“Indian Telecom Services Performance Indicator Report” for the Quarter April - June, 2026

1. At a Glance

• What it is: a quarterly statistical report from TRAI. It gives the key figures and growth trends for telecom services and for Cable TV, DTH and radio broadcasting in India. Most of the data comes from what the service providers report to TRAI. [1]
• This edition: covers 1 April – 30 June 2026. PIB published it on 12 October 2026. [1]
• Why it matters for UPSC: it is the official source for tele-density, internet and broadband users, ARPU, data use, and AGR and licence fee. These figures come up in GS-III (infrastructure, digital economy) and in Prelims number-based questions. [1]
• Headline figures: 1,348.08 mn telephone subscribers, 94.31% tele-density, 1,114.17 mn internet subscribers and ₹88,796 crore AGR in the quarter. [1]

2. Why in the News

• On 12 Oct 2026, TRAI released the ITSPI report for the quarter ending 30 June 2026, along with its Executive Summary. [1]
• The previous edition, for January–March 2026, came out in June 2026. [2]
• Key changes this quarter: internet users passed 1.11 billion, mobile data use rose 8.30% in one quarter, and the price per GB of data fell further (₹7.13). [1]

3. Background & Evolution

• Legal basis: TRAI is set up under the Telecom Regulatory Authority of India Act, 1997. [10][6]
• Mandate (PRS): TRAI regulates telecom tariffs, makes policy recommendations to the Centre, and sets Quality-of-Service standards. [6]
• 2000: an ordinance amended the TRAI Act with effect from 24 January 2000 and created TDSAT. The amendment also separated TRAI's regulatory and recommendatory roles. [4]
• TDSAT: set up under Section 14 of the TRAI Act by a notification in 2000. It hears appeals against TRAI's directions, decisions and orders, and settles certain disputes. [5][6]
• 18 Dec 2023: the Telecommunications Bill, 2023 was introduced in the Lok Sabha. It replaces the Indian Telegraph Act, 1885 and the Indian Wireless Telegraphy Act, 1933. [6]
• Related TRAI publications:
• the quarterly ITSPI series, which goes back at least to the Jul–Sep 2020 and Apr–Jun 2022 editions [11]
• a Yearly Performance Indicators report, for example the one for 2024-25 [3]
• a separate Annual Report of TRAI (2024-25) [7]

4. Core Static Facts

Item	Fact
Publishing body	TRAI. Contact: Advisor, F&EA (Financial & Economic Analysis) division [1]
Parent statute	TRAI Act, 1997 [10]
Frequency	Quarterly, plus a separate Yearly PI report [1][3]
Coverage	Telecom plus Cable TV, DTH and radio broadcasting [1]
Data source	Mainly information furnished by service providers [1]

Key definitions (as the report uses them)

• GR (Gross Revenue) → ApGR (Applicable GR) → AGR (Adjusted GR). AGR is ApGR minus pass-through charges. Check: ₹1,01,036 cr − ₹12,241 cr ≈ ₹88,796 cr. (Derived from [1].)
• ARPU: monthly Average Revenue Per User. MOU: Minutes of Usage per subscriber per month. [1]
• Broadband and narrowband are reported separately, as are wired and wireless internet. [1]

Key numbers for Q1 FY27 (quarter ending June 2026) [1]

