3G in India

The digital divide is arguably the broadband divide now. India today boasts of 81 mn internet users while the number of broadband users is very low at only 10 mn users. While internet access helped accelerate the perceived trend from voice to data, these two worlds may now be converging. This potential convergence offers the dual benefits of new interactive multimedia services coupled with the flexibility and mobility of wireless technology. The launch of 3G services will help to realize the full potential of this convergence.

The mobile phone is perhaps the most rapidly adopted technology in history, even faster than the radio. Globally, the number of mobile phone users crossed the 5 bn mark in 2010. Compared to other technologies, the mobile phone has seen rapid adoption in developing countries.

Now, the mobile phone is poised to bridge the broadband divide with the launch of 3G. The mobile phone is expected to become the primary device for internet connectivity in the world by 2020. India is already second only to the US for internet browsing on mobile phones, registering the second highest number of web page views using handsets.

Mobile broadband will add significantly to the total number of internet users, and it is expected that India's internet population will surge to 237 mn by 2015. At such a time, the number of mobile internet users may far outnumber the users that access the internet via PCs or internet tablets.

In developed countries, where mobile broadband is already prevalent, better mobile handsets and innovative applications are enabling the further use of new services such as social networking, gaming, music, videos, and financial transactions over internet.

It may be interesting to review how ICT and broadband connectivity are being used today and what their contribution is to the overall productivity of the world's working population. The connectivity scorecard developed by Leonard Waverman of Haskayne School of Business at the University of Calgary has made a qualitative assessment of the same by digging deeper into the installed ICT base and considers ICT's use by measuring the working population's skills and studying parameters like the use of enterprise software and women's access to ICT. India was placed at the 21st spot in the scorecard for 2010 that mapped 50 developing nations across the globe making it the worst performer among the BRIC nations.

The Potential

The advent of 3G is likely to change the picture dramatically. It is established that increased broadband deployment can have a significant impact on productivity and economic growth.

The areas of education, healthcare, and mobile commerce are expected to be among the early beneficiaries of 3G. In a country as vast as India, healthcare delivery in the hinterland has always been a challenge. With 3G, rendering of simple services like medication reminders to more complex applications like remote diagnostics and monitoring becomes possible. 3G services are likely to be easy to deliver and cost-effective too.

Similarly, 3G has the potential to make banking and payment solutions more convenient and accessible. It is also likely to usher in the mobile cash era making it hassle free to conduct both business-to-business and consumer-to-business monetary transactions on the mobile.

Gearing Up!

Most players in the internet business are gearing up to address the increase in network traffic that new connected devices such as smartphones may bring to the internet. VeriSign is proactively working to ensure the continued stability and security of the critical internet infrastructure under its stewardship. At the heart of what it calls Project Apollo is VeriSign's plan to increase its capacity to process DNS queries by more than a 1,000 times, from a capacity of about 4 tn queries per day, to a capacity of more than 4 qn queries per day by 2020.

While some may question whether daily DNS demand will reach the 4 qn queries-per-day mark, even by 2020, VeriSign knows from its experience in DNS management that the network must be robust enough to handle even the severest of spikes, so VeriSign is preparing itself accordingly.

SMEs May Join the 3G Movement

Mobile users see their mobile phones as a tool to help them work, live, and communicate more effectively. This view is likely to get reinforced with the advent of affordable 3G services in India. SMEs are becoming more aware of the possibilities of data services and accordingly, SMEs too may begin to quickly adopt broadband mobile internet in India. So for instance, 3G can enable a small business owner, without a bank account, to make or receive payments. A small business can also use mobile broadband to communicate with and support their customers through a robust mobile web site.

Benefits for All

Improved broadband connectivity can help to achieve several economic and social benefits. However, for them to accrue to the concerned stakeholders-businesses, consumers and the government, alike-there needs to be widespread use of the broadband services being offered. 3G should help enable just that!

Manish Dalal
The author is VP, APAC, Verisign
vadmail@cybermedia.co.in