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India is one of the biggest consumer of data worldwide. As per TRAI, average wireless data usage per wireless data subscriber was 11 GB per month in FY20. It is expected to reach to 18 GB by 2024.

Indian Telecom Industry Analysis

    Last updated on Jan, 5 2021

India is the world's second-largest telecommunications market. The telecom market can be split into three segments - wireless, wireline and internet services. Total subscriber base in the country stood at 1,167.81 million as August 31, 2020. The wireless market segment accounted for 98.29% of the total subscriber base as of August 2020. Rural subscribers comprised 44.95% of the total telephone subscribers as of August 2020.

India is also the second largest country in terms of internet subscribers. India is one of the biggest consumer of data worldwide. As per TRAI, average wireless data usage per wireless data subscriber was 11 GB per month in FY20. App downloads in the country increased from 12.07 billion in 2017 to 19 billion in 2019 and is expected to reach 37.21 billion by 2022F. Total wireless data usage in India grew 11.01% quarterly to reach 25,369,679 TB in Q1FY21. The contribution of 3G and 4G data usage, to the total volume of wireless data usage, was 3.25% and 96.12%, respectively, in the first quarter of FY21. Share of 2G data usage remained 0.62% in the same quarter.

Gross revenue of the telecom sector stood at Rs. 66,858 crore (US$ 9.09 billion) in the first quarter of FY21. Strong policy support from the Government has been crucial to the sector’s development. Foreign Direct Investment (FDI) cap in the telecom sector has been increased to 100% from 74%. FDI inflow in the telecom sector totalled US$ 37.27 billion during April 2000-June 2020.  

The Government of India, through its National Digital Communications Policy, foresee investment worth US$ 100 billion in the telecommunications sector by 2022.

 

F- Forecast

Indian Telecommunications Industry Report (November, 2020)
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Click to access the Telecommunications Industry Archived Report

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