The Indian telecom industry has grown more than 12 times in five years, from just 33 million subscribers in 2004 to 386 million in 2009. Even at its current size, it proved to be fairly immune to the current economic slowdown with 11% of total base being added in the last quarter of 2009. The total telecom subscriber base rose by 11.45 million in May 2009, with the wireless segment adding 11.6 million subscribers. The wireless subscriber base touched 415.2 million from 403.7 million at the end of April. On the other hand, the number of wireline subscribers decreased by 0.15 million in May 2009, taking the total wireline subscriber base to 37.66 million. In recent years, the Indian telecom industry has witnessed phenomenal growth. A conducive business environment, favourable demographic outlook and the political stability enjoyed by the country have contributed to the growth of the industry. India achieved the distinction of having the world's lowest call rates (2–3 US cents), the fastest sale of million mobile phones (1 week), the world's cheapest mobile handset (USD 19) and the world's most affordable colour phone (USD 31).

1. 2010

6. One of the fastest growing cellular markets in the
world in terms of number of subscriber additions
– 120.00 million (in FY 2009)
Expected to reach total subscriber base of about
500 million by 2010 (i.e., more than one phone
for every household)
More GSM subscribers than fixed-line subscribers.

8. Jammu &
Kashmir
Himachal
Pradesh
Punjab
Haryana
• 4 metros & 19 circles Rajasthan
DELHI
Uttar
Pradesh W
Uttar
• Further divided into A, B and C Madhya
Pradesh E Bihar
KOLKATA
Gujarat
category based on economic Pradesh
West
Orissa
parameters and revenue potential MUMBAI
Maharashtra Bengal
Andhra
Pradesh
Karnataka
METRO Circles
CHENNAI A Circles
Tamil B Circles
Kerala Nadu
C Circles
• Twelve operators per circle are
allowed

12. USA 838
India 461
China 303
Russia 88
Minutes of Usage per Month

15. Value in Crores
36961 22235 10144 2065
15188 8581 2830 624
41.10% 38.50% 27.90% 30.21%
8490 5908 901 174
305 224 254
159002 55243 23591.72 6564.3

18. Untapped market Profitability is 7 to 10 % lower
than urban.
Churn rate is lower.
ARPU is low in rural areas –
Service provider is net High operating Cost.
recipient of termination
charge. (Rs 0.20 pm)
Inadequate grid power and
Customers are relatively less quality of power supply
prone to travel - operator to increases the fuel cost.
save on roaming charges.

20. Large and More impact Positive for
established service in Urban
providers will
Saturated
new
witness an increase
in their churn rate. Markets. players