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      Digital adoption and AI redefine telecom landscape

      India’s telecommunications sector is undergoing a period of rapid transformation, driven by increasing digital adoption, expanding connectivity and the convergence of technology, media and communications ecosystems. With large-scale investments in network modernisation, 5G rollout and digital infrastructure, telecom operators are evolving from traditional service providers to intelligent, customer-first digital platforms.

      The sector is also being reshaped by the growing role of artificial intelligence, rising data consumption and the emergence of new regulatory frameworks. As organisations navigate this shift, the focus is on driving innovation, enhancing customer experience, building trust and delivering sustainable growth through technology-led transformation.

      • AI-led transformation and agentic AI adoption

        Telecom operators are moving from automation to AI-driven and autonomous (agentic AI) models, enabling intelligent networks, predictive maintenance and hyper-personalised customer experiences

      • Accelerated investment in 5G and next-generation networks

        Continued investment in 5G, satellite and software-defined networks is modernising infrastructure and enabling new digital and enterprise-led use cases

      • Evolving into digital and platform-led business models

        Telecom companies are repositioning themselves as digital service providers, expanding into cloud, enterprise services, OTT and ecosystem-led platforms

      • Data growth and digital infrastructure expansion

        High data consumption and large-scale connectivity are driving the need for advanced data infrastructure, scalable networks and AI-ready ecosystems

      • Capital deployment towards innovation and M&A

        Organisations are prioritising investments in AI capabilities, digital infrastructure and strategic partnerships, including M&A to access talent and technology. 

      • Regulation, privacy and trust as strategic priorities

        The DPDP Act is driving transformation in data governance, requiring stronger consent mechanisms, transparency and privacy-by-design approaches, while creating opportunities to build trust-led differentiation

      • Cyber security and resilience at the core

        As telecom networks become more digital and interconnected, organisations are strengthening cyber resilience, data protection and risk management capabilities

      • Workforce transformation and AI readiness

        The shift to AI, automation and digital platforms is increasing the focus on reskilling, talent development and building AI-ready workforce capabilities

      KPMG in India’s telecom practice consists of dedicated specialists with vast sector expertise, enabling the firm to emerge as one of the four Telecom Centers of Excellence among KPMG member firms globally. We have worked across multiple countries on various telecom projects and we understand challenges our clients face. We bring together a diversified skill set and suite of service offerings to meet contemporary needs of the telecom sector.

      KPMG ranks #1 for overall quality of work in Technology, Media & Telecoms consulting by clients


      KPMG received top ranking across multiple categories in TMT consulting in Perceptions of Consulting Technology, Media & Telecoms 2025 study published by Source.

      The power beneath connectivity: India's path to telecom technology leadership

      Exploring how AI is transforming telecom and how India can strengthen its position across the telecom and semiconductor value chain
      The power beneath connectivity: India's path to telecom technology leadership

      How can KPMG in India help?

      Construction
      • With an increasingly complex and challenging industry environment it has become imperative to carefully navigate issues such as risk, costs, market assessments, domestic legislations, etc. 

      • Our high performing people, expertise, global reach, and insight to cut through complexity, delivers informed perspectives and methodology that our communication clients require. Having the advantage of a strong global network of communications team across the KPMG firm

      • KPMG in India harbours the vision of consolidating our global communication skills, experience and specialisation to better service the telecom market. 

      • Our people, capabilities and service lines are empowered to deliver services to our communication clients.

      Why select KPMG in India?

      • Clients look up to us for informed perspectives on the issues and challenges prevalent in the market and leverage our telecommunications capabilities for smoother business operations. 

      • We at KPMG in India, offer a suite of services to meet specific needs of Telecom clients in their growth passage. 

