The Indian telecom sector is set to achieve a major financial milestone, with gross revenues projected to reach Rs 4 lakh crore by 2026. Speaking at the ETTelecom 5G Summit, Manish Sinha, Member Finance at DoT, emphasized that the industry has evolved through continuous technological innovations over the last 30 years. The advent of 5G has not only increased subscriber numbers but also introduced new business opportunities, boosting overall revenue.
Sinha noted that despite ups and downs, the telecom sector has grown at a pace matching the country’s GDP. The rapid rollout of 5G has been supported by the government’s efforts to reduce regulatory burdens, notably through the 2021 telecom reforms. However, sustaining capital expenditure at such a pace remains a challenge, as investments require viable returns.
The government has been instrumental in supporting telecom operators, reducing regulatory constraints, and ensuring fair competition. One of its key initiatives includes financial backing for BSNL to help the public sector telecom player establish a presence in 5G technology. Ensuring inclusive growth, the government aims to support all operators to thrive in the evolving market.
When discussing the monetization of 5G, Sinha highlighted that while 4G was largely driven by the video and data boom, 5G is expected to see significant enterprise business growth. The integration of AI and IoT into telecom services is expected to revolutionize various industries, improving efficiency and creating new revenue streams.
He further emphasized the importance of research and development, stating that government-backed R&D initiatives are focusing on creating new standards, protocols, and innovations. With robust network infrastructure already in place, future developments in AI, IoT, and edge computing will unlock greater opportunities for revenue generation.
India’s telecom sector is entering an era of unprecedented expansion. The combination of government support, rapid 5G adoption, and emerging AI-driven innovations will play a crucial role in reaching the Rs 4 lakh crore revenue milestone. As technology continues to evolve, the industry is set to witness groundbreaking transformations that will shape the future of connectivity in India.