Indian telecom industry is likely to see huge investment of Rs 130000 Crore ($32.5 Billion) in next two years considering entrance of new players and launch of new services.
Siddharth Behura, Secretary of Department of Telecommunications (DoT), said that with the entrance of new license holders and their launch of new services, the Indian telecom industry expecting huge investment of over Rs 130000 Crore ($32.5 Billion) in the next two years, as reported by Topnews
Mr. Behura also disclosed that telecom equipment sector of India will receive the investment in similar fashion as the mobile handset manufacturers have got. He also said that 75% of the equipments would be manufactured within the country.
The main reason, which has made industry experts so optimistic about investment in the Indian telecom industry, is the action plan drafted by the telecom ministry for giving licenses of 3G services to operators. The government action plan has received attention of mobile operators from across the world to enter in the rapidly growing Indian telecom industry.
Industry experts believe that India will become super power in the telecom industry in the world viewing the monthly mobile subscription, which is around 8 Million, in the country. The demand of cheap mobile handsets, ultra-low cost phones and demand for Electronic Manufacturing Services (EMS) vendors have made local brands popular in the country.
Besides, rapid expansion of broadband services in the country are also spurting growth in the telecom industry. Service providers in India offer better Internet service to consumers, for instance Mahanagar Telephone Nigam Ltd (MTNL) provides IPTV service on MPEG 4. Even, the European countries offer this service on old MPEG 2 platform.
In addition to this, conducive telecom regulations and regular reforms by the successive Indian governments for last ten years also boosted growth in the industry. Telecom regulator, TRAI (Telecom Regulatory Authority of India), disclosed that penetration of service would further increase and more favorable structural reforms will be implemented.