      • The major areas where we support our clients include IT service management, digital transformation, network transformation, OSS-BSS transformation, growth strategy, revenue enhancement, financial management, customer experience, disruptive technologies, cost optimisation, cybersecurity, regulatory compliance, integrated risk management, data analytics, mergers and acquisitions (M&A), internal audit and tax advisory, SAP, Oracle – ERP, IGH-governance, CSR, ESG advisory, strategy and operations and HR transformation.

                                                                                                                                                             

      Why kpmg in India

      Driving growth with Telecommunications

      Purushothaman KG

      National AI Leader, and Head – Technology Transformation

      KPMG in India

      • The future of technology will be shaped by the ability to scale capabilities into outcomes. As compute, connectivity, and intelligence become increasingly interconnected, success will depend on creating ecosystems that translate innovation into lasting economic value, enhanced competitiveness, and broad societal impact.

      • The next phase of telecom growth will be driven less by connectivity and more by ecosystem orchestration. Indian operators are strategically partnering across fintech, media and digital services to deliver integrated offerings, diversify revenue streams and strengthen customer relevance.

      • India’s telecom journey is evolving beyond connectivity to become a cornerstone of AI infrastructure, advanced manufacturing and digital innovation. Our report for the 10th edition of India Mobile Congress examines the investment opportunities across telecom, semiconductors and the wider technology ecosystem that can accelerate indigenous manufacturing and strengthen India’s global competitiveness.

        With initiatives such as the Telecom PLI scheme and India Semiconductor Mission creating momentum, the opportunity is to build solutions for both domestic consumption and global markets. The vision is clear: scaling without boundaries, with India emerging as a creator and manufacturer of technology for the world.

      Atul Gupta

      Partner and Head – Consulting Markets and Key Strategic Priorities (Managed Services, GCC and Large Deals)

      KPMG in India

      The scale of investment flowing into AI infrastructure presents a significant opportunity for India. Realising its full potential, however, will require more than capital. Stronger execution, greater infrastructure collaboration, and coordinated planning will be critical to transforming investment into resilient, efficient, and scalable digital capacity.

      Arjun Malhotra

      Partner, GRCS - Telecom

      KPMG in India

      India's satellite communications industry is evolving from a niche connectivity solution into a strategic pillar of the country's digital infrastructure. As LEO constellations become operational, the space sector opens to private investment, and enterprises demand resilient connectivity, the opportunity lies in transforming satellite capacity into measurable business value.

      For India, this means moving beyond coverage to unlock new revenue streams, enable mission-critical operations, bridge the digital divide, and strengthen indigenous innovation. Bringing together perspectives from satellite operators, service providers, telecom networks and technology innovators.

      Naveen Aggarwal

      Office Managing Partner – Delhi NCR, Corridor Leader, U.S.- India

      KPMG in India

      The future of connectivity will belong to networks that work together and not standalone. As satellite and terrestrial networks converge, they are creating a more resilient, ubiquitous, and intelligent connectivity fabric, one that is increasingly viewed as a foundational building block of the 6G era. For India, this presents an opportunity to combine our digital proliferation with growing space ambitions and help shape the next generation of global connectivity solutions.

      S Sathish

      Partner and National Sector Leader – Industrial Manufacturing

      KPMG in India

      India’s telecom manufacturing opportunity is moving beyond scale of production. Building globally competitive products will require deeper capabilities across design, components, testing, and lifecycle support, alongside the standards, security, and reliability that global customers increasingly expect. This also presents a significant opportunity for India to showcase its design and manufacturing prowess on the global stage, strengthening its position as a trusted hub for next-generation telecom innovation.

      Sushant Rabra

      Partner and Head, Digital Strategy, Solutions and Insights

      KPMG in India

      As AI adoption accelerates, organisations must reassess how and where computing resources are deployed. The next generation of digital architectures will be driven by specific business and operational requirements, such as latency, processing demands, and data sovereignty, with cloud and edge capabilities working in concert to deliver optimal outcomes across diverse use cases.

