Telecom-Satellite collaboration to extend digital reach in Africa and India

GlobalData’s analysis highlights a significant opportunity among micro, small, and medium-sized enterprises (MSMEs) in India, with comparable potential in the African markets where Airtel operates.

author-image
Voice&Data Bureau
New Update
partnership

Airtel Africa is the latest telecommunications operator to partner with low-Earth orbit (LEO) satellite provider Starlink in a move aimed at extending service coverage and reach. The agreement was facilitated by parent company Bharti Airtel, which entered into a similar partnership with Starlink in India in March. According to GlobalData, a data and analytics firm, the collaboration between Airtel and Starlink could benefit both organisations as well as enterprise customers and businesses. However, it remains subject to regulatory approval in India and in five African countries within Airtel Africa’s footprint, where Starlink does not yet hold operating licences.

Advertisment

Ismail Patel, Senior Analyst for Enterprise Technology and Services at GlobalData, commented,
“For Starlink, partnerships with telecoms operators provide access to on-the-ground points of sale as it competes with other LEO satellite providers for global market share. For operators such as Airtel, Starlink offers the potential to extend services to business customers located in rural areas, including educational institutions, healthcare centres, logistics companies, agricultural and mining operations, remote tourist destinations, and others requiring more robust service quality. There is also scope for both Airtel India and Airtel Africa to enhance their cellular backhaul through Starlink.”

GlobalData’s analysis highlights a significant opportunity among micro, small, and medium-sized enterprises (MSMEs) in India, with comparable potential in the African markets where Airtel operates. The partnership between Airtel Africa and Starlink could play a role in advancing digitalisation in rural and semi-rural areas across the 14 countries in which Airtel Africa has a presence, particularly among MSMEs.

In India, the Confederation of Indian Industry reports that of the country’s 63 million MSMEs, more than 51% are based in rural areas. As of the end of 2024, fixed broadband penetration among households in India stood at just 9%, according to GlobalData.

Advertisment

Patel added, “Starlink is attempting to secure a foothold in the global market through a strategic mix of direct-to-consumer and business-to-business approaches. It has already formed partnerships with operators in the United States, Canada, Japan, Australia, and Ukraine. The company aims to capitalise on its early lead over competitors such as Amazon Kuiper, AST SpaceMobile, Telesat Lightspeed, and Eutelsat OneWeb, of which Bharti Airtel is a partial owner, all of whom are at varying stages of deployment and market expansion."

He continued,“Competition is expected to intensify as telecoms operators and satellite providers establish a growing number of partnerships to improve connectivity. Ultimately, this is likely to benefit business and enterprise customers. In this context, those operators and LEO providers that move early may be best placed to capitalise on a first-mover advantage.”