SLIDE 1
BROADBAND PENETRATION IN INDIA IS STILL
VERY LOW…………..INDIA HAS LESS THAN 1 BROADBAND CONNECTION PER 100 INHABITANTS
14 16 Broadband Internet 2 4 6 8 10 12
VERY LOW ..I NDIA HAS LESS THAN 1 BROADBAND CONNECTION PER 100 - - PowerPoint PPT Presentation
VERY LOW ..I NDIA HAS LESS THAN 1 BROADBAND CONNECTION PER 100 - - PowerPoint PPT Presentation
A DDRESSING I NTER -S TATE I SSUES : B ROADBAND I MPACT ON ECONOMIC G ROWTH Rajat Kathuria ICRIER B ROADBAND P ENETRATION IN I NDIA IS STILL VERY LOW ..I NDIA HAS LESS THAN 1 BROADBAND CONNECTION PER 100 INHABITANTS 16 Broadband
SLIDE 2
SLIDE 3
ISSUES
Broadband penetration is below 1% in India Rural India had only 3.3 million internet user i.e. only 1% of
rural India is covered
As evident there is huge variation in per capita income
across states in India
Assumed access cost of Broadband is
is 300-400 per month in India
Cost of Broadband in India is 260 times higher South Korea while compared to China it is 65 times
is 300-400 per month in India .... (from CII report 2009)
Our earlier research “ India: the impact of Mobile Phones”,
2009 shows that Indian states with higher mobile penetration grow faster, with a growth rate of 1.2% points higher for every 10% increase in mobile penetration.
From our recent analysis we find high correlation for
broadband, internet and state GDP
compared to China it is 65 times higher……………..
SLIDE 4
PER CAPITA INCOME ACROSS STATES, 2008
200 300 400 500 600 700 100
SLIDE 5
INTERNET PENETRATION IN PAST 10
YEARS ACROSS STATES
3 4 5 6 7 8 9 10 ernet penetration per 100 person 2000 2003 2006 2009
Only few states in past 10 years have internet penetration above 1
1 2 Inter pe
SLIDE 6
INTERNET PENETRATION AND ECONOMIC
GROWTH………………INTER-STATE
ANALYSIS
5 6 7 8 9 40000 50000 60000 70000 Penetration 0 persons come (Rs.) Per Capita Income Internet Penetration per 100 persons 1 2 3 4 5 10000 20000 30000 40000 Internet P per 100 Per Capita Inco
Internet penetration and Per capita income, 2008
SLIDE 7
BROADBAND DEPLOYMENT AND ECONOMIC OUTPUT………………INTER-STATE ANALYSIS
120000 140000 160000 0.8 1 1.2 me (Rs.) tration
- ns
Broadband penetration Per Capita Income
- nly Kerala
has more than 1 penetration
20000 40000 60000 80000 100000 0.2 0.4 0.6 0.8 Andhra Pradesh Bihar Orissa Karnataka J&K Punjab Tamil Nadu WB and A&N Madhya Pradesh Rajasthan Delhi Uttat Pradesh Maharashtra North East Himachal Pradesh Gujarat Haryana Assam Kerala Per Capita Income Broadband penetr per 100 person
Broadband Penetration and Per Capita Income, 2008
Per Capita Income
SLIDE 8