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June 23 - June 30, 2012News for the Telecom industry - WEEKLY SUMMARY
 
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The latest and the future in 3D technology

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  Week At a Glance 

NewsTrendsInsight
  News 
Vodafone, Idea eating into Bharti Airtel's revenue market share
Economic Times
Vodafone and Idea Cellular are chipping away Bharti Airtel's dominance in the mobile space and have improved their revenue market shares in FY12 at the expense of the country's top two mobile operators by subscribers, according to data released by sector regulator Trai. An analysis of Trai's recent report on mobile operators' revenues shows that Bharti Airtel, Reliance Communications (RCOM) and BSNL have recorded a 1.1%, 1.5% and 1.6% drop, respectively, in their revenue market share in FY12. These companies have recorded a decline of over 100 basis points on this front for the second consecutive year. One basis point is 0.01%. Facebook Twitter Linkedin Email

DoT plans to seek Kapil Sibal nod to slap Rs 600 cr penalty on RCOM
Economic Times
The telecom department plans to seek Communications Minister Kapil Sibal's approval to impose a Rs 600-crore penalty on Reliance Communications and its unit, Reliance Telecom, for unilaterally switching off mobile coverage in 12 states between November 16, 2010 and January 20, 2011, allegedly in breach of the shared mobile infrastructure regulations. The Access Services (AS) wing of the Department of Telecom (DoT), which looks into all operational issues linked with the sector, has recommended that Reliance Communications Ltd., be fined the maximum possible penalty of Rs 450 crore and its subsidiary Reliance Telecom Ltd. (RTL), be fined Rs 150 crore for the alleged violation. Facebook Twitter Linkedin Email

Bharti Airtel, Idea plan to shift data traffic to wi-fi
Economic Times
Indian mobile phone companies such as Bharti Airtel, Idea Cellular, and others are looking to shift a part of their data services to wi-fi hotspots, freeing up scarce 2G and 3G airwaves for mobile telephony. Mobile phone companies are building wi-fi hotspots to accommodate growing mobile broadband data usage among consumers. "Spectrum is limited and all over the world carriers have offloaded data on to wi-fi, integrating it with existing networks while the back haul can be any medium - copper, fibre or LTE. It's pretty much part of the plan for us as well," said Bharti Airtel's President for Consumer Business K Srinivas. Bharti Airtel has already set up more than 1,000 hot spots in top three cities across India where data consumption is very high. Facebook Twitter Linkedin Email

India forms panel to implement national optic fibre network
NDTV Gadgets
The Indian government on Tuesday formed a coordination committee to give a push to the decision to set up a National Optic Fibre Network (NOFN) to provide broadband connectivity to over two lakh gram panchayats at a cost of Rs 20,000 crore ($4 billion). The committee, with Telecom Secretary R. Chandrasekar as the chairman, will assess the requirement of various ministries and departments of the central government for a pan-Indian network to offer government-to-citizen (G2C) services down to the panchayat level, according to a release from the Prime Minister's Office (PMO). The cabinet had, last October, given its nod for the NOFN, which is being rolled out by the Bharat Broadband Network Limited (BBNL), specifically created for implementing the project. This will involve laying about 5 lakh kilometers of optical fibre. Facebook Twitter Linkedin Email

Government to charge telcos uniform licence fee from April 2013
Economic Times
In a move to bring uniformity in the sector, the government has decided to charge 8 per cent of gross revenue as licence fee from all telecom service providers across all categories and services from 2013-14. At present, DoT is charging licence fee in the range of 6-10 percent depending upon type of service and circle. "A uniform annual licence fee rate of 8 percent of AGR shall be adopted across all categories of service areas (metro A, B and C categories) of UAS/CMTS/Basic service licences in two steps starting from July 1, 2012," sources in DoT said. Facebook Twitter Linkedin Email

Google announces Android 4.1 Jelly Bean
BGR India
Google has shown off the latest upgrade to its Android smartphone OS, version 4.1 which they are nicknaming Jelly Bean. The new operating system is said by the company to deliver Android's best performance and lowest touch latency. Google has added a number of key new features to its mobile operating system. Facebook Twitter Linkedin Email

Upcoming spectrum sale could fail: Finance Ministry
Economic Times
The Finance Ministry has warned that the upcoming spectrum sale process could fail because of the telecom department's proposal to make it compulsory for all operators to match the auction-determined price for their existing 2G airwaves for the remaining period of their licences. The Finance Ministry has also asked the telecom department (DoT) to clarify how it could seek Cabinet approval to impose this one-time fee on a prospective basis, when this issue is part of the presidential reference in the Supreme Court. Facebook Twitter Linkedin Email

