Despite India’s relatively low teledensity rate of 25.3% in 2008, this rate is projected to rise to 40% by the year 2010. As of January 2008, key telecommunications features of India include its 290 million telephone subscribers (including both landline and wireless subscribers), its 251 million cellphone subscribers, and its annual increase in cellphone users of over 83 million.

In fact, due to the enormity of its population base, India’s mobile telecommunications system is actually the 2nd largest in the world. Such mobile services were first launched in the country in August of 1995, but it was not until further proactive initiatives taken by regulators and licensors in 2002 that mobile services subscribers increased by roughly 2 million customers per month during 2004-2005. While the country is divided into multiple zones and calling circles, the government (along with a select number of important private players) continues to run local and long distance telecommunication services. Sophistication in domestic competition has led to a precipitous drop in calling prices, with domestic calls now ranking among the least expense of any country in the world. These rates are expected to drop even further in the coming years with the introduction of new, progressive measures being undertaken by the nation’s Information Ministry. Finally, from a technological point of view, it should be noted that India has long opted for the use of both GSM technology (global system for mobile communications) and CDMA (code-division multiple access) technologies in the mobile sector.

The total number of internet users in India is the 4th largest in the world, with its internet population reaching upwards of 100 million users by 2007. This still translates to one of the lower penetration rates across the globe, but speaks strongly for the vibrancy of business and financial activities in the city centers of Mumbai, Delhi, and Kolkata.