A study on growth of Smartphone and tablets marketing in India

RESEARCH PROJECT REPORT

Submitted to
Veer Bahadur Singh Purvanchal University, Jaunpur
In partial fulfillment of the requirement of the degree of

BACHELOR OF BUSINESS ADMINISTRATION

Submitted Byof:
Roll No. 8031
Enrollment No- PU011/078

Under the Supervision

Suryansha Narayan Singh
Mr. Vijay Kumar Pandey BBA 6th Semester
Assistant Professor
Department of Business Administration

2014

Technical Education & Research Institute

Post-Graduate College, Ravindrapuri
Ghazipur - 233001

Certificate
This is to certify that Suryansha Narayan Singh, pursuing BBA 6th Semester from
this Institute, has prepared the Research project report entitled A study on
growth of Smartphone and tablets marketing in India in partial fulfillment of
the requirements of the degree of Bachelor of Business Administration from
V.B.S. Purvanchal University, Jaunpur, for the session of 2013-2014.
This report is based on bonafied research undertaken by Suryansha Narayan
Singh, under my supervision during the course of sixth semester and fulfills the
requirements of regulations relating to the nature and standard of BBA course of
V.B.S. Purvanchal University.
I recommend that this research project report may be sent for evaluation.

Rahul Anand Singh

Mr. Vijay Kumar Pandey

Associate Professor & Head,

Assistant Professor,

Dept. of Business Administration

Dept. of Business Administration

Declaration

I, Suryansha Narayan Singh, hereby declare that this research project

report entitled A study on growth of Smartphone and tablets marketing in
Indian has been prepared by me on the basis of research done the course of my
sixth semester of BBA proramme under the supervision of Mr. Vijay Kumar
Pandey, Assistant Professor Department of Business Administration T.E.R.I.
Ghazipur.
This research project report is my bonafide work and has not been submitted
in any farm any university or Institute for the award of any degree or diploma prior
to the under mentioned date. I bear the entire responsibility of submission of this
project report.

30th April 2014

Suryansha Narayan Singh

BBA IV Semester
Department of Business Administration
Technical Education & Research Institute
P.G. College Ghazipur

INDEX OF CONTENTS
Preface
Acknowledgement
CHAPTER -1
Introduction to the topic
Objective
Importance
Scope
CHAPTER-2
Research Methodology
CHAPTER-3
Data Analysis & Interpretation
CHAPTER-4
Finding & Recommendations
CHAPTER-5
Conclusion

Limitation

Annexure ( Questionnaires )
Bibliography

Preface
The first real insight of an organization for management student comes only during his
preparation of project work because student first interacts with real practical work. This is first
introduction to industry and its working. This project work synthesize the theoretical concept
learn in the class room and its practical orientation in organization.
In my project I have studied the A study on growth of Smartphone and tablets
marketing in Indian.
The First chapter deals with the introduction of the topic, It also describes the profile and
history of Smartphone and tablets marketing in Indian.
In first chapter I have mentioned institute. This chapter also describes the organizational
structure of both the organization. The objective and need of research is also mentioned in
section of project work.
The Second chapter deals with research methodology. The process of carrying out the
whole research problem is defined in it. It contains information about the objectives of the
research, methods of data collection, sampling and sample design.
Third chapter is data analysis and interpretation. This is the most important section of the
project work. This section contains the analysis of all the data collected so far and they are
interpreted to produce the final conclusion. It contains all the tables and charts which depicts the
result.

Chapter four contains the finding and recommendation of the research. This is based on
the data analyzed and interpreted in the previous chapter. This is the most important section of
the research report for a report is evaluated on the validity ad correctness of findings.
Chapter five depicted conclusion which concludes the whole report, that is, gives a brief
description of the process employed so far. And later chapters contain bibliography. Which
describes the list of sources from where the matter and information is collected? It contains the
list of books, authors, web sites use etc.

Suryansha Narayan Singh

B.B.A. VI Sem.

Acknowledgement
Many thanks to the God, who has sent me on this earth and by mercy of him, I would be able to
accomplish this research.

A person who has always encouraged me towards positive and used to say Nothing can be
impossible if you are working hard with heart and soul. The Word regard is very small for
him and I dont know what word will be appropriate for him, that person is my elder Brother
Praveen Rai.

I express my deep sense of gratitude and regards to Mr. Vijay Kumar Pandey (Lecturer, Dept.
of Management Studies, T.E.R.I., P.G. College affiliated to Veer Bahadur Singh Purvanchal
University) under whose guidance, I completed this project, I am thankful to his valuable
guidance, gentle encouragement and pains he took in guiding me throughout the study.

Some of my Friend, Vishal Singh and Avnish Kumar Rai whose suggestion for what is Right
or Wrong has shown my aim and objectives of life.
Again, I heartily express my regard to all the above person mentioned and pray to the God May
live them long.
Suryansha Narayan Singh
BBA 6th Sem.

CHAPTER - 1
INTRODUCTION

INTRODUCTION
A lot of people think that the new economy is all about the internet. I think that it's being
fuelled by the internet - as well as by cell phones, digital assistants, and the like - but that
it's really about customers.
Patricia Seybold

Today mobile & Tablet phones have moved beyond their primary role of voice communications
and have graduated to become an essential entertaining device for mobile & Tablet users. We are
in an era where users buy mobile & Tablet phones not just to be in touch, todays youth use it to
express their thoughts, for social networking, to show their interests, play games, read news, surf
on the internet, listen to music, chat instantly with friends & families and even check their bank
balances. There are various phone manufacturers providing handsets.

The Indian mobile & Tablet industry is the fastest growing in the world and India continues to
add more mobile & Tablet connections every month than any other country in the world. The
telecom boom in the country provides great opportunity to handset manufacturers and the hottest
segment for these manufacturers is the entry level segment. Among the fastest growing sectors in
the country, telecom has been zooming up the growth curve at a fiery pace. The last few years
saw India adding many firsts to its list of achievements. Some of these are-the world's lowest call
rates (1 paisa/sec), fastest growth in the number of subscribers (15-20 million per month), fastest

sale of a million mobile & Tablet phones (1 week), the world's cheapest mobile & Tablet handset
(`777), and the world's most affordable 3G phone (`4,999).
The market in India is dominated by mobile & Tablet. For mobile & Tablet we have 840 millionplus users, unlike many other markets, mobile & Tablet is becoming the dominant device for
voice, for value-added services, and increasingly for mobile & Tablet Internet also. Its
somewhat similar to what we saw in Japan in 1999 where, because of the limitation of broadband
and computing. Theres a whole host of services being created around mobile & Tablet. An
effective management of mobile & Tablet services requires an understanding of the factors that
underlie the evolution of the market. Factors such as market potential and timing and speed of
adoption are of great importance for telecom operators for capacity planning. Understanding the
evolution of mobile & Tablet phone market and its likely future trend is equally important for
policy makers.

India is currently facing the onslaught of cheap sub-standard Chinese phones, which occupy as
much as 25 per cent of the market, thanks to the liberal import policies of India. The boost to
exports to mobile & Tablet phones and their parts will encourage local manufacturing, which is
the best answer to compete with the cheap sub-standard Chinese phones imports. Mobile &
Tablet phone exports from India could double as a result of Commerce Ministry granting 2 per
cent Focus Product Scheme (FPS) on mobile & Tablet phone exports in the Foreign Trade
President of Indian Cellular Association said that the special incentive accorded to mobile &
Tablet phone exports could result in the doubling of exports in the next 3-5 years from the annual
level of `13,000 crore to `14,000 crore if other enabling policies are put in place. India is already
a base for worldwide quality manufacturing of mobile & Tablet phones.

