TRAI releases recommendations on "Regulatory Framework for Promoting Data Economy through Establishment of Data Centres, Content Delivery Networks, and Interconnect Exchanges in India”

Nov 19, 2025 | by TeamLease RegTech Legal Research Team

Free Legal updates for the week 00


Industry Specific ComplianceThe Telecom Regulatory Authority of India (TRAI) on November 18, 2025, releases recommendations on "Regulatory Framework for Promoting Data Economy through Establishment of Data Centres, Content Delivery Networks, and Interconnect Exchanges in India”.

The Telecom Regulatory Authority of India (TRAI) has released recommendations to boost India’s digital infrastructure by promoting the establishment of Data Centres (DCs), Content Delivery Networks (CDNs), and Interconnect Exchanges (IXPs), in line with the National Digital Communications Policy (NDCP) 2018. The recommendations are based on a suo motu consultation process and stakeholder feedback.

Key proposals include:

Data Centres

• Launch of a Data Centre Incentivization Scheme (DCIS) offering central fiscal and non-fiscal benefits, along with guidelines for States to provide additional incentives.

• Creation of a single-window clearance portal under NSWS for approvals, registration, and investor engagement.

• Establishing a Data Centre Readiness Index to rank states and developing Data Centre Economic Zones (DCEZs) within select SEZs.

• Formulation of India-specific building standards, security certification frameworks, and green DC standards through BIS, TEC, STQC, and IGBC.

• Policy support for power supply, renewable energy, concessions, and backup infrastructure.

Content Delivery Networks (CDNs)

• Mandatory simple online registration with DoT with a one-time fee of ₹10,000.

• Incentive structures parallel to those recommended for data centres to encourage expansion of CDN infrastructure.

Interconnect Exchanges (IXPs)

• Introduction of a separate authorization under the Unified License with minimal compliance requirements to reduce entry barriers.

• Existing players, including NIXI, to transition to the new framework within six months.

• Expansion of PLI and public procurement classifications to include CDN and IXP equipment.

The recommendations aim to strengthen India's digital ecosystem by improving infrastructure, efficiency, and data-driven economic growth.

The recommendations have been placed on TRAI's website www.trai.gov.in. For any clarification/information, Shri Sanjeev Kumar Sharma, Advisor (Broadband and Policy Analysis), TRAI may be contacted at Tel. No. +91-11- 23236119.

[Press Release No. 71/2022]


Bookmark

Related Updates



Alternate Text

Get updates on the go on RegUpdate Mobile App.

NEW  ·  AI ASSISTANT