NewSpace India Ltd (NSIL), the commercial arm of the Indian Space Research Organisation, has announced a significant revision in satellite bandwidth pricing.

Effective from 1 April, the rates have been increased by 20%, marking the first adjustment in a decade. The decision reflects a broader reset in how orbital capacity is valued, as demand patterns undergo a notable shift.

The change was formally communicated to customers in a letter dated 18 September, reviewed by Mint. It will directly impact broadcasters, direct-to-home (DTH) platforms, and companies that lease capacity for television distribution.

Other affected sectors include connectivity providers for ATMs and remote areas, maritime operators, defence projects, and enterprise communication networks. These industries rely heavily on satellite bandwidth to maintain operations across dispersed and often inaccessible regions.

The revision comes at a time when traditional DTH usage is weakening, reducing its dominance in the satellite bandwidth market. In contrast, new sectors such as aviation, maritime, and defence are increasingly competing for capacity, driving demand in directions that were less prominent a decade ago.

This shift has prompted NSIL to undertake a long-delayed correction in pricing, aligning costs with the realities of a more diversified and competitive market.

The move signals a strategic recalibration in India’s satellite services sector, acknowledging that orbital capacity is a scarce resource. By raising prices, NSIL aims to balance declining demand in legacy applications with rising requirements in emerging fields, ensuring that bandwidth allocation reflects both market value and operational necessity.

Agencies