History
Early years

Devices that combined telephony and computing were first conceptualized by Theodore G.
Paraskevakos in 1971 and patented in 1973, and were offered for sale beginning in 1993. He was
the first to introduce the concepts of intelligence, data processing and visual display screens into
telephones which gave rise to the "Smartphone." In 1971, Paraskevakos, working with Boeing in
Huntsville, Alabama, demonstrated a transmitter and receiver that provided additional ways to
communicate with remote equipment, however it did not yet have general purpose PDA
applications in a wireless device typical of smartphones. They were installed at Peoples'
Telephone Company in Leesburg, Alabama and were demonstrated to several telephone
companies. The original and historic working models are still in the possession of Paraskevakos.
[4]

Forerunners

IBM Simon and charging base (1993[5])

The first mobile phone to incorporate PDA features was an IBM prototype developed in 1992
and demonstrated that year at the COMDEX computer industry trade show. A refined version of
the product was marketed to consumers in 1994 by BellSouth under the name Simon Personal
Communicator. The Simon was the first cellular device that can be properly referred to as a
"smartphone", although it wasn't called a smartphone in 1994. [6][7][8] In addition to its ability to
make and receive cellular phone calls, Simon was also able to send and receive faxes and e-mails
and included several other apps like address book, calendar, appointment scheduler, calculator,
world time clock, and note pad through its touch screen display. Simon is the first smartphone to
be incorporated with the features of a PDA[9]
The term "smart phone" appeared in print in 1995, for describing AT&T's "PhoneWriter(TM)
Communicator" as a "smart phone".[10]

PDAs
In the late 1990s, many mobile phone users carried a separate dedicated PDA device, running
early versions of operating systems such as Palm OS, BlackBerry OS or Windows CE/Pocket
PC.[1] These operating systems would later evolve into mobile operating systems.
In 1996, Nokia released the Nokia 9000 which combined a PDA based on the GEOS V3.0
operating system from Geoworks with a digital cellular phone based on the Nokia 2110. The two
devices were fixed together via a hinge in what became known as a clamshell design. When
opened, the display was on the inside top surface and with a physical QWERTY keyboard on the
bottom. The personal organizer provided e-mail, calendar, address book, calculator and notebook
with text-based web browsing, and the ability to send and receive faxes. When the personal
organizer was closed, it could be used as a digital cellular phone.
In June 1999, Qualcomm released a "CDMA Digital PCS Smartphone" with integrated Palm
PDA and Internet connectivity, known as the "pdQ Smartphone".[11]
In early 2000, the Ericsson R380 was released by Ericsson Mobile Communications,[12] and was
the first device marketed as a "smartphone". [13] It combined the functions of a mobile phone and
a personal digital assistant (PDA), supported limited web browsing with a resistive touchscreen
utilizing a stylus.[14]
In early 2001, Palm, Inc. introduced the Kyocera 6035, which combined a PDA with a mobile
phone and operated on Verizon. It also supported limited web browsing.[15][16]

Smartphones before Android, iOS, and Blackberry, typically ran on Symbian, which was
originally developed by Psion. It was the world's most widely used smartphone operating system
until Q4 2010.
Mass adoption
In 1999, the Japanese firm NTT Docomo released the first smartphones to achieve mass adoption
within a country. These phones ran on i-mode, which provided data transmission speeds up to 9.6
kbit/s.[17] Unlike future generations of wireless services, NTT Docomo's i-mode used cHTML, a
language which restricted some aspects of traditional HTML in favor of increasing data speed for
the devices. Limited functionality, small screens and limited bandwidth allowed for phones to
maximize the slower data speeds available.[18]
The rise of i-mode helped NTT Docomo accumulate an estimated 40 million subscribers by the
end of 2001. It was also ranked first in market capitalization in Japan and second globally. This
power would wane in the face of the rise of 3G and new phones with advanced wireless network
capabilities.[19]
Outside of Japan smartphones were still a rare feature, although throughout the mid-2000s,
devices based on Microsoft's Windows Mobile started to gain high popularity among
businessmen and businesswomen in the U.S. The BlackBerry later gained mass adoption in the
U.S., which in 2006 popularized the term CrackBerry due to its addictive nature.[20] The company
first released its GSM BlackBerry 6210, BlackBerry 6220, & BlackBerry 6230 devices in 2003.
Also released was the Blackberry 7730 which featured a color screen. [21] In 2006 and 2007, both
operating systems were in a large lead in the North American market, although while BlackBerry

was popular among both business people and young people, Windows Mobile was only popular
in the former.
These successive waves of phone technology allowed users to email, fax and make traditional
calls, making it a useful tool for business travelers. As the Blackberry gained customers, less
sophisticated users were attracted to its many communication options.
In Europe, Windows Mobile was never a large player in the market, and BlackBerry didn't make
a notable impact in the market until around 2008. Symbian was the most popular smartphone OS
in Europe during the mid and late 2000s. This was largely led by Nokia, which has always been a
popular brand outside of North America. Initially Nokia's Symbian devices were focused on
business, the same way as Windows Mobile and BlackBerry devices at the time. From 2006
onwards, Nokia started to make entertainment-focused smartphones, which were popularized by
the Nseries. The N95, for instance, had breakthrough multimedia features for its time, and
marked the start of a broader market of smartphones within younger people, and not just
business. In Asia (except Japan), the trend was similar to Europe's.
Another company that made a breakthrough was the Palm. Although originally PDAs, Palms
later turned into business-focused smartphones, largely competing with BlackBerry and
Windows Mobile in the U.S. market, and was less popular in Europe and Asia.
All leaders of the 2000s suffered following the release of the iPhone.
iPhone & Android
In 2007, Apple Inc. introduced the iPhone, one of the first mobile phones to use a multi-touch
interface. The iPhone was notable for its use of a large touchscreen for direct finger input as its

main means of interaction, instead of a stylus, keyboard, or keypad typical for smartphones at the
time.[22] 2008 saw the release of the first phone to use Android called the HTC Dream (also
known as the T-Mobile G1).[23][24] Android is an open-source platform founded by Andy Rubin
and backed by Google.[25][26] Although Android's adoption was relatively slow at first, it started to
gain widespread popularity in 2010, and now dominates the market.
Both of these platforms led to the drop of the previous leading companies. Microsoft, for
instance, started a new OS from scratch, in the form of Windows Phone, which is now the third
largest OS. Nokia abandoned Symbian and partnered with Microsoft to use Windows Phone on
its smartphones. Palm was bought by Hewlett-Packard, turned into webOS, and later demised.
BlackBerry also made a new system from scratch, BlackBerry 10.
The iPhone also had a knock-on effect on smartphone form factors. Before 2007 it was common
for devices to have a numeric keypad or QWERTY keyboard in either a candybar or sliding form
factor. However, by 2010, there were no top-tier smartphones with numeric keypads. As of 2014,
BlackBerry Limited with a 0.6% share of the market in Q4 2013[27] is the sole remaining
brand of high-end smartphones with physical keyboards.
The future
In 2013, the Fairphone company launched its first "socially ethical" smartphone at the London
Design Festival to address concerns regarding the sourcing of materials in the manufacturing. [28]
In late 2013, QSAlpha commenced production of a smartphone designed entirely around
security, encryption and identity protection. [29] In December 2013, the world's first curved-OLED
technology smartphones were introduced to the retail market with the sale of the Samsung
Galaxy Round and LG G Flex models.[30]

Foldable OLED smartphones could be as much as a decade away because of the cost of
producing them. There is a relatively high failure rate when producing these screens. As little as
a speck of dust can ruin a screen during production. Creating a battery that can be folded is
another hurdle.[31] Samsung fully foldable phones are expected around 2016 to 2017.[32]
A clear thin layer of crystal glass can be added to small screens like watches and smartphones
that make them solar powered. Smartphones could gain 15% more battery life during a typical
day. The first smartphones using this technology should arrive in 2015. This screen can also
work to receive Li-Fi signals and so can the smartphone camera.[33] The cost of these screens per
smartphone is between $2 and $3, much cheaper than most new technology.[34]
Near future smartphones might not have a traditional battery as their sole source of power.
Instead, they may pull energy from radio, television, cellular or Wi-Fi signals.[35]
In early 2014, smartphones are beginning to use Quad HD (2K) 2560x1440 on 5.5" screens with
up to 534 ppi on devices such as the LG G3 which is a significant improvement over Apple's
retina display. Quad HD is used in advanced televisions and computer monitors, but with 110 ppi
or less on such larger displays.[36]
In 2014, Wi-Fi will continue to become the primary network for smartphones. As these devices
do more and more with data and Wi-Fi becomes more prevalent and easier to connect to, Wi-Fi
First smartphones service will start to take off.[37][38][39]
Since 2013, water and dustproofing have made their way into mainstream high end smartphones
instead of specialist models with the Sony Xperia Z continuing through the Sony Xperia Z2 and
also from other manufacturers with the Samsung Galaxy S5.[40]

