3G Critical For Broadband Adoption In India

The CII-BDA report on Wireless in India argues that 3G deployment in India is the solution to poor network capacity and broadband. Broadband growth is expected to be slow for this year as well. However, a move to 3G enabled wireless broadband (accessible by both handsets and laptops with 3G cards) will help India surpass the DoT’s goal of 20 million subs by end of 2010 — though to me it seems that the number crunchers will just end up adding mobile subs with 3G enabled handsets to total Broadband Users, and there will be headlines hailing the scorching pace of growth of broadband in India…no one will talk about daily users, but focus on the irrelevant once-in-a-lifetime “Ever” Internet users.

Apparently, the migration to 3G will also free up 2G spectrum, allowing lower end 2G subs access to mobile telephony. The report estimates that around 95 percent households in India can afford 1 or more phones (at a cost of minimum $58 per year). It does, however, call for quick regulatory action on spectrum…and you can say that again.

The complete report is available for download here.