NEW DELHI: In a significant development in India's telecom industry, the Adani Group has decided to exit the telecom sector by transferring its 5G spectrum holdings to Bharti Airtel. On April 22, 2025, Adani Data Networks, a subsidiary of Adani Enterprises, signed definitive agreements with Bharti Airtel and its unit Bharti Hexacom to transfer rights to use 400 MHz of spectrum in the 26 GHz band across six telecom circles, including Gujarat, Mumbai, and Andhra Pradesh. 

This move comes after Adani Data Networks failed to meet the minimum rollout obligations mandated by the Department of Telecommunications (DoT), which require operators to commercially launch services in at least one area within each licensed circle within the first year of spectrum acquisition. The company faced penalties due to non-compliance and was under scrutiny for delays in deploying 5G services more than two years after obtaining a unified telecom license. ?

Adani Group had initially entered the telecom sector with plans to use the spectrum for private network solutions in areas such as airports and ports, rather than for consumer mobility services. However, the lack of a clear use case and the regulatory challenges led to the decision to transfer the spectrum to Airtel.?

Bharti Airtel, which had approximately 120 million 5G users by the end of December 2024, sees this acquisition as a strategic move to enhance its 5G services across key regions in India. The financial details of the deal have not been disclosed.?

This transfer effectively signals a pause in Adani Group's telecom ambitions, allowing the company to focus on its core infrastructure businesses. Industry analysts view this as a consolidation in the telecom sector, with established players like Airtel strengthening their positions