Reuters has a blog post about recent cases of Indian entrepreneurs hitting it big through social networking sites such as DesiMartini and MingleBox .
Reliance Entertainment plans to invest US $100 million on its own social networking website BigAdda.com.
The blog post lists some facts why Indian Entrepreneurs and Venture Capitalists bet on social networking business models :
- 44% of the total number of Indians who logon to the internet use the social networking websites
- Out of that, Orkut which is owned by Google owns 64% of the social networking market share. It is estimated that Orkut has approximately 69 million users as per August 2007 estimates. Out of which, at least 16.9% Orkut users are from India.
- Nasscom in its 2007 report has estimated that the number of broadband subscribers, currently 1 Million, will hit 20 million users in the next 3 years and the number of internet users in India which is currently 40 million will rise to 100 million users by 2010
- According to our source, 54% of India’s population is under the age of 20 years which is nearly 540 Million people under 20 years of age
- India is known as the IT hub of the world
- India signs up more than 7 Million new telecom users each month. Indian telecom service providers such as Bharti, Vodafone, Essar, and Tata Teleservices are considering the proposition of adding social networking services to their user base
- According to a Telecom Regulatory Authority of India (TRAI) Report, the number of Indians using their mobiles to login to the internet has almost doubled last year from 16 million to 38 million just last year
- With a population of more than a billion people, India has become the golden pot for investors worldwide.
These are impressive numbers indeed and speak volumes of the potential business opportunities ahead for entrepreneurs in this space.