Mobile operating systems

Main article: Mobile operating system
Android
Main article: Android (operating system)

Android 4.4.2 home screen

Android is an open-source platform founded in October 2003 by Andy Rubin and backed by
Google, along with major hardware and software developers (such as Intel, HTC, ARM,
Motorola and Samsung) that form the Open Handset Alliance.[25][26] In October 2008, HTC
released the HTC Dream, the first phone to use Android.[23][24] The software suite included on the
phone consists of integration with Google's proprietary applications, such as Maps, Calendar,
and Gmail, and a full HTML web browser. Android supports the execution of native applications
and third-party apps which are available via Google Play, which launched in October 2008 as
Android Market. By Q4 2010, Android became the best-selling smartphone platform.[41]

iOS

The original iPhone (2007)

In 2007, Apple Inc. introduced the iPhone, one of the first mobile phones to use a multi-touch
interface. The iPhone was notable for its use of a large touchscreen for direct finger input as its
main means of interaction, instead of a stylus, keyboard, or keypad as typical for smartphones at
the time.[22] In July 2008, Apple introduced its second generation iPhone with a much lower list
price and 3G support. Simultaneously, they introduced the App Store, which allowed any iPhone
to install third-party native applications. Featuring over 500 applications at launch, the App Store
eventually achieved 1 billion downloads in the first year, and 15 billion by 2011.
Windows Phone
In February 2010, Microsoft unveiled Windows Phone 7 with a User Interface inspired by
Microsoft's "Metro Design Language", to replace Windows Mobile. Windows Phone 7 integrates
with Microsoft services such as Microsoft SkyDrive, Office, Xbox and Bing, as well as nonMicrosoft services such as Facebook, Twitter and Google accounts. This software platform runs
the Microsoft Mobile smartphones, and has received some positive reception from the
technology press and been praised for its uniqueness and differentiation.

Firefox OS
Firefox OS (originally called the boot to gecko project) was demonstrated by Mozilla in February
2012. It was designed to have a complete community based alternative system for mobile
devices, using open standards and HTML5 applications. The first commercially available Firefox
OS phones were ZTE Open and Alcatel One Touch Fire. As of 2014 more companies have
partnered with Mozilla including Panasonic (which is making a smart TV with Firefox OS) and
Sony.
Sailfish OS
The Sailfish OS is based on the Linux kernel and Mer.[49] Additionally Sailfish OS includes a
partially or completely proprietary multi-tasking user interface programmed by Jolla. This user
interface differentiate Jolla smartphones from others. [50] Sailfish OS is intended to be a system
made by many of the MeeGo team, which left Nokia to form Jolla, utilizing funding from
Nokia's "Bridge" program which helps establish and support start-up companies formed by exNokia employees.

Tizen
Tizen is a Linux-based operating system for devices, including smartphones, tablets, in-vehicle
infotainment (IVI) devices, smart TVs, laptops and smart cameras. Tizen is a project within the
Linux Foundation and is governed by a Technical Steering Group (TSG) composed of Samsung
and Intel among others. In April 2014, Samsung released the Samsung Gear 2 and the Gear 2
Neo, running Tizen.

Ubuntu Touch
Ubuntu Touch (also known as Ubuntu Phone) is a mobile version of the Ubuntu operating
system developed by Canonical UK Ltd and Ubuntu Community.[55] It is designed primarily for
touchscreen mobile devices such as smartphones and tablet computers.
BlackBerry

BlackBerry Z10 from 2013

In 1999, RIM released its first BlackBerry devices, providing secure real-time push-email
communications on wireless devices. Services such as BlackBerry Messenger provide the
integration of all communications into a single inbox. There are 80 million active BlackBerry
service subscribers and the 200 millionth BlackBerry smartphone was shipped in September
2012.[56] Most recently, RIM has undergone a platform transition, changing its name to
BlackBerry and making new devices on a new platform named "BlackBerry 10."[57]
Symbian
Main article: Symbian
Symbian was originally developed by Psion as EPOC32. It was the world's most widely used
smartphone operating system until Q4 2010, though the platform never gained popularity or
widespread awareness in the U.S., as it did in Europe and Asia. The first Symbian phone, the
touchscreen Ericsson R380 Smartphone, was released in 2000, and was the first device marketed

as a "smartphone". It combined a PDA with a mobile phone. In February 2011, Nokia announced
that it would replace Symbian with Windows Phone as the operating system on all of its future
smartphones, with the platform getting abandoned throughout the following few years.

Windows Mobile
Windows Mobile was based on the Windows CE kernel and first appeared as the Pocket PC 2000
operating system. Throughout its lifespan, the operating system was available in both
touchscreen and non-touchscreen formats. It was supplied with a suite of applications developed
with the Microsoft Windows API and was designed to have features and appearance somewhat
similar to desktop versions of Windows. Third parties could develop software for Windows
Mobile with no restrictions imposed by Microsoft. Software applications were eventually
purchasable from Windows Marketplace for Mobile during the service's brief lifespan. Windows
mobile was phased out in favor of Windows Phone.
Palm OS
In late 2001, Handspring launched their own Springboard GSM phone module with limIn. Early
2002, Handspring released the Palm OS Treo smartphone with both a touch screen and a full
keyboard. The Treo had wireless web browsing, email, calendar, a contact organizer and mobile
third-party applications that could be downloaded or synced with a computer.[63] Handspring was
soon acquired by Palm, which released the Treo 600 and continued, though the series eventually
took on Windows Mobile. After buying Palm, Inc, in 2011 Hewlett-Packard (HP) finally
discontinued its smartphones and tablets production using webOS which is initial developed by
Palm, Inc.

Bada
The Bada operating system for smartphones was announced by Samsung in November 2009. [65]
[66]

The first Bada-based phone was the Samsung Wave S8500, released in June 2010.[67][68][69]

Samsung shipped 4.5 million phones running Bada in Q2 of 2011. [70] In 2013, Bada merged with
a similar platform called Tizen.

Application stores
Main article: List of digital distribution platforms for mobile devices
The introduction of Apple's App Store for the iPhone and iPod Touch in July 2008 popularized
manufacturer-hosted online distribution for third-party applications (software, computer
programs) focused on a single platform. Up until that point, smartphone application distribution
depended on third-party sources providing applications for multiple platforms, such as GetJar,
Handango, Handmark, and PocketGear.
Following the success of the App Store, other smartphone manufacturers launched application
stores, such as Google's Android Market in October 2008 and RIM's BlackBerry App World in
April 2009.

Market share
Smartphone usage
In the third quarter of 2012, one billion smartphones were in use worldwide. Global smartphone
sales surpassed the sales figures for features phones in early 2013. As of 2013, 65 percent U.S.
mobile consumers own smartphones. The European mobile device market as of 2013 is 860

million. In China, smartphones represented more than half of all handset shipments in the second
quarter of 2012.
As of November 2011, 27% of all photographs were taken with camera-equipped smartphones. A
study conducted in September 2012 concluded that 4 out of 5 smartphone owners use the device
to shop. Another study conducted in June 2013 concluded that 56% of American adults now
owned a smartphone of some kind. Android and iPhone owners account for half of the cell phone
user population. Higher income adults and those under age 35 lead the way when it comes to
smartphone ownership.
Worldwide shipments of smartphones topped 1 billion units in 2013 (up 38% from 2012's 725
million) while comprising a 55% share of the mobile phone market in 2013 (up from 42% in
2012).

