The Indian 'mobile value-added services' (MVAS) market is expected to grow at 25 per cent per annum to reach $9.5 billion in 2015, banking on an increasing growth in mobile device penetration and mobile network capacity.
The MVAS market in the country was estimated at $4.9 billion in 2012, according to a joint report by Wipro Technologies, the global IT consulting and outsourcing arm of Wipro Ltd, and Internet and Mobile Association of India (IAMAI) said.
''Basic informational mobile services are set to decline in India,'' Ayan Mukerji, senior vice president, global head, media and telecom, Wipro Technologies, said in the report, Future Thought of Business (FTOB): MVAS.
''We have found that India's consumers will increasingly purchase enriched and transformational education, health, finance and entertainment services. An expected MVAS revolution in India is being made possible by the dramatic growth in mobile device penetration and mobile network capacity and this market offers abundant opportunities for growth to all industry participants,'' he added.
To realise the market's full potential, the industry requires a collaborative effort across mobile network operators, telecom equipment vendors and mobile service content providers.
''So far, this market has been hampered by a lack of services innovation,'' said Subho Ray, president, IAMAI.
''By forging mutually agreeable partnerships, we can improve customisation and localisation of content and create services with a compelling consumer value proposition. The Indian MVAS market offers tremendous potential to all industry participants and those companies that can offer innovative services will stand to benefit the most,'' Ray added.
The research findings reveal that mEntertainment is the largest contributor to operator MVAS revenues and provides opportunities in localised vernacular content, on-demand music and video content and live TV shows and events.
The findings are based on evaluations of more than 450 consumers and providers of MVAS in India in order to identify the major drivers and barriers of the Indian MVAS market and provide insights that will help to grow this market.