INVC NEWS
New Delhi : In a remarkable shift within the Indian telecommunications landscape, the number of internet users has soared, reflecting a 1.59% quarter-on-quarter increase to reach 969.6 million during the April-June period of the current fiscal year. This surge is indicative of the growing demand for connectivity and signals a thriving digital ecosystem. The Indian telecom sector, overseen by the Telecom Regulatory Authority of India (TRAI), has reported a noteworthy increase in revenues, with an average revenue per user (ARPU) climbing to ₹157.45, representing an 8.11% year-on-year growth.
Growth in Internet Subscribers
The latest report highlights that the total number of internet subscribers in India is now at 969.6 million, showcasing an upward trajectory from 954.4 million in the previous quarter. Among these subscribers, approximately 42 million individuals access the internet via wired connections, while a staggering 927.5 million rely on wireless services. This shift underscores the increasing reliance on mobile networks as the primary mode of internet access, driven by the affordability of smartphones and mobile data plans.
Broadband Users on the Rise
Broadband connections have also seen a significant uptick, with the number of users climbing to 940.7 million, a 1.81% increase from the previous quarter. This growth reflects the enhancements in broadband infrastructure and the ongoing push for higher-speed internet services across urban and rural areas. However, the number of narrowband internet subscribers has experienced a decline, dropping from 30.3 million to 28.8 million, indicating a consumer shift towards faster and more reliable broadband options.
Revenue Growth for Telecom Companies
The financial landscape for Indian telecom companies has improved dramatically, with a reported adjusted gross revenue (AGR) of ₹70,555 crore for the April-June quarter. This figure represents a 0.13% quarterly increase and a robust 7.51% year-on-year growth. The rise in ARPU to ₹157.45 signifies that telecom operators are successfully capitalizing on the increasing demand for data services, translating into enhanced profitability.
Customer Segments and ARPU Insights
The average revenue generated per user (ARPU) has shown a consistent upward trend, reflecting the industry’s ability to monetize its customer base effectively. This increase is particularly notable in the context of mobile services, where the ARPU has grown by 2.55% compared to the previous quarter. As users increasingly engage with data-intensive applications such as streaming services and online gaming, telecom providers are reaping the benefits through higher average revenues.
Expansion of Telephone Subscribers
In addition to the surge in internet users, the total number of telephone subscribers in India has reached 1.2056 billion, marking an increase of 0.53% quarterly and 2.70% annually. The urban segment accounts for 665.1 million subscribers, while rural areas contribute 538.5 million to the total. This growth highlights the expanding telecommunications network and its capacity to serve both urban and rural populations effectively.
Wireless Customer Growth
The number of wireless subscribers has risen by 5.04 million in the last quarter, bringing the total to 1.1705 billion. This increase is indicative of the growing preference for mobile connectivity, which continues to dominate the market. The rise in wireless connections also reflects the efforts made by telecom companies to expand their network coverage and improve service quality, especially in underserved areas.
Telecommunication Density Trends
The overall telecommunication density in India has improved, now standing at 85.95%, up from 85.69% in the previous quarter. The rural telecommunication density has also increased to 59.65%, highlighting progress in connecting remote areas to the national network. Conversely, urban density has slightly declined to 133.46%, demonstrating a need for continued investment in infrastructure to accommodate the growing population of users.
Customer Experience and Service Quality
In terms of customer service, the report reveals that each telecom subscriber encounters seven or fewer issues per month, reflecting positively on service reliability. Moreover, a significant 75% of telecom-related complaints from rural and hilly areas are resolved within 24 hours, with 100% of issues being addressed within seven days. This high level of responsiveness is crucial for maintaining customer satisfaction and loyalty in a competitive market.
A Bright Future for Telecom
The data clearly illustrates a dynamic transformation in the Indian telecommunications sector, fueled by a rapid increase in internet users and a corresponding rise in revenue for service providers. As the number of subscribers continues to grow, telecom companies are well-positioned to capitalize on this trend, driving innovation and enhancing service delivery to meet the ever-evolving demands of consumers. With the Indian market demonstrating resilience and adaptability, the future appears promising for both users and telecom operators alike.
