According to a study commissioned by Nokia and conducted by "the Center for Knowledge Societies" (CKS), mobile communication is revolutionizing economic and social life in rural parts of the country, generating a wave of local entrepreneurs, and creating greater access to social services.

In the rapidly growing mobile phone market, six million new mobile subscriptions are added each month. The research predicts that by the end of 2007, one in five Indians will own a phone, while three quarters of the population will be covered by a mobile network by the end of 2008.

Many of these new subscriptions are from rural areas with scarce infrastructure and facilities, high level of illiteracy, low PC and internet penetration.

Dr Aditya Dev Sood, the author of the report, pointed out that new adopters of mobile phones have found their incomes rise, as a result of increased productivity made possible through mobile communications.

Sood said, "While mobile phones are widely seen merely as a communications medium, they should really be seen as a new and essential form of infrastructure that will transform a host of other service sectors in rural economies around the world."

The study also looks at how the new mobility could be used to bridge the socio-economic digital divide between rural and urban areas.

The research has identified seven major service sectors, including transport, micro-commerce, finance, healthcare, governance, education, and infotainment that could radically be transformed through mobile technologies.

While public transport is not available in 45 percent of villages, mobile communication could be widely used to create and co-ordinate car sharing schemes amongst villages, and provide real-time information about public transport services.

Further, mobile communication can prove to be very useful to small businesses in rural areas, where significant distances are to be covered to distribute goods. The service could be used to change the logistical issues, by offering affordable mobile-based ordering systems, delivery requests, and advance arrangements with partners or clients.

Mobile phones are already being used in rural areas as a tool for financial transactions by swapping airtime for goods and services. Further, they could also be used together to test and develop new financial services to address the transferring of these credits into cash.

The service could also be used to better connect rural communities, creating networks to share and discuss health information and advice. In the governmental section, information and services can be made more accessible to public.

Besides, the study also looks at a range of educational services that could be provided via mobiles to children in remote villages and communities, where PCs or Internet connections are not available.

In addition, mobile communication can play a major role in infotainment as well. While the mainstream entertainment industry is already aware of its emerging potential, it can also be explored for local, peer-to-peer content creation and distribution.

Moreover, the study encourages national and international governments, the mobile industry, and NGOs to work together to support the development of these services by increasing access to, and use of, mobile communications in rural communities.