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The Telecom Regulatory Authority of India (TRAI) has released comprehensive recommendations on critical services in the Machine-to-Machine (M2M) sector and the transfer of ownership of M2M SIMs, marking a major step towards building a robust, secure, and future-ready IoT ecosystem in India. These recommendations follow a request from the Department of Telecommunications (DoT) and a subsequent stakeholder consultation process. With M2M communication forming the backbone of emerging sectors such as smart cities, healthcare, public safety, and agriculture, TRAI’s guidelines aim to establish clear norms for service classification and connectivity standards. Key Recommendations Include: Classification of Critical IoT Services: TRAI proposed a twin-test framework to determine whether an M2M service qualifies as ‘critical’—based on the need for ultra-reliable, low-latency connectivity and the potential national impact of service disruption. The final classification will rest with the relevant ministry or regulatory body in consultation with DoT. Technology-Neutral Approach: M2M services may use any communication technology—licensed, unlicensed, or wired—provided it meets defined performance benchmarks.