Notices sent over the past weeks mark a sharp escalation in the dispute between Hong Kong-based satellite operator AsiaSat and Indian authorities following IN-SPACe’s barring of Chinese-linked satellite services. AsiaSat has now served legal notices to the Indian government and major broadcasters, alleging breaches of existing contracts, according to The Economic Times.
Regulatory trigger and legal action
The dispute follows IN-SPACe’s decision to deny AsiaSat and other Chinese-owned satellite operators permission to continue services beyond March 31, citing security concerns. In response, AsiaSat has issued a “trigger notice” to the government under a bilateral investment treaty, formally signalling a potential legal challenge.
At the same time, the company has sent arbitration notices to broadcasters, including JioStar and Zee, initiating dispute-resolution proceedings outside the courts.
Furthermore, the company, which has operated in India for over three decades, had proposed measures, such as appointing an Indian independent director and increasing local control, to address concerns about its ownership.
Contract dispute with broadcasters
AsiaSat’s position, as explained to the Economic Times by a broadcast executive, is that its contracts were not specific to India and that customers could continue to use the same bandwidth to provide services elsewhere. The company has also sent notices to customers reminding them of their contractual commitments, according to a person familiar with the matter.
However, broadcasters dispute AsiaSat’s position. Another executive at one of the companies told The Economic Times that AsiaSat will no longer have permission to operate in India after March 31, requiring a shift to other satellite providers. The executive added that, for Indian companies, “all cases are covered by force majeure” due to regulatory restrictions.
Migration and industry impact
As reported earlier, broadcasters have begun shifting to alternative satellites such as GSAT and Intelsat to avoid service disruptions. Several international channels using AsiaSat capacity will also need to migrate or will not be allowed to be telecast in India from April 1.
Meanwhile, IN-SPACe is examining the matter following AsiaSat’s issuance of a trigger notice. The company reapplied for authorisation in November 2025 after the regulator rejected its earlier application, and its current permission remains valid only until the end of March.
IN-SPACe Foreign Satellite Policy
Under the 2023 National Space Policy, IN-SPACe authorises space activities subject to national security and foreign policy considerations. The 2024 guidelines further require foreign satellite operators to operate through Indian entities and to factor in geopolitical ties, while limiting service approvals to a satellite’s operational life or 5 years, whichever is earlier.
India’s Push To Reduce Chinese Tech Dependence
A 2024 paper by Medianama founder Nikhil Pahwa frames India’s approach as “de-risking” from China, not a full “decoupling”, but a strategy to reduce vulnerabilities in critical technology sectors following the 2020 clashes.
It highlights how India has banned hundreds of Chinese apps on security grounds and imposed “trusted source” rules for telecom infrastructure, citing risks of surveillance and network control. The paper notes that Chinese laws could compel firms to share data with state agencies, and places these measures within a broader strategy to limit strategic vulnerabilities while balancing economic interests.
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