Vision 2047 – India’s plans for the telecom and IT sector

The 2024-25 interim budget speech, presented by Finance Minister Nirmala Seetharaman, did not delve deep into specific plans for the telecom and IT sector under Vision 2047. However, it did highlight the government’s broader commitment to developing a robust and inclusive digital infrastructure, which is crucial for achieving the goals outlined in the vision.

India Vision 2047
India Vision 2047 envisages to transform India into a developed country. The vision is – Prosperous Bharat in harmony with nature, modern infrastructure, and opportunities for all; the broad objectives being:

• Economic growth. Aiming to make India a USD 30-trillion economy by 2047, a significant jump from its current size. Focusing on sectors like manufacturing, services, and innovation to drive economic growth. Promoting entrepreneurship and attracting foreign investment.
• Human development. Striving to improve the overall quality of life for Indian citizens. Focusing on areas like education, healthcare, and social welfare. Achieving inclusive growth that benefits all sections of society.
• Infrastructure development. Building world-class infrastructure across the country, including transportation, energy, and communication networks. Focus on developing smart cities and sustainable infrastructure solutions.
• Technological advancement. Encouraging research and development in cutting-edge technologies like artificial intelligence (AI), robotics, and renewable energy. Bridging the digital divide and ensuring equitable access to technology.
• Geopolitical standing. Strengthening India’s position as a global leader and a major player in the international arena. Emphasizing security and strategic interests.
• Sustainability. Promoting environmentally sustainable practices and addressing climate change concerns. Balancing economic development with environmental protection.

Plans for the telecom and IT sector
Telecom and IT have has got to play a big role in the process of this transformation. Some of the plans related to the telecom sector as a part of this Vision India 2047 include:

• Capture 20-percent share of global manufacturing of mobile telecom technologies.
• Develop largely indigenous domestic telecom networks.
• Increase India’s share in global supply of optical and network equipment to 25 percent.
• Propel one telecom manufacturing company to global top five optical and network technology firms.
• Ensure India figures among the top five in communication technology research countries.
• Enable two India companies to top 10 global quantum communication firms.
• Develop C-DoT as an institution of global eminence.

How far are these plans achievable by 2047?

• Capturing 20 percent of the global mobile telecom technology manufacturing market is an ambitious goal for India, but achievable with concerted efforts on multiple fronts.
• While India does export some optical components at present, but increasing the market share of optical and network equipment to 25 percent of the global supply in the next two decades is quite an uphill task.
• Developing a largely indigenous domestic telecom network is a long-term ambition, requiring a multi-pronged approach. By addressing the key areas, overcoming the challenges, and leveraging its strengths, India can make significant strides toward achieving this objective.

However, given the fact that India has been projected to be among the top three economies of the world in the next decade, and also being the most populous nation of the world, her share in the domestic consumption is going to be pretty high. So, with development of indigenous supply chain in this domain, it is possible to achieve these targets.

How can we make these plans a reality?
Some of the key steps India can take in the direction of seeing these dreams come true include:

