Upload
wi-fi-360
View
775
Download
0
Tags:
Embed Size (px)
DESCRIPTION
During this webinar, we will share the latest 3G/4G statistics, forecasts and carrier strategies among Indian mobile operators from our latest research. This webinar also provides a detailed review of meaningful and accurate analysis on 3G/4G Market Drivers and Challenges ahead in India. Operator MTNL will also share its vision for mobile broadband in India.
Citation preview
October |2012
Mobile Broadband in India: Carrier
Strategies
Basharat Ashai Market Analyst, APAC
Maravedis-Rethink
Caroline Gabriel Research Director
Maravedis-Rethink
Deepak Chanduka GM, Marketing & Business
Development
MTNL
Agenda
Copyright © 2012 Maravedis Inc
Introduction
◦ Caroline Gabriel, Research Director
Maravedis-Rethink Presentation
◦ Basharat Ashai
MTNL Presentation
◦ Deepak Chanduka, GM, Marketing &
Business Development
Q&A
Key trends driven by India
TD-LTE enters mainstream
New device economics
New web services models
Rising international impact
Copyright © 2012 Maravedis Inc
Key trends influencing India
Convergence of
TD/FD-LTE
Multimode devices
and breakthroughs
New chip architectures
Global roaming issues
Operators start to think
globally
0
500
1000
1500
2000
2500
3000
3500
4000
4500
5000
2010 2011 2012 2013 2014 2015
$m
FD-LTE TDD-LTE LTE-A
Copyright © 2012 Maravedis Inc
India 4G and Cellular Market Analysis and
Forecasts, 2012-2017
Agenda
Copyright © 2012 Maravedis Inc
1 • Key Findings
2 • TD-LTE Operator Case Study
3 • Conclusions
Key Findings Market Drivers:
Multimode Devices, Local Content and Broadband Policy
Challenges Ahead:
Shortage of Spectrum, Low ARPU and 3G/4G Device cost
Forecasts(2012-2017):
3G and TD-LTE Subscriber Base To Reach 371 million and 67 million respectively by 2017
Copyright © 2012 Maravedis Inc
Market Drivers
Copyright © 2012 Maravedis Inc
Inexpensive multimode
(2G/3G/TD-LTE) devices will drive market adoption
Local content and applications
around entertainment and popular festivals
Public investment and broadband
policy
Challenges Ahead
Copyright © 2012 Maravedis Inc
Shortage of spectrum
Low ARPU
Price sensitive market for both
devices and services
3G Market Forecasts
Slow 3G growth so far
Beyond 2015 it is 4G
Growth in Data traffic still modest
Adoption of Wi-Fi for offload
Role of unlicensed frequency bands (2.4 GHz and 5.8 GHz)
Source: India 4G and Cellular Market Analysis and Forecasts,
2012-2017 – 6th Edition (June 2012)
Copyright © 2012 Maravedis Inc
4G Market Forecasts
TD-LTE base will reach 67 million by the end of 2017
Multimode smart phones (2G/3G/TD-LTE) to lead the device category with a 45% market share
Multimode (2G/3G/TD-LTE) device price to reach US$50 may take more than two years
FDD-LTE at 700 MHz spectrum by 2015 in rural areas
Source: India 4G and Cellular Market Analysis and Forecasts,
2012-2017 – 6th Edition (June 2012)
Copyright © 2012 Maravedis Inc
TD-LTE Operator
Case Study - Bharti Airtel
Acquisition of Qualcomm Spectrum
• What it means for Bharti-Airtel?
Current 4G Market
• High-end residential user, SMEs, Enterprises
4G Benefits
• Devices are backward compatible with 3G and 2G
4G Challenges
• Integration with the 2G and 3G network
• LTE BTS Radius in the 2.3 GHz band is much lower than 3G in the 2.1 GHz band
Copyright © 2012 Maravedis Inc
TD-LTE Operator
Case Study - Bharti Airtel (Contd.)
