Deploying 4G mobile network in India: strategic decision for a telecom network operator

Abstract

This project intends to analyze the mobile networks scenario in India and check if there is a business case for deploying 4G mobile network in India. In the information age, access to data is the killer app that drives the market. The most telling example is growth of the Internet over the last 10 years. Wireless networks provide a unique twist to this product-mobility. This concept is already a revolution in wireless networking, with instant access to the Internet from anywhere. With the increasing demand for high bandwidth applications via mobile broadband, telecom network operators are looking towards upgrading their networks with help of latest wireless technologies which can support such applications. 4G technologies like LTE and Wimax support very high bandwidth applications but also involve huge costs for the network operators to migrate to 4G networks from their existing 2G/3G networks. However, Verizon which is the largest telecom service provider in US deployed 4G LTE network in December 2010 and is expanding at a large scale by providing 4G services in many regions in USA whereas Indian network operators like Reliance Communications, Airtel etc have only recently migrated to 3G due to huge delays in spectrum auctions by Indian government. Reliance Industries Ltd has managed to obtain pan India 4G licenses by acquiring Infotel and is making 4G deployment plans. There could be significant first mover advantages for a network operator to deploy4G. Companies such as Facebook and Google, who run on over the top carrier networks would find a mutually benefitting partnership in a 4G telecom operator in order to propel great networking experience. Especially in India, where social networking is on a rampant rise, companies would look to propel options that will encourage wholesome networking capabilities without the hindrances of low speed and lack of mobility. In order to ensure that people adopt this change readily, the telecom operator will have to understand what people seek from a broadband service and offer that at cost-effective price points. The project work will analyze the business opportunity for deploying 4G in India which is important from a technology and business roadmap perspective for telecom network operators to be profitable and sustainable in a very competitive and huge market such as India.