Satellite internet in bangladesh: bridging the gap or building new barriers?

ISMAIL HOSSAIN | Published: November 03, 2024 21:54:07

Bangladesh's recent draft policy to regulate non-geostationary satellite operators, like Elon Musk's Starlink, reflects the nation's ambition to extend digital connectivity to remote and underserved areas. Issued by the Bangladesh Telecommunication Regulatory Commission (BTRC), the Regulatory and Licensing Guidelines for Non-Geostationary Orbit (NGSO) Satellite Services Operators set the framework for integrating satellite internet services. While the move holds promise for bridging digital divides, it also imposes certain restrictions that may limit the full potential of this technology. Key stipulations, such as the requirement to set up local hub, route data through local gateways and high operational fees, present both challenges and opportunities as Bangladesh strives to balance the advantages of satellite internet with its national security and regulatory priorities. The BTRC is accepting public input on the guidelines until November 18, inviting debate on how best to shape this emerging sector.
Satellite internet overview
Unlike terrestrial broadband, satellite internet relies on satellites orbiting Earth to provide connectivity; particularly valuable in remote areas that traditional infrastructure cannot easily reach. While cable internet has traditionally dominated due to lower costs, advances in satellite technology have made it faster, more affordable, and increasingly viable in areas with limited connectivity. With geostationary satellites capable of covering large areas and low Earth orbit (LEO) constellations like Starlink expanding access even further, satellite internet now reaches almost anywhere, providing vital connectivity in underserved regions globally.
Key advantages of satellite internet
Satellite internet's main advantage is availability. As satellite networks grow, consumers in remote areas gain access to internet services that otherwise wouldn't be possible, helping bridge the digital divide, as 40 per cent of the global population still lacks internet access. Unlike cable networks, satellite systems don't rely on towers or extensive underground wiring, reducing environmental impacts and enabling faster deployment.
Modern satellite internet can now rival or surpass early cable speeds, offering up to 1 Gbps and making it a feasible alternative in regions without fiber-optic infrastructure. Starlink's LEO satellites, for instance, orbit closer to Earth, reducing latency to between 25-35 ms, approaching fiber-optic levels and supporting applications like telemedicine and online gaming, which are traditionally hindered by high latency in satellite systems.
Challenges with satellite internet
Despite its advantages, satellite internet has some drawbacks. Latency remains a challenge, as data must travel from the user's device to the satellite and back. While LEO satellites like Starlink's improve latency significantly compared to traditional geostationary satellites, older systems can still experience delays of up to 600 ms, making real-time applications difficult. Additionally, weather can disrupt satellite signals, with storms, rain, and strong winds affecting connectivity. Physical obstructions, such as buildings or trees, may also interfere, requiring users to have a clear line of sight to the satellite.
The role of low earth orbit satellites in reducing latency
Starlink's primary innovation lies in its use of LEO satellites, which orbit much closer to Earth than traditional geostationary satellites, reducing latency to between 25-35 ms. With speeds approaching 1 Gbps, Starlink positions itself as a strong alternative to conventional broadband in underserved areas. To achieve global coverage, however, a vast number of satellites are necessary. Starlink alone plans to deploy an additional 30,000 satellites, creating a constellation that could reshape global internet access.
Bangladesh's satellite internet policy
Under Bangladesh's draft policy, satellite operators are required to route data through local gateways linked to the International Internet Gateway (IIG), a condition that limits satellite internet's independence from national infrastructure. This could also expose users to potential government-mandated shutdowns, as recently observed during political unrest. Security requirements are stringent, obligating satellite operators to comply with local laws, such as the Cyber Security Act, which grants extensive monitoring powers to the National Telecommunication Monitoring Center (NTMC). Operators are further required to store user data, including IP addresses and call records, for up to a year, a surveillance burden that could discourage new operators.
Financial obligations include a non-refundable application fee of USD 500,000, an annual license fee of USD 50,000, a 5.5 per ceent revenue share, and a 1 per cent contribution to a space industry fund. Although affordable for major companies like Starlink, these fees may deter smaller operators, potentially limiting market competition and diversity.
The policy also imposes operational restrictions, excluding options like direct-to-home broadcasting, which may restrict flexibility and innovation in the satellite internet services available to Bangladeshi consumers.
Industry perspectives
While the policy has been welcomed by mobile operators, it faces opposition from the Internet Service Providers Association of Bangladesh (ISPAB). ISPAB President Emdadul Haque noted that approximately 3,000 ISPs have already invested heavily to expand internet access across the country, even in remote areas, and he questioned the need for satellite internet in Bangladesh. On the other hand, industry expert Sumon Ahmed Sabir expressed doubts that the policy's requirements, particularly the need for local hubs, would attract companies to the Bangladeshi market. He remarked that with the mandatory local gateway, satellite internet would essentially resemble broadband or mobile internet in its operations.
Public consultation and future prospects
The BTRC's consultation period offers stakeholders a platform to advocate for a balanced regulatory framework that prioritizes both security and innovation. Modifying the data-sharing mandates and surveillance requirements could create a more open market, attracting both large and small satellite operators. With a judicious regulatory approach, satellite internet could play a transformative role in Bangladesh's digital landscape, enhancing connectivity while respecting privacy and security concerns.