Copyright © 2012 Maravedis Inc
Strengths 1. 2G, 3G and 4G spectrum Assets 2. 3G and 4G spectrum in two lucrative high ARPU markets-Delhi and Mumbai
Weaknesses 1. Not strong in the rural market which is dominated by BSNL 2. Does not have a pan-India BWA spectrum like RIL
Opportunities
1. Small BWA license holders as acquisition targets
2. 700 MHz opportunity in India
Threats 1. RIL(Pan India BWA licensee) 2. Intense price competition and losses on foreign exchange
Conclusions
Growth in the Indian wireless market will be hampered by shortages of spectrum
3G and TD-LTE will boost Indian mobile operators’ ARPU from VAS
The adoption of affordable smart phones(US$50) will influence the 3G growth
TD-LTE to gain traction in 2H 2013
Copyright © 2012 Maravedis Inc
Contact
Copyright © 2012 Maravedis Inc
For information about this
report please contact:
Adlane Fellah
Maravedis-Rethink
Tel: +1-786-452-6522
MTNL Status & Strategies
Deepak Chanduka GM (Marketing & Business Development), MTNL
MTNL at Glance
2012 Highlights New Developments
Impact of Thrust Areas of National Telecom Policy (NTP) 2012
Mobile Broadband Potential Growth Factors for MTNL
Mobile Broadband: Next Level MTNL Strategy
Incorporated in 1986 as a PSU with 56% govt. holding
To upgrade the quality of telecom services
Expand the telecom network
Introduce new services in Delhi – the Political Capital &
Mumbai – the Business Capital of India.
Pioneer of telecom technologies, has emerged as India's
leading and one of Asia's largest telecom operating
companies
Navratna status in 1997
Employee base : 41,600
MTNL AT A GLANCE
Delhi
Mumbai
First Telecom operator in India to launch 3G GSM mobile, ADSL2+, VDSL Broadband, IPTV and VoIP Service
MTNL offers various services that include:
Basic Telephony ,Integrated Services Digital Network (ISDN)
MPLS-VPN Service
Managed Leased Line Network (MLLN)Intelligent Network Services
CDMA based WLL services 2G & 3G Cellular Mobile services Long Distance Calling Service Internet Services Broadband , VoIP , IPTV , Wi-Fi Video Conferencing Digital Signature Certification Service, etc
MTNL AT A GLANCE
5 million customers in 3G/2G in Delhi and Mumbai
Expansion plans for 3G node B BTS network in process
Femto cells implementation for better coverage & capacity
The spectrum block released for MTNL for 3G
size of 2X5 MHz in 2.1 GHz.
Relative price paid for Delhi and Mumbai is very high.
4G spectrum 20 MHz in 2.5/2.6 GHz band returned due to
High cost of spectrum
Private operators allotted 2 blocks of 20MHz spectrum in 2.3 GHz which
has better eco system.
MTNL did not get any revenue share partner
The MTNL/BSNL blended ARPU for GSM service is approx.
1.7 USD per month .
There is a growth in 3G data consumption up to 5% per month
Price wars continue in 3G data plans
MTNL has enough backhaul fiber capacity to carry data
services like MPLS, Enterprise, 3G, Broadband etc.
0
0.5
1
1.5
2
2.5
3
3.5
4
2009 mid 2010 end 2010 mid 2011 end 2011 mid 2012
Da
ta v
olu
me
in T
B p
er
da
y
Year
3G Data Volume Growth in MTNL Network
Upgrade existing HSDPA 3G network speed from 3.6Mbps to HSPA+
supporting 21.1 Mbps per sector.
Increase in packet core capacity from 2.2Gbps to 20Gbps
2G / 3G network will be expanded to improve network coverage by adding
Upgrade of TDM backhaul M/W network from 16E1s/32E1s/STM-1 to
Hybrid Microwave up to 400Mbps
City Node B BTS
Delhi 610 330
Mumbai 380 230
Revenue Growth per annum through increase in 3G & data usage is expected
to be
FY 2012-13 7.5%
FY2013-14 12%
FY 2014-15 15%
Sharing of BTS node B and M/W backhaul network
At least 5% per annum growth in the revenue through sharing of BTS/Node-B
site’s infrastructure & M/W backhaul network is expected in the subsequent
years
Sharing of 3G network/ spectrum if allowed as per NTP 2012, MTNL hopes to generate USD 100m additional revenue per annum.
