ICT Impact and Policies
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Abstract
Abstract
India's telecommunications industry significantly contributes toward the enhancement of digital and physical infrastructure. In the past few years, the industry has undergone dramatic changes due to increased service demand, greater data consumption, and improved financial performance. The objective of this research paper is to examine how financial sustainability, service demand, and telecommunications infrastructure development are interconnected in India. The research will utilize secondary data obtained from official government publications (e.g., reports) covering a period from 2020-21 to 2024-25. Financial sustainability is evaluated based on gross telecommunications revenues and the average revenue per user (ARPU); service demand is evaluated based on subscriber metrics and average wireless data consumption; and telecommunications infrastructure development is evaluated based on the total number of telecommunications towers and mobile base transceiver stations (BTS) within India. Both trend analysis and compound annual growth rate (CAGR) analysis will be used to analyze growth rates related to financial, demand and infrastructure variables. The results of this analysis indicate that while subscriber growth does play an important role in growing telecommunications infrastructure in India, network expansion and increase in capacity to accommodate users are much more directly driven by increased revenues and greater ability of service providers to monetize services through investments in both passive and active infrastructure. This study contributes to earlier research by offering an integrated explanation of how service demand and financial support are driving India's telecommunications infrastructure to expand. The results of this study offer useful information to both industry players and policymakers.
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@article{Hemantbhai2026Financial,
title = {Financial Sustainability, Service Demand and Telecom Infrastructure Growth in India},
author = {Barmeda Hemantbhai and Tarun Chowdhary},
journal = {Journal of Commerce Economics & Computer Science},
year = {2026},
doi = {10.62823/jcecs/12.02(ii).9004},
url = {https://doi.org/10.62823/jcecs/12.02(ii).9004}
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