Under the new FDI rules, foreign investors can now invest up to 100% in manufacturing components, systems, and subsystems for satellites, ground segment, and user segment.
Foreign investors can invest up to 49% in launch vehicles, associated systems, and spaceports under the automatic route.
Elon Musk is scheduled to visit India on April 21 and 22, 2024, and is expected to make several announcements, including the launch of Starlink in India and investments ranging from $2 billion to $3 billion.
Musk-owned Starlink has applied for a permit to start satcom services in India. The company has a constellation of approximately 4,000 low earth orbit (LEO) satellites, which could provide high-quality internet services to rural areas.
Indias share of the global space economy is currently between 2 and 3%. The government aims to increase this share to over 10% by 2030.
The new FDI rules allow private companies to collaborate with ISRO, leveraging its infrastructure and expertise.
Indias space program has a rich history dating back to the 1960s. The country has successfully launched numerous satellites, including the Chandrayaan lunar mission and the Mars Orbiter Mission.
India is exploring the potential for space tourism, with plans to offer suborbital flights to space enthusiasts.
Indias space sector faces challenges such as limited funding and competition from global players, but also presents opportunities for innovation and economic growth.
The new FDI rules encourage the private sector to play a significant role in Indias space development, fostering collaboration and innovation.