V India has one of the biggest telecom markets in the world.

It has more GSM subscribers than fixed-

fixed-line

subscribers.

V Total telecom subscribers Ȃ525 million (Dec 2009)

V Teledensity Ȃ42.27 per cent (August 2009)1

V Addition of mobile subscribers (JulyȂ

(JulyȂAugust 2009) Ȃ15.08 million1

V Annual growth rate of telecom subscribers (June 2008Ȃ

2008ȂJune 2009) Ȃ42.68 per cent

V Average Revenue Per User (ARPU) for GSM (as on 30 June 2009) ȂRs 184.83

V Telecom equipment market (2008Ȃ

(2008Ȃ09) ȂUS$ 24.99 billion

V Handset market (2008-

(2008-09) ȂUS$ 5.82 billion

V Expected mobile subscriber base (2013) ȂAbout 771 million.

V 10The telecom subscriber base in India is likely to reach 500 million by 2010.
V ȈThe subscriber base grew to 494.07 million (August 2009), registering a growth
of approximately 42.67 per cent over last year. It grew at a CAGR of 45.21 per
cent from June 2004 to June 2009.
V ȈTeledensity in India is still low as compared to that in some countries. As on
August 2009, India had a teledensity of 42.27 per cent as compared to the
previous yearǯs figure of 29.83 per cent

2
 
45
40
35
30
25
20
15
10
5
0
1 2 3 4 5 6
Teledensity 7.04 9.61 13.96 19.06 28.33 39.86
V _arge population.
V _ow telephony penetration which is giving a
lot of scope to increase subscriber base.
V Rise in consumer income & spending owing
to strong economic growth
V ºy selling VAS
V ARPU numbers as reported by players
currently are understated.
V Increase in profitability in the next five years
because of
 Increase in revenue
 Decrease in operating cost
V _arger and more profitable operators are
bound to emerge after a wave of
consolidation
V
V 3G services will help increase revenues
V Mobile Number Portability will benefit the
companies users switch to
V _ower tariff rates
 Greater savings
 Easy availability of service providers
 More options in terms of network providers
V Usage increased
V Mobile number portability
V Improvement in quality of services
 Network coverage
 Call drops are less
 Easy bill paying options
[ Payment Kiosks
[ Online payments
[ Drop boxes
 Improved customer helplines
V Value added services
 Can plan their own tariff plan
 Internet services have improved
 Ring tones downloads, Caller tunes
 MMS, GPRS
 Infotainment etc.
V èocus on careful market segmentation and
value-based differentiation
V adopt a dynamic pricing strategy
V well designed self service system
V differentiate services offered to these
segments through better network
quality, customer care and marketing