Telecom industry stakeholders have called on the government to extend the production-linked incentive (PLI) scheme for another five years to enhance value addition in domestically manufactured gear, increase local component sourcing, and support scaling up for global competitiveness, particularly targeting emerging 6G technology.
During a roundtable chaired by Telecom Minister Jyotiraditya Scindia at India Mobile Congress 2025, industry leaders expressed strong support for extending the telecom PLI scheme beyond its current term. The extension is viewed as essential to sustain growth momentum, deepen localisation, and build a competitive manufacturing ecosystem aligned with India’s ambitions for 6G leadership.
Nokia India’s Country Manager Tarun Chhabra highlighted the need for greater support to establish semiconductor and electronic component manufacturing domestically. Despite 15-16 years of manufacturing telecom products in India, the company still sources many critical components from abroad. Enhanced local component availability, he noted, would create more jobs and strengthen the supply chain.
Ericsson's regional head Andres Vicente echoed concerns about local availability of components, while Zetwerk’s President for Electronics, Josh Foulger, urged for the scheme extension to enable India to capture a significant share of next-generation telecom patents.
Local chipmaker Axiro’s CEO Naveen Yandru called attention to challenges related to scale and cost competitiveness, seeking government support to build scale and reduce prices to compete internationally.
Other industry voices, including Samsung’s Southwest Asia CEO JB Park and representatives from TCS, advocated for complementary funding mechanisms to foster domestic design and manufacture, emphasizing the strategic role of the Telecom Technology Development Fund.
Minister Scindia recognized the evolving market dynamics and the importance of balancing funding approaches, stressing ongoing policy dialogues and advisory groups working to tailor incentives to the sector's needs.
Major Takeaways:
Industry consensus on extending the telecom PLI scheme by five years to ensure sustained growth and localisation.
Strong push for higher value addition through increased local sourcing of electronic components and semiconductors.
Industry highlights a current gap wherein many crucial components continue to be imported despite domestic manufacturing presence.
Calls for financial and policy support to help companies scale production cost-effectively and compete globally.
Emphasis on the strategic significance of the initiative for India’s upcoming 6G ecosystem and patent share goals.
Awareness of market dynamics and the need for flexible, responsive policy frameworks emphasized by the minister.
Ongoing dialogues between government and industry aim to shape refined PLI-related policies and funding schemes.
This push for PLI extension and enhanced value addition aligns with India's vision of building a resilient, competitive telecom manufacturing ecosystem, crucial for technological sovereignty and economic growth.
Sources: Moneycontrol, PTI, The Week, Rediff, Devdiscourse