Telecommunication Market in India

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Telecommunication Market in India is one of the most rapidly growing industries in India. It is considered to be a real boon not only to the country's economy but also to its inhabitants as it has made life easier and faster altogether.

The telecom industry in India has grown phenomenally in 5 years. In 2000, the telephone facility was available to only 3 people out of every 100 persons, whereas in 2005 it went up to 10.66 persons as against every 100 people. This outstanding growth in the Indian telecom industry is considered to be one of the most attractive attributes in the exponential accretion of wireless phones across the country. The government of India is planning up for an increase in the production of telephones by 2007 accounting for around 23 telephones in every 100 persons by launching 250 million phones in the country. One of the largest contributors in the alarming success of the telecom industry in India has been the wireless market that has leaded the telecom revolution in India.

This wireless market has attracted a number of consumer attentions, which has brought in larger investiture to India. The Total Market comprising of semi-conductors in India stood at USD 2.82 billion in 2005 within which the telecommunication industry acquired about 45.4 percent of the total market. The telecom market in India had acquired around 8 percent of the Indian Total Available Market for semi-conductors that were valued at USD 1.14 billion.

The equipments for telecommunication are usually imported in bulks in the name of CBUs and SKDs. This import-trading sector in the telecommunication industry is reflected in the Total Market and the Total Available Market. Some of the major telecommunication markets in India include wireless handsets found in GSM and CDMA range, wireless switches, wireless infrastructure equipments, PBX systems, electronic push button telephones, access network instrumentation, modems and VoIP phones. Among all these sectors, the wireless handsets and wireless infrastructure acquires around 88 percent of the total market of telecom industry which is considered to be the largest share in the Telecommunication Market in India as accounted in 2004. In the Total Available Market, wireless switches are the most leading sector, as it possesses a domestic manufacturing base.

The Telecommunication industry in India comprises a range of semi-conductor elements namely DSPs, Analog ICs, ASICs, and Micro controllers. While the wireless sector in the telecom market in India was growing leaps and bounds, DSPs acquired the largest share and brought in large dividends as compared to the other semi-conductors. The wireless sector was not such a high-profiled one before but with the advent of ITI and other multinational corporations, the wireless sector of the telecom market started looming large and it also experienced a craze in the wireless equipments. It is assumed to be one of the biggest drivers in the telecom market in the recent future.

The Telecommunication Market in India is climbing the ladder of success quite rapidly by introducing newer and innovative sectors which are absolutely technology based as well. The government of India has confirmed the phenomenal success of the telecom industry that will be achieved by it in the years to come.

Last Updated on 27 June 2011