Tata Group-backed satellite communications provider Nelco is preparing to enter India’s emerging direct-to-device (D2D) satellite connectivity market, with commercial services targeted for early 2028. The company plans to begin D2D trials by the end of 2027 and is positioning the technology as a new growth opportunity beyond its existing satellite connectivity and capacity-reselling businesses.
The planned entry comes as India’s satellite communications market enters a more competitive phase. Starlink, Jio Satellite Communications and OneWeb India have already received Unified Licence authorisation for Global Mobile Personal Communications by Satellite (GMPCS), while the government is still developing the broader regulatory framework for D2D services. Nelco is seeking to work with mobile operators rather than compete directly with them, with an initial focus on business-to-business and business-to-government applications.
Nelco Targets D2D Launch by 2028
Nelco plans to conduct trials of its D2D technology by the end of 2027, followed by commercial operations in early 2028, subject to regulatory approvals. The company wants India to be one of the first markets for its D2D offering and also sees opportunities in Bangladesh and Sri Lanka.
D2D technology allows compatible mobile devices to communicate with satellites without requiring a conventional satellite terminal at the user’s location. This can potentially extend mobile connectivity into areas where terrestrial towers and fibre networks are difficult or uneconomical to deploy.
For Nelco, the technology represents an expansion from its established satellite-connectivity business into mobile connectivity, IoT and other applications.
Nelco’s D2D Road Map
| Milestone | Target / Status |
|---|---|
| Strategic investment | $20 million in Lunar Holdco |
| D2D trials | By end-2027 |
| Target commercial launch | Early 2028 |
| Initial geography | India |
| Other target markets | Bangladesh and Sri Lanka |
| Primary business model | B2B and B2G |
| Mobile operators | Planned partners |
| Key condition | Regulatory approvals |
The company has said it does not intend to build and finance its own satellite constellation, an undertaking that can require billions of dollars. Instead, Nelco wants to become a strategic partner within the satellite-connectivity ecosystem.
$20 Million Investment Strengthens Nelco’s Position
Nelco has invested $20 million in Lunar Holdco Inc., a company associated with satellite mobile-connectivity solutions under the Elveo Mobile brand. The investment is intended to establish a strategic relationship rather than simply give Nelco access to a product that it can resell.
The structure allows Nelco to participate in the D2D opportunity without taking on the enormous capital requirements associated with developing and operating a large satellite constellation.
Why the Lunar Holdco Investment Matters
| Factor | Nelco’s Approach |
|---|---|
| Capital requirement | Avoid building its own constellation |
| Partnership | Strategic relationship with Lunar Holdco |
| Investment | $20 million |
| Target technology | Satellite mobile connectivity |
| Business focus | D2D, IoT and related services |
| Geographic opportunity | India and South Asia |
This approach could allow Nelco to focus on customer relationships, network integration, enterprise solutions and local market execution while relying on satellite technology partners for the space-based infrastructure.
Nelco Already Has a Large Satellite Network
Nelco is not entering satellite communications from scratch. Through its wholly owned subsidiary Tatanet Services, the company operates a large VSAT network serving government and enterprise customers across India.
Nelco says it has an installed base of more than 50,000 VSATs, making it one of India’s major VSAT service providers. Its network includes hubs in Mahape in Navi Mumbai and Dehradun.
| Existing Nelco Satellite Business | Data |
|---|---|
| VSAT installed base | 50,000+ |
| Major customer segments | Government and enterprise |
| Main service model | B2B satellite connectivity |
| Network hubs | Navi Mumbai and Dehradun |
| New growth area | D2D satellite connectivity |
| Target launch | Early 2028 |
That existing infrastructure and customer base could provide Nelco with an advantage when developing enterprise and government applications for D2D connectivity.
D2D Could Go Beyond Smartphone Connectivity
Although D2D is often associated with satellite-to-phone messaging and emergency connectivity, Nelco sees a broader range of potential applications.
The company has identified mobile connectivity, Internet of Things (IoT), smart agriculture, asset tracking, connected vehicles and maritime services as potential use cases.
Potential D2D Applications
| Application | Potential Use |
|---|---|
| Mobile connectivity | Coverage in areas without terrestrial networks |
| IoT | Connecting remote sensors and devices |
| Smart agriculture | Monitoring farms and agricultural equipment |
| Asset tracking | Tracking vehicles and remote assets |
| Connected vehicles | Maintaining connectivity beyond cellular coverage |
| Maritime | Connectivity for ships and offshore operations |
| Government | Connectivity for remote and strategic locations |
This makes D2D potentially relevant to industries where connectivity gaps can create operational problems.
For example, sensors deployed in remote agricultural areas may not have reliable cellular coverage. Satellite connectivity could provide an alternative without requiring a dense network of terrestrial towers.
Nelco Plans to Work With Telecom Operators
Nelco’s strategy differs from a conventional consumer satellite-internet model.
The company plans to collaborate with mobile operators instead of competing with them or selling D2D connectivity directly to consumers. Its initial focus is expected to remain on B2B and B2G markets.
