Thursday, October 19, 2006

In India: Power of Mobile Phones

This recent Wharton newsletter reinforces the power of mobile phones. We can see why mobile phones have had such a large impact on developing countries. Also the application to healthcare/global health has potential:

A good interview with NetCore CEO Rajesh Jain in the "Knowledge @ Wharton" e-newsletter reinforces the relative size of the mobile internet market relative to the PC users.
In India some 10 million people have access to a PC either at home, or at work, or both...That's only for 10 million people at the top of the digital pyramid. This is the "PC first" segment.

In the middle of the pyramid are 30 million people who access the Internet through cybercafés. The price point today hovers around 15-20 rupees [35-45 U.S. cents] an hour. But you cannot build your digital life around cybercafés... That is where the mobile phone comes in. It is a device that these people have with them all the time -- This is the "mobiles first" segment.

At the bottom of the pyramid are about 70 million people who have mobile phones but who have no access to computers, mostly for economic reasons. For them, the mobile phone is their primary device to connect to the world. This segment uses pre-paid mobile services; this is the "mobiles only" segment, and it is growing rapidly.

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