23 - 09 - 2026

Gwalior Telecom Manufacturing Zone Draws ₹5,500 Crore Commitments as DoT Holds Third Investor Roundtable

The Department of Telecommunications (DoT) has said that 24 companies are already on board to invest in the proposed Telecom Manufacturing Zone (TMZ) in Gwalior, with investment commitments of around ₹5,500 crore and the potential to create approximately 18,000 jobs.

The announcement came during the third Investors’ Roundtable for the proposed zone, held in Bengaluru on Tuesday and chaired by Union Minister for Communications Jyotiraditya M. Scindia and Madhya Pradesh Chief Minister Mohan Yadav. The meeting brought together companies and investors from the technology, telecom, semiconductor and electronics sectors to discuss opportunities in the proposed manufacturing cluster.

According to the Department, the Bengaluru engagement generated further proposed investments of between ₹700 crore and ₹800 crore, subject to internal management approvals by participating companies. Several companies also indicated that they would undertake site visits to evaluate the proposed investment opportunities.

Scindia said the Bengaluru roadshow marked the completion of the first phase of the government’s investor outreach for the TMZ, with nearly 24 companies already on board. He said the government would aim to address investor queries or issues related to the zone within 48 hours.

“We want to make Gwalior not just a manufacturing destination, but a destination where industry knows it has a responsive government partner,” Scindia said. The proposed Gwalior TMZ is being developed as an integrated, plug-and-play industrial cluster covering telecom and electronics manufacturing, research and development, innovation and allied activities.

The Department of Telecommunications and the Government of Madhya Pradesh signed an MoU on July 30, 2026, for establishment of Phase I of the zone. Under the arrangement, the Central Government is providing 100% funding support of ₹493 crore for Phase I, while Madhya Pradesh has provided approximately 170 acres of land free of cost, along with investor incentives.

A Special Purpose Vehicle has been established to implement the project, with 51% equity held by the Government of Madhya Pradesh and 49% by the Department of Telecommunications. The zone is envisaged to support manufacturing and R&D across areas including mobile devices, optical fibre, telecom equipment and next-generation 5G and 6G technologies.

Focus shifts from services to products

Scindia said the government’s broader objective was to strengthen India’s position in telecom product development and manufacturing, rather than limiting the country’s role to services.

“India is now moving decisively from being a services-led nation to a product-led nation,” he said, identifying increased domestic value addition, creation of intellectual property in India and taking Indian-designed and Indian-manufactured products to global markets as key priorities.

He also described the TMZ as an example of cooperation between the Union and state governments, noting that Madhya Pradesh had put in place incentives and subsidies of around ₹8,000 crore.

Chief Minister Mohan Yadav said Madhya Pradesh was seeking to build an ecosystem capable of attracting investment in emerging technology and telecom sectors, adding that the initiative could contribute to investment and employment generation.

Ahead of the roundtable, Scindia visited Qualcomm in Bengaluru, where he met company leadership and senior representatives to discuss developments in telecom technologies, semiconductor capabilities, indigenous product development, research and innovation.

The discussions also covered opportunities for technology companies to participate in India’s telecom manufacturing ecosystem, including telecom equipment, semiconductor technologies, product design, R&D and next-generation communication technologies.

The Bengaluru roundtable follows investor engagements held earlier in Delhi and Mumbai, where the government said industry had assured investment commitments of ₹5,500 crore with the potential to generate around 18,000 employment opportunities under the TMZ initiative.

Building a domestic telecom manufacturing ecosystem

The Gwalior zone is being positioned as part of the government’s broader effort to expand domestic manufacturing, increase value addition and strengthen India’s telecom technology supply chain.

The DoT said the initiative is aligned with the objectives of Aatmanirbhar Bharat and the government’s Make in India and Make for the World approach, with an emphasis on manufacturing, innovation, exports and employment in telecom and electronics.

For Madhya Pradesh, the project is also intended to create a new industrial cluster around telecom and electronics, while for the central government it provides a platform to bring manufacturing, product development and R&D capabilities together within a single ecosystem.

The latest investor outreach indicates that the government is now moving from establishing the institutional framework for the TMZ towards attracting companies, evaluating site-level investment proposals and building the manufacturing ecosystem around the planned Gwalior cluster.

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