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Rate slide fuels rush for telecom services

New Delhi, Dec. 27: Telecom regulator Trai today said telephone subscribers grew 30.17 per cent between September 2004 and September 2005, while tele-density grew 28.03 per cent.

The gross subscriber base of fixed and mobile services rose 8.49 per cent at 11.30 lakh users at the end of the September quarter compared with 10.42 lakh in the June quarter.

Tele-density at the end of September grew 10.36 per cent against 9.61 per cent in June.

Subscribers to fixed-line and wireless-in-local-loop-fixed increased from 4.68 lakh to 4.80 lakh during the September quarter. The growth was spearheaded by WiLL-F in the fixed-line category.

Operators of both global system for mobile communications and code division multiple access technologies increased their subscriber bases from 5.73 lakh to 6.50 lakh during July-September.

While fixed-line subscribers during September 2004 to September 2005 increased from 4.38 lakh to 4.80 lakh, mobile users swelled to 6.50 lakh from 4.29 lakh.

According to the report, mobile subscribers recorded a quarterly growth of 13.42 per cent in September and an annual growth of 51.36 per cent.

Private operators continued to surge ahead of Bharat Sanchar Nigam and Mahanagar Telephone Nigam. The gross subscriber base increased in the ratio of 52:48 compared with 49:51 at the end of June 2005 with private sector operators leading the race.

Drop in call tariffs fuelled the growth in the telecom subscriber base, the report said.

The effective per minute charge for a local call on mobiles declined 37 per cent to Rs 1.20 at the end of September against Rs 1.90 a year ago, it added.

The effective per minute charge on local calls from fixed phones has become cheaper by 15 per cent to 85 paise in September compared with Re 1 last year.

The Trai report also highlighted that the Internet subscriber base has crossed the Broadband Policy 2004 target of 6 million users three months before the December 31, 2005 deadline by registering 6.1 million users at the end of September, 2005.

The number of broadband subscribers with a download speed of 256 kilo bits per second or more increased from 3.96 lakh in September 2004 to 6.10 lakh during the quarter ended September, 2005, posting a growth of about 54 per cent.

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