Apple faces big challenges in bringing iPhone to India, world’s fastest growing mobile phone market

“Bringing the iPhone to the world’s second-largest nation will present a big set of challenges for Apple. Like in other countries Apple has made overtures with, Indian telecoms likely won’t easily warm to the company’s revenue sharing model. Even if iPhone makes it to the Indian market, only 17 out of 1,000 mobile users there currently buy high-end devices, and three out of four prefer prepaid plans to contracts,” Ritwik Donde reports for The Economic Times.

“Industry players said there will be stiff resistance from India’s service providers, who are already offering some of the world’s lowest tariffs, to share 10 percent of their billing revenue with Apple, as the company has successfully extracted from phone companies elsewhere. ‘Not many operators would want to go with such a pro-Apple model despite its huge anticipation in the Indian markets,’ a top official at a large telecom service provider said. According to IDC India, mobile services average revenue per user (ARPU) stands at a paltry 246 rupees per month (US$6.24), less than a fourth of what it was a decade ago,” Donde reports.

“Gadget watchers are also speculating on which service operator is best suited to bring iPhone to India, should there be an exclusive deal. ‘If it is looking for a service provider with a large subscriber base and a pan-India presence, Airtel is its best choice,’ ” said Nandita Krishna, senior research analyst at Frost and Sullivan,” Donde reports.

More in the full article via TechNewsWorld here.

[Thanks to MacDailyNews Reader “Ampar” for the heads up.]

39 Comments

  1. hey, you sell to the rich. Its a top of the line phone. Apple is not in the business of racing to the bottom of the pile, just to say its got market share. They leave that to Dell. ” width=”19″ height=”19″ alt=”grin” style=”border:0;” />

    en

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