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MC Interview: Govt plans Telecom Manufacturing Zone, backs healthy competition in satcom, says telecom minister Scindia

From expansion of 5G network, talk of 6G, likely entry of Elon Musk’s Starlink to war on spam, India’s telecom sector is buzzing and union minister for communications Jyotiraditya Scindia is in thick of things.

In an exclusive interview to Moneycontrol, Scindia said the government is exploring the creation of a Telecom Manufacturing Zone to strengthen domestic equipment production.

He also welcomed Starlink’s partnerships with Jio Platforms and Bharti Airtel, saying that satellite communication is essential for 100 percent connectivity even as he underscored the government’s commitment to maintaining a competitive telecom market.


The government owns about 23 percent of Vodafone Idea, which holds a 9.5 percent mobile market share. We believe in maintaining healthy competition in the telecom sector.

India is one of the few global markets with four telecom players, making it a vibrant and competitive landscape. Vodafone Idea has successfully raised Rs 25,000 crore in equity and we look forward to its expansion plans.

Satellite communication (Satcom) is a crucial complementary solution to telecom connectivity. While mobile networks and optical fiber cables (OFC) serve most areas, certain remote locations are beyond their reach. Satcom bridges this gap, ensuring 100 percent coverage.


Moreover, when towers and OFC (optical fibre cable ) infrastructure are disrupted during natural disasters, Satcom plays a vital role in maintaining communication.

India has already issued two satellite broadband licences, to OneWeb and Orbit Connect (Jio-SES).

Our market is open to all players, provided they meet the necessary requirements — filling out the pro forma, obtaining a licence, securing spectrum (administratively assigned), and commencing operations.


Not just Starlink but all players contribute to opening up the satcom space. I am company-agnostic and consumer-focused. The key is to offer consumers a choice — whether they prefer broadband or mobile, they should have access to both.

India has already attracted significant FDI in telecoms. However, the Prime Minister envisions transforming the sector beyond service provision into a manufacturing hub.

We are exploring establishing a Telecom Manufacturing Zone (TMZ), similar to a special economic zone (SEZ), with added facilities like testing and certification. We are discussing this with manufacturers and potential anchor clients to make it a reality.


The communication sector is no longer just about connectivity. In 2014, the Prime Minister laid out a visionary path for India, emphasising 100 percent connectivity for essential communication and broader economic empowerment.

Over the years, mobile subscribers have increased from 950 million to 1.2 billion, internet users from 251 million to 972 million and broadband subscribers from 60 million to 942 million.

This expansion has led to economies of scale, reducing costs dramatically — from 50 paise per minute to 0.03 paise and from Rs 286 per GB of data to Rs 9 per GB. Today, India offers the world’s cheapest data at just 11 cents per GB, compared to the global average of $2.59 per GB.


This affordability is transformative, driving advancements in education, healthcare, and economic opportunities. For example, a Muga silk producer in Assam can now sell directly to international markets, and a pineapple farmer in Tripura can export to Germany.Connectivity is not just a service but a digital highway enabling trade and growth.

Policy reforms like re-farming spectrum have been crucial in this journey. By reallocating spectrum from various ministries, the government has freed up an additional 687 MHz, bringing us closer to the 2,000 MHz target required by 2030. With 1,587 MHz already assigned, the remaining 400 MHz will be released progressively.

Additionally, BharatNet, the world’s largest publicly funded connectivity programme, is investing Rs 1.39 lakh crore ($16.1 billion) to connect 56,000 gram panchayats and 3.8 lakh villages.


Entrepreneurs at the village level will bridge the last-mile connectivity gap. Six project agreements have already been signed, with five more in progress, ensuring rapid deployment.

Significant progress has been made but more needs to be done. While technology offers tremendous benefits, it also creates opportunities for misuse. It is our responsibility to safeguard consumers.


Through the Sanchar Saathi portal, we have disconnected 1.75 crore fraudulent mobile connections and shut down 1.5 lakh WhatsApp groups linked to fraud.

Additionally, a Digital Intelligence Unit (DIU) has been established to monitor fraud in collaboration with banks, the Home Ministry, and other agencies. The I-Core Spoof Call Monitoring System has blocked 1.3 crore spoof calls per day.


Source : monetcontrol

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