Ericsson CEO: India’s 5G equipment growth rate leads the world, and will rival China in the future to become the world’s second largest communications market
Surprisingly, the fastest growing 5G communication equipment in the world is not China but India. Borje Ekholm, CEO of global 5G equipment giant Ericsson (Ericsson), said bluntly on the 18th that India’s 5G promotion speed is amazing, and it will be comparable to China in the near future. large communications market.
India leads world in 5G growth
In recent years, India has actively deployed 5G equipment. The two major local telecom operators, Reliance Jio and Bharti Airtel, will launch 5G communication services in October 2022, while the basic equipment is provided by Ericsson, Samsung, Nokia, etc. The industry has snatched the big pie in India.
Borje Ekholm told the Wall Street Journal on the 18th : “India has the most powerful digital infrastructure outside of China, and it will soon be comparable to China in terms of growth rate.” He said: “India is seeing a very, very fast rollout. “India’s rapid growth is driven by a large amount of data. Indian operators officially plan to use 5G to meet the needs of the public for data usage. Such a leading edge will allow India to develop a next-generation technology ecosystem.
Borje Ekholm explained that excluding China and India, the United States is developing faster than Europe, because each country has different national conditions. In Europe, their regulatory system for operators is very strict, which hinders the speed of construction. He also reiterated that India will have a world-class digital infrastructure in the future.
Reliance Jio recently announced that it will spend 25 billion US dollars to build 5G equipment, and it is expected that 5G services will cover all of India by the end of 2023; in addition, they predict that there will be more than 100 million users in the near future, accelerating the realization of Internet penetration in India Target. Another operator, Bharti Telecom, has also announced that their telecom services will also cover the whole of India in the first quarter of 2024.
Taiwan Netcom operators take the lead in layout
At present, Taiwanese companies on the table, in addition to OEM manufacturers Hon Hai, Wistron, and Pegatron, have made the deepest efforts in India, and Taiwan’s Netcom companies, including Zhonglei, Zhiyi, D-Link, and Zhiyi, have also begun to expand their local presence.
Among them, D-Link, a wireless network provider, recently pointed out that it entered India as early as 1993, established D-Link India with local partners in 1995, and was listed in Mumbai and Bangalore in 2001. An Internet Taiwanese company listed in India
D-Link emphasizes that it mainly produces wireless network and Ethernet hardware products used by consumers and enterprises. At present, the Indian subsidiary has mastered local marketing channels, agents, distributors, and retail bases, etc., and is deeply involved in the consumer, enterprise, and telecommunications markets. In the first half of 2022, the revenue in the Indian market will increase by nearly 50% compared with the same period in 2021. In the future, as the Indian market becomes more mature, more players will go to grab the market pie.
Just as 5G equipment is growing rapidly, local 5G mobile phone shipments have also begun to climb. According to Menka Kumari, an analyst at research firm Cyber Media Research , the Indian market has made considerable progress, and the market share of 5G mobile phones will increase from a growth rate of 4% in 2020 to 45% in one go, and 75% of mobile phones will be launched in 2023. 5G mobile phones also mean that 8 of every 10 mobile phones can use 5G communication.
India will become the world’s second largest telecommunications market
It is worth noting that there are no Chinese companies Huawei (HUAWEI) or ZTE (ZTE) involved in the construction of 5G infrastructure that have caused dissatisfaction in China. A few days ago, the spokesperson of the Chinese Embassy in India, Wang Xiaojian, directly pointed out that the practice of excluding Chinese telecom companies from cooperation will not only damage the legitimate rights and interests of Chinese companies, but also hinder the improvement of India’s business environment, and is not conducive to the innovation and development of related industries.
India has a demographic dividend, coupled with the trend of the supply chain shifting from China to India in recent years, major industry players are optimistic about the future development. According to the statistics of Invest India , as of 2022, the Indian telecommunications industry is already the second largest telecommunications industry in the world, with 1.17 billion users (wireless plus wired), and the overall telephone density in India is 85.15%. With a density of 58.44%, it is mostly undeveloped.
Finally, Invest in India pointed out that India will become the second largest smartphone market in the world by 2025, with about 1 billion installed devices, and is expected to have 920 million unique mobile users by 2025, while 5G Technology will contribute about $450 billion to the Indian economy and is expected to be the next hugely important market in the world.