New Delhi, July 11 -- The Indian telecom sector appears to be entering a phase of stagnation, with global investment bank UBS issuing a cautious outlook ahead, going into the sector's Q1FY26 results.

According to UBS, the telecom sector is described as lacking near-term catalysts and being priced for perfection, with growth expectations potentially outpacing actual market dynamics.

UBS further notes that while a 10-12 per cent tariff hike is expected later in FY26, the probability of a delay remains high. Indian mobile tariffs are now in line with other emerging markets, and entry-level plans are already priced at the high end relative to per capita GDP. This could limit operators' ability to go for further price increases, especially f...