• India Telecom Report: Wireless Subscribers

    by Arun Prabhudesai on July 15, 2009 |

    6 comments

    The Telecom Regulatory Authority of India released a comprehensive report yesterday on the growth of Indian telecommunication Industry for Quarter ending March 2009.

    We are publishing a 3 part series that will highlight the performance of Indian Telecom sector.

            1. India Telecom Report: Broadband & Internet
            2. India Telecom Report: Wireline Subscribers
            3. India Telecom Report: Wireless Subscribers

    This is the 3rd and concluding post in our India Telecom Report series that looks at details of Wireless (GSM + CDMA Mobile) subscribers in India. Unlike Wireline Subscribers, these numbers have been exploding quarter on quarter.

    TRAI had earlier announced that India will cross the 500 million Telecom subscriber mark by mid next year (2010), but there is a very strong chance that it will happen by end of this year itself. Thanks to mobile telephony growth.

    Following Charts and Graphs will showcase the explosion of Indian Wireless Subscriber growth in more detail.

    Indian Telecom(Wireline+ Wireless) Snapshot

    IndianTelecomSubscribers thumb1 India Telecom Report: Wireless Subscribers

    Indian Wireless Subscriber Snapshot

    IndianWirelessSubscribers thumb India Telecom Report: Wireless Subscribers

    Compared to a near negative growth of Wireline phones, Wireless are growing at close to 13% quarter on quarter and it is astonishing that this growth comes when monthly India is adding at an average of 10 million mobile subscribers.

    Indian Mobile Subscriber Growth

    IndianMobileUserGrowth thumb India Telecom Report: Wireless Subscribers

    IndianMobileUserbasegrowth thumb India Telecom Report: Wireless Subscribers

    In 5 years, India has gone from 33 million mobile subscribers to close to 400 million !

    The Mobile subscribers have reached 391.76 million as on 31st
    March 2009 as against 346.89 million subscribers
    in the previous
    quarter. During this quarter 44.87 million wireless subscribers were
    added.

    Market Share of GSM VS CDMA

    IndiaGSMVSCDMAMarketShare thumb India Telecom Report: Wireless Subscribers

    There were 297.26 million GSM Mobile subscribers (75.88%) compared to 94.50 million CDMA subscribers (24.12%) at the end of March 2009.

    GSM Subscriber Growth

    GSMSubscriberGrowth thumb India Telecom Report: Wireless Subscribers 

    The GSM Mobile subscriber base reached 297.26 million in the quarter
    ending March 2009 as against 258.23 million
    at the end of the previous
    quarter.

    CDMA Subscriber Growth

    CDMASubscriberGrowth thumb India Telecom Report: Wireless Subscribers

    The CDMA Mobile subscriber base reached 94.50 million in the quarter
    ending March 2009 as against 88.66 million
    at the end of the previous
    quarter.

    GSM Mobile Subscribers – Average Revenue per user (ARPU) and Minutes of Usage (MoU)

    Highlights

    • The all India blended ARPU per month has shown a decline of 6.5% from Rs. 220/- in December 2008 to Rs. 205/- in March 2009.
    • ARPU for post-paid service has shown a decline of 2.8% from Rs. 559/-in December 2008 to Rs. 543/- in March 2009.
    • Prepaid service has also shown a decline of 6% from Rs. 192/- in December 2008 to Rs. 181/- in March 2009.
    • MOU per subscriber continue to show a declining trend. It has declined by 2.43% from 496 in December 2008 to 484 in March 2009. The outgoing MOUs declined by 2.39% and incoming by 2.47%.
    • Postpaid segment alone has shown a decline of 2.34% in MOUs per subscriber. Decline for prepaid segment has been 1.41%.
    • The overall ratio of incoming-outgoing MOUs has been 51:49 – same as previous quarter.
    • Outgoing SMS per subscriber continued to show increasing trend from 29 in December 2008 to 30 in March 2009.

    KeyIndicatorsofGSM thumb India Telecom Report: Wireless SubscribersGSmKeyIndicatorvariationoverlastquarter thumb India Telecom Report: Wireless Subscribers 

    While The ARPU’s and MOUs are decreasing across the board, Indian Mobile users are using SMS more than earlier.

    One of the reason why ARPU’s and MoU’s are coming down is because, all Mobile service providers are aggressively looking at rural market, which is volume low margin business !

    GSM traffic Distribution

    GSMTrafficDistribution thumb India Telecom Report: Wireless Subscribers

    CDMA Mobile Subscribers – Average Revenue per user (ARPU) and Minutes of Usage (MoU)

    • Blended ARPU (per month) for the quarter ending March 2009 is Rs.99/- as compared to Rs. 111/- for the quarter ending December 2008.
    • The Total MOU per subscriber per month has shown decrease from 371 minutes for the quarter ending December 2008 to 357 minutes for the quarter ending March 2009.

    CDMAKeyIndicators thumb India Telecom Report: Wireless Subscribers

    If you compare with ARPU for GSM, it is less than half. While GSM has ARPU of 205, CDMA has an ARPU of 99 !

    CDMAKeyIndicatorVariation thumb India Telecom Report: Wireless Subscribers

    The fall is even worst when it comes to ARPU and MOU numbers. CDMA seems to be going out of favour with Mobile subscribers in India

    That concludes our 3 and final post of the India telecom Report.

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    Author

    Arun Prabhudesai is founder / chief editor at trak.in. He jumped the Entrepreneurship bandwagon in early 2008 after a long 13 year stint in I.T Industry. You can follow him on twitter @trakin and Facebook. Arun’s Google+ Profile
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    Vinay Bhatia July 4, 2010 at 7:33 am

    I would really appreciate if you could provide with data showing the growth of wireless area networks(WLANS) in the country and globally.
    Vinay Bhatia
    Asst. Professor,ECE
    IEET, Baddi.

    Reply

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