5G can boost up to 2% of India GDP by 2030: NASSCOM

5G networks are expected to boost up to 2% of India's GDP, reaching 180 billion dollars by 2030 thanks to increased market penetration, boosting the economy and sectoral reforms, according to a report by the National Association of Software and Services Companies (NASSCOM) and Arthur D. Little.

5G networks are expected to boost up to 2% of India's GDP, reaching 180 billion dollars by 2030 thanks to increased market penetration, boosting the economy and sectoral reforms, according to a report by the National Association of Software and Services Companies (NASSCOM) and Arthur D. Little.

With over 500 million 5G users in India by 2030, 5G technology can be a true transformation of the economy. With public and private 5G networks enabling use cases across multiple sectors including mobility, healthcare, manufacturing, retail, energy, and utilities, 5G networks can have an impact of more than 180 billion dollars on the economy of the nation. India by 2030”, Parnik Chitran Maitra, Managing Partner, said Arthur D. Little India and South Asia in a study titled - 5G - Revealing the era of digital convergence in India.

India currently has the second largest number of telecommunication users in the world, with 1.1 billion users, of which 740 million are 4G customers. However, with the rollout of 5G in the country, the change is expected to provide a quick upgrade to the customer experience.

This will help accelerate ARPU (average revenue per user) growth in the coming years, according to the report. The report forecasts that ARPU for Telecom will reach Rs. 335 by 2025.

Rising smartphone penetration, skyrocketing OTT consumption, digital payments and e-commerce are some of the key factors driving digitization, which is already helping boost ARPU.

The report added that policies like the National Fiber Optic Network (NOFN), now called BharatNet, which plans to connect all 2.5 lakh gram panchayats in the country, will help boost India's potential. in 5G adoption by increasing accessibility and affordability.

5G technology is expected to create new value through superior connectivity and become a catalyst for digital transformation in all industries. Sectors such as healthcare, energy, utilities, manufacturing, and retail are expected to benefit most from the widespread adoption of 5G networks.