High Revenue from mobile Broadband in Delhi and Mumbai as mobile internet in these two cities is high percentage of mobile internet in India.
Higher ARPU from mobile broadband will drive the 3G/4G market as compared to present very low ARPU from GSM.
The number of fixed broadband users, currently which are 85% of total, may shift to wireless broadband. MTNL will have 3G as well as FTTH to provide high speed broadband to individuals and enterprise customers.
Unified license is expected to roll out post December
“One Nation Free Roaming” concept will be introduced in 2013
NTP 2012 gives importance to provide secure, reliable, affordable and high
quality converged telecommunication services anytime, anywhere for an
accelerated inclusive socio-economic development.
Broadband: “’Broadband For All” at a minimum download speed of 2 Mbps
Convergence of Network, Services and Devices
Liberalization of Spectrum: any Service in any Technology
Simplification of Licensing regime: Unified Licensing, delinking of Spectrum from License, Online real time submission and processing
Consumer Focus: Achieve One Nation – Full Mobile Number Portability and work towards One Nation – Free Roaming
VOIP : Voice over Internet Protocol .Cloud Computing: Next Generation Network including IPV6
Reposition the mobile phone :from a mere communication device to an instrument of empowerment
Beyond voice communication the biggest motivator for Indian
masses would be video or video-on-demand.
VoD on a 4G enabled device partially overcomes the disadvantages
like choice of content, privacy, etc.
Tablets can be a lot cheaper for target user groups
Video will generate enough traffic on the network to generate
enough volumes.
Important applications will be Video mail, Interactive video and voice
response, Video ring back tones, Video conferencing, Video
streaming, video advertising etc.
Mobile Gaming industry is expected to multifold in demand and
revenue generation
A 4G based mobile hotspot can offer a convenient tool to provide
faster speed for cyber cafes as well as individuals in their homes.
On the corporate side, around 26 million SMEs in India offer a huge
potential market for 4G as most of the SMEs lack affordable high-
speed Internet service (broadband) in India, particularly in Tier II and
Tier III cities leading to lack of widespread adoption of e- commerce
by local businesses.
From traveling sales force to accounts/finance using internet banking,
4G offers a promise for improvement in business at each level for an
SME.
Present state Future strategy
3G infrastructure: make it IP ready
Number of 3G towers inadequate for seamless coverage
Increase 3Gtower no to 2X or 3X vis-a-vis 2G towers to provide better quality of experience to users
3G network not working with city based Wi-Fi players to offer complementary service
To work with city based Wi-Fi players and own Wi-Fi network to provide complementary service
Interoperability: Shift from Pilot to Commercial
Operators doing technical testing of inter-operator 3G calls
Operator should roll out full fledged inter-operator 3G calls
Operators have presently limited roaming tie-ups Service providers should increase roaming tie-ups with all national and international operators
Operators are testing quality of experience for interoperability for all services
All Interoperable service should provide enriching experience
Present state Future strategy
Content - Needs Overhauling Focus on high speed data, video call, Mobile TV and gaming
Focus should be on killer applications w.r.t video, gaming and high speed data
Focus on vanilla applications and vertical applications are missing
Focus should be on innovative applications related to verticals like health, education, govt. etc.
Some operators focusing on different applications w.r.t age groups
All operators should focus on different applications w.r.t different age group of customers like youth, professional and housewives.
Focus is on experiencing 3G through freebies & subsidized schemes
Focus should be on quality of experience and providing enriching experience
Tie-up with limited content aggregators and VAS players
Service providers should increase tie-ups with content aggregators & create a large ecosystem of innovative VAS players
3G Handset: Focus on reducing cost Average cost of 3G handset is still high Cost of 3G handset should come down
No of people having smart phone and 3G phones is quite less
Operators should increase the intake of people having smart phones and 3G phones
Lack of awareness about usage of 3G phones Handset players should increase in store demonstrations and they should be properly trained
THANK YOU
Copyright © 2012 Maravedis Inc
For information about this report please contact:
Adlane Fellah
Maravedis-Rethink
[email protected] Tel: +1-786-452-6522