will distribute this through our partner use. OneWeb aims to commence services 50 degrees north latitude this year and cover the globe by end of 2022.

Our aim is to start services in the country later this year. We have also entered into an agreement with ISRO, where we will be using ISRO’s PSLV and new docket GSLV Mac III. This MoU is in place to explore the opportunities for this with OneWeb becoming a customer and using the commercial services from ISRO.

As an important player, we have submitted our inputs to the government on the draft spacecom policy and we are sure we have also been participants to the TRAI consultation papers which have been very timely With Pawan Goenka, In-SPACe, we are very sure that the spacecom policy is headed for the right formulation.

Policy and regulatory matters

What are the policy and regulatory dimensions which we are talking about? There is a considerable demand for satellite-based communications, which will grow with the implementation of initiatives like 5G, IoT, etc. The space communication sector will be able to harness these opportunities if our policy and regulatory frameworks played their critical role. Some of the ingredients are already there!

The NDCP, which is our National Digital Communication Policy, clearly identified the complementary role of the satellite and connect it. To quote: “It is necessary to explore and utilize the opportunities presented by next generation networks like 5G and other pioneering network xx technologies, including satellite communication,” and create specific strategy 1.3 in the policy towards it listing out the action items, with recent telecom reforms having set the path for industry's future, and within space as a new regulator for the private sector. We are hopeful and positive that the space sector is moving towards a reformist trajectory.

To launch the service in India, we would need landing rights and set up ground stations. We are at a very advanced stage of this interaction and discussion and approval with the Government, and the Department of Telecom and ISRO.

In terms of policy expectations, what does it mean? We need to have absolute foundation to have visionary policy with clear and implementable milestones. The policy must pivot around attracting sustainable investments and private participation.

India needs a policy mix that nurtures and secures the private industry. A policy that promotes ease of doing business, keeps cost of rollout low and cost of compliance as manageable, since the sector is being opened for the first time for private ecosystem for investors and entrepreneurs.

This would mean we have to have simple and predictable policy regime. Therefore, policy must ensure a level playing field, non discriminatory, fair and consistent and not disturb the long-term investments by sudden flex opportunities. Specifically, India is, today for gateway. We are required to apply for a service license. The time has come to change this perhaps to a registration certificate, and the service license may be used for providing a service in retail.

The regulatory approval process should also be simple. The new formulation and In-SPACe is going to ensure that processes should not be duplicated, and it should address the genuine concerns of a single window system for getting the clearances in place.

Spectrum critical

Spectrum is also a very critical part as spectrum capabilities will be the lifeline for space and satellite sector. It is absolutely critical that we follow the global best practices and nullification of bandwidth. We follow the ITU radio regulations and prioritize satellite spectrum allocations as the way that the ITU has decided.

Existing regulatory changes also need to be rationalized inducing the levy to cut down the cost of expensive bandwidth. There should be opportunities available in USO support and it is being done across the world and India to we can use the USO subsidy support to connect the unconnected villages rural remote areas to satellite services. With Atmanirbhar Bharat, the focus is again shifted to achieve sustainable development through local manufacturing.

Thus, for space sector in India, the time is ripe for formulation of industry friendly policies, various stakeholders, including the private players get their voice heard and thus can draw the fullest of their capacity for the benefit of the industry.

Another important aspect is to look at the approach we are going to have towards broad oversights. We are going to have on pricing and business models, and it is better to rely on exposed approach for regulating the sector then ex-ante intervention. And, that should be for exceptional cases only.

We need to make the Regulatory Impact Assessment a standard practice from day one to be among the world's finest regulators.

As we transition this journey of space, I'm sure with the vision of this government and with active support from the regulators like In-SPACe and TRAI is headed for a very enterprising launch. We look forward to the launch of OneWeb services in the coming months.