Nokia released its annual Mobile Broadband Index (MBiT), focusing on the Indian market. The report highlighted a significant surge in mobile data usage with the introduction of 5G technology.
Since its launch in October 2022, 5G users in India have been consuming approximately 3.6 times more mobile data compared to 4G users.
Data Consumption Growth in India
In 2023, users consumed a staggering 17.4 exabytes of data per month, marking a Compound Annual Growth Rate (CAGR) of 26% over the past five years.
The report attributes this growth primarily to the introduction of 5G, which contributed to 15% of all data traffic in 2023.
5G Adoption and Traffic in India
The report underlines a significant shift in the Indian mobile data landscape, driven by the widespread adoption of 5G technology.
5G traffic has witnessed substantial growth across all telecom circles, particularly in metro circles, accounting for 20% of the total mobile data traffic.
Enhanced 5G availability and performance, coupled with the affordability of a wide range of devices, have fueled the growth of 5G data usage. Additionally, the introduction of new data-intensive apps and services has further accelerated this growth.
According to the report, average monthly mobile data per user grew at a CAGR of 21.1% in the last five years, reaching 24.1 gigabytes per user per month in 2023. This figure is projected to increase to 28-30 GB by the end of 2024.
5G Fixed Wireless Access (FWA) and Device Ecosystem
The rise of 5G Fixed Wireless Access (FWA) is expected to enable new services for both homes and businesses. FWA users are anticipated to consume approximately 2.5 times more data than average 5G users.
Moreover, the 5G device ecosystem in India is rapidly evolving, with 17% of active 4G devices now being 5G capable, totaling 134 million out of 796 million devices.
Technology Outlook for 2030
Looking ahead, the report forecasts significant technological advancements leading up to 2030.
- Nokia’s Global Traffic 2030 report predicts a 22%-25% CAGR in end-user data traffic demand globally, reaching 2,443 to 3,109 exabytes per month.
- Higher adoption of cloud gaming and Extended Reality (XR) could elevate this growth to 32% by 2030.
Impact of Emerging Technologies
Technologies such as the Metaverse, Artificial Intelligence/Machine Learning (AI/ML), Cloud, and Web 3.0 are expected to have a profound impact by 2030.
The Metaverse alone is projected to create a value of $5 trillion by 2030, while Edge cloud computing presents a $445 billion revenue opportunity by 2030, while blockchain and AI markets are expected to be worth $508.1 billion and $908.7 billion, respectively, by 2030.
Metaverse: Transforming Business and Society
The Metaverse promises to revolutionize business and society by extending the scope of human possibilities.
Key concepts like Human Augmentation and Digital-Physical Fusion underpin the Metaverse, offering immersive experiences and opening doors to new possibilities for human benefit across industrial, enterprise, and consumer sectors.
Future Outlook
Nokia anticipates continued growth in mobile data consumption, driven by 5G technology. The emergence of 5G FWA is expected to complement existing mobile offerings, unlocking new revenue streams and services for homes and businesses.
Furthermore, the rollout of 5G-Advanced is anticipated to introduce enhanced capabilities and advanced use cases for various industries, with commercial deployment expected in 2025.
As technology continues to evolve, the years leading up to 2030 present significant opportunities, with the Metaverse alone estimated to create a $5 trillion business opportunity.
Commenting on the report, Tarun Chhabra, Head of Mobile Networks Business at Nokia (India) said:
We are pleased to unveil the newest edition of Nokia’s Mobile Broadband Index for 2024. What stands out prominently is the remarkable expansion of 5G technology throughout India and the rising appetite for lightning-fast 5G data rates. Nokia eagerly anticipates further collaboration with our operator partners to address the growing needs of customers.