What's happening in India's broadband segment?

Analyst says telcos are working to popularise alternative services.

In areas with limited fibre coverage in India, fixed wireless access (FWA) is becoming a viable alternative, GlobalData analysis suggests.

According to GlobalData's estimates, the share of FWA in total fixed broadband connections in the country is set to jump from 15.3% this year to around 27.5% by the end of 2030. By then, FWA connections are projected to have reached 21.4 million.

"This growth is being driven by operators' efforts to popularise the services, especially with the introduction of 5G FWA services by Reliance Jio (JioAirFiber) and Bharti Airtel (Xstream AirFiber) in 2023," commented GlobalData Telecom Analyst Neha Misra.

"The ongoing service expansion by the two companies across the nation to deliver high-capacity home and business broadband, especially targeting areas with limited fibre, is also driving the FWA market growth."

The data and analytics firm also cited the Quantum 5G Fixed Wireless Access service that was launched by state-owned telco BSNL in Hyderabad about five months ago.

"India's emerging FWA ecosystem presents operators with a strong revenue opportunity by enabling rapid expansion of home and SME broadband without the high capital intensity of fibre rollout," Misra added.

"By leveraging nationwide 5G coverage, introducing tiered data plans, and bundling digital home services, operators can unlock higher ARPU (average revenue per user), accelerate market penetration in underserved areas, and diversify beyond traditional revenues."

The analyst believes FWA is poised to become a major pillar in supporting sustained operator monetisation whilst helping bridge the digital divide.