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The Hindu
19 hours ago
- Business
- The Hindu
Jyotiraditya Scindia interview: ‘India will have 1 billion Internet users by this fiscal'
With increasing data usage, the Internet market has grown from around 250 million to 974 million subscribers, says Minister of Communications and Development of North Eastern Region (DONER) Jyotiraditya Scindia. Stressing on the role of innovation and investment, Mr. Scindia discusses the potential of India's telecom industry and the way ahead for improving connectivity. Edited excerpts: This year's theme for The India Mobile Congress (IMC) is 'Innovate to Transform'. What's the message here for the domestic telecom industry? India has already proven itself to be the second largest telecom market in the world. In the last eleven years of Prime Minister Modi's government, not only have we grown on the mobile market from roughly 1 billion to 1.2 billion customers; we have also hugely grown data usage and the Internet market from around 250 million to 974 million Internet subscribers. The broadband market, with speeds greater than 2 Megabits per second (Mbps), has grown from 66 million in 2014 to 940 million today. We should be able to hit one billion Internet users within the first half of next year, or even within this fiscal year. That's a huge exponential expansion and penetration of the market that we've seen. At the same time, India has also proven to the world the law of economies of scale, where call price has gone down from 50 paise a minute to 0.003 paise per minute; where data has gone from ₹287 a GB to ₹9 a GB. We are today the cheapest data market in the world; the global average is $2.49. We are roughly at 11 cents. We have 5% of the world average cost. With such a large market and such a large ground to traverse, it is equally important for India to start pioneering the product space, and therefore IMC's theme this year of 'Innovate to Transform' very much ties in with its theme last year, 'The Future is Now'. India has already trailblazed that path by innovation, with the Centre for Development of Telematics, Tejas Networks, Tata Consultancy Services (TCS), and the Telecommunications Standards Development Society, India (TSDSI) building its 4G stack across the board. Many products are also now being made in India. We have gone from importing 80% of our mobile phone requirements to becoming a huge exporter of about ₹1.75 lakh crore worth of mobile phones. Even in terms of routers and other products, you have got world majors coming to India. So, India is now preparing to position itself in the product market. The Bharat 6G Alliance that we have put together is working on contributing a minimum 10% of patents to the world of 6G. And it is our hope that in this year's IMC, we will have over 1,50,000 visitors from 150 countries, over 7,000 delegates, and 400 exhibitors… I think it is time for India to push its investment in research and development (R&D), push its proficiency and capability on the product side, and that is why this year's theme is about India not only being consumers of global tech but actually becoming the creators and innovators of global products in the telecom space. With telecom equipment, we had home-grown technologies like Open RAN and 5Gi, but much of the final deployment in this generation has had less domestic contribution. Which is why, in the Production-Linked Incentive (PLI) Scheme — which has been tremendously successful, with over ₹4,000 crore of investment and ₹80,000 crore in revenue, close to ₹16,000 crore of exports, and 25,000 jobs created; it has been a runaway success — we introduced last year, a 1% design-led incentive. Therefore, I want to design, produce, and export in India. We hear a lot about Starlink and satellite communications. But in terms of connecting rural areas and remote areas, we have had decades of effort from the Universal Service Obligation Fund, now known as the Digital Bharat Nidhi. What is the long-term plan for terrestrial connectivity in remote areas? As far as BharatNet is concerned, in the first phase, we laid almost 7 lakh kilometres of fibre optic cables. We connected almost 2.14 lakh gram panchayats. We are now working on BharatNet II. Mind you, this is the largest public sector investment in connectivity to the grassroots level in the world, of $16.9 billion (₹1.39 lakh crore). What we are doing in BharatNet II is connecting the balance 2.64 lakh gram panchayats. We are going to have a capability of connecting 3.8 lakh villages on demand. The total number of villages in India is about 6.5 lakh, of which 2.64 lakh are gram panchayats. Along with that, we have put together many new systems in BharatNet II which were not prevalent in BharatNet I. So, let me talk about a few of those: first, we are now using Multiprotocol Label Switching (MPLS) routers instead of Gigabit Passive Optical Network (GPON) routers — it is a better technology, with higher redundancy levels; second, we are converting all the linear topography of BharatNet I — where a single breakage would impact all the downstream gram panchayats — into a ring topology, where each node is connected at two ends and is less prone to failure; third, the project implementation agencies have been mandated to also maintain the network for ten years after building it; and fourth, we are putting together a central network operating centre, to monitor and maintain the network throughout the country. Fifth, we are also going to put in place independent engineers — having nothing to do with BSNL or the L1 contractor — to ensure you are doing the job you are supposed to be doing, so there is a check and balance, and we are going to connect 1.5 crore Fibre-to-the-Home (FTTH) customers through this; and sixth, we are going to provide an Internet leased line which will have a minimum speed of 25 Mbps to every subscriber. So, it is a much more robust system that we are trying to put in place. Vodafone Idea Ltd. (VIL) has been suffering financially for multiple quarters. They have