MOBILE & TABLET HANDSETS V/S FDI-

Tablet (PC)

What is tablet?
A tablet computer, or simply tablet, is a mobile computer with display, circuitry and battery in
a single unit. Tablets come equipped with sensors, including cameras, a microphone, an
accelerometer and a touchscreen, with finger or stylus gestures substituting for the use of
computer mouse and keyboard. Tablets may include physical buttons (for example: to control
basic features such as speaker volume and power) and ports (for network communications and to
charge the battery). They usually feature on-screen, pop-up virtual keyboards for typing. Tablets
are typically larger than smart phones or personal digital assistants at 7 inches (18 cm) or larger,
measured diagonally.[1][2][3][4] One can classify tablets into several categories according to the
presence and physical appearance of keyboards. Slates and booklets do not have a physical
keyboard and typically feature text input performed through the use of a virtual keyboard
projected on a touchscreen-enabled display. Hybrids and convertibles do have physical
keyboards, although these devices typically also make virtual keyboards available.
Conceptualized in the mid-20th century and prototyped and developed in the last two decades of
that century, tablet devices became popular in 2010. In March 2012, PC Magazine reported that
31% of U.S. Internet users owned a tablet, used mainly for viewing published content such as
video and news.[5] Among tablets available in 2012, the top-selling line of devices was Apple's
iPad with 100 million sold between its release in April 2010 and mid-October 2012,[6] followed
by Amazon's Kindle Fire with 7 million, and Barnes & Noble's Nook with 5 million.[7][8][9] By
May 2013, over 70% of mobile developers were targeting tablets (versus 93% for smartphones
and 18% for feature phones).

HistoryThe tablet computer and its associated operating system began with the development of pen
computing. Electrical devices with data input and output on a flat information display existed as
early as 1888 with the telautograph, which used a sheet of paper as display and a pen attached to
electromechanical actuators. Throughout the 20th century devices with these characteristics have
been imagined and created whether as blueprints, prototypes, or commercial products. In
addition to many academic and research systems, several companies released commercial
products in the 1980s, with various input/output types tried out:

Fictional and prototype tablets

Tablet computers appeared in a number of works of science fiction in the second half of the 20th
century, with the depiction of Arthur C. Clarke's NewsPad, in Stanley Kubrick's 1968 film 2001:
A Space Odyssey, the description of Calculator Pad in the 1951 novel Foundation by Isaac
Asimov, the Opton in the 1961 novel Return from the Stars by Stanislaw Lem, The Hitchhiker's
Guide to the Galaxy in Douglas Adams's 1978 comedy of the same name, and the numerous
devices depicted in Gene Roddenberry 1966 Star Trek series, all helping to promote and
disseminate the concept to a wider audience. A device more powerful than today's tablets
appeared briefly in Jerry Pournelle and Larry Niven's 1974 The Mote in God's Eye.
In 1968, computer scientist Alan Kay envisioned a KiddiComp, while a PhD candidate he
developed and described the concept as a Dynabook in his 1972 proposal: A personal computer
for children of all ages, the paper outlines the requirements for a conceptual portable
educational device that would offer functionality similar to that supplied via a laptop computer or

(in some of its other incarnations) a tablet or slate computer with the exception of the
requirement for any Dynabook device offering near eternal battery life. Adults could also use a
Dynabook, but the target audience was children.
The sci-fi TV series Star Trek The Next Generation featured tablet computers which were
designated as "padds".
In 1994, the European Union initiated the 'OMI-NewsPAD' project (EP9252), inspired by Clarke
and Kubrick's fictional work. Acorn Computers developed and delivered an ARM-based touch
screen tablet computer for this program, branded the NewsPad. The Barcelona-based trial ended
in 1997.
During the November 2000 COMDEX, Microsoft used the term Tablet PC to describe a
prototype handheld device they were demonstrating.
In 2001, Ericsson Mobile Communications announced an experimental product named the
DelphiPad which was developed in cooperation with the Centre for Wireless Communications in
Singapore, with touch-sensitive screen, Netscape Navigator as web browser and Linux as its
operating system.

Early devicesFollowing their earlier tablet-computer products such as the Pencept PenPad[26][27] and the CIC
Handwriter,[28] in September 1989, GRiD Systems release the first commercially available tablettype portable computer, the GRiDPad.[29] All three products were based on extended versions of
the MS-DOS operating system.

In 1991, AT&T released their first EO Personal Communicator, this was one of the first
commercially available tablets and ran the GO Corporation's PenPoint OS on AT&T's own
hardware, including their own AT&T Hobbit CPU.
In 1992, Atari showed the Stylus, later renamed to ST-Pad prototype to developers, this one was
based on the TOS/GEM Atari ST Platform and included already an early handwriting
recognition. Shiraz Shivji's company Momentus demonstrated in the same time a failed x86 MSDOS based Pen Computer with its own GUI.
Apple Computers launched the Apple Newton personal digital assistant in 1993. It utilised
Apple's own new Newton OS, initially running on hardware manufactured by Motorola and
incorporating an ARM CPU, that Apple had specifically co-developed with Acorn Computers.
The operating system and platform design were later licensed to Sharp and Digital Ocean, who
went on to manufacture their own variants.
In 1996, Palm, Inc. released the first of the Palm OS based PalmPilot touch and stylus based
PDA, the touch based devices initially incorporating a Motorola Dragonball (68000) CPU.
Intel announced a StrongARM processor-based touchscreen tablet computer in 1999, under the
name WebPAD. It was later re-branded as the "Intel Web Tablet".
In 2000, Norwegian company Screen Media AS and the German company Dosch & Amand
Gmbh released the " FreePad". It was based on Linux and used the Opera browser. The Internet
access was provided by DECT DMAP, only available in Europe and provided up to 10Mbit/s
wireless access. The device had 16 MB storage, 32 MB of RAM and x86 compatible 166 MHz
"Geode"-Microcontroller by National Semiconductor. The screen was 10.4" or 12.1" and was

touch sensitive. It had slots for SIM cards to enable support of television set-up box. FreePad
were sold in Norway and the Middle East; but the company was dissolved in 2003.
In April 2000, Microsoft launched the Pocket PC 2000, utilising their touch capable Windows
CE 3.0 operating system. The devices were manufactured by several manufacturers, based on a
mix of: x86, MIPS, ARM, and SuperH hardware.
In 2002, Microsoft attempted to define the Microsoft Tablet PC as a mobile computer for field
work in business, though their devices failed, mainly due to pricing and usability decisions that
limited them to their original purpose - such as the existing devices being too heavy to be held
with one hand for extended periods, and having legacy applications created for desktop
interfaces and not well adapted to the slate format.
Nokia had plans for an internet tablet since before 2000. An early model was test manufactured
in 2001, the Nokia M510, which was running on EPOC and featuring an Opera browser,
speakers and a 10-inch 800600 screen, but it was not released because of fears that the market
was not ready for it. In 2005, Nokia finally released the first of its Internet Tablet range, the
Nokia 770. These tablets now ran a Debian based Linux OS called Maemo. Nokia used the term
internet tablet to refer to a portable information appliance that focused on Internet use and media
consumption, in the range between a personal digital assistant (PDA) and an Ultra-Mobile PC
(UMPC). They made two mobile phones, the N900 that runs Maemo, and N9 that run Meego.[40]
Android was the first of today's dominating platforms for tablet computers to reach the market.
In 2008, the first plans for Android-based tablets appeared. The first products were released in
2009. Among them was the Archos 5, a pocket-sized model with a 5-inch touchscreen, that was

first released with a proprietary operating system and later (in 2009) released with Android 1.4.
The Camangi WebStation was released in Q2 2009. The first LTE Android tablet appeared late
2009 and was made by ICD for Verizon. This unit was called the Ultra, but a version called Vega
was released around the same time. Ultra had a 7 inch display while Vega's was 15 inches. Many
more products followed in 2010. Several manufacturers waited for Android Honeycomb,
specifically adapted for use with tablets, which debuted in February 2011.

2010 and afterwards

Mobile operating systemToday's tablets use capacitive touch screens with multi-touch, unlike earlier stylus-driven
resistive touch screen devices. After 2007 with the access to capacitive screens and the success of
the iPhone, multi-touch and other natural user interface features, as well as flash memory solid
state storage and "instant on" warm-booting; external USB and Bluetooth keyboards defined
tablets. Some have 3G mobile telephony applications.

