Telecom PLI 2.0 in the works, govt looks to shift focus from manufacturing to design in India

The government is reportedly developing a second Production Linked Incentive (PLI) scheme for the telecom sector, tentatively called PLI 2.0. Unlike the first scheme, which primarily focused on boosting manufacturing, this new plan aims to shift the focus towards research, design, and backward integration. The proposal includes offering incentives to startups and may involve a higher financial outlay than the initial program.
This shift is significant for investors as it signals a move to deepen India's role in the telecom value chain beyond assembly. By encouraging local design and research, the government hopes to reduce reliance on imports and foster indigenous innovation. This could lead to a more robust and self-sufficient ecosystem in the sector.
Investors should watch for the official announcement of the scheme's details, including the specific financial allocations and eligibility criteria. The success of PLI 2.0 will depend on how effectively it attracts global companies to invest in design capabilities within India.
Excerpt from CNBC-TV18
Published On Nov 11, 2026 | 12:40 IST Last Updated On Nov 11, 2026 | 12:40 IST The proposed Telecom PLI 2.0 is expected to shift focus from manufacturing to research, design and backward integration in India, with incentives for startups and a potentially higher outlay than the first scheme. The government is…Read the original at CNBC-TV18
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