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June 08, 2006

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"In the past two years as India's combined fixed & mobile teledensity went from 7.08% to 12.54%, Pakistan's total teledensity went from around 6% to over 22% (see PTA's telecom indicators here)."
You are right but we have to think of one factor here. The difference in size of population. Pakistan's population is roughly 15% compared to that of India. And India is much bigger than Pakistan and that is why building networks of mobile phone and landphone is more expensive and difficult. Finally, Indian government has been a bit conservative about allowing foreign investment in this sector and the result is that in Pakistani foreign mobile operators are have almost all the market share but in India, Indian mobile operators have significant market share.
I am not supporting or opposing any country here. I just like to point out that the nature of development, investment and government policy have been a bit different in these two countries and thus we have different scenario.

Razib, I agree that India and Pakistan have very different populations, but it might make more sense to compare population density if you are concerned about the capital cost of wireless coverage.

Using the lastest numbers from the CIA World Factbook, I come up with population densities (in people per sq. km.) of 213 in Pakistan and 368 in India. I recognize there could be different levels of urbanization, but the raw numbers suggest lower capital costs per mobile phone subscriber to roll out coverage in India (vs. Pakistan) and even lower costs per subscriber in Bangladesh (1097 people per sq. km.).

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