From Fiber to Frequency: The 2025 Surge in Indian Telecom Accessory Stocks Part 1

5G Rollout Will Accelerate Equipment Demand India’s ongoing 5G network rollout in urban and rural areas is driving exponential demand for equipment like radios, antennas, fiber cables, and transport networks. Companies such as Tejas Networks and HFCL are directly supplying to BSNL and private players, fueling top-line growth. As 5G expands to Tier 2 and Tier 3 cities in 2025, there will be increased spending on access and backhaul equipment, benefiting listed domestic manufacturers. Source: Economic Times PLI Scheme to Strengthen Local Manufacturing & Margins The Production-Linked Incentive (PLI) scheme worth ₹12,195 crore for telecom and networking products is incentivizing domestic manufacturing of routers, switches, optical transport, and radio access gear. Beneficiaries like Tejas Networks and HFCL are seeing increased capacity utilization, lower import dependence, and better profitability. This will likely result in stronger financials and improved stock performance in 2025. Source: PIB India Tejas Networks Gaining Strategic Edge Through BSNL Orders Tejas Networks secured a massive ₹7,492 crore contract from BSNL for 4G and 5G equipment. It is also working on end-to-end indigenous RAN technology. This contract ensures multi-year revenue visibility and positions Tejas as a national champion for telecom equipment. In 2025, the company’s earnings are expected to jump significantly as order execution scales up. Source: Business Standard