A recent report of the same title, published by Vodafone and ICRIER, India, reveal that Indian states with high mobile penetration can be expected to grow faster than those states with lower mobile penetration rates, namely, 1.2% points for every 10% increase in the penetration rate.
The research also highlights the role of mobile along with complementary skills and other infrastructure, for the full realization of benefits of access to communications in agriculture and among SMEs. Importantly, telecommunications cannot be seen in isolation from other parts of the development process. In urban slums, the research reveals the importance of network effects, i.e. the value of mobiles increases if the social and economic milieu is also users of mobiles.
This report argues that a policy shift is necessary to sustain the progress towards a truly world-class telecommunications service that India and its citizens deserve. This will underpin India’s competitiveness in the volatile global marketplace, and ensure that the benefits of growth are more widely shared as the economy grows and further integrates with global markets.
Read the full report here.
LIRNEasia‘s Teleuse@BOP3 research also considers similar issues and more, findings which will be made available in February 2009.