April 29, 2023: The total mobile services revenue in India is poised to increase at a compounded annual growth rate (CAGR) of 2.9% from $26.3 billion in 2022 to $30.3 billion in 2027, driven by the robust growth in mobile data services segment, forecasts leading data and analytics company GlobalData.
GlobalData’s India Mobile Broadband Forecast (Q1 2023) reveals that the growth in mobile data service revenues will offset the decline in mobile voice service revenues during the forecast period. While the mobile voice service revenue will decline at a CAGR of 3.2% between 2022 and 2027, mobile data revenue will increase at a CAGR of 8% over the same period, primarily driven by the increasing adoption of higher ARPU 4G/5G services.
Srikanth Vaidya,Telecom Analyst at GlobalData, comments: “The average monthly mobile data usage in India is expected to increase from 16.4 GB in 2022 to 30.8 GB in 2027, driven by the growing consumption of online video and social media content over smartphones, thanks to the widespread availability of 4G services and increase in 5G services availability.”
GlobalData is optimistic about the country’s mobile broadband services outlook with 4G services leading the way, despite the recent rollout of 5G services. The continued expansion of 4G services by operators in rural areas, coupled with the government initiatives to take 4G services to all uncovered villages in the next five years will drive the demand for 4G services over the forecast period.
5G subscriptions, on the other hand, are estimated to increase at fastest growth over the forecast period and will go on to account for 45.4% share of the total mobile subscriptions in 2027, driven by the ongoing 5G network rollouts by operators and proliferation of 5G-enabled smartphones.
Says Vaidya: “Reliance Jio led the mobile services market in India in 2022, followed by Airtel. Reliance Jio is expected to retain its leading position through 2027, thanks to the accelerated pace of its ongoing 5G service expansions, catering to the rising demand for high-speed services by residential and business customers.”