“As digital consumption accelerates, interconnection must be recognised as a strategic pillar of national digital infrastructure, powering innovation across AI, cloud, fintech, and India’s rapidly expanding data centre ecosystem
As India moves decisively toward becoming a global digital hub, Budget 2026 must prioritise policies that strengthen the foundational layers of digital infrastructure, especially interconnection and data exchange ecosystems. We expect targeted incentives for neutral Interconnection Platform, Edge Data Centres, and Cloud Platforms that reduce latency, improve resilience, and lower network costs for SMEs, SMBs, Enterprises and ISPs alike.
Policy clarity regarding data localisation, cross-border data flows, and power and right-of-way reforms will be crucial to accelerating investments in next-generation digital infrastructure. Additionally, a Public–Private Partnership (PPP) approach to expanding interconnection in Tier 2 and Tier 3 cities can accelerate digital inclusion. With the industry growing at 25% CAGR and projected to reach 32% CAGR by FY26, neutral interconnection platforms will play a crucial role in accelerating this growth.
A future-ready Budget should recognise interconnection as a strategic enabler of AI, cloud, fintech, smart cities, and digital public infrastructure, ensuring India remains competitive, scalable, and digitally sovereign in the global economy.”
- Advertisement -
