
India's Small Businesses Fear Higher Costs Under SIM-Binding Rule
What Happened?
A study by Esya Centre reveals that India's small businesses may face increased costs and disruptions due to the Department of Telecommunications' SIM-binding directive. The directive, issued in November 2025, raises concerns about operational challenges and financial impacts.
Key points
- The SIM-binding directive was issued by the DoT in November 2025.
- 92% of surveyed businesses rely on companion-device access.
- 76.3% of businesses expect significant financial impacts from SIM restrictions.
- 87.2% of businesses are concerned about SIM-related fraud.
- The study surveyed 353 businesses across 17 Indian cities.
Key insights
- The financial burden from SIM-binding could lead to reduced competitiveness for small businesses.
- Consumer behavior may shift as 41% of surveyed consumers consider obtaining additional SIM cards.
- The effectiveness of SIM-binding in enhancing cybersecurity remains questionable.
Why it matters
The directive could significantly impact small businesses' operational costs and communication methods.
Entities
Source
India Today

