October 6, 2017 October 6, 2017
There are several metrics to define size of India’s telecom market. In terms of number of subscribers, India is world’s second largest telecom network with nearly 1186 million telecom subscribers in February, 2017. In terms of internet subscription, India is world’s third largest market with 391.50 million subscribers in December 2016. Currently, mobile internet is key component of Indian telecom market as seven out of eight internet users are accessing it through mobile. This trend is expected to continue due to falling rates of smart phones and low charge or free data.
India’s urban tele-density is 166.77 while rural tele-density is 55.92% in February, 2017, making the total tele-density to be around 93% in 2017. This figures has grown by leaps and bounds from 18.3% in 2007 as shown in below graphics:
Tele-density is defined as the number of telephone connections for every 100 individuals. With 70 per cent of the population staying in rural areas, the rural market would be a key growth driver in the coming years.
India’s telephone subscriber base expanded at a CAGR of 19.16 per cent, reaching 1188.5 million during FY07–17. However, the composition of the subscribers shows that mobile subscribers have led the way. The increase in teledensity has mainly been driven by the increase in mobile phones.
Different segments of Telecom Industry
There are several ways to classify the telecom industry. If we include Television broadcast, then there are four major sectors of the Indian telecommunication industry viz. telephone, internet and television. While excluding TV broadcast, the Indian telecom sector can be broadly divided into three segments viz. Mobile (wireless), Fixed Line and Internet services on the basis of services provided. On the basis of providers of services / equipments, the sector can be divided into four parts viz. Network Infrastructure companies (such as Ericson), Telecom service Providers (such as Bharati-Airtel, Vodafone, Idea, Reliance), Telecom Equipment Manufactures (such as Samsung, Nokia, Gionee etc.) and Telecom Solutions Providers (such as Tech-Mahindra, IBM India, Wipro).
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FAQs
Currently valued at INR 3,000 billion and anticipated to grow at a CAGR of nearly 7-9 per cent by FY 24, India's telecommunication market is the second largest of the world.
What are the key segments in the telecommunications industry? ›
Key Telecommunications Industry Segments
The telecommunications sector consists of three basic sub-sectors: telecom equipment (the largest), telecom services (next largest), and wireless communication. The major industry segments within these sub-sectors include the following: Wireless communications.
How many telecom sectors are there in India? ›
The Telecommunications industry is divided into following subsectors: Infrastructure, Equipment, Mobile Virtual Network Operators (MNVO), White Space Spectrum, 5G, Telephone service providers and Broadband.
What is the size of the telecom services industry? ›
Telecommunication Services Market Research, 2031
The global telecommunication services market size was valued at $1602.5 billion in 2021, and is projected to reach $2556.2 billion by 2031, growing at a CAGR of 5.1% from 2022 to 2031.
What is the overview of telecom sector in India? ›
India's telecommunication network is the second largest in the world by number of telephone users (both fixed and mobile phones) with over 1.1 billion subscribers as of December 2023. It has one of the lowest call tariffs in the world enabled by mega telecom operators and hyper-competition among them.
Which is the largest telecom sector in India? ›
Synopsis. India's biggest telecom operator, Reliance Jio, saw a significant increase in mobile users in October 2023, with a gain of 31.59 lakh subscribers.
What are the four main segments of the telecommunications industry? ›
Different segments of Telecom Industry
There are several ways to classify the telecom industry. If we include Television broadcast, then there are four major sectors of the Indian telecommunication industry viz. telephone, internet and television.
What are the 5 segments in the industry? ›
Five ways to segment markets include demographic, psychographic, behavioral, geographic, and firmographic segmentation.
Who control the telecom sector in India? ›
The Telecom Regulatory Authority of India (TRAI) was set up in order to have a suitable environment for the growth of the telecommunications industry in the country and be a part of the global information society. It is a statutory body and regulates the telecommunications sector in the country.
What is telecom services in India? ›
An Introduction to Telecom Services
The offerings include voice, video, telephone, internet, and communication services.
Reliance Jio was the leading company with a wireless telecom subscriber base of over 424.5 million across India as of December 2022.
How big is the mobile telecom market? ›
US Telecom Market Analysis. The US Telecom Market size is estimated at USD 443.12 billion in 2024, and is expected to reach USD 530.61 billion by 2029, growing at a CAGR of 3.67% during the forecast period (2024-2029).
Is India the largest telecom market in the world? ›
The India Telecommunication Market has experienced significant growth, fueled by liberal government policies and increasing smartphone usage. With proactive regulatory frameworks and strong consumer demand, the sector stands as the world's second-largest telecommunications market.
What is the total revenue of telecom industry in India? ›
Sinha said that the industry achieved the benchmark of Rs 3 lakh crore in gross revenues last year which he attributed to the reforms made in October 2021. “A lot of nitty gritties were resolved regarding the new taxation policies.
What is the revenue of telecom companies in India? ›
The gross revenue of telecom operators' is expected to touch a record high of Rs 3.4 trillion in the current financial year ending March, according to industry estimates. A higher gross revenue will also benefit the government as it will receive higher licence fee from the telcos on revenue share basis.
