Telecom Manufacturing Zone Draws INR 5,500 Crore Investment Interest as DoT Holds Bengaluru Roundtable
Bengaluru, September 23, 2026: The Department of Telecommunications (DoT) held its third Investors’ Roundtable in Bengaluru to attract investments and strengthen India’s domestic telecom manufacturing ecosystem, with discussions centred on the proposed Telecom Manufacturing Zone (TMZ) at Gwalior, Madhya Pradesh.
Union Minister for Communications and Development of North Eastern Region Jyotiraditya M. Scindia and Madhya Pradesh Chief Minister Mohan Yadav jointly chaired the investor interaction. The meeting brought together companies and industry leaders from the telecom, technology, semiconductor and electronics sectors to discuss manufacturing, research and development, innovation, exports and domestic value addition.
Scindia said that 24 companies are already on board and have proposed investments of around ₹5,500 crore in the Gwalior Telecom Manufacturing Zone. He said the initiative demonstrates cooperation between the Union and State governments in creating an investment environment for technology and manufacturing companies.
According to the Minister, the Madhya Pradesh government has put in place incentives and subsidies estimated at around ₹8,000 crore to support investments in the State. He emphasised that coordinated government support is intended to give private-sector investors greater confidence to establish manufacturing and innovation operations.
The Bengaluru roadshow marked the completion of the first phase of the government’s investor outreach programme for the TMZ. Scindia said the government intends to respond quickly to investor concerns, with a proposed mechanism to address queries or issues related to the zone within 48 hours.
The Minister also highlighted the changing structure of India’s technology economy, pointing to the need to increase domestic value addition and develop intellectual property within the country. He said the telecom sector represents an important opportunity for India to move beyond services and expand its capabilities in designing and manufacturing products for domestic and international markets.
Chief Minister Mohan Yadav said Madhya Pradesh’s location and infrastructure provide a foundation for attracting investments across sectors. He highlighted the State government’s focus on creating an environment conducive to emerging industries, particularly technology and telecommunications, and said the TMZ could contribute to investment and employment generation.
The Telecom Manufacturing Zone project formally took shape with a Memorandum of Understanding signed on July 30, 2026, between the Department of Telecommunications and the Government of Madhya Pradesh in New Delhi. The first phase is planned as an integrated, plug-and-play industrial cluster for telecom and electronics manufacturing, research and development, innovation and allied activities.
Under the agreement, the Central Government is providing 100% funding support of ₹493 crore for Phase I of the project. The Madhya Pradesh government has allocated approximately 170 acres of land free of cost, along with incentives aimed at encouraging investors to establish facilities within the zone.
The Bengaluru meeting follows investor roundtables held earlier in Delhi and Mumbai, where companies indicated investment commitments of approximately ₹5,500 crore and the potential creation of around 18,000 employment opportunities through the TMZ initiative.
At the third roundtable, participating companies expressed interest in investing an estimated ₹700 crore to ₹800 crore, subject to internal management approvals and further evaluation. Several companies also indicated plans to conduct site visits before taking investment decisions.
The proposed Gwalior zone is intended to create an integrated ecosystem covering manufacturing, product development, innovation and supporting activities. The initiative is expected to encourage greater domestic value addition in telecom and electronics while creating opportunities for technology companies and component manufacturers.
As part of his Bengaluru engagement, Scindia also visited Qualcomm, where he met the company’s leadership and senior representatives. Discussions covered developments in telecommunications technology, semiconductor capabilities, indigenous product development, research and innovation, and opportunities for technology companies to participate more actively in India’s telecom manufacturing ecosystem.
The visit also provided an opportunity for government and industry representatives to discuss requirements relating to telecom equipment, semiconductor technologies, product design, R&D and next-generation communication systems.
The Telecom Manufacturing Zone is being positioned as a component of India’s broader efforts to expand domestic manufacturing and reduce dependence on imported technology and components. By combining industrial infrastructure with investment incentives, research capabilities and manufacturing facilities, the initiative aims to support the development of a more integrated telecom and electronics ecosystem in India.
With investor outreach now moving through its next phase, the government is expected to continue engaging companies to translate expressions of interest into manufacturing projects, investment and employment opportunities at the Gwalior Telecom Manufacturing Zone.
