Wednesday 13 July 2016

Data Boom seen once 4G Entrants go Commercial

At 18 GB per month, the data consumption per month among the customers of new entrants in the 4G telecom space is 20 times what some existing players have been able to draw, and suggests a boom ahead in the coming months, the latest HSBC research report says. Without naming the new entrants -- but presumably Reliance Jio that has thus far only conducted a soft launch -- the report says their level of customer data consumption against 843 MB for Bharti Airtel and Idea's estimate of 1 GB tells a completely different story. 

"The 4G entrants are not charging for data today. Hence, there is a good possibility consumption may decline sharply once they charge. Nevertheless, the effort seems to highlight that appetite for data does exist," says the report, titled, "Indian Telecoms: The Big Debate -- Data Usage". 

This apart, it adds, the emphasis of 4G entrants on data capacity, content and live TV streaming services suggests the focus seems to be the medium-to-high end market, potentially resulting in consumption that is much higher than the present sectoral average of around 475 MB.



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