Mobile boom helps India reach internet goal before time

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India has surpassed its internet subscriber target of 40 million, more than three years ahead of time. Department of Telecommunication (DoT) had set a goal of 40 million internet subscribers through ‘various technologies’ by 2010 which has been met in 2007.

However, the Internet Service Providers (ISPs) are not happy, saying that internet on mobile is not a pure play, feature rich service and thus those who access the internet on mobile phones cannot be counted among the subscribers.

As of March 31, 2007, India had about 9.2 million internet subscribers on personal computers (PCs) and 31.3 million subscribers on mobile phones (both GSM/CDMA). The DoT had set a 40 million subscribers target in its broadband policy of 2004. DoT is now planning to set a new target.

However, when it comes to broadband, India is far behind the DoT's target of 20 million broadband subscribers by 2010. The broadband target for 2007 was 9 million subscribers. But the government is still not able to fulfill the 3 million broadband subscribers target for 2005, even in 2007. As of March 31, 2007 India had about 2.3 million broadband users.

ISPs are rubbishing the achievement of internet subscriber target, saying that internet access on mobile is not a feature rich application and thus cannot be counted. "Internet on mobile is not used for downloading purpose. You cannot use full features of internet on mobile phone. It does not even promote IT literacy. So the comparisons between both (PC access and mobile phone internet access) don’t exist," says an Internet Service Providers Association of India (ISPAI) official.

ISPAI is also unhappy with the new internet service guidelines and alleges cartel among government, regulator and cellcos. "There seems to be a cartel to circumvent the pureplay ISPs. If this attitude of the government continues towards pureplay ISPs, most of them will have to surrender their licences or get acquired," says ISPAI.

The ISPs are also incensed over the new guidelines for providing Internet Protocol TV (IPTV). "Putting a limit of Rs 100 crore on net worth to provide IPTV services is in favour of the large telcos and is anti-ISPs. We all know that not many ISPs will meet this criteria," says ISPAI president Rajesh Charia.

ISPs observe that India will not be able to achieve the broadband target for 2010 if the government continues with discriminatory guidelines.

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