India Ratings and Research (Ind-Ra) has published the September 2021 edition of its credit news digest on India’s telecom sector. It highlights the trends in the telecom sector, with a focus on subscriber additions, subscriber market share, broadband subscribers, data usage, pricing and regulatory and industry updates.
Structural Sector Improvement Continues; Average Revenue Per User Could Grow even without Tariff Hikes: The number of broadband subscribers increased to 65.1% of the overall wireless subscriber base in June 2021 from 64.4% in May 2021 and 47% in March 2019. In June 2021, while the number of broadband subscribers increased by strong 11.7 million (May 2021: decline by 2.9 million), the broadband penetration as percentage of overall subscriber base continued. Additionally, the average data used per user is increasing rapidly. BAL leads the industry with the highest reported average monthly data usage (GB), which grew to 18.9GB per user per month in 1QFY22 from 16.8GB per user per month in 4QFY21. The sliding voice tariffs, growing data tariffs, increasing data usage per subscriber and increasing data subscribers in the overall subscriber base over the last one year indicate that the average revenue per user of the industry could grow even without tariffs hikes.
Source: Telecom Regulatory Authority of India
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