Thursday, March 4

The growth in Data Services

Via Whoever has the bandwidth will rule the world and whoever know how to manage it will be the king. The next phase of telecom growth will be in the enterprise network management and services. Reliance Infocomm and Tata's will add huge manpower in 2004-05 to introduce these services. Data services like broadband conncectivity, VPN, Leased Lines, Wireless Data Access would see a huge demand in the Indian market.

*Telecoms companies are scrambling to meet the burgeoning demand for international access and specialised data services that has accompanied a boom in the Indian economy and its outsourcing industry.

Local firms that offer international phone services, such as Bharti Tele-Ventures, Reliance Infocomm and Videsh Sanchar Nigam Ltd are now eyeing the lucrative data market. And global carriers such as AT&T Corp and Cable & Wireless Plc are clamouring for a piece of the action.

"Everybody wants a chunk of the data business," said Kobita Desai, telecoms analyst at Gartner India Research and Advisory Services. "It's still a niche area, but a high-margin one."

Spending on data services in India is likely to double to 50 billion rupees ($1.1 billion) in four years, according to Rajiv Sharma, CEO of Bharti Tele-ventures broadband and data division.