also had a setback at the Supreme Court, which refused to revise the calculation for their Adjusted Gross Revenue (AGR) dues. To what extent is the government willing to step in and make sure that there are at least three private operators in the telecom market? We have three private operators and one state-owned operator. So, we have four altogether, and I think that is a very healthy environment... Having said that, I think each company has to manage its own profit-and-loss (P&L) account and balance sheet. We have done an equity conversion of almost ₹37,000 crore with VIL. The government now holds 49%. We do not intend to increase that stake above 49% at any point in the future. On the Department of Posts: what impact has the Post Office Act, 2023 had on modernising India Post? The Indian postal department is one of the most robust, largest distribution and logistics networks of any organisation — and I am weighing my words — in the world. And in the modern day, to be able to optimise its service delivery to a logistics organisation, the amendment to the Post Office Act empowers us to provide that flexibility to our Department, to be able to serve new markets, niche or otherwise, to validate proofs of concept, to be able to change our delivery portfolio… And I think a lot of the new changes that we are being able to put in place are about making it a comprehensive service provider; not only mail, but postal life insurance, post office savings bank, and the India Post Payments Bank — which by the way has turned the corner and is making profits, three years before it was forecast to do so. We are thinking of coming up with a digital access code for every single latitude and longitude in the country. Today, the postal department is empowered to be able to deliver all those capabilities by the amendments to the Act. On the DIGIPIN initiative, which you just referenced, why was the need for this felt? It is not the need — with changing times and technology, you have to keep evolving. It would be like asking, why did you come up with UPI, or — when I was Civil Aviation Minister — why did you come up with Digi Yatra. Any organisation only survives and furthers itself if it continues to evolve. And in that evolution, the digital access code will benefit the customer and the service provider. It is a product which will be used far and wide by every service provider to be able to authenticate the latitude and longitude of where delivery takes place; this will aid them in ensuring crisper, more on-time, direct, focused delivery. The customer will benefit. It is a vehicle to provide much more efficiency. And it is our job to come up with that.


Time of India
20 hours ago
- Business
- Time of India
'No more conversion of equity in Voda-Idea'
Jyotiraditya Scindia Communications minister Jyotiraditya Scindia said government has no plans to provide any relief on the AGR (adjusted gross revenue) front to telecom companies after the Supreme Court struck down their plea for a waiver of interest and penalty. In an interview with TOI, the minister also made it clear that beleaguered Vodafone Idea will not receive any further equity conversion from government beyond the current 49%, and it's now the company's responsibility to take care of profit and loss and the balance sheet. Excerpts: Struggling Vodafone Idea has come to govt time and again for support. How long can you give this long rope to the company? Every company has to chart its own path. Profit and loss and the balance sheet are the responsibility of the management of each company - be it BSNL, Vodafone Idea, Jio, or Airtel. Based on govt policy, we converted close to Rs 36,000 crore of Vodafone Idea's dues into equity. We are today at 49%. I do not see us increasing that equity stake in the near future, at all. It's the responsibility of each company. How long can you wait for a turnaround? At least some bit of accountability is needed because this is public money going into saving a company... They have to define their own path at end of the day. That's the job of CEO of Vodafone Idea. Are you in regular touch with them? I don't believe in meddling in a company's affairs, whether it be a PSU or where govt has a stake. But if and when they come to us, we certainly meet them and hear them out. SC has refused relief to telcos on AGR matter. Does govt plan to bring out legislation to protect the companies from penalty and interest? There's nothing on my table at this point, so I can't comment. I think the Supreme Court has ruled on the matter, and that's where it stands. . Trai has given its recommendations On satellite communications. When will DoT approve them? We will start processing it. The department will look at it and then take a call. When will satcom services begin? I can't give you a very definitive timeline, but I can assure you that we are trying to do this sooner rather than later. Any healthy market has a mix of local and global players. Elon Musk is coming with Starlink and Amazon wants to come with Project Kuiper. Do you think it's good to have global competition? I can only say my market is open for you. Whoever wants to come into my market, check all the boxes in terms of the rules and regulations and processes, we want you here. For me, the choice for my customers is paramount. Just like the fixed line space or the mobile space or the broadband space, similarly in satellite, I want competition. Everyone is welcome here. Tick the boxes. Hurry up and start business. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
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First Post
a day ago
- Business
- First Post
Why India will be the data capital of the world in five years
