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| Countries covered: India India's telecom market is one of the fastest growing worldwide, a situation we expect to continue in the near future. Benefiting from the country's strong economic performance and resulting rise in disposable income, low teledensity in rural areas and the availability of low-cost devices, mobile operators have been able to tap into unmet demand in rural areas to drive mobile services adoption. We expect strong adoption to continue through 2016, with net additions averaging 110m per year from 2011 to 2016, the highest in the world. By 2016 mobile subscription penetration will reach 118%, up from an estimated 79% at year-end 2011. Rising penetration will help drive total mobile service revenue growth to an 8.9% CAGR over the 2011-2016 period, reaching $52.9bn by 2016. Mobile data will be the fastest-growing segment within India's telecom industry, growing at a CAGR of 24.5% through 2016, the result of higher data services adoption and operator efforts to promote recently launched 3G services. Growing demand for data will also benefit fixed broadband operators, which will see revenue growth of 22.4% compounded annually over the 2011-2016 period. Pay-TV also presents good growth prospects, growing at an estimated 6.6% CAGR through 2016 to reach $6.6bn. Overall telecom service revenue will increase at a CAGR of 8.6% to reach $66.2bn in 2016, 1.6% of India's GDP. |
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