Indicator	Mar-2026	Jun-2026	Change (QoQ)
Total telephone subscribers	1,330.58 mn	1,348.08 mn	+1.31% (YoY +10.65%)
Overall tele-density	93.26%	94.31%	—
Urban telephone subscribers	778.79 mn	792.06 mn	—
Wireline subscribers	48.25 mn	47.82 mn	−0.88% (YoY +0.71%)
Wireline tele-density	3.38%	3.35%	−1.06%
Internet subscribers	1,092.79 mn	1,114.17 mn	~+1.96%*
– Wired / Wireless internet	—	47.73 / 1,066.43 mn	—
Broadband	1,065.88 mn	1,087.50 mn	+2.03%
Narrowband	26.91 mn	26.67 mn	−0.89%
Wireless data subscribers	1,026.75 mn	1,045.55 mn	+1.86%
Mobile data volume	77,953 PB	84,424 PB	+8.30%
Data use per subscriber per month	26.70 GB	28.39 GB	+6.32%
Revenue per GB	₹7.51	₹7.13	−5.07%
Wireless ARPU (monthly)	₹184.91	₹187.12	+1.19% (YoY +3.11%)
Prepaid / Postpaid ARPU	—	₹200.72 / ₹114.26	—
Overall MOU	959	933	−2.65%
Prepaid / Postpaid MOU	—	1,055 / 279	—
GR / ApGR / AGR	₹1,05,118 cr (GR); ₹86,716 cr (AGR) [2]	₹1,06,797 / ₹1,01,036 / ₹88,796 cr	+1.60% / +2.43% / +2.40%
YoY growth: GR / ApGR / AGR	—	10.50% / 9.52% / 9.19%	—
Pass-through charges	₹12,494 cr	₹12,241 cr	−2.02% (YoY +17.06%)
Licence fee	₹6,936 cr	₹7,103 cr	+2.41% (YoY +9.18%)
Access services' share of AGR	83.59% [2]	83.85%	—

*The release prints the internet growth rate as "96%". That is a typo: (1,114.17 − 1,092.79) / 1,092.79 = 1.96%. Computed from [1].

5. Multi-Dimensional Analysis

Economic

• Sector revenue grew about 10.5% year on year (GR), against 3.11% YoY growth in wireless ARPU. So revenue growth is coming both from more subscribers and from higher ARPU. [1]
• The licence fee of ₹7,103 cr is about 8.0% of AGR (₹88,796 cr). AGR is therefore the base on which government revenue from the sector is charged. (Derived from [1].)
• In access services, the licence fee rose +2.73% and Spectrum Usage Charges +2.83%, while pass-through charges fell −8.83%. [1]

Social / Digital inclusion

• Overall tele-density is 94.31%. [1]
• Urban subscribers are 792.06 mn out of 1,348.08 mn, which leaves about 556 mn outside urban areas. The urban–rural gap persists. (The rural figure is derived from [1]; the excerpt is cut off before the rural data.)
• Revenue per GB fell to ₹7.13 while use rose to 28.39 GB per month. Cheaper data supports the digital public infrastructure that welfare delivery relies on. [1]

Scientific / Technological

• 97.6% of internet subscribers are on broadband (1,087.50 of 1,114.17 mn), and 95.7% use wireless (1,066.43 mn). The internet in India is mainly mobile broadband. (Derived from [1].)
• Wired internet subscribers rose from 46.54 mn to 47.73 mn. [2][1]
• Wireline subscribers fell (−0.88% QoQ) but rose +0.71% YoY. [1]
• Data volume grew 8.30% in a single quarter, which points to video-heavy and high-speed use. [1]

Governance / Regulatory

• The report relies on data the operators report about themselves, so its accuracy depends on how TRAI audits and monitors those submissions. [1]
• TRAI also requires broadcasting Distribution Platform Operators to file monthly and quarterly Performance Monitoring Reports. [9]
• TRAI has issued an amended "Rating Manual 2026" under the Rating of Properties for Digital Connectivity Regulations, 2024. This extends its role to rating in-building connectivity. [8]
• PRS notes that the Telecommunications Bill, 2023 gives many regulatory functions to the central government rather than the regulator, unlike the power and finance sectors. This bears on how independent TRAI is. [6]

Legal / Institutional

• Appeals against TRAI decisions go to TDSAT (Section 14, TRAI Act), not straight to the High Court. [5][10]
• Under the 2023 framework, spectrum is assigned mainly by auction. Specified uses are assigned administratively, including defence, disaster management, satellite services such as DTH, and BSNL/MTNL. [6]

