As Indian Internet users double, video is the key

11th June 2017
As Indian Internet users double, video is the key

New Delhi, June 11, 2017: Internet users in India are set  to double  from  373 million in 2016 to 829 million or 59 percent of the Indian population in 2021, says a Cisco study.
In addition, there will be 2.0 billion networked devices in 2021, up from 1.4 billion in 2016 and the overall Internet Protocol  traffic is expected to grow 4-fold from 2016 to 2021, a compound annual growth rate of 30% and reach 6.5 Exabytes of data per month in 2021, up from 1.7 Exabytes per month in 2016.
The Cisco Visual Networking Index (VNI)  forecast  says advancements in IoT applications such as smart meters, package tracking, digital health monitors  plus  a host of other next-generation M2M services is are  driving this incremental growth—nearly 21 percent increase in the next five years
M2M connections will represent 22 percent of the total 2 billion devices and connections and will account for five percent of IP traffic by 2021.  
Video -- a prime focus of the Cisco study-- will continue to dominate IP traffic and overall Internet traffic growth—representing 76 percent of all Internet traffic in 2021, up from 57 percent in 2016. India will reach 84 billion Internet video minutes per month by 2021, which is one hundred and sixty thousand years of video per month, or about thirty two thousand video minutes every second.
 Says Sanjay Kaul, Managing Director, Service Provider Business, Cisco India & SAARC“Mobile networks, devices and connections in India are not only getting smarter in their computing capabilities but are also evolving from lower-generation network connectivity (2G) to higher-generation network connectivity (3G, 3.5G, and 4G or LTE). Combining device capabilities with faster, higher bandwidth and more intelligent networks is leading to wide adoption of high bandwidth data, video and advanced multimedia applications that contribute to increased mobile and Wi-Fi traffic” said
He adds “We are witnessing a burgeoning rise in usage of mobile applications and connectivity by end users.  The need for optimized bandwidth management, network automation, e2e security and ultimately network monetization through cost efficient data production is fuelling the growth of network automation, mass market 4G deployments and adoption, soon to be followed with 4.5G and 5G. Service providers around the world are busy architecting their networks to be more autonomous and capable of handling high bandwidth to help them meet the growing end-users demand for more bandwidth, higher security, and faster connectivity on the move. Many providers have also started field trials for 5G and are gearing towards rolling out 5G deployments towards the end of the VNI forecast period.
Here are some India-specific numbers from the VNI study:
Summary of India Internet Growth and Trends:
In India, there will be 829 million total Internet users (59% of population) in 2021, up from 373 million (28% of population) in 2016...there will be 2.0 billion networked devices in 2021, up from 1.4 billion in 2016.
Consumer Internet video traffic will reach 3.0 Exabytes per month in 2021, the equivalent of 756 million DVDs per month, or 1 million DVDs per hour. Consumer Internet video traffic was 535 Petabytes per month in 2016, the equivalent of 134 million DVDs per month, or 183,261 DVDs per hour. Internet video traffic will be 77% of all consumer Internet traffic in 2021, up from.
Movies In 2021, the gigabyte equivalent of all movies ever made will cross the Internet every 54 minutes. Indian Internet traffic in 2021 will be equivalent to 291x the volume of the entire Indian Internet in 2005. IP traffic will reach 5 Gigabytes per capita in 2021, up from 1 Gigabytes in 2016.
In India, there will be 829 million total Internet users (59% of population) in 2021, up from 373 million (28% of population) in 2016. The average fixed broadband speed will grow 2.8-fold from 2016 to 2021, from 6.6 Mbps to 18.2 Mbps.
Mobile, Internet Video: In India, mobile data traffic will grow 7-fold from 2016 to 2021, a compound annual growth rate of 49%. Mobile data traffic in 2021 will be equivalent to 88x the volume of the entire Indian Internet in 2005.  IP video will be 83% of all IP traffic in 2021, up from 69% in 2016. Internet video traffic will grow 5-fold from 2016 to 2021, a compound annual growth rate of 40%. . Total Internet video traffic (business and consumer, combined) will be 76% of all Internet traffic in 2021, up from 57% in 2016.
HD is here: HD will be 51.4% of Internet video traffic in 2021, up from 12.0% in 2016 (87.9% CAGR)
Networked Devices: In India, there will be 2.0 billion networked devices in 2021, from 1.4 billion networked devices in 2016, and 1.3 billion in 2015. 67% of all networked devices will be mobile-connected in 2021
|Internet video & gaming traffic: In India, Internet video traffic will be 77% of all consumer Internet traffic in 2021, up from 5.

Find a PDF of the entire Cisco VNI study here
Infographic  of global trends: :VNI Complete Forecast Update, 2016-2021