This approach could allow satellite connectivity to complement India’s existing telecom infrastructure.
| Model | Nelco’s Planned Approach |
|---|---|
| Direct consumer competition | No |
| Mobile operators | Strategic partners |
| Enterprise customers | Core target |
| Government customers | Core target |
| Consumer satellite broadband | Not primary focus |
| D2D applications | Connectivity, IoT and tracking |
The operator-partnership model could also help Nelco access existing customer bases and telecom networks while reducing the need to build an entirely separate consumer distribution operation.
India’s D2D Rules Are Still Evolving
Regulation remains one of the biggest variables for Nelco’s 2028 target.
India’s Department of Telecommunications has been examining D2D satellite technology and its interaction with existing mobile networks. In April 2026, the Telecom Engineering Centre held a technical workshop focused specifically on D2D technologies, global developments and their application in India.
Nelco has also participated in TRAI consultations on the proposed satellite communication network authorisation framework.
In its May 2026 response, Nelco argued that D2D services should be permitted using both mobile satellite service spectrum and IMT spectrum. It also said D2D using IMT spectrum should be introduced in a calibrated manner rather than being postponed entirely until after the 2027 World Radiocommunication Conference.
Regulatory Factors to Watch
| Regulatory Issue | Why It Matters |
|---|---|
| Spectrum allocation | Determines how D2D networks operate |
| IMT spectrum use | Could allow satellite links to integrate with mobile networks |
| MSS spectrum | Traditional satellite-mobile connectivity option |
| Network authorisation | Determines who can operate satellite networks |
| PLMN integration | Important for phone-to-satellite connectivity |
| Interconnection | Required for integration with terrestrial telecom networks |
The regulatory framework will therefore have a direct impact on how quickly Nelco can move from trials to commercial deployment.
Nelco Faces Starlink and Jio Competition
Nelco will enter a market where several major players are already pursuing satellite connectivity.
As of January 2026, the Department of Telecommunications had granted GMPCS authorisation to OneWeb India, Jio Satellite Communications and Starlink Satellite Communications. Nelco’s own GMPCS application had been rejected at that stage, while Amazon Kuiper’s application was still under examination.
Starlink is also continuing its push into India. On August 20, 2026, reports said the company had reapplied to India’s space regulator for approval of its second-generation satellite constellation, which includes D2D capabilities. Reuters said it could not independently verify the report.
India’s Satellite Connectivity Race
| Company | India Position / Development |
|---|---|
| Nelco | D2D trials targeted for 2027 |
| Nelco commercial target | Early 2028 |
| Starlink | GMPCS authorisation; renewed satellite-network approval effort |
| Jio Satellite Communications | GMPCS authorisation |
| OneWeb India | GMPCS authorisation |
| Amazon Kuiper | Application under examination as of Jan. 2026 |
The competitive landscape means Nelco will need to differentiate through partnerships, enterprise solutions and its understanding of India’s regulatory and business environment.
D2D Could Help Bridge India’s Connectivity Gaps
Satellite connectivity has a particular role to play in locations where terrestrial infrastructure is expensive or difficult to deploy.
The government has identified satellite communications as a way to improve connectivity in rural, underserved and unserved areas, including remote, coastal, border and mountainous regions.
D2D could extend this concept further because the user device itself can potentially connect to a satellite, reducing dependence on dedicated satellite terminals.
However, D2D technology still faces technical constraints involving spectrum, satellite capacity, device compatibility, signal strength and network integration. TRAI documents describe satellite-enabled D2D-PLMN services as being at a nascent stage globally.
What Nelco’s Strategy Means for Tata Group
Nelco’s D2D plans add another layer to Tata Group’s broader presence in India’s communications and technology ecosystem.
Rather than attempting to replicate Starlink’s vertically integrated satellite-constellation model, Nelco is pursuing a partnership-based strategy. Its $20 million investment in Lunar Holdco reflects that approach.
The strategy could reduce capital requirements while allowing Nelco to participate in what may become an important new connectivity segment.
The Bigger Picture
Nelco’s planned entry into D2D satellite connectivity comes as India prepares for a new phase in telecommunications, where terrestrial mobile networks could increasingly work alongside satellites. The company already has more than 50,000 VSATs and an established B2B and government customer base, giving it a foundation from which to develop new satellite-enabled services.
The market is nevertheless becoming crowded. Starlink, Jio and OneWeb already have important regulatory approvals, while Amazon Kuiper is pursuing its own Indian entry. Nelco’s decision to focus on partnerships with mobile operators and B2B/B2G applications could therefore become its main competitive differentiator rather than trying to compete directly for consumer broadband subscribers.
Looking Ahead
Nelco’s immediate priority will be preparing its D2D trials for the end of 2027 while continuing to work with regulators on spectrum, licensing and network-integration rules. If the regulatory framework develops as expected, the company is targeting commercial operations in early 2028. Its $20 million Lunar Holdco investment gives it a strategic foothold without requiring the enormous capital expenditure associated with building an independent satellite constellation.
The larger opportunity will depend on how quickly D2D technology becomes commercially practical in India. If compatible devices, spectrum rules and satellite capacity develop together, D2D could expand connectivity for remote businesses, government operations, agriculture, logistics, vehicles and maritime users. For Nelco, successfully combining its existing satellite infrastructure with new D2D partnerships could give the Tata Group company a meaningful position in India’s emerging satellite-to-mobile connectivity market.
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