Topics: Mobile phone, Vodafone, GSM services Pages: 31 (9243 words) Published: April 27, 2013

The telecom services have been recognized the world-over as an important tool for socio-economic development for a nation. It is one of the prime support services needed for rapid growth and modernization of various sectors of the economy. Indian telecommunication sector has undergone a major process of transformation through significant policy reforms, particularly beginning with the announcement of NTP 1994 and was subsequently re-emphasized and carried forward under NTP 1999. Driven by various policy initiatives, the Indian telecom sector witnessed a complete transformation in the last decade. It has achieved a phenomenal growth during the last few years and is poised to take a big leap in the future also.

The Indian Telecommunications network with 851 million connections (as June 2011) is the second largest in the world. Indian telecommunication industry is the world’s second-largest in terms of number of subscribers, and the world's fastest growing market in terms of number of new subscribers. India had 851.70 million mobile phone subscribers at the end of June 2011.The country has the fourth highest number of Internet users with over 100 million as of December 2010. The primary regulator of communications in India is the Telecom Regulatory Authority of India. It closely regulates all of the industries mentioned below with the exception of newspapers and the Internet service provider industry. As the fastest growing telecommunications market in the world, India is projected to have 1.159 billion mobile subscribers by 2013. Several leading global consultancies estimate that India will become the world's largest mobile phone market by subscriptions by 2013. The industry is expected to reach a size of 344,921 crore (US$76.92 billion) by 2012 at a growth rate of over 26 per cent, and generate employment opportunities for about 10 million people during the same period. According to analysts, the sector would create direct employment for 2.8 million people and for 7 million indirectly. In 2008-09 the overall telecom equipments revenue in India stood at 136,833 crore (US$30.51 billion) during the fiscal, as against 115,382 crore (US$25.73 billion) a year before. The Government has taken following main initiatives for the growth of the Telecom Sector: Liberalization The process of liberalization in the country began in the right earnest with the announcement of the New Economic Policy in July 1991. Telecom equipment manufacturing was delicensed in 1991 and value added services were declared open to the private sector in 1992, following which radio paging, cellular mobile and other value added services were opened gradually to the private sector. This has resulted in large number of manufacturing units been set up in the country. As a result most of the equipment used in telecom area is being manufactured within the country.


The history of telephone services in India found its beginning when a 50-line manual telephone exchange was commissioned in Kolkata in the year 1882 in less than five years after Alexander Graham Bell invented the telephone. While India became independent in the year 1947, the country had about 82,000 telephone connections, which slowly rose up to 3.05 million by the year 1984. The telecom sector in India was a government monopoly until the year 1994 when liberalization was gradually unrolled. For the first time, cellular services were launched in India in Kolkata in the year 1995. An Overview of the Telecommunication Industry in India

Talking of telecommunications sector in India today, we can primarily identify two segments namely Fixed Service Provider (FSPs) and Cellular Services. Some of the essential and basic telecom services forming part of Indian telecom industry include telephone, radio, television and Internet. Telecom industry in the country lays a special emphasis on...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • The Wto Agreement on Trade in Financial Service and Basic Telecommunication Essay
  • FDI in the Chinese Telecommunication Industry Essay
  • Telecommunication Sector in India: Policies & Regulations Essay
  • Telecommunications Essay
  • Essay on Telecommunication
  • Telecommunication Essay
  • Telecommunication Service Essay

Become a StudyMode Member

Sign Up - It's Free