Info
Info
News Article

Mobile Phone Demand On The Rise

News
WiMAX, 3G and number portability to drive Indian wireless market in 2009 says iSuppli.
Defying the global economic slowdown, India's mobile phone demand is expected to continue to rise at an accelerated rate in 2009 due to the roll out of 3G and WiMAX networks and the implementation of mobile number portability (MNP), according to iSuppli Corp.

India's mobile phone demand is expected to rise to 136 million units in 2009, up 23.9 percent from 110 million in 2008. This compares to 16.8 percent growth in 2008. Cellular subscribers in the nation will grow to 319.9 million by the end of 2008, up 36.9 percent from 233.6 million at the conclusion of 2007.

iSuppli estimates India's total wireless subscriber base will grow at a compound annual growth rate (CAGR) of 25.1 percent for the period 2007 to 2012 to reach 715 million by the end of 2012. The attached file presents iSuppli's forecast of India's mobile-phone demand.

“The continued expansion of India's mobile handset market is partly due to the declining costs of calls, the availability of inexpensive handsets, increasing geographical coverage and operators' rising portfolio of value added services (VAS),” said Abhimanyu Raina, associate analyst at iSuppli. “In 2009, the roll out of 3G and WiMAX networks and the implementation of MNP are expected to drive the growth of the wireless sector.”

Indian telecommunications operators presently are focusing on 2G CDMA and TDMA (GSM) technologies to deliver lower cost mobile services. However, the process of cost reducing 2G derived handsets seems to have reached its technical limits.

iSuppli forecasts 3G and WiMAX will garner subscriber bases of 250 million and 19 million respectively by 2012. This growth can be attributed to spectrum availability, more affordable price points and support from the government. Initially, the market for these technologies is expected to be driven by corporate and enterprise users and by tech-savvy young people.

MNP will be implemented by the end of 2008 in four metropolitan areas: the National Capital Region, Mumbai, Chennai and Kolkata. These roll outs will be followed by a launch in other areas by April 2009. As shown in nations such as Australia, Japan and Hong Kong, the implementation of MNP increases the churn rate, leading to rising competitiveness in the market. iSuppli expects similar results in India.

India's Ministry of Communication and Information Technology in August released its 3G and WiMAX policy, which covers both GSM and CDMA services. Key features of the policy include:

Foreign companies will be allowed to bid for 3G and WiMAX licenses in India.

Up to five licenses will be issued to operators over 60MHz of spectrum in each coverage area for telecom companies. Five additional operators may be added in the future.

The 3G spectrum in the 2.1GHz band will be available for auction, with spectrum allotment for 20 years.

WiMAX spectrum at the 2.3GHz and 2.5GHz bands will be available for auction, with spectrum allotment for 15 years.

Spectrum is set to be auctioned in blocks of 2x5MHz at the 2.1GHz band and 20MHz at the 2.3GHZ and 2.5GHz bands.

Operators are exempted from paying an annual fee during the first year of operation.

Operators will pay an annual spectrum charge of 1 percent of adjusted gross revenue after one year.

Companies holding a Universal Access Service License (UASL), and/or fulfilling the eligibility criteria of UASL and possessing previous experience of running 3G services can bid for spectrum.

Roll out obligations include 90 percent of metros' areas within five years from the date of spectrum allocation.

As a result of the announcement of the above policy, the Indian telecom sector has seen a host of activities pertaining to 3G and WiMAX technologies. These include:

State owned telecom operators Bharat Sanchar Nigam (BSNL) and Mahanagar Telephone Nigam (MTNL) each received single blocks in each 2.1GHz (3G) and 2.5GHz (WiMAX) spectrum. These firms are expected to roll out their 3G and WiMAX services by the end of 2008. This has given them a head start compared to other private telecom players.

Apple in August launched its iPhone 3G in collaboration with Airtel and Vodafone.

Tata Communications, previously named Videsh Sanchar Nigam (VSNL), launched WiMAX in Bangalore. The company plans to invest $500 million to roll out the service in Chennai, Delhi and Hyderabad.

Sloka Telecom, a global player in wireless broadband solutions, has initiated aggressive brand building activities in India. The company is in the advanced stage of sample product testing and negotiations with some telecom OEMs and service providers for offering WiMAX solutions.
Sunstore Solar Launches WattGrid, A New Range Of Turnkey Off-grid Power Systems
Sharp Launches New 440W Half-cut Cell PV Panel
Ingenious Invests In Electric Vehicle Charging Firm
Greencoat Renewables Announces First Transaction In Nordic Market
TLT Advises Innova Energy On £30m Refinancing Of 57 MW Solar Portfolio
Going Green In Lancashire – Hundreds Of Houses Installed With Solar Panels In Ground-breaking Project
Habitat Enerdy Enters Balancing Mechanism With Largest Battery
Tandem PV Devices Feel The Heat
Analysis Of UK Commercial Roof Space Shows Solar PV Film Can Achieve Net Zero Without Greenfield Sites
Oakapple Renewable Energy Appoint Stuart Gentry To Head Business Development
UK Green Tech Company Myenergi To Double Workforce By 2021
FRV And Harmony Energy To Develop Second UK Utility Scale Battery Project
Solar Power As Rental Offer Launched By Aggreko
UK'S Largest Battery Ready To Balance The Grid
Sonnedix Named ESG Global Solar Power Generation Sector Leader By GRESB
Everoze Creates Skyray To Design And Engineer Great Solar PV Projects
SOLARWATT Links With Easy Roof To Provide Building-integrated PV For Better-looking Buildings And Smart EV Charging
FIMER Powers UK Largest Rooftop Solar Project
NextEnergy Capital Acquires Its First Asset In Portugal 17.4MWp Solar PV Project
TLT Advises Santander On 30MW Flagship Battery Storage Project
Power Roll Trials Solar PV To Power Up Himalayan Villages
The Smarter E South America Postponed To October 18-20, 2021
Low Carbon Develop UK’s Largest Community-owned Solar Park
New Innovation Set To Change Renewable Energy Market
×
Search the news archive

To close this popup you can press escape or click the close icon.
Logo
×
Logo
×
Register - Step 1

You may choose to subscribe to the Smart Solar Magazine, the Smart Solar Newsletter, or both. You may also request additional information if required, before submitting your application.


Please subscribe me to:

 

You chose the industry type of "Other"

Please enter the industry that you work in:
Please enter the industry that you work in:
 
X
Info
X
Info
{taasPodcastNotification} Array
Live Event