(InfoWorld Daily via NewsEdge) India added close to 74 million new mobile telephone subscribers last year, making it one of the most attractive markets for mobile telephone operators and wireless equipment vendors.
The number of wireless subscribers grew 97% from 75.94 million at the end of December 2005 to 149.5 million subscribers at the end of December last year, according to the Telecom Regulatory Authority of India (TRAI) in Delhi.
The growth in the mobile telephony market has come after deep cuts in tariffs by mobile services operators, which cut into the average revenue per user.
Mobile service operators are now focusing on new services such as email and music downloads to boost ARPU.
The country added 6.48 million mobile subscribers in December, while in November it added 6.80 million subscribers, the TRAI said.
Even as the mobile telephony market in India is booming, the number of fixed-line telephone subscribers dropped, suggesting that first-time users of telephones are opting for mobile phones.
The number of fixed-line subscribers was down to 40.43 million in December as compared to 48.84 million a year ago, according to TRAI.
The Indian government is targeting 500 million telephones, both fixed and wireless, by 2010. Based on current trends, most of the demand for new connections is likely to come for mobile services.
The large growth in mobile subscribers in India has attracted foreign companies to invest in providing mobile services in the country. A recent relaxation of government rules allows foreign companies to hold up to 74% stake in a mobile services operators.
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