Report Overview

Continuous high adoption of smartphones, smart wearables, smart homes, smart cities, internet of things (IoT), artificial intelligence (AI), and augmented reality (AR), and expanding telecommunication infrastructure are expected to drive the exhilarating growth of India 5G market at an impressive high growth rate during the forecast period between 2022 and 2030.

India 5G Market - Industry Trends & Forecast Report, 2030

India 5G Market size is projected to grow at a CAGR of 71.5% during the forecast period between 2022 and 2030. Major growth drivers for India 5G market include a spurring demand for the fifth generation mobile network (5G)-enabled innovative smart telecommunication services, such as home broadband (5G FWA (Fixed Wireless Access)), enhanced video streaming, multiplayer mobile gaming, and augmented reality (AR)/virtual reality (VR) services. Consumers expect telecommunication service providers to offer pricing schemes that include service bundling and data sharing. 5G is expected to help India in achieving its goals for digital inclusion, particularly in terms of bringing broadband services to homes in rural and remote areas. Trials have demonstrated the potential of 5G to close the digital divide by facilitating flexible working arrangement access to high-speed broadband network.

India 5G Market - Overview

The fifth generation of cellular technology is known as 5G. It is a technological generational leap in which everything is new: new spectrum frequencies, new radio, and a new core network. While the speed and capacity of 4G have accelerated the app economy and mobile video, 5G is a platform for complete innovations. 5G can outperform 4G LTE networks in terms of speed, latency, and capacity. 5G is one of the world's fastest and most durable technologies. That means faster downloads, significantly less lag, and a significant impact on every aspect of human lives.

India 5G Market

Growth Drivers

Lucrative growth opportunities by 5G for India telecommunications industry

High-end technologies have greatly benefited the telecommunications industry. Today, the availability of the internet to people of all ages has greatly contributed to the rise in popularity of mobile devices. The telecom industry in India began with 2G networks, then moved through 3G and 4G, and is now entering a new phase known as 5G. The 5G networks promise faster data transmission while reducing operating expenses. Modern applications and creative business models are expected in sectors, such as industrial, commercial, education, healthcare, agriculture, and finance with an increased speed. All these call for faster, more reliable networks, which 5G is expected to provide.

Ultra-low latency of 5G networks

The development of numerous new and emerging technologies, including IoT, AI, VR, AR, ML, and the blockchain technology, as well as new opportunities in established high-speed broadband networks, is expected to be aided by the ultra-low latency of 5G networks. The introduction of 5G is expected to expand telecom operators' revenue-generating platforms by fostering the expansion of new business operations and applications.

Adoption of 5G networks for smart cities

The next generation of wireless infrastructure within a smart city is expected to be driven by small cell networks built on top of 5G technologies, which is expected to create a lucrative opportunity for India 5G market during the forecast period. 5G technology will also encourage innovations and the uptake of cutting-edge technology in smart cities. The requirement for enormous speed and bandwidth to handle vast amounts of data has been one of the major obstacles to making smart cities a reality. 5G technology can drive cost savings in smart cities. Smart city solutions that are used to manage electric grids and vehicle traffic can significantly reduce energy consumption, traffic congestion, and fuel costs, and can save up to USD 160 billion annually. Increased investments in smart city infrastructure will create significant opportunities for the deployment of 5G technology, assisting in the growth of India 5G market.

Restraints

High cost of handset and localized use cases

Handset costs and regional use cases could be a major obstacle to the successful adoption of 5G technology. The prohibitive price of 5G smartphones may prevent widespread adoption. 5G smartphones currently cost an average of INR 40,000 and higher. As a result, initially there will be a constrained adoption. COVID-19 crisis affected manufacturing and the supply chain. The ability to maintain the infrastructure during such trying times as a lockdown is one of the major challenges. To keep towers and cables operational, field forces encountered numerous difficulties. The networks' capacity had to be quickly increased to support online learning and remote work for most businesses. This meant working around the clock and against the clock. All of this while telecommunication service providers struggled financially and faced a slew of obligations.

Impact of COVID-19 on India 5G Market

The COVID-19 pandemic crisis caused a delay in India's 5G rollout schedule. The initially scheduled June 2020 for 5G spectrum auction was postponed. The Third Generation Partnership Project (3GPP) also postponed the publication of 5G standards. It, in turn, caused layers to halt the manufacturing of infrastructure tools and gadgets. The delay in the 5G spectrum auction caused major companies, such as Samsung and Oppo. to launch their most recent products in India without 5G support, even though the same products have 5G support features in other markets. India 5G market saw a sharp increase in demand for high-speed data amid the pandemic, despite the delay in 5G launch. Post the pandemic, it is expected that 5G market will benefit from an exponential increase in data traffic, the need for a seamless network connection for remote work, and deepening penetration of IoT devices.

