Yeah not just phone shops. You'll find them sold in drugstores, groceries, supermarkets .. wherever.
Originally Posted by
jpatokal
Buying the SIM card at Delhi airport is definitely easiest option (you don't even need the photos, they'll take digital pics), but any phone shop -- and there are, probably literally, millions -- can get you a SIM, so I don't see a reason to trouble your hosts with this. There's little difference between the nationwide operators, but Airtel probably has the best coverage overall.