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June 18, 2010

India Telecom Equipment Sales Grow 18 Percent

By David Sims, TMCnet Contributing Editor

Recent reports indicated that the Indian telecom equipment segment maintained its growth momentum, racking up a growth of 18.6 percent in the financial year 2009-10.
That result is only marginally lower than the 20 percent growth in the previous year, according to Voice&Data100 survey. Overall telecom equipment revenue stood at $28.8 billion for the fiscal year.
The segment is largely dominated by telecom equipment providers targeting telecom operators, as well as mobile handset makers like Nokia (News - Alert), which derive the bulk of sales from this segment. The telecom segment will continue to see robust growth in the current fiscal year as well, according to survey officials.
The Voice&Data100 annual survey is conducted by specialty publishing house CyberMedia. It looks at telecom equipment "based on the revenue of telecom vendors in the enterprise equipment, carrier equipment and phone segments," according to survey officials.
"The telecom equipment segment growth is impressive in the backdrop of the recession-hit economy at large, and the fact that the 3G rollout did not happen last year," noted Ibrahim Ahmad, group editor, Voice&Data.
Finnish mobile maker Nokia maintained its top ranking, followed by the Chinese equipment maker Huawei (News - Alert), with Nokia Siemens Networks in third place and Ericsson, which had been in a comfortable second position for the last two years, fell to fourth.
Overall the carrier equipment industry showed a steady 21 percent growth, totaling nearly $19 billion, driven by high growth of wireless infrastructure, WiMax, transmission and broadband infrastructure, the survey found.
Growth slowed compared to 2008-09, due to what survey officials attributed to lower operator investments in the wireless infrastructure, primarily cellular service providers' equipments for rolling out services.
V&D100 is an annual survey of the Indian equipment industries and telecom services, covering a wide range of segments.

David Sims is a contributing editor for TMCnet. To read more of David's articles, please visit his columnist page. He also blogs for TMCnet here.

Edited by Alice Straight

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