India to have 500-mn mobile users by 2012

India will have 500 million mobile users by 2012 as telecom operators will look to tap the unexploited rural markets, Mobile Marketing Association (MMA) has said.

"Over 380 million people in the country now own mobile phones, which is a significant opportunity for operators. The number of mobile subscribers in India will touch 500 million by 2012, with growth in the rural markets," Mobile Marketing Association (MMA) Managing Director -- Asia Pacific, Rohit Dadwal told PTI here.

MMA is a global non-profit trade body established to lead the growth of mobile marketing and allied technologies.

Companies such as Microsoft, Vodafone, Yahoo! India, TELiBrahma, Hungama, Nokia, Tata Teleservices, Indiagames among others are its members.

Dadwal said there is immense scope for revenue generation in the mobile marketing and advertising segment.

"The global spend on marketing and advertising amounts to $500 billion, of which less than one per cent is spent on mobile marketing and advertising," Dadwal said.

"The Indian mobile market is growing at a staggering rate. Going forward, if India accounts for just 2-3 per cent of this $500 billion, it can translate into business worth $10-20 billion," he said.

"In Asia Pacific alone, mobile subscribers are forecast to reach three billion in the near future, with average penetration rate of 20 times higher than Internet connectivity in many countries," MMA President and CEO Mike Wehrs said.

Research from eMarketer suggests Asia Pacific spending on mobile advertising will reach a total of $6.9 billion in 2012, by the same time the region could potentially contribute around 36 per cent of global advertising spend, he said.

MMA today launched the India Local Council today, which caters to the growing needs of the mobile marketing communities in the country.

The Council will bring together the entire mobile ecosystem including carriers, regulators, application developers, brands and agencies among others to create a sustainable mobile marketing industry in India.