The Indian telecom sector is the fifth largest network in the world and contributes 2% of India's GDP. It has experienced rapid growth, with wireless subscribers increasing from 110 million in 2005 to an expected 280 million by 2008. However, the sector faces challenges such as high regulatory charges of 17-26% of revenue and low average revenue per user (ARPU) of $8 compared to the global average of $21. The document discusses strategies for developing the sector into a new telecom business ecosystem to further drive economic growth.