Government Sets Aside Higher Allocation for Telecom Tech Development Fund by October

Government to Launch New Telecom Technology Development Fund with Higher Outlay by October

The Indian government is planning to launch a new Telecom Technology Development Fund (TTDF) with a higher outlay by October, according to Minister of State for Telecom Pemmasani Chandra Sekhar. Speaking at the COAI Digicom Summit 2026, the minister revealed that the ministry has so far sanctioned around Rs 540 crore to over 100 companies under the TTDF scheme, with many of them working in the 6G space.

The government is also set to introduce a technology development fund with enhanced co-funding mechanisms to ensure the fund effectively achieves its objectives. The minister stated that the process for launching the fund has begun and expects it to receive final approval by October.

In an effort to promote innovation in the industry, the government is increasing investment in research and development and providing financial support. The minister highlighted the success of the Production Linked Incentive (PLI) scheme, which was launched with an outlay of Rs 12,000 crore and attracted participation from 42 companies. The scheme generated close to Rs 62,000 crore in sales.

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The minister emphasized that the government is committed to supporting growth in the industry, which has led to financial recovery in the sector. The sector's gross revenue has grown around 10% compared to last year, reaching Rs 3.7 lakh crore.

The government's efforts have also led to an increase in foreign direct investment (FDI) inflows, indicating a recovery of structural health in the sector. The minister expressed confidence that the industry has the potential to do better in the future and urged operators and manufacturers to focus on design-led manufacturing, with the government providing different incentive structures for this purpose.