Bangladesh’s telecom industry has welcomed the move to introduce satellite internet services, with operators urging the Bangladesh Telecommunication Regulatory Commission (BTRC) to adopt a collaborative approach in implementing this new technology. This initiative, which seeks to bridge digital divides, enhance backhauling, improve disaster management, and optimize customer data usage, has the potential to revolutionize Bangladesh’s connectivity landscape.
The BTRC uploaded draft guidelines for Non-Geostationary Orbit (NGSO) Satellite Service operators on October 29, seeking public feedback by November 18 to finalize the regulations. This marks a critical step towards integrating satellite internet into the country’s telecommunications infrastructure, opening the door for foreign companies, such as Elon Musk’s Starlink, to enter the market.
Shahed Alam, Chief Corporate and Regulatory Officer of Robi Axiata, expressed support for the initiative, recognizing the potential of satellite internet to transform data services in Bangladesh. However, he raised concerns over the practicality of the proposed guidelines, emphasizing the need for a collaborative effort to successfully integrate satellite services into the country’s telecom ecosystem.
Taimur Rahman, Chief Corporate and Regulatory Affairs Officer at Banglalink, also welcomed the public consultation process, which he believed would provide valuable insights into the future direction of satellite internet. He noted that the telecom operator was carefully evaluating the potential impact of these guidelines on the industry and foreign direct investment, emphasizing the importance of balancing stakeholder interests.
Sharfuddin Ahmed Chowdhury, Head of Communications at Grameenphone, stressed the importance of ensuring non-discriminatory treatment in licensing and promoting healthy market competition among all players. He also highlighted the necessity of addressing security concerns and including appropriate provisions in the licensing obligations.
The Internet Service Providers Association of Bangladesh (ISPAB) voiced support for adopting new technologies, provided that their suitability for the country and its people is thoroughly assessed. ISPAB President Md Emdadul Hoque urged the BTRC to consult with stakeholders before implementing satellite internet services, as foreign companies could take capital out of the country.
The draft guidelines stipulate that any company registered under the Companies Act 1994, including foreign-owned entities, can apply for a license to build, maintain, and operate NGSO Satellite systems and services in Bangladesh. The guidelines permit 100% foreign direct investment (FDI) or joint ventures, allowing global players to participate in the country’s satellite services.
The license, valid for five years, authorizes providers to offer a range of services, including broadband internet, intranet, IoT, remote sensing, and satellite-based communications. However, providers are not allowed to offer direct-to-home services, broadcasting, or telecommunications services.
Other regulatory details include a Tk5 lakh application fee, a $10,000 acquisition fee, and an annual license fee of $50,000. Operators will also need to pay 5.5% of their gross revenue to the BTRC and contribute 1% to the development of the space industry. Additionally, operators must establish at least one local gateway in Bangladesh to serve user terminals, which must authenticate and route traffic through this gateway.
As the industry continues to assess the guidelines, the successful implementation of satellite internet services in Bangladesh could be a game-changer for connectivity, digital inclusion, and economic development in the country.
