A range of factors decline in average revenue per

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Unformatted text preview: ial crisis could have a low-to-medium impact on the Telecom sector in terms of rising cost of capital and reduction in discretionary spending on the part of customers, among other determinants. A range of factors – decline in average revenue per minute, stabilizing minutes-of-use, peaking subscriber adds, spiraling network expansion costs, large deployment in the untapped rural areas — could also result in margin pressure. Looking ahead, in order to ensure strong growth rates, the Government and the regulator will need to put in place comprehensive directions and companies will need to consistently innovate to effectively manage revenues and costs. • Enhance the skill - sets of personnel for employment in the Telecom sector: This sector will require spet resources to support and sustain growth over the next four to five years. The pressure on talent is expected to increase with the rollout and deployment of 3G and WiMax services. The private sector will need to reorient its focus on talent development through training schools and facilitation programs that cater to the needs of the Telecom industry for 2012. 11 Mobility for every other Indian in 2012 India’s wireless base increased from 1.6 million1 at the beginning of 2000 to over 325 million2 in October 2008. It has been achieved with successive years of sharp subscriber growth — 69% in 2004, 58% in 2005, 97% in 2006 and 57% in 2007.3 Since wireless penetration is approximately 28% in 2008,4 there is still large potential for future growth. We see some trends in mobility over the next few years: • The growth of the wireless subscriber base will continue at a robust pace. However, this will be primarily driven by rural subscribers. The rising wireless base is reflected in the growing share of mobility of the total Telecom base. From just 5% of the country’s Telecom base of 32 million5 in March 20006, it has increased to 87% of the 300 million Telecom subscribers in March 2008.7 Wireless on a roll 800 • We expect another round...
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This document was uploaded on 03/03/2014.

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