As new operators roll out networks there could be 10

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Unformatted text preview: In 2012, 3G services will have just begun to spread in India and mobile entertainment and mobile banking are likely to become popular services. 600 Subs (Mns) of mergers and acquisitions (M&A) in the market. As new operators roll-out networks, there could be 10 to 12 operators in each circle. However, by end 2012, M&A activity will result in about five to seven large wireless operators. By end 2012, there are expected to be about 640 to 650 million wireless subscribers, accounting for about 90% of the total Telecom base. By then, wireless penetration would have exceeded the 50% mark.8 We do not see any major slowdown in growth in the immediate future due to the global economic slowdown. India’s operators have still not exhausted the full potential of the domestic Telecom market. Large parts of rural India will have the need and will be able to afford Telecom services. Operators will need to significantly invest in network expansion for 2G services till 2010 to 2011. Towards latter part of this period, a large part of the capital expenditure will also be required for the launch of 3G services. 345 400 233 384 445 485 575 533 594 639 648 697 272 200 39 39 40 42 45 49 2007 2008F 2009F 2010F 2011F 2012F 0 Mobile Fixed Total F = Forecast Source: COAI, AUSPI, CII-Ernst & Young analysis 2 TRAI press release No. 89/2008, 24 November 2008 3 TRAI press release No. 6/2007,15 January 2007 and TRAI press release No. 11/2008, 22 Jan 2008 4 TRAI press release No. 86/2008, 24 October 2008 5 International Telecommunications Union: World Telecommunications/ICT Indicators Database, December 2000 6 7 TRAI press release No. 43/2008, 25 April 2008, Page 2 8 12 1 CII-Ernst & Young analysis India 2012: Telecom growth continues It is to be noted that eight of the 10 most populous countries9 -China, India, the US, Indonesia, Brazil, Pakistan, Russia, and Japan— are among the top 10 wireless markets.10 Similarly, in India,...
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This document was uploaded on 03/03/2014.

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