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TRAI flags trust risks as AI becomes core to telecom infrastructure

India’s telecom regulator has signalled that artificial intelligence is rapidly moving from a support tool to the central nervous system of digital networks. While AI promises efficiency and consumer protection gains, TRAI cautions that unchecked deployment could amplify systemic risks at population scale. The message underscores a regulatory push to balance innovation with accountability as India builds its AI ecosystem.

By Finblage Editorial Desk

2:35 pm

20 February 2026

Artificial intelligence is no longer a peripheral technology for telecom operators but is fast becoming the core intelligence that runs modern networks, according to Telecom Regulatory Authority of India (TRAI) Chairman Anil Kumar Lahoti. Speaking at the India AI Impact Summit on Responsible AI in Telecom, Lahoti framed telecom networks as both the backbone and delivery channel for India’s AI ambitions, warning that public trust will determine whether the transition succeeds.


India’s telecom infrastructure built on extensive fibre connectivity and one of the world’s largest mobile broadband ecosystems now serves over 1.2 billion subscribers and nearly one billion data users. At this scale, manual network management is impractical. AI-driven automation is increasingly being deployed to maintain service quality, prevent outages, optimise energy use and enhance customer experience.


Lahoti noted that telecom networks are evolving from passive data carriers into active digital platforms where AI acts as the decision-making layer. In effect, the telecom sector is becoming both a consumer and enabler of artificial intelligence. This shift positions telecom as a critical pillar of the country’s broader digital and AI infrastructure strategy.


AI applications already deployed across Indian networks include predictive maintenance to identify faults before they disrupt services, intelligent traffic routing to manage surges in data demand, fraud detection systems, and tools to filter spam communications. These use cases demonstrate how AI can improve resilience while lowering operational costs for operators.


One of the most visible outcomes cited was the crackdown on spam calls and messages. According to Lahoti, regulatory measures supported by AI-driven and blockchain-based filtering have led to the disconnection of more than 21 lakh telecom numbers linked to spam activity. Complaints have reportedly fallen sharply, now averaging roughly one per crore calls and SMS a significant improvement in consumer protection outcomes.


However, the regulator warned that the same scale that makes AI powerful also makes it risky. Algorithmic decisions taken automatically within telecom networks can affect millions of users simultaneously. Unlike isolated digital services, telecom networks underpin essential communication, financial transactions, emergency services and national security infrastructure.


Lahoti stressed that efficiency gains must not come at the expense of transparency or consumer rights. Trust, he said, is the “central currency” of AI adoption in critical infrastructure sectors. Automated decisions about network prioritisation, fraud detection or service restrictions could have far-reaching consequences if not governed properly.


The government’s broader policy direction under the IndiaAI Mission emphasises human-centric and accountable deployment of artificial intelligence. TRAI has aligned with this approach by advocating a risk-based regulatory framework rather than blanket restrictions. In July 2023, the regulator recommended differentiating between low-risk AI applications which could operate under self-regulation and high-risk systems that directly impact consumers.


High-risk deployments would require stronger safeguards, including transparency in decision-making, explainability of algorithms and provisions for human oversight. This mirrors regulatory approaches emerging in other jurisdictions, particularly the European Union’s AI Act, suggesting India is moving toward global best practices without stifling innovation.


In April 2024, TRAI further proposed a Regulatory Sandbox framework allowing telecom operators and technology providers to test AI-enabled solutions in live network environments. The sandbox is designed to accelerate innovation in emerging areas such as 5G and future 6G technologies while maintaining safeguards against systemic failures.


As AI adoption deepens, cross-border interoperability and ethical alignment are emerging as global concerns. Telecom networks operate internationally through roaming agreements, undersea cables and satellite systems, meaning inconsistent standards could create vulnerabilities. India’s experience of deploying digital technologies at massive population scale may therefore influence global regulatory thinking.

Sources & Disclaimer

This article is compiled from publicly available information, including company disclosures, stock exchange filings, regulatory announcements, and reports from global and domestic financial publications. The content has been editorially reviewed and enhanced by the Finblage Editorial Desk for clarity and investor awareness purposes only.

All information provided on Finblage is strictly for educational and informational use and should not be considered as financial, investment, legal, or professional advice. Readers are advised to conduct their own independent research and consult a certified financial advisor before making any investment decisions. Finblage shall not be held responsible for any losses arising from the use of information published on this website.

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