India's Telecom Equipment Market To Double To $50 Billion By FY32, Mobile Data Traffic To Grow 17% Annually

New Delhi, October 9 - The Indian telecom equipment market is poised to nearly double in value from $25 billion in FY25 to $50 billion by FY32, according to a KPMG in India report. This growth is expected to outpace the global market, which is growing at a slower rate. Mobile data traffic in India is projected to expand at an annual rate of approximately 17% between 2025 and 2030, while operator revenues are anticipated to grow at 2.7% annually. This growth trajectory reveals a widening gap between demand and value capture within the sector.

The report highlights India's growing domestic manufacturing capabilities, with handset production reaching Rs 6,270 billion in FY26. Telecom equipment import substitution has reached approximately 60%, demonstrating the country's progress in developing its manufacturing sector. The convergence of AI, telecom networks, semiconductors, cloud infrastructure, and digital services presents unprecedented opportunities for innovation and value creation, says Akhilesh Tuteja, Partner & National Leader - Clients and Markets and Technology, Media and Telecommunications (TMT) at KPMG in India.

Realizing India's potential in this high-tech landscape requires sustained investments in innovation, advanced manufacturing, and ecosystem collaboration. As the telecommunications industry evolves from simple connectivity to an intelligent digital infrastructure ecosystem, India finds itself at a pivotal juncture. The report emphasizes that India has the opportunity to emerge as a creator of globally relevant technologies, platforms, and intellectual property, provided it sustains its investment in innovation and ecosystem collaboration.