Trai eyes to strengthen local R&D in telecom, broadcasting sectors

The Telecom Regulatory Authority of India (Trai) will soon consult stakeholders to promote and strengthen localised research and development (R&D) activities leading to the Intellectual Property Rights (IPR) creation in line with Atmanirbhar Bharat (self-reliant India) campaign, a top official said.

“We are coming up with a consultation paper within the next 2 to 3 months to develop and strengthen R&D in India in telecom and broadcasting sectors,” V Raghunandan, secretary, Telecom Regulatory Authority of India (Trai) told ETTelecom.

The watchdog is currently doing assessment in the twin industries, with a focus on ecosystem availability, feasibility and enabling environment.

“The R&D paper will also facilitate development of the existing ecosystem, leading to a boost for IPR creation domestically in line with the Atmanirbhar Bharat (self-reliant India) ambition,” Raghunandan added.

In the wake of negligible R&D activities and unavailability of incentives or attractive schemes, the domestic companies are apparently on backfoot to create indiginous IPR which according to analysts is eventually discouraging the Centre’s prestigious Make in India or local production of equipment and components across two sectors.

The domestic players spend merely 2-3% of their revenue in conducting R&D locally.

In September 2020, Trai had come out with a suo moto suggestion to promote local telecom equipment manufacturing in order to enable transition of the country’s import-dependent sector to become indigenous manufacturing destination worldwide.

It recommended setting up of a Rs 1,000-crore fund, and telecommunication technology and systems design laboratories in universities and technical institutions in collaboration with telecom gear makers and service providers.

Early this year, the watchdog has also sought stakeholders’ views on ways to promote networking and telecom equipment manufacturing in India.

“If India’s contribution to global value chains is to be maximised by focussing on domestic production, increasing exports and reducing the import burden, several policy initiatives will be required to be taken,” Trai earlier said.

In order to promote indiginous manufacturing, the Centre allocated a 5% of the Universal Service Obligation Fund (USOF) annually towards R&D to boost IPR creation locally and design-led manufacturing in the fifth generation (5G), 5G Advanced, and 6G technologies.

Last year, the Department of Telecommunications (DoT) had come up with a production-linked incentive scheme (PLI) and included set-top boxes with a financial outlay of Rs 12,195-crore, and later amended the scheme to facilitate design-led manufacturing in the country.