Most tablets released since mid-2010 use a version of an ARM processor for longer battery life.
The ARM Cortex family is powerful enough for tasks such as internet browsing, light production
work and mobile games.
As with Smartphones, most mobile tablet apps are supplied through online distribution, rather
than boxed software or direct sales from software vendors. These sources, known as "app stores",
provide centralized catalogues of software and allow "one click" on-device software purchasing,
installation and updates. The app store is often shared with Smartphones that use the same
operating system.
Apple is often credited for defining a new class of consumer device. It shaped the commercial
market for tablets in the following years. iPads and competing devices have been tested by the
US military. The most successful tablet is the Apple iPad, using the iOS operating system. Its
debut in 2010 pushed tablets into the mainstream. Samsung's Galaxy Tab and others followed,
continuing the trends towards the features listed above.
In 2013, Samsung announced a tablet running Android and Windows 8 operating systems
concurrently; switching from one operating system to the other and vice versa does not require
restarting the device, and data can be synchronized between the two operating systems. [48] The
device, named ATIV Q, was scheduled for release in late 2013 but its release has been
indefinitely delayed.[49] Meanwhile, Asus has announced it will soon release its Transformer
Book Trio, a tablet that is also capable of running the operating systems Windows 8 and Android.
[50]

In 2014, the era of customized tablets began. Many of these tablets are specific to a particular
industry. The tablets come preloaded with software created or adapted for the specific industry
they are meant for.[51] Often, these include custom client branding. Around 23% of B2B
companies were said to have deployed tablets for sales-related activities, according to a survey
report by Corporate Visions.

Touch interfaceA key component among tablet computers is touch input. This allows the user to navigate easily
and type with a virtual keyboard on the screen. The first tablet to do this was the GRiDPad by
GRiD Systems Corporation; the tablet featured both a stylus, a pen-like tool to aid with precision
in a touchscreen device as well as an on-screen keyboard.

The system must respond to touches rather than clicks of a keyboard or mouse, which allows
integrated hand-eye operation, a natural use of the somatosensory system. This is even more true
of the more recent multi-touch interface, which often emulate the way objects behave.

Handwriting recognitionAll version of the Windows OS since Vista have natively supported advanced handwriting
recognition, including via a digital stylus. Windows XP supported handwriting with optional
downloads from MS. The Windows handwriting recognition routines constantly analyze the
user's handwriting to improve performance. Handwriting recognition is also supported in many
applications such as Microsoft OneNote, and Windows Journal. Some ARM powered tablets,
such as the Galaxy Note 10, also support a stylus and support handwriting recognition. Wacom
and N-trig digital pens provide very, 2500 DPI resolution for handwriting, exceeding the
resolution of capacitive touch screens by more than a factor of 10. These pens also support
pressure

sensitivity, allowing

for "variable-width

stroke-based"

characters, such

as

Chinese/Japanese/Korean writing, due to their built-in capability of "pressure sensing". Pressure

is also used in digital art applications such as Autodesk Sketchbook.

Touchscreen hardware
Touchscreens are usually one of two forms;

Resistive touchscreens are passive and respond to pressure on the screen. They allow a
high level of precision, useful in emulating a pointer (as is common in tablet computers)
but may require calibration. Because of the high resolution, a stylus or fingernail is often
used. Stylus-oriented systems are less suited to multi-touch.

Capacitive touchscreens tend to be less accurate, but more responsive than resistive
devices. Because they require a conductive material, such as a finger tip, for input, they
are not common among stylus-oriented devices, but are prominent on consumer devices.
Finger-driven capacitive screens do not currently support pressure input.

Some tablets can recognize individual palms, while some professional-grade tablets use pressuresensitive films, such as those on graphics tablets. Some capacitive touch-screens can detect the
size of the touched area and the pressure used.

Features
Hardware

High-definition, anti-glare display

Wireless local area and internet connectivity (usually with Wi-Fi standard and optional
mobile broadband)

Front- and/or back- facing camera(s) for photographs and video

Lower weight and longer battery life than a comparably-sized laptop

Bluetooth for connecting peripherals and communicating with local devices

Early devices had IR support and could work as a TV remote controller.

Docking station: Keyboard and USB port(s)

Special hardware: The tablets can be equipped with special hardware to provide functionality,
such as camera, GPS and local data storage.
Software

Mobile web browser

Reader for digital books, periodicals and other content

Downloadable apps such as games, education and utilities

Portable media player function including video playback

Email and social media

Mobile phone functions (messaging, speakerphone, address book)

Video-teleconferencing

Data storage

On-board flash memory

Ports for removable storage

Various cloud storage services for backup and syncing data across devices

Local storage on a LAN

Additional inputs
Besides a touchscreen and keyboard, some tablets can also use these input methods:

Proximity sensor to detect if the device is close to something, in particular, to your ear,
and can block unintended touches

Accelerometer: Detects the physical movement and orientation of the tablet. This allows
the touchscreen display to shift to either portrait or landscape mode. In addition, tilting
the tablet may be used as an input (for instance to steer in a driving game)

Ambient light and proximity sensors, which help distinguish between intentional and
unintentional touches

Speech recognition

Gesture recognition

Character recognition to allow you to write text on the tablet, that can be stored as any
other text in the intended storage, instead of using a keyboard.

Near field communication allows communication with other compatible devices

including ISO/IEC 14443 RFID tags.

Types of tabletThere are number of tablets, which can be loosely separated in several categories, by physical
size and input/output technology.

Without physical keyboardTablets without dedicated keyboards were the first tablets which gained commercial success, and
they contributed highly to the general public tablet image.

Slate

Slates are single-piece devices without any rotating or slide-out parts.

Traditional slate tabletA slate's size may vary, starting from 7 inches (approximately 18 cm).[63] Some models in the
larger than 10-inch category include the Samsung Galaxy Tab Pro 12.2 at 12.2 inches, the

Toshiba Excite at 13.3 inches[64] and the Dell XPS 18 at 18.4 inches. [65] As of March 2013, the
thinnest tablet on the market was the Sony Xperia Tablet Z at only 0.27 inches (6.9 mm) thick.[66]
In October 2013, HP announced the HP Slate 21 All-in-One (Hybrid) with 21.5" IPS display
complete with keyboard and mouse. It runs on Android, but has no internal battery.[67]

Mini tabletMini tablets are smaller and lighter than standard slates, with a typical screen size between 7 and
8. The first successful ones were introduced by Samsung (Galaxy Tab 7-inch), Barnes & Noble
(the Nook Tablet), Blackberry Playbook, and Amazon (the Kindle Fire) in 2011, and by Google
(the Nexus 7) in 2012. Most of them work like the larger tablets.
In October 2012, Apple released the iPad Mini. Its size is 7.9 inches, about 2 inches smaller than
the regular size iPad, but was less powerful than the then current iPad 3.[68] In November 2013,
Apple released the iPad Mini 2, it remains at 7.9 inches and it nearly matches the hardware of the
iPad Air.
Amazon released an upgraded version of the Kindle Fire, called the Kindle Fire HD, on
September 14, 2012, with higher resolution and more features compared than the original Kindle
Fire, and it remains 7 inches.Amazon further updated the Fire tablet with the Kindle Fire HDX in
September 2013.
Google released an upgraded version of the Nexus 7 on July 24, 2013, with FHD display, dual
cameras, stereo speakers, more color accuracy, performance improvement, built-in wireless
charging, and a variant with 4G LTE support for AT&T, T-Mobile, and Verizon.

Phablet-

Samsung's Galaxy Note series were the first commercially successful phablet devices.
Since 2010, crossover touch-screen mobile phones with screens greater than 5-inches have been
released. That size is generally considered larger than a traditional smartphone, creating a hybrid
category called a phablet by Forbes and Engadget. Phablet is a portmanteau of phone and tablet.
Examples of phablets are the LG Optimus Vu, Samsung Galaxy Note and Dell Streak. Samsung
announced they had shipped a million units of the Galaxy Note within two months of introducing
it.

