The Central government has introduced a new authorisation framework for telecommunication infrastructure providers, making it mandatory for all telecommunication network data, logs and related information to be stored within India. Under the new rules, authorised entities will not be allowed to route, share or make copies of such data available outside the country. 
The Department of Telecommunications (DoT) notified the Telecommunications (Authorisation for Telecommunication Network) Rules, 2026 in the past week as part of the government's broader shift from a licensing regime to a lighter regulatory framework under the Telecommunications Act, 2023. 
According to the notification, every newly authorised entity must ensure that all systems forming part of its telecommunication network, along with the associated data, logs and information, are stored exclusively within India. The framework effectively introduces mandatory data localisation for telecom infrastructure providers. 
The new authorisation framework covers infrastructure providers, digital connectivity infrastructure providers, internet exchange point providers, satellite earth station gateway operators, cloud-hosted telecommunication network providers and national-level mobile number portability providers. 
The rules also expand the government's powers to monitor compliance. The Centre can inspect locations where telecommunication equipment and networks are installed, including equipment located within a user's premises. It can also audit the processes and systems adopted by authorised entities to ensure compliance with the rules. 
In cases where immediate action is considered necessary or in the public interest, the government has the authority to carry out inspections without prior notice. It may also appoint a designated agency to conduct audits of compliance systems and operational processes. 
At the same time, the notification specifies that any designated agency appointed for compliance audits cannot collect or require disclosure of information that could adversely affect the competitive position of either the authorised entity or its users. 
The framework further places full responsibility on infrastructure providers to obtain all necessary approvals for network deployment. It clarifies that delays in obtaining permissions, including right-of-way approvals, cannot be cited as grounds for failing to meet obligations under the authorisation rules. 
The move is expected to have implications for India's digital infrastructure ecosystem, particularly the domestic data centre industry. Industry experts believe the mandatory localisation of telecom data could accelerate demand for data storage capacity within the country. 
Anupam Shrivastava, Head of Submer India and former Chairman and Managing Director of BSNL, said the new rules represent an important step in strengthening India's digital infrastructure. He said the framework reflects the government's firm approach towards data localisation by requiring all telecom network systems, associated data and logs to remain within India without allowing copies to be shared overseas. 
Shrivastava further stated that the introduction of the Cloud-Hosted Telecommunication Network Provider category, with an entry fee of INR 10 lakh and no annual authorisation fee, is expected to encourage greater integration between cloud data centres and telecom networks. According to him, the measure could significantly increase demand for domestic data centres while making telecom infrastructure more accessible. 
However, industry stakeholders have also pointed to unresolved regulatory issues. Bharat Bhatia, President of the ITU-APT Foundation of India, welcomed the detailed authorisation guidelines issued by the DoT but noted that the framework does not address spectrum assignment for private satellite gateway operators. 
Bhatia said authorised entities are currently unable to apply for gateway spectrum, which is essential for operating satellite gateways. He observed that while such spectrum is presently allocated to ISRO-operated gateways, private operators remain at a disadvantage. He added that the Telecom Regulatory Authority of India (TRAI) is already examining the issue through an ongoing consultation process, and the industry expects further recommendations to address the matter. 
The notification builds on the government's wider telecom reforms introduced through the Telecommunications Act, 2023, which replaced several legacy laws and seeks to modernise India's telecommunications sector by introducing a simplified authorisation-based regulatory framework while strengthening oversight, network security and digital infrastructure development. 
Source PTI