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Achieving Profitability in the Indian Wireless Market
In-Stat/MDR, Dec 2006, Pages: 37
As one of the fastest growing wireless markets in the world, the wireless subscriber base in India has witnessed exponential growth since the year 2000. The total subscriber number is expected to reach 265.2 million and generate total revenue of US$17.5 billion by 2010.
However, the ARPU levels have declined significantly and the downward trend in ARPU levels is expected to continue. The ARPU is expected to decline from US$7.6 in 2005 to US$5.6 in 2010, due to extensive competition and lower disposable income of new users.
This report is to analyze the profitability of the players in this market with the current information we have. We have put together the cost structure for mobile operators and tried to find out whether this low APRU model could lead to the profitability of these operators.
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