BookletBooklets are dual-touchscreen tablet computers with a clamshell design that folds like a laptop.
Examples include the Sony Tablet P (which was considered a flop), the Toshiba Libretto W100
and the aborted Microsoft Courier. Booklets were discontinued in 2010.

With physical keyboardTablets with dedicated keyboards form the boundary between slate tablets and laptop computers.

HybridHybrids are tablets with a dedicated detachable keyboard, in some cases sold separately.

Traditional hybridHybrid tablets have a standard tablet base with a detachable keyboard that resembles a laptop
keyboard. They are usually sold together as parts of the same product, unlike slates, whose
keyboards are an optional accessory. The term hybrid was coined by users of the HP/Compaq
TC1000 and TC1100 series.

Market shareAs of October 2012, display screen shipments for tablets began surpassing shipments for laptop
display screens.
According to a survey conducted by the Online Publishers Association (OPA) in March 2012,
31% percent of Internet users in the United States owned a tablet, up from 12% in 2011. The
survey also found that 72% of tablet owners had an iPad, while 32% had an Android tablet. By
2012, Android tablet adoption had increased. 52% of tablet owners owned an iPad, while 51%
owned an Android-powered tablet (percentages do not add up to 100% because some tablet
owners own more than one type). By end of 2013, Android's market share rose to 61.9%,
followed by iOS at 36%. By late 2014, Android's market share rose to 72%, followed by iOS at
22.3% and Windows at 5.7%.

Mobile & Tablet & Tablet Internet goes Mainstream

The ubiquitous nature of mobile & Tablet phones has created a massive opportunity for mobile &
Tablet Internet businesses. Consider the following:
There are over 2.4 billion Internet users in the world, of which 1.5 billion access the Internet
through their mobile & Tablet devices either as a primary or a supplementary device.
In less than 7 years, the number of smartphone users has already crossed 1 billion as against 1.5
billion PC users; Worldwide PC shipments declined by 10.9% in Q2 2013, the sharpest decline
since 2001
Shipments of Android-powered Internet devices exceeds that of Windows-powered devices
average time spent on mobile & Tablet (non-voice) globally has already grown to 82 minutes per
day.
Facebook has crossed a billion monthly active users, of which over 819 million access it through
a mobile & Tablet device; 41% of Facebooks revenues came from mobile & Tablet in 2013.
iTunes is the largest music vendor in the world by some distance and Pandora is the largest radio
station in the world Google generated around $1 billion out of its $13.9 billion revenues from
mobile & Tablet in Q1 2013.
38% of Internet users in China and 70% of Internet users in Egypt use Internet only on their
mobile & Tablet devices while the numbers themselves are significant, what is more astounding
is the

growth/acceleration which is being witnessed on all things mobile devices, connections, traffic,
advertising, subscriptions, travel and physical goods. Mobiles themselves are a twenty year old
phenomenon and now they are creating the platform for another revolution.
Smartphones are expected to grow at a CAGR of 20% to reach 2.2 billion by 2015.
Tablet sales are expected to grow at a CAGR of 33% from 118 million units in 2012 to 369
million units by 2016
Android is expected to overtake Windows to be the most used platform on computing devices by
2016, with 2.3 billion devices.
Mobile advertising has nearly doubled (95% growth in first half of 2012) in the US over the last
year and is expected to continue with the same momentum M-tailing (purchase of products
through mobile devices) has grown rapidly over the last two years to reach 11% of total e-tailing
in the US in 2012, and is projected to reach 24% of overall e-tailing by 2016.
The Internet demonstrated the ability of businesses to scale rapidly. The mobile ecosystem is
demonstrating that it can improve the reach of Internet by a few multiples. The growth of social
media and the ability of mobile devices to add location to the product mix are providing
opportunities for businesses to fundamentally alter the way users engage socially or the manner
in which they purchase goods and services. This is leading to the reimagination of several
business models.

SoLoMo at the heart of mobile businesses

As highlighted in our previous report, SoLoMo models are providing the next
battleground for digital businesses. At the same time, they are providing opportunities for newer
players to dream big and challenge the status quo. It is easier to think of SoLoMo models in
categories like music, where delivering locally relevant music on mobile and encouraging social
engagement is relatively easy. However, even in
other segments like travel and ecommerce, SoLoMo models are challenging the manner in which
service providers engage with target consumers. We see SoLoMo as a theme which runs through
all things mobile, and we discuss its impact at several places in this report.

The money continues to flow

Despite the dull global investment climate, the mobile has seen high levels of investment activity
over the last year. Facebook set the tone 1 early with its headline grabbing acquisition of
Instagram , a 13-person mobile start-up valued then at a billion dollars, barely a week after its
VCs invested $50 million at a valuation of $500 million.
In a further sign of the times, Microsoft recently announced the acquisition of Nokia's devices
and services business. 4 out of the 5 largest VC fundings were for non-US companies, indicating
the global nature of mobile business models.

India goes Mobile

The revolutionary success of Indias mobile industry is well known. What is not as well
articulated is how the mobile ecosystem is driving Internet penetration in India. The following
facts present a glimpse of that phenomenon:
India has more than 160 million Internet users, of which 86 million access Internet using their
mobile devices In the last 3-4 years, the number of users who access the Internet through a 3G
connection has grown to round 22 million, To put things in perspective, compare this
with the 15 million fixed line broadband connections accrued over the last 17 years There are
over 36 million smart phone users as against c. 60 million PC users 9% of overall Internet page
views in India come from mobile devices Over 40% of searches on Google originate from
mobile device 30% of Facebook users in India are mobile-only Internet users and 30% of new
registrations are coming through mobile
LinkedIn ranks India among its top 4 growth markets for mobile usage
While e-commerce and digital advertising are acknowledged to have attained a certain critical
mass in India, mobile Internet is yet to break into public consciousness.
Mobile Internet based businesses have not scaled to levels where belief in the ability to monetize
through the channel is established. Several models are still in the trial stage, but there are enough
leading indicators to prove we may be on the cusp of a very exciting phenomenon. Some of these
include: Within a year of Book my show launching its mobile app, bookings through the app
increased to 25% of its overall bookings 20% of overall searches and 12% of bookings for
Cleartrip come from its mobile appng Pay has built a mobile mall with considerable revenue
traction Indians seem to be more open to paying for content on mobile - the paid app market

estimated at INR 300 Cr, is far higher than what Indian consumers have ever been paid for
digital content consumption.
In addition to the above, mobile specific models which utilize location information, such as
Olacabs, TaxiForSure, Adnear and DelightCircle are beginning to see significant traction.
While it is essential to look at current monetization opportunities, it is also necessary to look at
the potential which may be unlocked as the ecosystem falls in place. Looking back at the
evolution of the digital media market, there have been a few critical elements of the
ecosystem that need to achieve critical mass for the potential of the medium to be fully realized
(Exhibit)

Devices
Penetration of Internet capable mobile devices in India is way more than expected.

What really is a smart phone?

The key device categories which enable a person to access mobile Internet include feature
phones, smart phones and tablets. There are other devices like gaming consoles which could
access mobile Internet, but those add up to a very small number in India at this point in time.

There has been no clear distinction between a feature phone and a smartphone for very long even
though multiple definitions exist. The line seems to have got even more blurred with the
introduction of richer feature phones such as the Nokia series 40 phones.

For this analysis, we borrow the definition of a smart phone from IDC:
The penetration of Internet capable mobile devices (feature phones and smartphones) in India is
way higher than most people imagine. There were 431 million Internet capable mobile devices in
use in India as of December 2012. This established base of devices creates a robust platform for
widespread use of mobile Internet.

Smartphone is a mobile phone which runs on a high-level mobile operating system such as
Android, iOS, Blackberry, Symbian or Windows Phone, which enables the device to run third
party applications (in addition to basic voice telephony services).

