Telecom Industry in India: Market Size, Growth & Future

India plans to manufacture mobile phones worth US$ 126 billion by 2025-26.

Advantage India

Robust
Demand

* Tele-density of rural subscribers reached 59.52% as of September 2025.​

* India’s satellite communications (SATCOM) sector is set for robust growth, with the market expected to double over the next few years, Union Minister for Communications Mr. Jyotiraditya M. Scindia said. Highlighting the government’s proactive approach, he noted that three SATCOM licenses have already been issued and that regulatory frameworks and licensing processes are being formalised.

Attractive
Opportunities

* In November 2025, the Minister of State for Communications highlighted a US$ 25 billion opportunity in telecom component manufacturing in India. He emphasized government support through fast-tracked approvals and simplified compliance for global investors to build in India. Andhra Pradesh was showcased as a key investment destination with strong industrial ecosystems supporting telecom and electronics manufacturing.

Policy
Support

* The Union Cabinet approved Rs. 12,195 crore (US$ 1.65 billion) production-linked incentive (PLI) scheme for telecom & networking products under the Department of Telecom.

* To drive the development of 6G technology, the Department of Telecommunications (DoT) has developed a sixth-generation (6G) innovation group.

Increasing
Investments

* In the Union Budget FY26 the Department of Telecommunications and IT was allocated Rs. 81,005.24 crore (US$ 9.27 billion). 

* India ranks third in "Annual investment in telecommunication services" and "Domestic market size” as of 2024.

Last updated: Feb, 2026

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