Starlink’s planned rollout in India has encountered a regulatory obstacle concerning its satellite data routing technology, days after the company said it was in active talks with the Indian government. The government is hesitant to approve the use of Starlink’s interlinked satellites for internet services without sufficient safeguards addressing security risks, according to inc42.com.
The concern centers on Starlink’s laser inter-satellite link (LISL) technology, which allows satellites to transmit data directly to each other in space, bypassing ground stations. This mesh network could route data generated by Indian users through servers outside India, raising national security concerns. Although Starlink has secured a satcom license, it is still awaiting final security clearance from Indian authorities, per inc42.com.
This development follows reports that Starlink terminals were used in Iran amid geopolitical tensions, prompting the Indian home ministry to freeze approvals for the company. The regulatory scrutiny highlights the challenges foreign satellite internet providers face in India’s tightly controlled telecom sector. Starlink’s situation contrasts with other satellite internet ventures that do not use interlinked satellites, underscoring the sensitivity around cross-border data flows, according to inc42.com.
Starlink’s entry into India remains on hold pending resolution of these security concerns and final clearance from the home ministry. The company’s satcom license was granted earlier this year, but no commercial services have launched as of June 2026, inc42.com reported.