Broad band connection in India is expected to touch 214 million

The broadband penetration in the country is likely to touch 214 million by 2014, to support which the industry expects government to invest around Rs 17,000 crore laying fibre cables, according to Confederation of Indian Industry and IMRB Broadband Report 2009.

Manoj Kohli, chairman, CII National Committee on Telecom and Broadband and Chief Executive Officer & Joint Managing Director, Bhrati Airtel Ltd said that currently there are about seven million broad band connections in the country and is expected to increase by 30 per cent to reach 214 million by 2014 with around 700 million users.

Around 393 millions are likely to be from urban and 295 million would be in rural, “this is our vision for inclusive broadband growth, said Kohli. The penetration would also generate 20 million jobs, he added.

To support the growth the government should invest around Rs 17,000 crore to lay fibre cables to support the brand band penetration and 3G penetration. This can be funded through Universal Service Obligation (USO) fund, which is in the tune of around Rs 25,000 crore which the government has already received it.

The government can also use NREGA fund, sad Harish Krishnan, director – global policy and government affairs, Cisco.

The broad band penetration can empower 326 million students, seven million teachers, 50,000 primary health cares and 6,000 CHCs with broadband for higher quality of education health.

The industry chamber has recommended that the government should develop a comprehensive ICT policy encompassing this vision through programme of various central and state government departments.

The government has approved 20 MMPs and it should expedite implementation of remaining seven. The government should also provide tax rebates for brandband access and purchase/rental of access device by customers across all segments including MSME.

Earlier in his address at Connect 2009, a two day ICT event organised by Confederation of Indian Industry (CII) Kohli said that in the next five years there will be a broadband revolution and rural India will be the focus.

He noted China has earmarked $50 billion for this year that would entail significant 3G growth and touch a broadband user base of 100 million by the end of this year. In South Korea, government subsidised broadband to achieve 93 per cent penetration,” Kohli said.

As 3G phones are available and begin getting priced lower, broadband connectivity will increase in rural India and will become handy for uses like telemedicine, he said. “3G handsets will fall to less than $100 by next October,” he added.