The number of 5G subscribers in India may go up to 130 million by the end of 2023, compared to the 10 million recorded at the end of 2022, the Ericsson Mobility Report for November 2023 stated.
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Fast-growing 5G network across cities, affordable service plans, and the growing availability of 5G smartphones has increased 5G penetration in the country, the report said.
“India is seeing substantial 5G network deployments from service providers following the launch of 5G services in October 2022. Fast-growing network
availability across cities, affordable service plans and the growing availability of 5G smartphones has fueled rapid 5G adoption in the country. 5G subscriptions are expected to reach 130 million in 2023, and are estimated to grow to 860 million by 2029,” the report noted.
Telecom operators Jio and Airtel have noted that the number of 5G users crossed the 125-million mark in November. On the back of this, India is now among the top three 5G-enabled nations. The services are available in more than 8,000 towns and 20,000 villages at present, with over 385,000 5G base transceiver stations.
In 2022, Ericsson pegged India’s 5G subscriber base at 31 million users, rising by over 4x in 2023 itself.
The report noted that digital technologies in India such as e-commerce and e-governance are reshaping the country. 5G is enabling the next phase of growth and transformation in India’s digital landscape, thereby supporting the government’s vision to transform the country into a digitally empowered society and knowledge-based economy.
“The Indian government’s spectrum auction in July 2022 and Jio’s acquisition of spectrum across low-band (700 MHz), mid-band (3.5 GHz) and high-band (26 GHz) have enabled rapid 5G expansion. 5G is expected to enable the next phase of growth and transformation in India’s digital landscape,” the report said.
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The report added in the next six years, India will see 5G subscribers grow by 6.6x, while 4G subscribers—pegged at 870 million at the end of this year—will drop to 390 million by the end of 2029. As a result, by 2029, 68 per cent of all mobile subscribers in the country will be on the 5G network.
The report further said that the Indian market is dominated by 4G subscriptions at present, and the number is expected to have touched 870 million, up from 820 million in December2022.
Nitin Bansal, head of Ericsson India, said the growth in 5G subscribers and the rise in the number of smartphone users in comparison with the overall mobile phone users, will drive “social and economic inclusion in India”.
The Ericsson report noted that the 4G user number to decline to 390 million by 2029, as subscribers might shift to 5G network. The total number of mobile subscriptions is anticipated to surge to 1.2 billion during the same period.
The report further added that 5G fixed wireless access (FWA) is seen as the only solution for telcos to recoup some of their investments in the absence of meaningful use cases of 5G for which telecom operators can charge consumers. Telcos have rolled out the FWA solution, which is capable of providing fibre-like speeds at homes or offices, as AirFiber.
“Within a year of launching 5G, telcos have also introduced 5G fixed wireless access services, which are seen as a significant revenue opportunity in the country,” Ericsson said.
The report said the number of FWA connections worldwide is expected to increase to 330 million by 2029 from 130 million at the end of 2023.
The report further said that smartphones as a percentage of all mobile phones in the country will grow from 82 per cent this year—to 93 per cent in 2029. By this time, India is projected to have a total of 1.27 billion mobile phones—thereby bringing 1.18 billion smartphones to the country by 2029.
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In India, the average data traffic per smartphone is the highest globally. It is projected to grow from 31 GB per month in 2023 to around 75 GB per month in 2029 — a CAGR (compound annual growth rate) of 16 per cent.
