The Central Government notified the Telecommunications (Regulatory Sandbox) Rules, 2026, on 22 October 2026. The rules came into force on 21 October 2026, the date of their publication in the Official Gazette. They provide a framework for eligible startups, companies, researchers and individuals to test telecom technologies, services and business models in a controlled regulatory environment.
Purpose and legal framework
A regulatory sandbox is a controlled setting in which an applicant can test an innovation under specified conditions. The 2026 rules permit exemptions from certain provisions of the Telecommunications Act, 2023, and the Telecom Regulatory Authority of India Act, 1997, for approved testing. The rules replace the draft Telecommunications (Regulatory Sandbox) Rules published in November 2024.
The Central Government may establish a sandbox on its own initiative or approve a proposal submitted by an applicant. Applicants may also respond to a government request for proposals. The government specifies the sandbox through an order on the designated portal.
Applications and duration
Applicants must apply through the designated government portal and submit required documents, reports of previous testing in laboratories or controlled networks, and details of the regulatory exemptions sought. The non-refundable processing fee is ₹10,000.
A sandbox may initially operate for up to 24 months. The Central Government may extend its validity by up to 12 months at a time, subject to specified conditions. An extension request must be submitted at least 30 days before the existing validity expires.
Trial safeguards and records
Applicants must obtain prior consent from users taking part in trials and inform them of the testing’s purpose and scope. Users cannot be charged for participation. Technologies, services, products and business models under testing cannot be commercially sold or made commercially available during the sandbox period.
Applicants must retain testing records, including work plans, methodologies and user-consent records, for at least one year after the sandbox expires. Records must be retained for a longer period if the Central Government requires it.
Important Facts for Exams
- The Telecommunications Act, 2023, is one of the laws whose provisions may be exempted for approved sandbox testing.
- The Telecom Regulatory Authority of India Act, 1997, is the second Act named in the exemption framework.
- The application processing fee under the rules is non-refundable and set at ₹10,000.
- The initial maximum sandbox period is 24 months, with extensions of up to 12 months at a time.
The Telecommunications (Regulatory Sandbox) Rules, 2026, prohibit commercial availability of products being tested during the sandbox period. User consent and specified trial information are required safeguards.
