Airtel bets big on AI, cloud and 5G as next growth engines: Sunil Mittal

MUMBAI: Airtel is positioning artificial intelligence, cloud computing and digital financial services as the next phase of its growth strategy, while continuing to invest heavily in 5G and digital infrastructure, chairman Sunil Bharti Mittal said in the company’s FY2025-26 annual report.

Mittal said the telecom operator has invested more than Rs 3.3 trillion over the past decade to build one of India’s largest digital infrastructure platforms, with future investments centred on resilient, secure connectivity and AI-enabled services.

“Airtel’s investments are directed towards harnessing new growth engines for India that rest on the foundation of a resilient and secure digital infrastructure,” Mittal wrote in his message to shareholders.

The company also completed a planned leadership transition during the year, with Gopal Vittal becoming executive vice chairman and Shashwat Sharma taking over as managing director and chief executive officer of Airtel India.

Airtel’s mobile business continued to focus on premium customers, helping it gain revenue market share and industry-leading average revenue per user (ARPU). The operator’s 5G customer base reached 188 million, while its 5G Plus network now carries around half of all wireless data traffic.

The company said it added nearly 40,000 network sites in rural areas over the past three years as part of its rural expansion programme.

In home broadband, Airtel added a record eight million fibre home passes during FY2025-26 and expanded fixed wireless access services to more than 3,300 cities, resulting in a record 4.2 million net customer additions. The company also highlighted strong early traction for its IPTV service as part of its convergence strategy.

Enterprise services remained another growth driver, with Airtel Business expanding cloud, cybersecurity, IoT, CPaaS and enterprise connectivity offerings. During the year, Airtel launched its sovereign cloud platform, Airtel Cloud, securing more than 24 enterprise deals within a short period.

The company is also building three new growth businesses beyond telecom.

Its subsidiary, Airtel Money Limited, received approval from the Reserve Bank of India to operate as a non-deposit taking NBFC, allowing the company to expand its financial services ambitions.

In data centres, subsidiary Nxtra plans to build 1 GW of capacity over the coming years following a $1 billion fundraising from investors alongside Airtel’s participation.

Mittal said Airtel Cloud addresses growing demand for India-hosted cloud infrastructure by offering sovereign, telco-grade cloud services to enterprises.

Artificial intelligence continues to play a larger role across Airtel’s operations. The company said AI-powered automation is improving network management, operational efficiency and customer experience, while its AI-based spam detection platform has significantly reduced unwanted calls and messages.

Airtel also exported several of its in-house digital platforms during the year to group companies and external telecom operators, including Singtel and Globe Telecom.

International partnerships remain central to Airtel’s technology strategy. The company works with global firms including Adobe, Apple, Cisco, Ericsson, Eutelsat OneWeb, Google, IBM, Meta, Microsoft, Netflix, Nokia, Oracle, Qualcomm, Samsung and SpaceX.

Outside India, Airtel Africa reported 24 per cent constant-currency revenue growth and 31 per cent EBITDA growth during FY2025-26, supported by tariff revisions in Nigeria and operational improvements. Airtel Money Africa recorded 28 per cent revenue growth, while operating free cash flow exceeded $2.1 billion.

The company also reported stronger financial metrics, with consolidated operating free cash flow reaching a record Rs 604 billion. Its board recommended a dividend of Rs 24 per share, up 50 per cent from the previous year.

Looking ahead, Mittal said Airtel aims to power digital growth across India and Africa through continued investments in connectivity, AI and digital infrastructure.

“Looking ahead, Airtel has the scale, capability and intent to lead what comes next, powering India and Africa’s growth through connectivity that is seamless and innovation that is purposeful,” he said.