Opportunities for 4G and 5G services will increase in India, increasing data consumption will increase network densification.

New Delhi: There are going to be good opportunities for 4G, 5G services in India soon. Swedish telecom equipment manufacturer Ericsson expects its next phase of growth to be driven by network densification as data consumption increases at the end user level in India. A senior official of the company has said this.

Nitin Bansal, Ericsson's managing director in India and network head for South-East Asia, Oceania and the Indian market region, told PTI that there is significant potential for growth in fixed wireless access in India, and in terms of the number of deployments it is Will soon surpass America's figures.

Meets traffic needs

Nitin Bansal said, “The next phase of growth is primarily focused on meeting the increasing ‘traffic’ needs through network densification to increase network utilization. “As network usage increases, the network becomes denser.” Network densification is the process of increasing the density of 'nodes' in a network, thereby improving capacity and quality of coverage services.

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Ericsson estimates that data traffic in India will increase from 29 GB per smartphone user per month to 68 GB by 2029. Nitin Bansal said, “If this trend continues, service providers will densify the network to enhance the user experience.”

44 percent decline

The rapid rollout of 5G in India in the second half of 2022 and early 2023 led to a significant boost in business for Ericsson and other telecom equipment manufacturers. However, now the pace of his business has slowed down.

Ericsson has reported a 44 per cent year-on-year decline in business for the third quarter to September 2024 in the South-East Asia, Oceania and Indian region. Nitin Bansal said, “Even though the demand for 5G has slowed down, there are still opportunities in 4G and 5G services, especially as the company looks to expand its aggressive approach in the market.”

Announcement of capital expenditure program

Network head Nitin Bansal said data consumption is expected to increase from 29 GB per smartphone to 68 GB by 2029. In such a situation, there will be a need to increase capacity in the network. Recently, Vodafone Idea (VIL) has announced a capital expenditure program of Rs 30,000 crore to build 4G and 5G capacity across 17 circles in India. It has selected Ericsson, Nokia and Samsung for this contract.

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(with agency input)