India occupied spot number 1 among countries with cheap and affordable data. Africa is the poorest continent by GDP per capita. In Africa, countries in the southernmost part of the continent pay the most for 1 GB of data. Zimbabwe pays the highest price both in Africa and in the world ($ 75.2), and countries such as Equatorial Guinea ($65.83) and Saint Helena ($55.47) also pay more than $50. Conversely, Sudan ($0.68) and the democratic republic of Congo ($0.88) both pay less than $1 per GB.
Within Asian continent, countries in the Middle East and East Asia tend to have the most expensive mobile data plans. Countries in the SEA such as Sri Lanka ($0.78), Indonesia ($1.21) and Kazakhstan ($0.49) have lowest data plans. The cheapest country for data around the world is India with only $0.26 for 1 GB of data.
European countries have a great variation in cost for mobile data. Several countries pay more than $10 for 1 GB, such as Portugal ($13.98), Switzerland ($20.22). However, Ukraine pays only $0.51.
Even though South Korea has been a trailblazer in exceptional mobile infrastructure and lightning fast internet for years, its prices are still quite hefty at $15 for 1 GB of data.
The mobile data cost varies due to high cost of broad band and the lack of competition that leads to those high prices. A center for public integrity analysis of internet prices in 5 US cities and 5 comparable French cities found that prices in the US were as much as 3.5 times higher than those in France for similar services.
The analysis shows that consumers in France have a choice between far greater number of providers – seven on average – than those in the US, where most residents can get service from no more than two companies.
The centers analysis echoes the findings of several studies on internet pricing disparities worldwide.
How Does India Consume The Cheap Mobile Data?
Within categories, music channels find greatest number of subscribers at 340.67 mn in the year 2018. The next four spots are occupied by entertainment, news & politics, films and comedy aggregating to 546 mn subscribers. Then you have 74 mn subscribers to education channels.
Within channels, T- series occupies the first spot in the world with 78 mn subscribers followed by Set India, zee Music Company, zee TV, Sony music etc.
The average time spent by Indian watching videos online has grown to 52 minutes per day in 2018 from a mere 2 minutes in per day in 2012. It is expected to increase further to 67 minutes per day in 2019, according to media agency Zenith.
Cheap Mobile Data and its Implication on Electronics Goods Import
Affordable mobile data has led to surge in mobile handsets import along with electronic component imports. A new trend has been rise in electronic components, between FY 2018 and FY 2019 electronic components rose by 68.22% which are employed to assemble mobile handsets. In the broader picture, import bills rises.
Electronic goods imports have exceeded imports of gold and it stands second to petroleum imports. For lowering the trade deficit, we will have to manufacture the electronic components in order to then assemble them and manufacture a mobile handset.
Time share of Indians is occupied by channels in the category of Entertainment to a large extent plus with declining cost of the mobile handsets on a per unit basis, owning a handset is easier. The negative impact of rising mobile handset ownership is on over our trade deficit which balloons every year. Promoting domestic manufacturing of electronic components can only reduce our trade deficits.
Subscribe to our WhatsApp and receive updates directly:
Disclaimers :
The information herein is used as per the available sources of bseindia.com, company’s annual reports & other public database sources. Alpha Invesco is not responsible for any discrepancy in the above mentioned data. Investors should seek advice of their independent financial advisor prior to taking any investment decision based on this report or for any necessary explanation of its contents
Future estimates mentioned herein are personal opinions & views of the author. For queries / grievances – support@alphainvesco.com or call our support desk at 022-48931507.
SEBI registration No : INA000003106
Readers are responsible for all outcomes arising of buying / selling of particular scrip / scrips mentioned here in. This report indicates opinion of the author & is not a recommendation to buy or sell securities. Alpha Invesco & its representatives do not have any vested interest in above mentioned securities at the time of this publication, and none of its directors, associates have any positions / financial interest in the securities mentioned above.
Alpha Invesco, or it’s associates are not paid or compensated at any point of time, or in last 12 months by any way from the companies mentioned in the report.
Alpha Invesco & it’s representatives do not have more than 1% of the company’s total shareholding. Company ownership of the stock : No, Served as a director / employee of the mentioned companies in the report : No. Any material conflict of interest at the time of publishing the report : No.
The views expressed in this post accurately reflect the authors personal views about any and all of the subject securities or issuers; and no part of the compensations, if any was, is or will be, directly or indirectly, related to the specific recommendation or views expressed in the report.
Stay Updated With Our Market Insights.
Our Weekly Newsletter Keeps You Updated On Sectors & Stocks That Our Research Desk Is Currently Reading & Common Sense Approach That Works In Real Investment World.