India goes Mobile

Is it for real?
The revolutionary success of Indias mobile industry is well known. What is not as well
articulated is how the mobile ecosystem is driving Internet penetration in India. The following
facts present a glimpse of that phenomenon:
India has more than 160 million Internet users, of which 86 million access Internet using their
mobile devices In the last 3-4 years, the number of users who access the Internet through a 3G
connection has grown to round 22 million, To put things in perspective, compare this with the 15
million fixed line broadband connections accrued over the last 17 years There are over 36 million

smartphone users as against c. 60 million PC users 9% of overall Internet pageviews in India

come from mobile devices Over 40% of searches on Google originate from mobile device
30% of Facebook users in India are mobile-only Internet users and 30% of new registrations are
coming through mobile LinkedIn ranks India among its top 4 growth markets for mobile usage
While e-commerce and digital advertising are acknowledged to have attained a certain critical
mass in India, mobile Internet is yet to break into public consciousness. Mobile Internet based
businesses have not scaled to levels where belief in the ability to monetize through the channel is
established. Several models are still in the trial stage, but there are enough leading indicators to
prove we may be on the cusp of a very exciting phenomenon.

Some of these include:

Within a year of Bookmyshow launching its mobile app, bookings through the app increased to
25% of its overall bookings 20% of overall searches and 12% of bookings for Cleartrip come
from its mobile app ngPay has built a mobile mall with considerable revenue traction Indians
seem to be more open to paying for content on mobile - the paid app market estimated at INR
300 Cr, is far higher than what Indian consumers have ever been paid for digital content
consumption In addition to the above, mobile specific models which utilize location information,
such as Olacabs, TaxiForSure, Adnear and DelightCircle are beginning to see significant traction.
While it is essential to look at current monetization opportunities, it is also necessary to look at
the potential which may be unlocked as the ecosystem falls in place. Looking back at the
evolution of the digital media market, there have been a few critical elements of the ecosystem
that need to achieve critical mass for the potential of the medium to be fully realized (Exhibit).

Exhibit 3 Elements of digital markets

One hypothesis is that mobile would evolve through the same ecosystem, and tracking progress
in each of these areas could help determine where we are on this evolutionary curve. This leads
us to a few critical questions:
1. Is mobile connectivity infrastructure falling in place?
2. Is the actual usage of mobile Internet going up? Is there enough content getting created to keep
the user engaged?
3. Will content players be able to tackle piracy issues, and get users to pay?
4. Is the payment infrastructure falling in place? Are there any clear-cut solutions to get around
the low credit card penetration issue?
5. Are advertising opportunities getting created? Is advertising acquiring the required
sophistication to go mainstream critical mass, better targeting and conversion capabilities?
6. Can m-tailing take off like e-tailing has in the recent years, and realize its potential?
Through this report, we have made an attempt to answer these and other critical questions about
the mobile Internet.
The penetration of mobile Internet is driven by three key factors - which form the backbone
of the mobile Internet ecosystem:
Access devices at the right cost, without compromising on the quality of user experience
Availability of affordable data connectivity options, which enable consistent usage Strong
Use Cases, which provide a compelling reason for users to adopt the technology
While improvements in each of these areas could lead to growth in mobile Internet usage, the
real explosive growth in consumer adoption of mobile internet is only likely to happen when all
of them fall in place together. In this section, we look at how these three parameters are evolving
in India, and where mobile Internet adoption is headed, in this section.

Defining mobile Internet

Mobile Internet refers to any form of Internet access on a mobile device feature phones,
smartphones and tablets. Our classification is not based on the mode of access. Therefore all
forms of access including 2.5G (GPRS), 3G, 4G, Wi-Fi connections from fixed Internet and even
dongles can be classified as mobile Internet access only if the access device is a mobile device.
Most business model and revenue model specific numbers in this report are based on this
definition. In some places, due to data availability issues and their relative significance levels,
2.5G and/or 3G metrics are taken as proxies for mobile Internet users.

Objectives
Importance
Scope

Objectives of the study

The main purpose of the study is to know the growth level of smart phones and tablet in India. In the
present competitive environment it is very crucial to every business firm to ensure satisfaction to its
customers and made growth in business. According to one survey it was found that it costs five times
more to attract a new customer than to retain an existing customer. So with all these parameters taking
into consideration one can say that it is very important to provide goods and services that satisfy
customers needs or wants irrespective of the industry or scale of the business in which a firm is operating.
Here the main purpose of the report is to know the various factors just like promotional activities,
pricing strategy, easy to access and also R&D that are very important in satisfying the customers needs
and to know how companies are ensuring its growth.The expectations of customers are vary from one
customer to the other customer. For example some customers are only concerned about the advance
technology that they are getting in a phone or tablet but at the same time there are some other customers
who are very specific about the internet speed, operating system and some other parameters. It is very
difficult to any business firm to satisfy all the expectations of all customers but there are some common
factors that are essential to fulfill.
The following are the objectives of the report

To study the promotional strategy & effect on smart phones and tablets.

 To find the extent of brand loyalty of consumers that exists among different phones and tablets.
To identify how the brand building helps in meeting the customers expectations to meet their
satisfaction and investment objectives.

To study the influence of various aspects on buying behavior. These factors are:- - Operating
system - cloud services and highly versatile apps - Brand name & service Internet speed (3G4G) & others features.

To study the government plans and policy related to smart phones and tablets.

Importance of the study

The importance of a project report is following.

The study will help to know that what additional features & what facilities should be increase.
Customer is satisfied with the product and services provided by companies or he is dissatisfied.
It helps in identify reason behind dissatisfactions.
The importance of study is that it is helpful to make future policy of the company.
It is important to create a new plan for products & services in future with unique quality &

facilities that will be preferred by the customers.

To know the factor behind purchase of smart phones and tablets.
To know the recent technologies and growth rate of smart phones and tablets.

Scope of the study

The scope of this project is the study the product quality and services of the company. It covers a wide
range analysis of the company that what kind of product quality services has been provided by the
company, what are the qualities of products, what are the satisfaction level of the customer by the of the
company, working and promotional process of the company, How the company satisfy the customer by
its product.
This study also shed light on the relationship of company with customers. The study also covers the
behavioral pattern of company employees with the customer at the time of complains for any product and
how they provide service to them and satisfaction according to choice of smart phones and tablets.
The response of the centre towards the customer also covered in this study. After analysis the researcher
comes to know that the customer response centre gives good response to each and every complaint and do
its best of satisfy the customers by its service and products provided by the smart phones and tablets
companies. After analysis the researcher comes to know that the recent technologies and growth rate of
smart phones and tablets.

Chapter-2
Research Methodology

Research Methodology

Research in a common language refers to a search of knowledge. Research is scientific & systematic
search for pertinent information on a specific topic, infect research is an art of scientific investigation.
Research Methodology is a scientific way to solve research problem. It may be understood as a science of
studying how research is dont scientifically. In it we study various steps that are generally adopted by
researchers in studying their research problem. It is necessary for researchers to know not only research
method techniques but also technology. The scope of Research Methodology is wider than that of
research methods.
The research problem consists of series of closely related activities. At times, the first step determines the
native of the last step to be undertaken. Why a research has been defined, what data has been collected
and what a particular methods have been adopted and a host of similar other questions are usually
answered when we talk of research methodology concerning a research problem or study. The project is a
study where focus is on the following points:

Research Design:A research design is defined, as the specification of methods and procedures for acquiring the Information
needed. It is a plant or organizing framework for doing the study and collecting the data. Designing a
research plan requires decisions all the data sources, research approaches, Research instruments, sampling
plan and contact methods. The study was descriptive kind of research.
Research design is mainly of following types:
1-Exploratory research.2-Descriptive studies.3-Causal studies/Experimental studies

1. Exploratory research:-

The major purposes of exploratory studies are the identification of problems, the more precise
Formulation of problems and the formulations of new alternative courses of action. The design of
exploratory studies is characterized by a great amount of flexibility and ad-hoc veracity
.2.

Descriptive research:-

Descriptive research in contrast to exploratory research is marked by the prior formulation of

specific research Questions. The investigator already knows a substantial amount about the
research problem. Perhaps as a Result of an exploratory study, before the project is initiated.
Descriptive research is also characterized by a Preplanned and structured design.

