India’s Internet User Base Set to Reach 900 Million by 2025

Rural India Drives Growth in Internet Adoption, With Mobile Devices Leading the Way according to IAMAI report!

52% of Indians, which is around 759 Million, are active internet users that access the internet at least once a month. The user base is expected to reach 900 million by 2025. The majority of Indians are now active Internet users for the first time.

These findings are reflected in the ‘Internet in India Report 2022’, a collaboration between the Internet and Mobile Association of India (IAMAI) and KANTAR, the world’s leading marketing data and analytics business.

According to the forecast, there would be roughly 759 million ‘active’ internet users in India by 2022. 399 million are expected to come from rural areas, while 360 million will come from metropolitan areas. This demonstrates that India’s online expansion is still primarily driven by rural areas.

India's Internet User Base Set to Reach 900 Million by 2025

Urban India, with roughly 71% internet penetration, had only 6% growth, with rural India accounting for the majority of the overall increase in numbers, with a 14% growth rate over the past year.

Rural India is expected to account for 56% of all new internet users in India by 2025. The Digital Divide, on the other hand, continues to haunt the optimistic narrative, with a substantial variation in internet penetration between states, with Bihar (32%) having less than a half degree of internet penetration as Goa (70%).

Despite the fact that the gender divide remains at 54% of male users, it is encouraging to note that 57% of all new users in 2022 were females. It is expected that by 2025, 65% of all new users would be women, helping to close the gender gap.

According to the survey, digital penetration has improved not just in terms of breadth but also in depth. While 100% of users access the internet via mobile, the use of Other Devices (tablets, streaming devices, ‘smart’ devices) has increased significantly over the last year (from 8% in 2021 to 13% in 2022) as Indians adopted new services and technologies proactively.

Social Media, Digital Entertainment and Digital Communications remain the most popular services in India. In fact, with a whopping 51% YoY growth in Social Commerce, Indians are quickly adopting social media platforms as the next e-commerce destination.

Digital payments are expected to reach an estimated 338 million consumers by 2021, with 36% coming from rural India. UPI accounts for 99% of all digital payment users.

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India’s Internet User Base Set to Reach 900 Million by 2025

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