6. Recent Developments (last 12–18 months)

• 2025: TRAI released the Yearly Performance Indicators report for 2024-25. [3]
• 2025: TRAI ordered DPOs to submit monthly and quarterly Performance Monitoring Reports. [9]
• 2025–26: TRAI's Annual Report for 2024-25 was released. [7]
• 2026: TRAI issued the amended Rating Manual 2026 for rating properties on digital connectivity. [8]
• June 2026: the Jan–Mar 2026 ITSPI was released, with 1,330.58 mn telephone subscribers and 93.26% tele-density. [2]
• 12 Oct 2026: the Apr–Jun 2026 ITSPI was released, with 1,348.08 mn subscribers and 94.31% tele-density. [1]

7. Prelims Hooks

• The ITSPI report is published quarterly by TRAI, not by DoT or MoSPI. [1]
• It covers telecom and broadcasting (Cable TV, DTH, radio). [1]
• Total telephone subscribers at end-June 2026: 1,348.08 million. [1]
• Overall tele-density at end-June 2026: 94.31%. Wireline tele-density: 3.35%. [1]
• Internet subscribers: 1,114.17 mn, of which broadband is 1,087.50 mn and narrowband 26.67 mn. [1]
• Monthly wireless ARPU: ₹187.12. Prepaid ARPU (₹200.72) is higher than postpaid ARPU (₹114.26). [1]
• Mobile data per subscriber per month: 28.39 GB. Revenue per GB: ₹7.13. [1]
• Mobile data volume in the quarter: 84,424 PB. [1]
• AGR for the quarter: ₹88,796 crore. GR: ₹1,06,797 crore. [1]
• Access services make up 83.85% of AGR. [1]
• Licence fee for the quarter: ₹7,103 crore. [1]
• Prepaid MOU (1,055) is far higher than postpaid MOU (279). [1]
• TDSAT was set up under Section 14 of the TRAI Act, through the 2000 amendment. [4][5]
• The Telecommunications Bill, 2023 replaces the Indian Telegraph Act, 1885 and the Indian Wireless Telegraphy Act, 1933. [6]

8. Why 94% Tele-density Does Not Mean 94% of Indians Are Connected

• Tele-density counts connections, not people
• Tele-density (telephone connections per 100 people) adds up every SIM and landline. One person with two SIMs is counted twice.

• So 94.31% [1] does not mean 94 of every 100 Indians own a phone. The number of unique users is lower, and the ITSPI report does not give it.

• Many counted connections are not in use

• Wireless subscribers in June 2026 were about 1,300.26 mn (1,348.08 mn total minus 47.82 mn wireline) [1].
• On the busiest day of June 2026, only 1,201.06 mn were active on the network. TRAI measures this through VLR (Visitor Location Register, the network's list of phones switched on and connected) [12].

• So about 99 mn connections (around 7.6%) were idle SIMs that still count towards tele-density.

• The national average hides the rural number

• Rural tele-density at the end of June 2026 was only 60.32% [12], against 94.31% overall [1].
• Urban areas are above the national average because many urban users carry more than one SIM. This pulls the overall figure up.
• The useful question for Mains is not "how high is tele-density?" but "how many rural people actually use the internet?"

9. How Data Got Cheaper While Phone Bills Went Up

• Falling price per GB and rising ARPU fit together
• The average user paid more each month: ARPU (average revenue per user) rose to ₹187.12 [1].
• But the same user also used much more data, 28.39 GB a month [1].

• The bill went up a little and use went up a lot, so the price of each GB fell to ₹7.13 [1]. Consumers get more for each rupee, and operators still earn more per user.

• Most of the data growth comes from heavier use, not new users

• Total mobile data rose 8.30% in the quarter, and data per subscriber rose 6.32% [1].
• Wireless data subscribers grew only 1.86% [1].

• So most of the growth is existing users consuming more, not new people coming online. That fits the rural gap above.

• Fewer call minutes, more data

• MOU (minutes of usage, the call minutes per subscriber per month) fell 2.65% while data use rose [1].

• One likely reason is that people now make voice and video calls through internet apps, which show up as data, not minutes. The report does not measure this split, so treat it as a reading, not a fact.

• Compare a quarter with the same quarter last year

• Quarter-to-quarter figures can move with the season. Year-on-year figures, such as ARPU +3.11% and GR +10.50% [1], show the real trend more reliably.

