WITH approval from the Bhutan Information, Communi­cation and Media Authority (BICMA), Starlink is set to enter the Bhutanese market, introducing high-speed satellite-based internet services. This marks a major shift in the country’s telecommunications landscape.

BICMA officials stated that the agency carefully evaluated several factors before granting Starlink its license. Key requirements included registering Starlink as a foreign direct investment (FDI) company in Bhutan, appointing local representatives for regulatory compliance, and ensuring service quality and data privacy protection.

The licence strictly covers internet services via user terminals and does not extend to direct satellite-to-mobile cellular services.

A major concern for Bhutanese consumers has been the ability to pay in local currency rather than USD. BICMA has mandated Starlink Services Private Limited to enable payments in Ngultrum.

The company is currently working to integrate local payment systems, and until this process is complete, Starlink’s services will not be activated in Bhutan. No definitive timeline has been provided for the commercial rollout.

Once the payment system is in place, an official registration portal will be launched.

TashiCell, one of Bhutan’s two internet service providers, acknow­ledges the competitive pressures that Starlink’s entry brings, particularly in pricing and service quality. The company is already facing challenges from government mandates to lower mobile data and leased line rates.

To remain competitive, Tashi­Cell is expanding its 4G and 5G networks to improve coverage and capacity, which it hopes will enable lower prices while maintaining quality. However, it noted that achieving this balance remains a challenge in Bhutan’s evolving telecom market. In addition to mobile network expansion, TashiCell is scaling up its fibre-to-the-home (FTTH) network in urban areas. A key challenge in this effort has been securing government approvals for underground trenching to lay fibre cables. If these delays persist, the company may install overhead fibre lines to improve connectivity.

Published in Dawn, February 10th, 2025