Telecom Minister Jyotiraditya Scindia said that the telecom subscriber base in India has expanded from 800 million a decade ago to 1.2 billion this year, a level where India is now the second largest mobile market read more Indian telecom minister has projected that the country is poised to become the data capital of the world within next five years. Source: PTI Indian telecom minister has projected that the country is poised to become the data capital of the world within next five years. While speaking at the CII Annual Business Summit 2025 on Thursday (May 29), Jyotiraditya Scindia said that India is leading a digital-first economy, with the telecom revolution being the driving force. 'India, I believe, in the next five years, will become the data capital of the world,' Scindia said. The minister informed that the telecom subscriber base in India has expanded from 800 million a decade ago to 1.2 billion this year, a level where India is now the second largest mobile market. He added that the broadband base in the country has also grown to 940 million. STORY CONTINUES BELOW THIS AD The minister highlighted how connectivity costs have fallen drastically over the past decade, recalling days when tariffs were as high as Rs 16 per minute. 'When we talk about data, 11 years ago, 1 GB of data would cost you Rs 287. Today, 1 GB of data costs you Rs 9. There is a 97 per cent reduction in the cost of communication,' Scindia was quoted as saying by news agency PTI. The minister concluded by stating that India's cost of data communication is currently just 5 per cent of the global average. Sanchar Mitra Scheme Meanwhile, the government has also launched the Sanchar Mitra Scheme, which aims to improve the connection between the telecom industry and everyday citizens. When asked about whether satellite communication service would be available in India, Scindia said it was up to telecom companies to decide how to go about it after they get necessary permission from the government. He emphasised that the government's role is to issue these licenses as long as the companies meet specific requirements. Currently, two companies have already qualified, and a third is close to qualifying. Scindia reaffirmed the government's commitment to granting licenses to companies that comply with the rules. He also mentioned that once companies receive the necessary spectrum to operate their services, they must chart their own course based on the regulations set by the Telecom Regulatory Authority of India (TRAI).


Time of India
2 days ago
- Business
- Time of India
India poised to become 'data capital of the world': Jyotiraditya Scindia
India is poised to become the "data capital of the world" in the coming years, said Union Minister of Communications, Jyotiraditya Scindia . A major factor underpinning this growth is the drastic reduction in communication costs. The Minister noted that the price of one GB of data has fallen from 287 rupees just 11 years ago to just 9 rupees today, representing a 97% reduction in costs of communication. Comparing this internationally, Scindia said that India's data cost of 11 cents per GB is only 5% of the world average of $2.5 per GB. "India, I believe in the next five years will become the data capital of the world in the time to come," Scindia said, speaking at the Confederation of Indian Industry (CII) Annual Business Summit 2025 on Friday. Scindia said that India is now globally recognized as a digital-first economy, a shift largely led by the advancements in its telecom sector over the last decade. He cited significant growth in connectivity, with mobile subscribers increasing from around 800 million to 1.2 billion, making India the second-largest mobile market globally. Internet users have risen sharply from approximately 250 million to 974 million, while broadband users have jumped from a mere 66 million to nearly 940 million, he said. The Minister also pointed to India's progress in achieving self-reliance in technology, mentioning the successful development of an indigenous 4G telecom stack. This makes India the fifth country globally with this capability. The indigenous technology is currently being deployed on BSNL 's network, with close to 94,000 towers already installed out of a planned 100,000. He also noted that BSNL has posted a record net profit for the second consecutive quarter after 18 years.


Hans India
2 days ago
- Business
- Hans India
Nearly 47 pc of digital transactions in India, UPI has gone global: Minister
Around 47 per cent of the digital transactions are in India and the unified payments interface (UPI) has gone global in its scope, Union Minister of Communications Jyotiraditya Scindia has stressed. Moreover, India today is leading the revolution in the technology and telecommunications space. 'For instance, India is seen as a digital-first economy and there is a telecom revolution currently underway. Scalability has reduced the cost of communication which presently is among the lowest in the world. The country has achieved 'atmanirbharta' in telecom and is among the four countries manufacturing the technology stack,' Scindia said at the Annual Business Summit 2025 held by CII here. Technology is also transforming the postal department with new services being introduced in the postal system, the minister added. According to him, recognising that building trust through enlightened leadership has emerged as a cornerstone for sustainable growth and a hallmark for taking India forward, it is imperative to focus on outcomes which inspire trust. India emerging as the fourth largest economy in the world is a commendable achievement, he said. The minister also underscored the significance of the northeast as a centre piece of India's progress with the decadal growth rate exceeding 12-13 per cent. 'The eight states would emerge as an engine driving India's ambition of Viksit Bharat,' he added. Sanjiv Puri, President, CII, while congratulating the Minister for garnering investment interest of Rs 4.3 lakh crore from the 'Rising North-East Investors Summit 2025', stated that the northeast was transforming into India's strategic gateway to South-East Asia, powering trade, connectivity and our ambition for Viksit Bharat. 'There is tremendous scope for industry participation in areas such as developing skill hubs in hospitality, food processing etc, which should be leveraged for maximum advantage,' he added.