Telecom / mobile service providers in India have now started on the proverbial death march … that will leave half of them in ruin. It’s obvious that with every new player entering the market lowering the tariffs to unsustainable levels … it may only result in lowering of service quality across the board … bad news for the consumer in the end probably.
Ironically, there may be good news in this for digital domain start ups in India … and potentially for the Indian consumers.
Once calling rates are killed … the next place competition will move into will be mobile value added services and mobile internet. Both of which have been under strong control of TRAI and the providers. More competition and lowering of tariffs for something like mobile internet can speed up the number of internet enabled consumers and make the promised land a reality for digital domain start ups in India.
Sridhar Turaga's blog 