Government prohibits communication infrastructure providers from disclosing data outside of India.

Government prohibits communication infrastructure providers from disclosing data outside of India.
The government has prohibited communications infrastructure providers, which include those operating cloud-based telecom networks, mobile towers, and satellite gateways, from transmitting any data outside of India, as stated in an official notification.

The Department of Telecom, in its notification for the authorization framework concerning infrastructure providers, has mandated that all telecommunication data must be kept within the country.

“Every newly authorized entity shall ensure that all systems related to its telecommunication network, alongside the data, logs, and information associated with it, are stored within India. Furthermore, no copies of such data, logs, or information shall be routed, shared, or made available outside of India,” the notification dated July 20 reads.
The authorization frameworks are a component of the government’s approach to shift from a licensing regime to lighter regulation in accordance with the Telecommunications Act 2023.

Providers of infrastructure, digital connectivity, internet exchange points, satellite earth station gateways, cloud-hosted telecommunication networks, and mobile number portability at the national level can seek authorization under the newly established framework.

Under the new regulations, the Center may access and inspect sites where telecommunication equipment and networks are set up for the purposes of monitoring compliance, “including within a user’s premises.” They may audit processes or systems created by the newly authorized entity for adherence to these rules and may take immediate action without notice if deemed necessary for public interest.

To oversee compliance, the Center may designate an agency to audit the processes or systems established by the authorized entity.

The notification states that the assigned agency will not collect or require the disclosure of any information that could harm the competitive position of any user or the new authorized entity.

Infrastructure providers under the new framework will bear full responsibility for acquiring permission to deploy the network, and any delays in obtaining such permission will not excuse non-compliance with the rules outlined in the new framework.

“The lack of right of way or delays in securing right of way permissions by the new authorized entity will not serve as grounds for failing to comply with any obligations under these rules,” the framework asserts.

Data center company Submer India’s head, Anupam Shrivastava, who previously served as the chairman and managing director of BSNL, stated that the recently issued Telecommunications (Authorization for Telecommunication Network) Rules, 2026, signify a significant milestone for national digital infrastructure. “Having led traditional telecom infrastructure at BSNL and now innovating sustainable data center solutions at Submer, I view this framework as a progressive step toward a greener, highly secure, and cloud-integrated future,” he remarked.

Shrivastava emphasized the government’s firm position on data localization, mandating that all telecommunication network systems, as well as associated data and logs, must be stored solely within India, and that no copies can be routed, shared, or made available outside the country.

“This will undoubtedly lead to a substantial increase in demand for domestic data centers. The introduction of the ‘Cloud-Hosted Telecommunication Network Provider’ category, which features a low entry barrier with a ₹10 Lakhs entry fee and no annual authorization fees, will facilitate the seamless integration of cloud data centers with telecom networks to democratize infrastructure,” he added.

The President of the ITU-APT Foundation of India, Bharat Bhatia, praised the DoT for issuing these comprehensive authorization guidelines, but noted that the critical issue of spectrum assignment for gateway earth stations remains unresolved.

“The current notification prevents authorized entities from applying for spectrum, which is essential for the successful operation of the gateways. At present, the gateways are operated by ISRO, which has been allocated the necessary gateway spectrum, leaving private players at a disadvantage. TRAI is currently in consultation over this and hopefully will address it in their upcoming recommendations,” he stated.

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