Tata-Backed Nelco Targets 2028 For Direct-to-Device Services, India Among First Markets

Tata Group-backed Nelco plans to begin trials by the end of 2027 and launch commercial direct-to-device satellite services in India and other South Asian markets by early 2028

The Financial Express
Photo: The Financial Express
Summary
Summary of this article
  • Nelco has invested $20 million (₹191.2 crore) for a minority stake in Lunar Holdco, which operates under the Elveo Mobile brand.

  • The company plans to start D2D trials by the end of 2027, subject to regulatory approvals.

  • Nelco will work with mobile operators rather than compete directly with them in the consumer market.

Tata Group-backed satellite communications company Nelco is targeting early 2028 for the commercial launch of direct-to-device (D2D) satellite connectivity in India and other South Asian markets, according to a Moneycontrol report.

The company plans to begin trials by the end of 2027, with India, Bangladesh and Sri Lanka among the markets it is targeting. However, the rollout will depend on the regulatory framework for D2D services, the report said.

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Nelco has invested $20 million (₹191.2 crore) for a minority stake in Lunar Holdco Inc, which provides satellite mobile connectivity solutions under the Elveo Mobile brand. Nelco Managing Director and CEO PJ Nath told the publication that the investment is aimed at giving the company a strategic role in the emerging D2D market rather than simply acting as a reseller.

Nelco’s D2D Strategy

D2D technology can connect standard mobile devices and other equipment through satellites, potentially extending connectivity to areas where terrestrial networks are difficult or expensive to build.

Nelco plans to use the technology across applications including mobile connectivity, Internet of Things (IoT), smart agriculture, asset tracking, connected vehicles and maritime services. Nath said the company expects D2D to become a major part of the satellite communications industry over the next seven to 10 years.

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The company plans to work with mobile operators instead of competing with them or selling services directly to consumers. Its D2D business will therefore remain largely focused on business-to-business (B2B) and business-to-government (B2G) customers, according to the report.

Regulation Key To 2028 Rollout

Regulatory approvals remain the biggest factor for Nelco’s D2D plans. The company is preparing for the launch while India works on rules covering licensing and spectrum for satellite-based direct-to-device services.

The Telecom Regulatory Authority of India (TRAI) has sought stakeholder views on the use of mobile satellite service (MSS) spectrum as well as mobile or IMT spectrum for D2D services.

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Nelco’s D2D strategy is separate from its partnership with Eutelsat OneWeb, which focuses on low-Earth orbit satellite connectivity. The company is also in discussions with other LEO operators, with any formal partnerships dependent on market demand and regulatory approvals.

Nath told Moneycontrol that Nelco sees room for multiple players in India’s satellite communications market, including Jio. The company is positioning itself as a technology-agnostic connectivity provider combining GEO, LEO, MEO, D2D and terrestrial networks.

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