During Indian Prime Minister Narendra Modi’s U.S. visit to meet President Trump, he met with SpaceX CEO Elon Musk. The meeting’s specifics remain unclear, though Modi stated on X that they discussed various topics, including space, transportation, technology, and innovation.
Trump recently appointed Musk to lead the new U.S. Department of Government Efficiency (DOGE).
Modi and Musk also met in New York in 2023. Musk then expressed confidence that Tesla would enter the Indian market “as soon as humanly possible.”
Trump’s Uncertainty Regarding Modi and Musk’s Meeting
Their Thursday meeting occurred during Modi’s U.S. visit. Musk was with his children, while Modi was accompanied by key advisors, including External Affairs Minister S. Jaishankar and National Security Adviser Ajit Doval.
At a White House press conference with Modi, Trump expressed uncertainty about the meeting’s purpose, speculating that Musk likely sought Indian business opportunities.
Trump stated to reporters, “I would imagine he met, possibly, because you know he’s running a company.”
India’s foreign ministry declared that Modi and Musk discussed enhanced collaboration between Indian and U.S. entities in innovation, space exploration, artificial intelligence, sustainable development, entrepreneurship, and good governance.
Musk’s Starlink Aspirations in India
Musk, a self-proclaimed “fan of Modi,” has long aimed to bring his Starlink satellite internet service to India. However, regulatory hurdles, security concerns, and opposition from domestic telecom companies like Reliance Jio have caused delays.
In November, India’s telecoms minister, Jyotiraditya Scindia, stated that Starlink hadn’t met security standards and a license would only be granted upon compliance.
Musk previously criticized India’s satellite spectrum auction policy. The government subsequently revised its policy, opting for spectrum allocation instead of auctions.
India’s Vast, Untapped Potential in Satellite Broadband
India’s satellite broadband market is highly competitive, with at least six companies, led by Reliance Jio, controlling it.
Beyond regulatory obstacles, Starlink faces opposition from Reliance Jio, which advocated for spectrum auctions to ensure fair competition.
Starlink operates around 6,900 active satellites, providing low-latency broadband to approximately 4.6 million users. However, its pricing could hinder market entry in India.
India boasts some of the world’s cheapest mobile data, with Jio previously offering free data. Despite this, at least 40% of India’s 1.4 billion people lack internet access. Affordable satellite broadband is crucial to bridging this digital divide, particularly in remote areas.
Tesla’s Delayed Entry into the Indian Market
Tesla’s Indian market entry has been hampered by high import duties on imported vehicles.
India’s electric vehicle market is still nascent, accounting for just over 2% of total car sales last year. The government aims to increase this to 30% by 2030.
A new policy offers concessional tariffs on fully imported electric vehicles from foreign manufacturers committed to local production.
—Sheikh Saaliq reported from New Delhi.
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