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Indian Telecom: A Global Leader in the Making

Financial Express Pune

|

March 03, 2025

By fostering innovation, investing in infrastructure, and forging strategic global collaborations, the sector is well on its way to becoming a dominant player

- SP KOCHHAR

THE INDIAN TELECOM industry is experiencing remarkable growth, both domestically and internationally. With approximately 1,187 million subscribers, urban teledensity has reached 131.01%, while rural areas lag at 58.31%. Despite this disparity, there remains immense potential for expansion across both sectors. The roll-out of 5G is progressing rapidly, facilitated by artificial intelligence (AI), indigenous data sets, and the establishment of localised data centres. However, affordability remains a key hurdle, particularly in rural areas where network accessibility and 5G-enabled handsets are still financially out of reach for many.

To address these challenges, the Indian government has implemented financial measures such as goods and services tax refunds and the removal of bank guarantees. Additionally, significant research is underway to develop cost-effective 5G handsets priced between ₹6,000 and ₹7,000. Furthermore, satellite technology is being introduced to provide connectivity to remote regions where terrestrial networks are unfeasible.

Unlike some nations with isolated pockets of industrialised areas lacking telecom infrastructure, India's development is more integrated. However, there are still inaccessible regions, such as high-altitude terrains, dense forests, and areas affected by Naxalite activity. The government has committed to ensuring fiber connectivity reaches every village, reinforcing its mission of comprehensive digital inclusion.

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