      Abhishek Kishore Gupta

      Partner, National Sector Lead TMT IM&A GCC

      KPMG in India

      AI infrastructure is emerging as a market in its own right, bringing together capital, technology, and demand in new ways. The key challenge is creating financing models that can support long-term growth while remaining aligned to technology economics that are evolving at an unprecedented pace.

      Shobhit Agarwal
      Shobhit Agarwal

      Partner, India Global

      KPMG in India

      Intelligent RAN is transforming radio networks from manually configured infrastructure into those that can sense, learn and adapt. This transformation enables dynamic performance optimisation while equipping operators to respond more effectively to evolving traffic patterns, application demands, and customer expectations thereby improving efficiency, reliability, and operational agility. Combined with open and software-defined architectures, this is fundamentally changing how future networks are designed and managed.

      Sumit Kapoor

      Partner, Governance, Risk & Compliance Services

      KPMG in India

      The initial wave of 5G innovation has demonstrated significant potential, but long-term impact will be defined by the ability to transition from pilot deployments to scalable and repeatable business models. Realising this opportunity will require deeper collaboration between operators and industry, alongside new partnership structures, investment frameworks, and adoption models that support widespread deployment and sustainable returns.

      Gagan Budhiraja

      Partner, Forensic Services

      KPMG in India

      The 5G opportunity is expanding from connectivity to capability. Whether in healthcare, agriculture, public services or enterprise, monetisation will depend on solving defined problems for defined buyers and building business models that make advanced connectivity commercially sustainable.

      Yogesh Sharma

      Partner, Technology, Media and Telecom

      KPMG in India

      Intelligent RAN is evolving from an operational enhancement to a strategic enabler of network performance. The ability to continuously optimise resources in response to real-time network conditions can help operators improve service quality, increase operational efficiency, and reduce energy consumption. As connectivity demands continue to grow, intelligence will become an essential layer of next-generation network infrastructure.

      Rahul Gupta

      Partner, Cyber Risks & Controls-North
      KPMG in India    

      The semiconductor opportunity for India extends well beyond fabrication. Building strength in chip design, advanced packaging, mature-node manufacturing and critical supply chains can create meaningful strategic capability while positioning India within a globally connected semiconductor ecosystem.

      Pankaj Pastariya

      Partner, GRCS-Telecom
      KPMG in India

      Securing the future of digital growth requires more than protecting individual assets. It demands resilience across the entire connectivity ecosystem. Subsea cables, landing stations, terrestrial networks, data centers, and power infrastructure operate as one interconnected system. True resilience is not measured by the uptime of individual components, but by the speed and effectiveness of end-to-end recovery when disruptions occur..

      Sunit Kumar

      Associate Partner, GRCS-Telecom
      KPMG in India    

      Telecom is evolving from AI-powered operations to autonomous decision-making. The consensus: technology is ready; the real challenge lies in trust, governance, data, and organisational transformation.

      Purushothaman KG

      National AI Leader, and Head – Technology Transformation

      KPMG in India

      The report highlights that telecom organisations are entering a new phase where scaled execution is the key differntiator. For India's telecom sector, which has been at the forefront of digital connectivity and technology adoption, the opportunity now lies in scaling AI responsibly while balancing governance, risk and workforce readiness, modernising legacy environments and strengthening data-driven operations.

      The findings underscore that organisations that successfully align technology investments, AI adoption and workforce transformation with measurable business outcomes will be best positioned to drive sustainable growth and resilience in the years ahead.

      Arjun Malhotra

      Partner, GRCS - Telecom

      KPMG in India

      Business assurance is no longer limited to revenue - it spans operations, transformation, and the entire ecosystem, reflecting the growing complexity of telecom environments.

      Telcos are moving toward an integrated assurance model where data, controls, and intelligence come together. Platforms like Analytica.AI illustrate how AI‑driven analytics can enable this shift at scale through real‑time insights and automation.

