How India’s Digital Infrastructure Drives Economy & Entrepreneurship

India’s digital revolution, spearheaded by the National Digital Communication Policy (NDCP) 2018, has not only transformed the country’s telecom infrastructure but also catalysed business innovation, entrepreneurship, and economic growth. Over the past six years, the Government of India’s focus on creating a robust and accessible digital ecosystem has proven to be a critical enabler of development across sectors.

Transformative Impact on Business and Entrepreneurship

The expansion of digital connectivity has created fertile ground for entrepreneurial ventures, especially in rural and semi-urban regions. With the optical fiber network growing from 17.5 lakh km in 2018 to 41.9 lakh km in 2024 and over 6.22 lakh villages gaining mobile connectivity, businesses have been able to scale faster, access wider markets, and streamline operations using technology.

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Startups and small businesses have leveraged affordable data to innovate in fields such as fintech, edtech, healthtech, and e-commerce. Platforms like UPI, which thrive on high-speed connectivity, have witnessed exponential growth, contributing to India’s emergence as a global leader in digital payments.

“The availability of affordable broadband and low-cost data has enabled startups to disrupt traditional industries, democratising access to goods and services,” noted a senior official from the Ministry of Communications.

Boosting Economic Activity

• Broadband Penetration: The number of broadband users almost doubled, growing from 48 crore in 2018 to 94 crore in 2024. This connectivity boom has facilitated e-commerce growth, improved access to online education, and encouraged remote work opportunities.
• Digital Economy Expansion: The average monthly data usage surged from 8.32 GB in 2018 to 21.3 GB in 2024, indicating an increased reliance on digital tools and platforms. The affordability of data—costs dropped from ₹10.91 to ₹8.31 per GB—has made it accessible to all economic strata, driving consumption and economic activity.
• Rural Inclusion: Programs like BharatNet, with an allocation of ₹1.39 lakh crore, have brought broadband connectivity to 2.64 lakh Gram Panchayats, fostering rural entrepreneurship and digital literacy.

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Strengthening Infrastructure for Growth

The NDCP 2018 has catalyzed private investments and public-private partnerships, creating a competitive and innovation-driven telecom sector. The Satellite Communication Reforms of 2022 further simplified regulatory frameworks, enabling businesses to venture into underserved and remote areas.

E-commerce giants and logistics companies have expanded their footprint, reaching previously inaccessible regions. Meanwhile, rural artisans and small-scale industries have been empowered to sell their products directly to a global audience through online marketplaces.

Highlights of India’s Digital Communication Progress (2018-2024)

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Digital Future and Sustainability

India’s digital transformation is also paving the way for green growth by encouraging telecommuting and reducing travel emissions. The government’s transparent spectrum management policies and the enactment of the Telecommunications Act, 2023, have laid the groundwork for sustained innovation in 5G, IoT, and AI technologies.

As India progresses toward becoming a $10 trillion economy, the digital ecosystem established under the NDCP 2018 will remain central to achieving this vision.

Driving Towards a Digitally Empowered and Prosperous Future

The digital revolution in India, driven by transformative policies and infrastructure development, is not just about connecting people but also about empowering businesses, fostering innovation, and boosting economic growth. By addressing challenges and leveraging technology, India is crafting a future where opportunities are abundant, equitable, and sustainable.

Disclaimer: This article is based on information provided by the Minister of State for Communications, Dr. Pemmasani Chandra Sekhar, in a written reply to a question in the Lok Sabha earlier today.