On November 14, 2019, Bharti Airtel and Vodafone Idea both reported historic losses for the quarter ended September 2019, largely on account of provisions made for adjusted gross revenue (AGR)-related liabilities. Earlier, the Supreme Court upheld the definition of AGR as prescribed by the Department of Telecommunications (DoT), resulting in arrears (along with interest and penalty) of about Rs 800 billion between the two incumbents. Both telcos are cash starved and Vodafone Idea has even hinted that continuing as a going concern would be a challenge, unless it receives substantial relief. The telecom sector is the backbone of India’s digital vision and will be instrumental in achieving the $5 trillion GDP target by 2024. The government must take cognisance of this and undertake appropriate measures to tidy up the sector’s financial mess. After having stepped in to revive telecom PSUs BSNL-MTNL, it’s time now to act in support of the beleaguered private sector incumbents. Else, the industry could well be staring at a crisis it finds difficult to survive.