Saturday, October 20, 2012

Revenue of Indian ISPs compared to MVAS Revenue of Cell Phone Services Operators

A Press Release (dated July 2012) from the ISP Association of India, quoting Telecom Regulatory Authority of India indicates the ISP segment revenue as Rs 7,500 Crores per year (approximately US$ 1.4 Bln). Visit
Compare this with the figure of Rs 2 to 3 per month spent by cell phone users on apps as well as games (Visit my blog post
This is the nearest estimate I get to Internet related expenditure of cell phone users in India in 2012. The number of cell phone users in India was reported by the Times of India as being 929.37 million in July 2012. Visit 
Multiplying the number of users by Revenue per user we find that Indian cell phone users are not paying more than Rs 3600 Crores. This is probably an over-estimate, as the figure of Rs. 2 to 3 mentioned above cover apps as well as games. So, all of this amount may not count as expenditure on mobile Internet.

Srinivasan Ramani
October 20, 2012

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