The exchange happens as Musk pushes for the launch of SpaceX’s satellite internet service in India, where regulatory approvals are still not complete. Vembu, in a post on X pointed out the role of Reliance Jio, in bringing mobile internet to millions of Indians.

“These are the facts, Elon, " Vembu wrote, pointing to India’s low mobile data costs, affordable medicines and cheap digital payment services.

He gave credit to Jio for entering the telecom industry. Greatly lowering data costs. Vembu also talked about his experience of using mobile data while moving around India instead of using local Wi-Fi connections. He mentioned that many people in India use phones, with two SIM cards and big data plans because mobile internet is cheap.

Vembu Questions Musk’s Market Criticism

Vembu expanded his argument to include the US. Electric vehicle market. He said that Tesla gains an advantage because it faces competition from Chinese companies. He believes that when competition is limited electric vehicle prices stay higher than they would be, in an open market.

He supported the government's way of handling competition saying that Prime Minister Narendra Modi's plans have pushed for a more competitive economy. Vembu also pointed out the rise of startups and the development of affordable rockets in the country, as proof of the growing technology scene.

He suggested that India’s emerging space companies could eventually challenge SpaceX, just as Chinese electric vehicle makers compete with Tesla.

Musk, meanwhile, has questioned whether Starlink will receive a fair opportunity to compete in India.

Why Musk Took Aim at Ambani

On X Musk posted: "Dear Prime Minister Ambani, please accept my apologies for not realizing that Prime Minister Ambani is the real boss of India."

Musk also said that Prime Minister Ambani is trying to keep a monopoly and asked what rules would let Starlink enter the market.

Musk has said that satellite internet can bring connectivity to communities. He believes it can help students get access to education. It can also help small businesses connect with customers around the world. He has pointed out that Starlink has been useful in restoring communications after disasters.

Jio Plans Its Own Satellite Network

The disagreement comes as Reliance Jio is working on a satellite connectivity network. At India Mobile Congress 2026 Reliance Jio presented a plan that includes about 1,600 orbit satellites and 23 ground stations.

The project, called "Sovereign Satellite Connectivity " is about bringing internet access to villages. It is about bringing internet access to islands. It is about bringing internet access to border regions. It is about bringing internet access to locations.

Starlink has obtained its GMPCS licence and IN-SPACe approval. Still has to finish other regulatory tasks, including getting a spectrum assignment. The government says the approval process is fair and does not favour any company. Starlink, Jio Satellite Communications and Eutelsat OneWeb backed by Bharti are all going through security checks.