Report: India set for explosive 3G/4G growth

The Indian wireless market is set for strong changes over the next several years as carriers begin deploying 3G and 4G networks that will transform the market to data-centric services, according to a report from Maravedis Inc. and India-based Tonse Telecom.
The report noted that while 3G and WiMAX networks will generate a profitable business for carriers over the next 5 years, LTE deployments will soon usher in a new wave of data-centric services that could change the Indian telecom market.
“The India telecom market will transform from a voice-centric industry to a data-economy,” said Adlane Fellah, research director at Maravedis. “This transformation will be accompanied by structural changes in the carrier space including a consolidation wave which could strike as early as 2011. Infrastructure opportunity has moved to a new level and will quickly morph into an application-driven era.”
The report noted that the country’s 3G-enabled data subscriber base will hit 40 million by 2015, with 4G technologies serving 33 million customers by the same year. The firm also said it expects the 4G infrastructure market to reach $1.5 billion within five years
“A vibrant device eco-system, a rich native content value-chain, an extensive service distribution network, and high-tenancy passive infrastructure-sharing combined with rock-bottom voice [average revenues per user] and high-spectrum investments have created a heady mix pushing operators to move into the 3G/4G opportunity as their next growth engine,” said Sridhar Pai, co-author of the report and founder of Tonse Telecom.