3. Causal studies/Experimental studies

A casual design investigates the cause and effect relationships between two or more variables. The
hypothesis is tested and the experiment is done. There are following types of casual designs

a. After only with control design

b. Before after with control design
c. Before after without control design
d. Consumer panel design
e. Ex-post facto design

Research Design has been classified into four subsections they are:

1.Sample selection and size2.Sampling procedure;3.Data collection; andAnalytical tools

Sampling Procedure
There are basically two methods of sampling:Probability sampling
It is also known as random sampling. Under this sampling design every item of the universe has an equal
chance of inclusion in the sample. It is, so to say, a lottery method in which individual units are picked
from the whole group not deliberately but by some mechanical process. Here it blind chance alone that
determines whether one item or the other is selected. The results obtained from probability sampling can
be assured in terms of probability.
Non Probability sampling
Non Probability sampling is that sampling procedure which does not afford any basis for estimating the
probability that each item in the population has been included in the sample. In this type of sampling,
items for the sample selected deliberately by the researcher; his choice concerning the items remains
supreme.
For the study the consumers are selected by the convenience sampling method. The selection
of units from the population based on their easy availability and accessibility to the researcher is known
as convenience sampling

Data Collection method

Data Collection Method

Primary

Secondary

Published Sources

Unpublished Sources

Direct personal Interview

Indirect personal Interview

Govt. publication

Information from correspondents

Report Committees

Mailed questionnaire & Commissions

Private Publication

Question filled by enumerators

Research Institute

The task data collection begins after research problem has been defined. There are two methods for data
collection.
Primary data
Primary data may be described as those data that have been observed and recorded by the researcher for
the first time to their knowledge.
Secondary data
Secondary data are those data which have been already collected and analyzed by some earlier agency for
its own use; and later the same data are used by a different agency.
For the present study, the survey method was used for collecting primary data. A structured questionnaire
was used for the purpose. The questionnaire included multiple choice questions. The main source of

secondary data has been Insurance Chronicle, ICFAI journal of Services Marketing, the leafy journal of
Consumer Behavior, Indian journal of Marketing, and Behavioral Finance. The study employs primary
data collected by communicating with the respondents with the help of structured questionnaire. The
study mainly deals with the smart phones and tablets growth in India.

Analytical Data
The data thus collected, was tabulated, interpreted and analyzed with a view to make the study
meaningful. In the present study, hypothesis testing, percentage, frequency and cross tabulation methods
have been used for analysis.

Chapter-3
Data Analysis & Interpretation

Smartphone adoption expected to pick up and become a nonconstraining factor for 3G adoption
The Indian smartphone market today resembles that of the feature phone market in 2006, with
prices bottoming out and more variants getting added at lower price points. Marketing campaigns
are visibly focused on exploiting this market fully even Apple seems to be softening its price

positioning for India. If the smartphone penetration grows in a manner similar to how feature
phone market grew between 2006 to 2012, smartphone penetration will definitely not be a
constraint for the growth of mobile Internet.

Projections of smartphone penetration reaching 382 million by 2016 is aggressive given IDCs
projections of 155.6 million smartphones to be shipped to India in 2016. We expect some of this
gap to be filled by smart feature phones which boast similar features to that of the smartphones.
Two of the leading handset manufacturers, Nokia and Samsung, are investing significantly to
develop this segment.

Feature phones still have a role to play

While smartphones are clearly the future, we believe the feature phone market will continue to
maintain a sizeable share of the market, especially in the low-price segment.
In the most mature mobile Internet market of Japan, smartphones accounted for just 2 million of
the 90 million mobile users in 2007. Smartphone sales have surged post that and now account for
around 48 million out of the total 107 million mobile Internet users. That still leaves a good 55%

of the market on feature phones. Japan is not an exception. China also has more than half of its
mobile Internet user base on feature phones.

The mobile handset composition in India currently is skewed disproportionately towards feature
phones which account for over 90% of all Internet capable devices. While smartphones are
growing more aggressively, feature phone shipments still continue to be over 85% of mobile
handset shipments on the back of a feature-packed, low-price proposition. Series 40, the
operating system that powers Nokia Asha, continues to be the most popular operating system in
Indian market. Expert estimates suggest that over 70% of data users and 50% of traffic still
comes from feature phones, making it a segment one cannot ignore. While mobile-focused
companies with a global tilt focus primarily on smartphones, several companies in emerging
economies have leveraged their capability to serve feature phones as a critical differentiator to
scale their businesses.

Chapter-3
Data Analysis & Interpretation

Chapter-4
Finding

Finding
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educational and informational purposes. The publication and any accompanying materials do not
constitute the promotion, endorsement or approval of any product or service referred to, shown
or demonstrated in the publication and any accompanying materials.
The publication and any accompanying materials are designed to be used as an initial reference
only. They are not intended to be a comprehensive guide or to apply in all situations. Reasonable
endeavours have been made to ensure that information appearing in this publication and any
accompanying materials was correct at the time of production. However, the authors, producers
and presenters of this publication and any accompanying materials (the Relevant Persons)* make
no representation or warranty as to the accuracy, reliability, completeness or currency of the
information in this publication and any accompanying materials.
The information and any advice provided in this publication and any accompanying materials is
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exclude, to the maximum extent permitted by law, all express or implied warran ties of any
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Chapter-5
Conclusion

Conclusion
While there is interest across several segments of the mobile Internet opportunity, not all of them
hold equal opportunities for Indian players, and not all of them are expected to ripen at the same
point in time. To compete in global markets (search, social networking, etc), Indian players
would have to become world-beaters in these areas. While this cannot be ruled out in the long
run, the Indian market has historically followed developed markets in its evolution. This has
resulted in global leaders invariably having a head start in those areas. Indian companies have
therefore had to look for niches such as the capability to service the feature phone market, which
global players choose to not focus on.
In local businesses, where the need for local presence is immensely important, Indian players
stand a much better chance of success. And similar to most digital businesses, those who get it
right early have a chance to dominate the markets they operate in.
While entrepreneurial and investor interest are of high importance and are inter-linked, consumer
adoption is the final litmus test for a business model. It shows how far the business model is
from the explosive growth digital businesses demonstrate when they hit critical mass. We have
plotted different business models against two key parameters, importance of the platform and
current consumer adoption, to highlight the realistic neater opportunities available to Indian
businesses.

Limitations

Limitations of the Research

The research is confined to a certain parts of Ghazipur and does not necessarily shows a pattern
applicable to all of Country.
1. This report covers whole India growth of smart phones and tablet, which is very difficult to get.
2. In a rapidly changing industry, analysis on one day or in one segment can change very quickly.
The environmental changes are vital to be considered in order to assimilate the findings.
3. Sometime the gap of communication was come in between the interaction.
4. The time available to conduct the study is little; it being a wide topic has a limited time.
5. Limited resources are available to collect the information about the smart phones and tablets
growth in India.
6. Smart phones and tablets market is so much volatile and it is difficult to forecast anything about
it.
7. Some of the aspects may not be covered in my study, its gives knowledge about trading of smart
phones and tablets market in small prospects and its challenges.
8. Reforms allowed increased integration between domestic and international markets, and created a
need to manage risk.

Bibliography

Bibliography

 Pandey I.M.: Financial Management, Vikas Publishing house Pvt. Ltd. New Delhi, 9th
Edition.
Khan, M.Y. & Jain P.K.: Basic Financial Management. The Mac Graw-Hill Companies,
New Delhi, 2002, 2nd Edition.
Machiraju, H.R.; Indian Financial System, Vikas Pub. House, Pvt. Ltd. New Delhi, 2nd
edition.
Kotler Philip: Marketing Management: Analysis, Planning, implementation and Control,
Pearson Education, New Delhi, 2003, 11th edition.
C.R. Kothari Research Methodology
Kothari C.R, Research Methodology, Second Edition, New Age International, 2004.

Journals:

Analyst magazine
Business Standard
Smart investors
Business world
Economics Times
Business Today

Websites:

www.google.com
www.khoj.com
www.smartphone.com
www.tabletpc.com