• Strengthening technology. Increase public and private investments in research and development (R&D) of core technologies like 5G, 6G, and beyond, focusing on indigenous innovation and collaboration with global players.
  Create dedicated technology parks or innovation hubs with shared facilities, incubation centers, and access to funding to promote startups and entrepreneurship in this sector. Ensure collaboration between universities, IITs, and research institutions like C-DoT to foster talent in telecom technology. Department of Science and Technology has since taken major strides in this direction. DoT could emulate some of the steps in this direction.
• Technological advancements and Innovation. The telecom and IT industry is rapidly evolving, so continuous investment in R&D and keeping pace with technological disruptions is crucial. A company like C-DoT can play an enabling role here. C-DoT has been partnering with a number of Indian equipment manufacturing companies, to whom they do a technology transfer, including in the domain of optical and network technology. One of companies can be propelled as one of the global top technological organizations in these domains.
• Participating in international standards bodies, and actively contributing to shaping the future of the industry by influencing international telecom standards is an essential ingredient. This one area has been a weak spot of India. Indian administration has been very casual about actively participating in the telecom standards bodies, while our neighbor and big brother is practically controlling these bodies. Things have improved quite a bit in the recent past, but India has to do a lot of catching up on this front, in case it actually wants to meet this objective.
• Developing a skilled workforce. Strengthen science, technology, engineering, and mathematics (STEM) education at all levels, focusing on critical thinking, problem-solving, and research skills. Create specialized training programs in emerging communication technologies like AI, machine learning, and cyber-security.
• Develop critical components. Focus on local development and manufacturing of key components like semiconductors, optical devices, and network equipment. This could be achieved through targeted investments, joint ventures with global players, and technology transfer initiatives.
• Promote intellectual property. Encourage patent filing and IP protection to incentivize indigenous innovation and ensure competitiveness in the global market.
• Build economies of scale. Encourage collaboration and consolidation among Indian companies to achieve economies of scale and compete effectively with established global players.
• Build a competitive manufacturing ecosystem. Upgrade physical infrastructure like ports, industrial corridors, and power grids to support efficient logistics and manufacturing operations.
  Implement streamlined regulations and processes for setting up and operating manufacturing units and minimizing bureaucratic hurdles.
  Provide financial incentives through schemes like the production-linked incentive (PLI) to attract major global players and encourage domestic companies to scale up manufacturing capacity.
  The good news is that Government had declared sometime back that the country is in the process of establishing its own semiconductor fab plants. Recently, as a step in this direction, Hon’ble PM laid the foundation stone of Tata-Powerchip Semiconductor Corp’s semiconductor fabrication unit (fab) at Dholera, the Tata group’s outsourced semiconductor assembly and test (OSAT) unit in Assam, and the CG Power-Renesas Group combine’s OSAT unit at Sanand, Gujarat. Once the manufacturing starts sometime in 2026, it would be a big leap forward for India.
• Manufacturing excellence. Implementing Industry 5.0, and ensuring high-quality control to match global benchmarks are essential ingredients. Besides this, expanding production capacities to achieve cost efficiencies and economies of scale, and vertical integration to ensure timely availability of critical components, too needs attention.
• Promoting domestic demand and adoption. Support digital infrastructure projects. Allocate adequate resources for government projects like smart cities, rural connectivity, and public Wi-Fi initiatives, prioritizing domestically manufactured equipment.
• Domestic demand for indigenous equipment. Promote the use of India-made telecom equipment by domestic telecom operators and service providers, initially through preferential procurement policies and financial incentives. Also, increase public awareness about the benefits of using indigenous telecom technologies and encourage consumer adoption.
• Expanding market access and global partnerships. Pursue trade agreements with key countries that reduce tariffs and facilitate the export of India-made telecom and IT equipment.
  Develop partnerships with established telecom equipment manufacturers for technology transfer, joint ventures, and market access.
  Ensure high-quality standards and invest in brand building to gain trust and credibility in the international market.
• Brand building and reputation. Create a strong brand identity that resonates with international customers and highlights the company’s technological prowess and reliability.
  Effectively communicate successful deployments and collaborations to build trust and credibility in the global market. Gain visibility and network with potential customers and partners at international industry events.
• Building a robust ecosystem. Upgrade internet connectivity, data centers, and computing resources to support research activities.
  Secure funding through various avenues, including venture capital, private equity, and strategic partnerships, to fuel growth and expansion plans is essential.
  Encourage the development and adoption of open-source platforms for communication technologies to foster collaboration and innovation.
• Develop a robust supply chain. Ensure reliable and secure access to raw materials and components by building a strong domestic supply chain or forging strategic partnerships with international suppliers.
• Quantum computing. Quantum computing is the future of computing. Propelling two Indian companies into the top ten global quantum communication firms is a long-term ambition requiring comprehensive efforts. By addressing these key areas and overcoming the challenges, India can create a conducive ecosystem for quantum communication innovation, and nurture companies that can compete on the global stage.
  Both public and private sectors need to significantly increase investments in quantum communication research and development. This includes creating dedicated research centers, funding academic and corporate labs, and fostering collaboration between institutions. The Department of Science and Technology has since started work in this direction.
  Invest in research areas like quantum key distribution (QKD), quantum repeaters, and integrated quantum communication chips, crucial for building practical technologies. Identify early use cases for quantum communication in sectors like finance, defense, and critical infrastructure. Encourage pilot projects and demonstrations to showcase the technology’s benefits. Attract and retain top researchers and engineers specializing in quantum physics, cryptography, and communication technologies. Offer competitive salaries, training opportunities, and a stimulating research environment. C-DoT has since started working on QKD
• Support startups and SMEs. India is known for entrepreneurship. Incubate and accelerate promising startups developing quantum communication and other solutions. Offer financial assistance, mentoring, and market access opportunities.
• C-DoT as a global institute of eminence. The Centre for Development of Telematics, has already played a significant role in fostering indigenous telecom technology in India. There was a time in the late 1980s when some of the international companies in telecom were jealous of C-DoT-based rural exchanges, as it had taken away their business in a number of developing countries. However, C-DoT unfortunately became a victim of politics in the country, and lost all its sheen.
  In the past decade and a half, C-DoT has been developing some products indigenously, which started restoring its credibility and status. Some of the products  include GPON, DWDM etc. However, for it to achieve the status of an institution of global eminence, several areas would need to be developed further.

Conclusions
Given the current telecom scenario in the country, the plans of Vision India for 2047 for the telecom and IT sector look quite ambitious. However, at the same time without a major leap forward in the domain of ICT, Vision India 2047, as a developed, self-reliant nation is not possible. This is because, for a developed India, a robust digital infrastructure is a must, for which telecom and IT would form the backbone. Without a strong backbone, no organism can work effectively.

So, India has no choice but to stick to these plans 2047 for telecom and IT, and work in the direction of their accomplishment. The challenges for achieving those are quite tough, but then nothing is impossible, if the country decides to embark on a specific journey, and those at the helm are sincere.

Also, given the fact that India has been projected to be among the top three global economies in the next decade, and also being the most populous nation of the world, her share in the domestic consumption is going to be pretty high, there are reasons to be optimistic.

So, we are likely to be there by 2047! The youth of this nation would be witness to this vision getting accomplished.

This article is authored by Vimal Wakhlu, Former Chairman & Managing Director, Telecommunications Consultants India Ltd. Views expressed are personal.