The evolution of mobile value-added services in India

Project experience | Strategy


Page banner

The Internet and Mobile Association of India (IAMAI) called on Analysys Mason's expertise in the telecoms, media and technology (TMT) sector in the region to undertake a fact-finding mission. The IAMAI wanted to understand the potential economic benefits surrounding the mobile value-added services (VAS) industry in India.

Analysys Mason undertook detailed discussions with more than 50 key players across the telecoms industry in India, including the leading operators, technology platform providers, original equipment manufacturers (OEMs) and VAS players.

Our final report entitled Evolution of mobile VAS in India is the first study in India that charts the evolution of the mobile VAS industry, maps the future growth potential and makes practical suggestions about what needs to be done by various stakeholders to get this industry into ‘take-off’ mode.

Multiple structural elements that will drive this industry are falling into place, such as increasing data-access speeds, the growing penetration of smartphones and feature phones, and the increasing maturity of the content ecosystem. However, various market and policy enablers are required in on- and off-deck VAS, and SMS channels to realise the growth opportunity.

Mobile Internet adoption will result in the proliferation of data-enabled services and applications that focus on video, advertising, community, entertainment and enterprise mobility. In addition to the direct revenue impact, the industry is also expected to have a widespread secondary impact on entrepreneurship and innovation in India.

Our study provides the IAMAI with an in-depth insight on these issues and suggests policy measures that are required to resolve the barriers to growth in on-deck as well as off-deck channels. The study also identifies segments that are expected to grow significantly in the next 5 years.

View the report summary presentation and launch presentation at: http://www.slideshare.net/analysysmason.

The report is available to purchase from the IAMAI: http://www.iamai.in/.

Our report to the IAMAI on mobile value-added services in India was developed after detailed discussions with more than 50 key players across the telecoms industry in the country, including the leading operators, technology platform providers, original equipment manufacturers and value-added services players.

Key fact 1

The mobile value-added services market in India is poised to become a INR671 billion market by 2015, when it will contribute 31% of total wireless revenue.

Key fact 2

Mobile Internet adoption will result in the proliferation of data-enabled services and applications that focus on video, advertising, community, entertainment and enterprise mobility. In addition to the direct revenue impact, the industry is also expected to have a widespread secondary impact on entrepreneurship and innovation in India.

"This is the first ever study in India that charts the evolution of the mobile value-added services industry, maps the future growth potential and makes practical suggestions about what needs to be done by various stakeholders to get this industry into ‘take-off’ mode. We are confident that this will become the industry's guide for the next ten years.”

Dr Subho Ray