GSMA Director General Vivek Badrinath is advocating for 5G network slicing in India, a technology that allows telecom companies to create specialized network paths for premium enterprise and consumer use. This push aims to help operators move beyond basic data plans to improve revenue per user. However, the technology faces regulatory scrutiny from the Telecom Regulatory Authority of India (TRAI) regarding net neutrality and service quality standards for the general public.
At the India Mobile Congress 2026, the GSMA emphasized that the next phase of digital growth in India depends on finding ways to monetize the country's vast 5G infrastructure. With approximately 450 million 5G connections now active, the telecom industry is looking for ways to move beyond standard connectivity services. GSMA Director General Vivek Badrinath highlighted 5G network slicing as a key technology that could help operators tackle the long-standing challenge of low average revenue per user (ARPU).
Network slicing allows telecom companies to take a single physical 5G network and divide it into multiple virtual segments. Each segment can be configured with specific performance characteristics, such as guaranteed speed, lower latency for gaming or real-time data, and higher security protocols. This would allow operators to offer premium 'slices' of the network to businesses, large event venues, or emergency services, while keeping standard internet traffic on a separate, general-purpose lane.
The commercial appeal for operators like Bharti Airtel, Reliance Jio, and Vodafone Idea is clear: it allows them to sell specialized services to industries that require mission-critical connectivity, potentially creating new revenue streams that are not dependent on basic data consumption. Bharti Airtel has already experimented with this approach through its 'Fast Lane' service, which offers priority access to postpaid users.
However, this business model faces significant regulatory hurdles. The Telecom Regulatory Authority of India (TRAI) has expressed caution, releasing draft quality-of-service regulations to protect the experience of regular internet users. Regulators are concerned that creating premium 'fast lanes' might degrade the quality of service for the general population. TRAI’s draft proposals include capacity utilization limits, such as an 80% threshold, and requirements for operators to provide advance notice if they plan to modify network segments that could impact public access.
There are also concerns regarding net neutrality, the principle that all internet traffic should be treated equally. Critics and consumer groups argue that allowing telecom operators to prioritize specific traffic—even for a fee—could lead to discriminatory practices. Operators, on the other hand, argue that restrictive regulations could hinder innovation and limit their ability to earn a return on the significant capital spent on 5G infrastructure. For investors, the path forward will depend on how TRAI balances these competing interests. The final regulatory framework will likely determine whether Indian telecom companies can effectively monetize these advanced network capabilities or if they will face strict limitations on how they manage their 5G traffic.