10. Why Rising Revenue Does Not Settle the Sector's Money Worries

• The government's income and the operators' burden rise together
• Licence fee and SUC (Spectrum Usage Charges, the fee paid for using airwaves) are charged as a share of AGR [1].

• So every rise in AGR raises the operators' payments to government in the same proportion. Higher revenue does not fully turn into money for building networks.

• The old AGR dues still sit on the balance sheet

• After the Supreme Court's AGR ruling, the Cabinet in 2021 gave operators up to four years' moratorium (a pause on payments) on these dues [15].
• It also removed non-telecom revenue from the AGR definition for the future [15].
• Government also kept the option of taking equity (part ownership) in a company in place of unpaid dues once the pause ends [15].

• The 2022 revival package for BSNL and Vodafone Idea included support of ₹33,404 crore towards AGR dues [16].

• Why this matters when you read the report

• The ITSPI shows sector-wide totals. It does not show whether a weak operator is still struggling inside a healthy-looking total.
• If one of the three private operators fails, competition falls, and the cheap ₹7.13 per GB could rise.

11. Why BharatNet Has Not Closed the Rural Gap

• The fibre is laid, but little of it is used
• CAG Report No. 19 of 2026 audited BharatNet from 2017-18 to 2022-23 [13].
• ₹39,888 crore has been spent against an approved ₹42,068 crore, and 2.19 lakh gram panchayats (96.70% of the revised target) are "service-ready" [13].
• Yet only 17.91% of the available bandwidth was being used [13].

• "Service-ready" means a cable reaches the panchayat. It does not mean homes nearby are connected.

• Why the cable stays unused

• Spare "dark fibre" (laid but unused optical cable) was often not leased to private providers [13].
• The reason was that State Implementing Agencies had no leasing policy or delayed their decisions [13].

• So the last link from the panchayat to the village home was never built.

• Money meant for the project was diverted or left unspent

• BSNL diverted ₹2,001.43 crore of BharatNet funds to other uses. The money has since been recovered [13].
• PRS notes that BharatNet allocations have been underspent every year since 2022-23 [16].

• In the Northeast, CAG found 124 mobile tower sites under a USOF agreement still not commissioned, and ₹8.49 crore of penalties left unrecovered for over four years [17].

• The overall verdict

• CAG concluded that BharatNet built the infrastructure but fell short of its main aim of bridging the digital divide [13]. This is why rural tele-density stays near 60% [12].

12. What Each Actor Should Do Next

• TRAI should report active and rural figures next to the headline
• Today the quarterly report leads with total tele-density. Active VLR counts and rural tele-density appear only in separate monthly releases [12].

• Putting them in the ITSPI headline would show policymakers the real gap, not a figure inflated by idle and second SIMs.

• DoT and BSNL should finish the single-agency BharatNet model

• CAG's governance findings support merging BBNL into BSNL so that one agency is responsible [13].

• That agency must be judged by how much bandwidth is used, not by how many panchayats are "service-ready".

• State governments should adopt a clear dark-fibre leasing policy

• CAG found that fibre stayed idle because states had no policy or decided late [13].

• A standard lease policy would let local internet providers carry the connection from the panchayat to homes.

• The Centre should move the collected levy into Digital Bharat Nidhi

• The Telecommunications Act, 2023 renamed USOF as Digital Bharat Nidhi (the fund for rural and remote connectivity) [13].

• CAG noted a large balance still waiting to be transferred into the fund, and asked the ministry to improve transfers [17].

• TRAI should keep checking quality, not just quantity

• The ITSPI counts users and gigabytes but says nothing about call drops or speed.
• In 2024 TRAI tightened benchmarks for call drop rate, network availability and latency in stages, and moved mobile quality monitoring from quarterly to monthly [14]. Reading these results next to the ITSPI shows whether cheaper data is also usable data.

