Sending messages on mobile phones is gaining popularity as outbound SMS volumes in India grew by 200.8 per cent to reach about 7.4 billion messages in 2003, although the usage level is still lagging behind other developing markets in Asia-Pacific.

"The outbound SMS volumes in India grew by 200.8 per cent year-on-year to reach 7.39 billion messages in 2003. This is equivalent to 35.8 outbound SMS messages per cellular connection per month," research firm Gartner on Tuesday said.

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Gartner predicted ample room for growth given that the usage level is still lagging behind that of other developing markets in Asia-Pacific.

"China, for instance, recorded about 55.9 outbound messages per cellular connection per month, while the Philippines recorded a massive 189.4 outbound messages per cellular connection per month, it said.

The key value perception is the price difference between the voice calls and SMS, Gartner said, adding that currently the differential is between 40-50 per cent cheaper for SMS.

"To continue leveraging on SMS to shore up bottomlines, it is important to ensure this value to price proposition is maintained. Going forward, SMS popularity will drive opportunities data-centric applications," it said.