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Top 3 Challenges Facing the Telecom Industry in India

Aug 14, 2018

Over the last 25 years, the Indian telecom sector has emerged as one of the leading potential markets globally and has witnessed rapid growth. There have been dramatic changes in the telecom industry in India in the last few years. The two major factors behind setting the stage right for the evolution of this sector are technological innovations and regulatory changes. The telecom industry in India was liberalized in 1994 with the advent of the National Telecommunications Policy or NTP. The deregulation and liberalization of the telecom industry in India have led to its spectacular success. But with success comes responsibilities and with responsibilities come challenges. There are many challenges which the telecom industry in India is facing, especially with the advent of trends like digitization. A few noteworthy ones include:

Key Challenges Faced by the Telecom Industry in India

Adapting to Technology

Mobile operators need a spectrum to provide access to enhance performance but it is a scarce resource. As compared to other countries, in India, the amount of spectrum available for commercial use is quite low. The practice of the government to auction spectrum at an exorbitant cost makes it difficult for mobile operators to provide services at a lower price and at reasonable speeds. This discourages adoption and usage. However, the launch of Jio has helped overcome this challenge to a certain extent. There is still a long way to go.

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Lack of Automation

Sales teams in the telecom industry in India continue to rely largely on manual processes to collect intelligence on prospects. This process needs automation since it will enable companies to obtain intelligence in real-time. Without this information, teams may expand sales and resources in competitive markets where termination would not be effective, locations where serviceability is not aligned, or may not participate in the market until it is too late.

Content Constraints

There is a growing need in the telecom industry to make more and more content available in all the regional languages. Additionally, the content should be focused on addressing local problems. Today, the content that is most readily available on the Internet is in English, which is still spoken by a small fraction of the people in India. The experience of using the internet or browsing is not a pleasant one on the small screens of a mobile phone. The usage is, thus, mostly restricted to chatting on applications such as WhatsApp and playing games. However, reading documents on mobile phones is still difficult. Therefore, it is highly unlikely that mobile phones will completely be able to replace laptops, desktops, and tablets. This is one of the major challenges facing the telecom industry in India.

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