13. Anchors for Answers

• Data: Rural tele-density was 60.32% at end-June 2026, against 94.31% overall [12][1]
• Data: Only 1,201.06 mn of about 1,300 mn wireless connections were active on the peak day (VLR), June 2026 [12][1]
• Data: Only 17.91% of BharatNet's available bandwidth was in use [13]
• Report/Committee: CAG Performance Audit of BharatNet, Report No. 19 of 2026 [13]. CAG Report No. 5 of 2026 on USOF mobile coverage in the Northeast [17]
• Law/Case: Telecommunications Act, 2023, which renamed USOF as Digital Bharat Nidhi [13]. Section 14, TRAI Act, 1997 (TDSAT) [5]. The Supreme Court's AGR ruling led to the 2021 moratorium and equity option [15]
• Scheme: BharatNet, the optical fibre network to gram panchayats: ₹39,888 cr spent and 2.19 lakh GPs service-ready, but most of the bandwidth is unused [13]. 2021 telecom reform package, with an AGR moratorium and non-telecom revenue taken out of AGR [15]

14. Mains Relevance

• GS-III: Infrastructure (energy, ports, roads, airports, railways, telecom); Indian economy and growth; Science & Technology (IT, computers).
• GS-II: Statutory, regulatory and quasi-judicial bodies (TRAI, TDSAT); government policies and interventions.
• Possible question stems: 1. India's tele-density has crossed 94%, yet the digital divide persists. Using recent TRAI performance indicators, examine the urban–rural and wireline–wireless asymmetries and suggest policy measures. (GS-III) 2. Falling revenue per GB and rising ARPU appear contradictory. Analyse what this means for the financial health of India's telecom sector and for consumer welfare. (GS-III) 3. Critically examine whether the Telecommunications Act framework strengthens or dilutes the independence of TRAI as a sectoral regulator. (GS-II)

15. Related Topics to Study Next

• TRAI Act, 1997 and TDSAT: the institutions behind the report and the appeal route.
• Telecommunications Act, 2023: the new licensing and spectrum framework that replaced the colonial-era laws.
• AGR dispute and licence fee / SUC: AGR is the base for the licence fee and so for the fiscal stress on operators.
• BharatNet and the Digital Bharat Nidhi (formerly USOF): policy tools for closing the rural tele-density gap.
• 5G rollout and spectrum auctions: the reason behind the jump in data use.
• Digital Connectivity Rating of Properties (TRAI 2024 Regulations): a new TRAI tool for in-building connectivity. [8]
• DTH and Cable TV regulation (NTO, DPO reporting): the broadcasting half of the same report. [9]
• Digital Public Infrastructure (Aadhaar, UPI): depends on the spread of mobile broadband.

16. NCERT Concepts to Revise

• Telecom Regulatory Authority of India (Polity): TRAI publishes this report; revise its 1997 Act, powers and the TDSAT appeal route.
• BharatNet (Geography): The rural fibre programme meant to close the rural connectivity gap, yet most of its bandwidth sits unused.
• Digital divide (Geography): Explains why 94% tele-density hides the weak rural connectivity of about 60%.
• Sectoral regulator (Economy): Places TRAI among RBI, SEBI and IRDAI, and frames the question of regulator independence.
• Performance audit (Polity): CAG's performance audit of BharatNet found the fibre was built but the digital divide was not bridged.
• Digital public infrastructure (Polity): Cheap mobile data and broadband spread underpin Aadhaar, UPI and welfare delivery, a likely Mains angle.

17. Common Errors / Trap Areas

• Wrong publisher: the report comes from TRAI, not DoT, MeitY or MoSPI. TRAI's Annual Report and the Yearly PI report are separate documents. [1][3][7]
• Taking typos at face value: the release says internet growth was "96%" (the correct figure is about 1.96%). It also says "quarter ending June 2025" in the GR/AGR sentence, which should read 2026. [1]
• Mixing up similar metrics:
• wired internet subscribers (47.73 mn) vs wireline telephone subscribers (47.82 mn)

• wireless internet subscribers (1,066.43 mn) vs wireless data subscribers (1,045.55 mn) [1]

• ARPU intuition: in this report prepaid ARPU is higher than postpaid ARPU. Do not assume the reverse. [1]

• The GR → ApGR → AGR order: AGR is the smallest. It is ApGR minus pass-through charges, and it is the base for the licence fee. [1]