      Rahul Hakeem

      Partner, Technology, Media and Telecom

      KPMG in India

      India must strengthen regulation to sustain digital growth. As telecom anchors core services and platforms, long term capital, innovation, certainty, and user protection are vital.

      Escalating spam and fraud require collaborative policymaking and aligned action across government, regulators, law enforcement, and industry to safeguard trust.

      Naveen Aggarwal
      Naveen Aggarwal

      Office Managing Partner

      KPMG in India

      Accessibility, being more than just a social imperative, is a growth engine for India’s future. When we invest in inclusive infrastructure across transport, tourism, sports, and technology, we unlock new markets, drive innovation, and add directly to our nation’s growth trajectory. True progress is measured not by how far we go alone, but by the bridges we build so everyone can cross. Let’s make accessibility the foundation of Viksit Bharat.

      Unaise Urfi

      Partner

      KPMG in India

      India stands at the cusp of an AI revolution and telecom industry will be its catalyst. We are rapidly advancing towards 5G-advanced and 6G on a global scale. The work being done by our telecom community in engineering these breakthroughs is absolutely essential, putting the industry front and center in this transformative revolution.

      Atul Gupta

      Partner and Head – Consulting Markets and Key Strategic Priorities (Managed Services, GCC and Large Deals)

      KPMG in India

      TMT industry is at forefront of digital innovation and rapidly adopting technologies to derive business value. The dynamism demands CISO to address the evolving cyber threats landscape and have a proactive and strategic approach. Cyber leaders are pivoting to establish Trust and thereby enhance the competitive positioning of organisations.

      Hear from the experts

      Mobile traffic is expected to grow substantially in the coming years. However, the revenue for telecom operator revenue may grow at a slower pace. Now, that will create a big gap between the cost of running those networks and the value they generate

      India’s telecom sector is evolving beyond connectivity to become a cornerstone of AI infrastructure, advanced manufacturing, and digital innovation. Investment opportunities across telecom, semiconductors and the wider technology ecosystem can accelerate indigenous manufacturing and strengthen India’s global competitiveness

      Satellite networks, like any other terrestrial networks, are an important part of national critical infrastructure. A thorough assessment of security considerations is very common and routine in any kind of communication system

      The real differentiation comes from making infrastructure, connectivity, and use cases more intelligent. Three strategic priorities defining the next generation of telecom leaders are building smarter infrastructure, unlocking greater value from digital assets, and accelerating next-generation applications

      Telecom operators have already gone beyond traditional connectivity. Indian operators are strategically partnering across fintech, media and digital services to deliver integrated offerings, diversify revenue streams, and strengthen customer relevance

      Telecom operators today have an unprecedented opportunity to reshape how businesses operate, how people interact, and how work itself is performed. They could move beyond connectivity and position themselves at the center of digital innovation

      India's telecom manufacturing journey over the past decade has been remarkable, driven largely by assembly-led growth. The next phase of global competitiveness depends on building a resilient component ecosystem and establish India as a global hub

      Enterprise AI investment is now focused on inference-led workloads where value creation depends on generating insights and decisions as close to the point of action as possible. Across industries decision-making increasingly requires ultra-low latency

      AI-enabled and intelligent RAN is rapidly becoming a strategic differentiator for telecom operators. Networks are evolving from manually configured infrastructure to self-optimising, adaptive systems capable of sensing, learning, and responding in real time

      India Union Budget 2026-27: Our Sector Insights

      Download KPMG in India point of view 2026 - Telecommunications

      KPMG in India point of view 2026 - Telecommunication

      Rules and forms pursuant to the new Income-tax Act 2025 to be notified, attracting investment in data centres and promoting AI data centre framework

      India Insights

      Our insights is your gateway to thought leadership and in-depth reports. Explore our curated collection of valuable content, where we delve into complex business challenges, share industry trends, and provide actionable insights.

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      Key contact

      Purushothaman KG

      National AI Leader, and Head – Technology Transformation

      KPMG in India

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