ARPU must rise as Telcos need $10-15 billion to push 5G: Top Bharti executive

The average revenue per user (ARPU) should increase as the telecom industry in India, where the returns on investment are low, is expected to spend $10-15 billion to expand 5G coverage across the country over the next 4-5 years, a top Bharti executive said.

"Investment is foremost, and a $10-15 billion investment is needed to reach to the masses; that includes $4-5 billion for infrastructure," said Akhil Gupta, vice chairman of Bharti Enterprises, the parent entity of India's second largest telco Bharti Airtel.

Gupta was speaking at the third edition of the Digital Telco Summit - 2022, organised by ETTelecom.


He added that telecom infrastructure providers were not demanding tax concessions but the input tax that the industry pays towards Goods and Services Tax (GST) should be set off.

Hailing recent government policies, Gupta said the time for right-of-way clearances had fallen to about 20 days from 200 days earlier. "Nearly 80% telecom towers need to be fiberised," he said, adding the industry had a long way to go.