The telecom sector in India is on the threshold of a transformative leap, poised to redefine connectivity in the world's largest democracy. Projected to reach a market size of USD 214 billion by 2024 and contributing over 6.5% to the nation's GDP, the telecom industry is set to play a crucial role in India's journey towards becoming a USD 5 trillion economy by 2025.
The sector's evolution is remarkable: from when mobile phones were a luxury to today, India boasts the world's second-largest subscriber base of approximately 1.09 billion users as of April 2024. This growth is mirrored in the country's rapidly expanding telecom infrastructure, with the number of towers doubling to 800,000 and fibre optic cable coverage expanding from 110,000 km to an impressive 4.09 million km over the past decade.
At the heart of this transformation lies the innovative concept of 'Sharing of Telecom Infrastructure," facilitated by Infrastructure Providers. This approach has positioned India as a global leader in infrastructure sharing, offering significant advantages, including reduced capital and operational expenditures, minimised asset duplication, and lower entry barriers for new players in the market.
THE URBAN-RURAL DIVIDE AND THE PATH FORWARD
While India's overall teledensity stands at an impressive 85.78%, a closer look reveals a stark urban-rural divide. Urban areas boast a teledensity of 133.42%, while rural regions lag at 59.44%. This disparity underscores the immense potential and necessity for growth in India's rural telecom market.
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