India needs national consensus on broadband

CMN Bureau

BANGALORE,INDIA: Despite being the fastest growing telecom market in the world, the growth in Internet, wireless and broadband services in India is sluggish when compared to its neighboring countries.

Speaking at the second annual conference on ‘Broadband and Wireless Technologies’ organized by Manufacturers’ Association for Information Technology (MAIT), R Sivakumar, managing director, South Asia, Intel Technology India Ltd, said, “India was quick enough to eradicate epidemics like polio, chickenpox, which was considered impossible. It was possible because there was national consensus about it. I don’t see such national consensus for broadband in India.”

“Globally half trillion annual web search is carried out, two billion videos viewed every day, one lakh blogs created everyday. Data consumption is huge. This will continue to accelerate. In reality India is not player in this. There is lack of desperate urgency to drive broadband in India,” sadi Sivakumar.

“India is not there in setting standard, lacks fundamental instruments, and cannot connect seamlessly from home. PC and Internet penetration is very low compared to neighboring countries,” he added.

Currently, China is five to six times ahead in every metrics when compared to India. A decade back, India was ahead.

China projects to touch 250 million broadband users by 2010, whereas India targets just 20 million broadband users by 2010.

“Further, India has failed to understand the co-relation between the GDP and investment in Internet. In the initial phase, its contribution to GDP is limited. But when we cross the threshold, we can see an exponential affect on the economy,” he added.

“India is in the threshold and government should now significantly invest on the broadband otherwise we will be left behind. For instance there is opportunity of Rs 9000 crore market just by distributing digital audio in the country. Rest of the world is recognizing it and it’s a loss for the country if its not recognized and tapped,” he added.

Going ahead

To drive the broadband and wireless service in India, there is a need for affordable devices and consistent broadband connectivity. Internet will be the medium 20 years and beyond. Wireless Internet is going to be the next big thing.

Sivakumar said that going ahead next revolution would be on Wi-Fi and WiMAX. Further in 2009, more laptops will be sold around the world than desktops.

In 2007, in India alone 40 per cent of the first time PC users bought laptops, reason being that it can be used even during power shutdown.

Low cost PCs will drive the India PC market in the coming months, Sivakumar added.

Talking about success of mobile growth, Sivakumar said, “Mobile subscribers are growing but the revenue growth is flattening. Apart from VAS, mobile internet is a way out for increasing revenues.”

To drive wireless and broadband growth in India, Sivakumar highlighted requisites needed from the industry and the government – From Industry there is need to - making broadband accessible, attractive tariff, entry of new players, marketing it well, enterprise mandate and VC funding.

And from Government – earmarking funds, spectrum policy, liberating last mile access, mandate IT enabling and free high-speed connectivity in educational institutions.

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