India 5G Market

Segmental Coverage

India 5G Market - By Component

India 5G market has Phantom Cell, Access/Backhaul Integration, Device-to-Device Communication, and Flexible Duplex Communication segments based on the component. Among them, the phantom cell segment is expected to dominate India 5G market during the forecast period. The user data plane (U-plane) and control plane (C-plane) are shared between small cells and macro cells using different frequency bands in the phantom cell concept, which is based on multi-layer network architecture. The multi-layer network is connected to a phantom cell component. A small cell layer placed on top of a large cell enables inter-cell cooperation in a multi-layer architecture to transmit U-plane and C-plane from various cells on various frequency bands. Phantom cell phone signals are tactile, auditory, and/or visual sensations that make a mobile device appear as though it is receiving calls, texts, or other push notifications when it is not.

India 5G Market - By Application

On basis of application, India 5G market has Consumer Electronics, Automotive, Retail, Home Automation, Energy, Healthcare, Utilities, and other segments. 5G will transform the electronics industry and open new opportunities in consumer electronics. It will be a game changer for many industries. Because of the way 5G networks are designed, they can be configured in virtual slices of network capabilities that can be used as needed for increased speed.

India 5G Market – By Region

As a new technology era began on October 01, 2022, when India Prime Minister Shri. Narendra Modi introduced 5G services at Pragati Maidan in New Delhi. The prime minister, who was present at the IMC Exhibition, also officially opened the sixth iteration of the India Mobile Congress. The 5G network was introduced by the prime minister in a few cities, and over the ensuing years, it will gradually cover the entire country. Ahmedabad, Bengaluru, Chandigarh, Chennai, Delhi, Gandhinagar, Gurugram, Hyderabad, Jamnagar, Kolkata, Lucknow, Mumbai, and Pune are the 13 cities that witness first introduction of 5G network. Airtel is also the first telecom provider in India to formally introduce 5G services in eight cities. Reliance Jio is simultaneously introducing 5G services in Delhi, Kolkata, Mumbai, and Varanasi.

Competition Landscape

The India 5G market is fiercely competitive, with Bharti Airtel Limited, Bharat Sanchar Nigam Limited, Reliance Jio Infocomm Limited, Vodafone Idea Limited, AT&T INC., Cisco Systems, Inc., Ericsson, and Nokia Corporation. Key strategies used by these market leaders are new product and service launches, mergers and acquisitions, partnerships, collaborations, and joint ventures. To further grow their market share, these companies are also focusing on investing in innovations and expansions.

Recent Development

• In October 2022 - Airtel became the first company to launch 5G services in eight cities, including Delhi, Mumbai, Varanasi, and Bengaluru, in India.

• In September 2022 – Reliance, the parent company of Reliance Jio Infocomm, announced a USD 25-billion plan to launch a 5G network across India during the last quarter of 2022.

• In August 2022 – In the 5G spectrum auction held in India, Reliance Jio Infocomm won a total of 24.7 GHz of spectrum in the 700 MHz, 800 MHz, 1800 MHz, 3300 MHz and 26 GHz bands at the cost of more than INR 880 billion. Bharti Airtel acquired a total of 19.8 GHz of spectrum in the 900 MHz, 1800 MHz, 2100 MHz, 3300 MHz and 26 GHz bands with more than INR 430 billion. Vodafone Idea gained the 1800 MHz, 2100 MHz, 2500 MHz, 3300 MHz and 26 GHz bands, a total of 6,228 MHz of airwaves, by spending about INR 188 billion. Adani Data Networks Limited, a subsidiary of Adani Enterprises, got spectrum only in the 26 GHz band at the cost of INR 2.12 billion.

Scope of the Report

By Component

• • Phantom Cell

  • Access/Backhaul Integration

  • Device-to-Device Communication

  • Flexible Duplex Communication

By Application

• • Consumer Electronics

  • Automotive

  • Retail

  • Home Automation

  • Energy

  • Healthcare

  • Utilities

  • Others

By Region

• • North India

  • South India

  • East India

  • West India