5G will play crucial role in helping India achieve digital inclusion goals: Ericsson MD Nitin Bansal

Swedish telecom equipment maker Ericsson has increased investments in India to manufacture 5G radio gear as it looks to help Indian telcos deploy the next-gen networks, says its India managing director Nitin Bansal. The company’s production ramp-up will generate employment for around 2,000 people in Pune, he tells ET on the sidelines of the Mobile World Congress in Barcelona. Edited excerpts:

Can you share your insights on the India opportunity for Ericsson?
There is a huge interest for 5G in India. As per the latest Ericsson Mobility Report, 5G subscriptions will reach around 31 million by the end of 2022 and 690 million by the end of 2028. Further, 5G will represent around 53% of mobile subscriptions at the end of 2028. 5G will play a crucial role in achieving India’s digital inclusion goals, especially for bringing broadband to rural and remote homes.

What are the 5G use cases that you see emerging in India?
Initially, enhanced mobile broadband and fixed wireless access are expected to be the early use-cases for 5G in India, which will help address the concern of the limited fixed broadband penetration levels in the country and improve the data experience while on the move. The average data traffic per smartphone in the India region is the highest globally. It is projected to grow from 25 GB per month in 2022 to around 54 GB per month in 2028 – a CAGR of 14%. This is driven by high growth in the number of smartphone users and the increase in average usage per smartphone. For enterprises, sectors like manufacturing, healthcare, energy and utilities, automotive and public safety will be the top industries to leverage 5G for digital transformations. The initial use-case of a private 5G network for any geography will be around gaining operational flexibility, efficiencies, reliability, etc.

What is the investment that Ericsson is making in India on manufacturing?
As 5G gets introduced in India, we are scaling up the production capacity and operations with our partner Jabil in Pune in a phased manner to meet the needs of 5G network deployments in India. The production in India is part of our global production footprint with a presence across continents. This footprint has enabled us to secure a global, flexible and resilient supply chain to respond quickly to market and customer needs, whereby India also benefits. The production ramp-up will expand operations with high-technology production and will also generate employment for around 2,000 people in Pune.(The reporter is in Barcelona to attend the Mobile World Congress at the invitation of OnePlus.)