Global consultancy firm PricewaterhouseCoopers on Wednesday said the mobile subscriber base in India would cross the 100-crore mark by 2014, while there will be over 10 crore 3G broadband subscribers by 2015.
In its latest report titled ‘Mobile Broadband Outlook 2015', PwC said the boom in the telecom sector is expected to continue for the next three to five years, driven by high subscriber additions mostly in non-urban areas. “The Indian telecom market has been growing at a compound annual growth rate (CAGR) of approximately 30 per cent since 1995 and going strong. With additions of more than 1.4 crore subscribers per month in the year 2009, the wireless subscriber base has grown to 63.55 crore in June 2010, second only to China,” it said.
“Despite strong growth, the industry faces certain challenges such as low rural penetration, stagnant data usage over the years and limited broadband services,” said the report commissioned by GSMA (Global Security Management Agency), the organisation representing the interests of the worldwide mobile communications industry.
The report also said the recent 3G spectrum and BWA (Broadband Wireless Access) auction saw intense competition between bidders, resulting in a revenue inflow of Rs.1.06-lakh crore for the government, surpassing most estimates.
The 3G broadband subscriber base will cross 10.7 crore by 2015, with total revenues expected to reach Rs. 26,400 crore. Since the roll-out is expected to be more focused in urban areas in the initial stages, the uptake of 3G services, therefore, will be concentrated among urban subscribers. But gradually, with increasing coverage, the uptake among rural subscribers will also pick up, the report said.
By 2015, rural subscribers are likely to comprise up to 24 per cent of the overall 3G subscriber base. Overall, 3G service penetration in India is expected to rise from 0.1 per cent in 2011 to 8 per cent in 2015, the report added.
