New Delhi, Oct 9: Mobile network traffic in India is expected to grow at approximately 17 per cent annually between 2025 and 2030, while operator revenues are projected to grow at 2.7 per cent annually, highlighting a widening gap between demand growth and value capture, a report said on Friday.
The telecom equipment market is projected to nearly double from $25 billion in FY25 to $50 billion by FY32, growing at almost twice the pace of the global market, according to the report by KPMG in India.
India has established manufacturing scale, with handset production reaching Rs 6,270 billion in FY26, while telecom equipment import substitution has reached approximately 60 per cent, demonstrating growing domestic manufacturing capabilities, said the report.
AI and telecom convergence drives opportunities
“The convergence of telecommunications, AI, semiconductors, cloud and digital infrastructure is redefining how value is created in the global technology ecosystem. As the foundation of the digital economy evolves from connectivity to intelligence, India has a unique opportunity to emerge as a creator of globally relevant technologies, platforms and intellectual property,” said Akhilesh Tuteja, Partner & National Leader - Clients and Markets and Technology, Media and Telecommunications (TMT), KPMG in India.
Realising this potential will require sustained investments in innovation, advanced manufacturing and ecosystem collaboration to strengthen India’s position as a technology leader in the years ahead, he mentioned.
India at pivotal technology juncture
As the telecommunications industry evolves beyond connectivity into an intelligent digital infrastructure ecosystem, India stands at a pivotal juncture to strengthen its role across the global technology value chain.
The convergence of artificial intelligence (AI), telecom networks, semiconductors, cloud infrastructure, digital services and supportive policy initiatives is creating unprecedented opportunities for innovation, value creation and technology leadership, said the report.
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Telecom enters new digital infrastructure era
The report said telecom is entering a new era in which connectivity, AI infrastructure and industrial capability are becoming increasingly interdependent.
While India has already demonstrated its ability to build scale in digital infrastructure and manufacturing, the next phase of growth will require deeper participation in high-value segments such as semiconductors, software, radio systems, optical technologies and intellectual property, it mentioned.
(Except for the headline, this article has not been edited by FPJ's editorial team and is auto-generated from an agency feed.)
