Indian market is huge definitely.
I was going thru some tasted domains the other day and it was shocking to see every other batch of indian origin (words like inidashopping etc, or hindi words typed in english). Indians have already started playing with .com's in major numbers. I can see companies adopting .coms very fast. Every Pvt Ltd in India is going for an internet address. You pick up the yellow pages and you will find that majority of companies listed have an Internet address.
Looking at that, i wud presume India is moving very fast towards the net. Point is, is the CO.IN and .IN market a profitable one? When the Internet Boom finally gets bigger (i wud think it has already arrived, it just has to go at this rate to get noticeable very soon), would Indian companies go for .in's or wud they still choose generics or geos with their company names in .com.
This is something we will have to wait and see.