Monday, April 6, 2009

11 digit number

Last week, there was a news item in all leading Business dailies that India is going for 11 digit mobile phone number system from early next year. That is a great news ! The Indian telecom density is currently little more than 25%. And the subscriber base in mobile phone segment itself is expected to touch 500m by 2010. In my view, this mirrors the economic growth in Indian middle class segment. Mobile phone service was launched in India in 1995 whereas the numbering system was introduced in 1993. The current 10 digit mobile phone numbering system was established in 2003 with a vision for 30 years. However, the exponential growth in the customer base uncovers the fact that with 15m average addition per month, the current numbering system can hold for another 10-12 months only based on the available free numbers i.e. 150-200m. Last Feb'09, the mobile phone customer base was 376 m compared to 100m in April 2006. That means the customer base increased 3 times in 3 years. In addition to the exponential rise in mobile handsets, the tariff has come down quite drastically. Currently, India is one among the few countries where mobile tariff is the lowest.

One can really observe a middle class person's lifestyle in India which is basically hanging between his ear and shoulder. The day starts with the alarm clock on the mobile phone and ends with the handset put to the charger. While driving to the office, one can see at least 2 out of 5 people on the roadside talking over their mobile phones. Even one can see occasionally a motorist talking while driving with his shoulder and head balancing the handset precariously. Even though it is against the law to use mobile phone while driving...even a car. It is not a surprise to see the rickshaw puller and the street side balloon vendor have their cellphones too.

A mobile phone in true sense is no more treated as a luxury item as it was in 1995-2000. I still remember my first cell phone that I got from office in UK in 1997. That time, only senior executives in the office were given cell phones and it was sort of a status symbol in the office corridor. Now it is a necessary appendage to the dress code. Even some do carry more than one. The service providers' shifting attention to penetrate rural India and the advent of new technology like 3G will spur the growth further. What it means that public across India has an urge to connect and communicate with friends, relatives and all near and dear ones. When we do not have yet proper physical infrastructure connectivity compared to our peers in the globe, we will definitely have a digital connectivity across villages, tahsils, towns, cities and metros. This connectivity and easy to communicate will bring in necessary oiling in the supply chain machinery of our Indian trade house. While pundits will debate on global economy and its recovery; the domestic economy is definitely going to shine not because our economists or industrialist are getting smarter, but the middle class across the castes, states, villages, towns will be able to connect, collaborate and trade. Let us welcome the 11 digit number be it prefix or suffix 9. I do not mind my cell number to start with 99..........

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