Telecom revenue in India set for 2.7% CAGR as traffic surges

A fresh market report indicates that while Indian mobile network traffic is projected to climb by about 17% annually between 2025 and 2030, telecom operators' earnings are expected to grow at a compound annual rate of 2.7%.

The analysis also forecasts that the telecom equipment market will expand from $25 billion in FY 2025 to almost $50 billion by FY 2032, a growth curve that significantly exceeds the global average.

Manufacturing strides are central to this outlook. By FY 2026, mobile handset production reached ₹6,270 billion, and home‑grown telecom gear now makes up roughly 60% of the total supply, reducing the sector’s import dependency.

Commentators emphasize that the integration of telecommunications with artificial intelligence, semiconductor design, cloud computing and digital infrastructure is creating novel avenues for value creation. They argue that India's expanding production capacity and ongoing R&D investments position it to become a major global contributor of technology platforms and intellectual property.