Huawei to invest $2b in India over four years
mydigitalfc.com
Leading telecom equipment manufacturer Huawei will invest $2 billion in India over the next four years as it seeks to aggressively market consumer devices and 4G long-term evolution (LTE) solutions while establishing a global research and network operations hub in the country. "India is a long-term market, where patience is a must," said Cai Liqun, chief executive officer of Huawei India. Though the company clocked revenues of $1.5 billion in FY12, an increase of 20 percent, Huawei India has postponed some new investments citing the economic slowdown. Facebook Twitter Linkedin Email

Huawei to set up global R&D centre
Economic Times
Despite uncertainties in the telecom sector, Chinese equipment maker Huawei will invest $ 2 billion over the next four years in India as it looks to aggressively market consumer devices and set up global R&D centre in the country. The company, which clocked $ 1.5 billion in revenues from India in 2011-12, is also betting big on the roll out of 4G LTE services in India and is targeting more than 50 per cent share of the contracts coming in. "2011 was a good year for Huawei because our revenue in India increased about 20 per cent... Last year, we began building a new R&D centre in Bangalore, which will house more than 5,000 people. From 2011, the plan is to invest $ two billion in five years in india," Huawei India Chief Executive Officer Cai Liqun said. Facebook Twitter Linkedin Email

Telecom vendors growth dipped in FY'12 to Rs 1.13 lakh crore
Economic Times
Telecom equipment and product segment growth declined marginally in 2011-12 financial year at Rs 1,13,188 crore mainly due to policy uncertainty and low spending by operators in the backdrop of huge price paid by them for airwaves at auction held in 2010, says a study. The estimation done by telecom journal Voice&Data showed that the turnover of telecom equipment and devices segment in the country declined by 0.83 per cent compared to Rs 1,14,133 crore in 2010-11 fiscal year. "The policy uncertainty checked investment in the sector. Further, the spending from telecom operators was below expectation as they are still recovering from the huge price paid for 3G and BWA spectrum in 2010. Enterprise were also cautious in spending," V&D Editor Praveen Prashant said. Facebook Twitter Linkedin Email

  Trends 
At Huawei, employees are the only shareholders
Daily News & Analysis
Huawei, an easy to miss name located as a small print behind the USB dongles of Reliance Communications and Tata DoCoMo, is currently one of the most profit-making telecom equipment companies in the world and the biggest in China. With revenues of $32 billion last year and massive investments towards research and development every year, the 22-year- old giant has never tapped the capital markets in its history to fund growth. Nor does it plan to do so in future. Huawei has a unique shareholding pattern. 100% of it is employee-held, and there are no major shareholders. Facebook Twitter Linkedin Email

MTS India slashes broadband tariff by up to 60 percent in Delhi
telecomlead.com
Sistema Shyam TeleServices (MTS India) has slashed MTZ Blaze tariff by up to 60 percent in Delhi NCR circle. MTS India has more than 16 million wireless customers. MBlaze customers in Delhi NCR Circle can avail the benefits of new tariffs through a strong retail network of 15000 retails and 125 MTS branded retail outlets. Facebook Twitter Linkedin Email

Success of data services key for Indian telecom sector
Times of India
The fresh set of recommendations by TRAI regarding reserve prices of various spectrum bands points if affected would appear to be burdensome on existing telecom players in the medium term said a domestic brokerage firm in its report released on Saturday. Also, with the rupee depreciating by 12-15 percent against the US dollar in the past nine months, there is increased liability on telecom companies such as Bharti and RCom due to huge forex debt in their books, said Ankita Somani, telecom analyst at Angel Broking in the report. In our view, the telecom sector is poised for improvement in its revenue mix only if data revenue starts to pick post the launch of 3G and 4G services, she said. Facebook Twitter Linkedin Email

Smartphone usage surging in urban India
VC Circle
The smartphone rage is catching up in the country, especially in urban India, says a survey conducted by Nielsen Informate Mobile Insights. There are 27 million smartphone users in urban India - a total of 9 percent of the entire mobile user base in the urban demography. India is considered to be one of the fastest growing mobile markets with around 900 million mobile phone users, according to TRAI estimates. The country's mobile handset market witnessed 6 percent growth in the first quarter of 2012 while the smartphone market in the country surged by 17 percent, says market research firm Gartner. As consumer usage on smartphones goes much beyond voice calling and texting, that market has become a veritable hotspot for content consumption and mobile advertising. Facebook Twitter Linkedin Email

Consolidation drives GSM additions
Daily News & Analysis
Telecom operators do not seem to be perturbed over the regulatory uncertainty and prospects of a steep rise in licence costs as they continue to be aggressive on subscriber additions through tariff cuts and other incentives. According to the latest Cellular Operators Association of India, GSM players reported a 12% rise in net subscriber additions at 7.27 million in May over 6.49 million additions in April. Facebook Twitter Linkedin Email

The telecom cable industry shows signs of revival
Voice & Data Online
Dealing with a huge crisis for the past few years the telecom cable industry has shown some signs of revival. The market was going from bad to worse with an intensive price war among the cable manufacturers and losses y-o-y. However FY12 has brought a huge smile to the manufacturers as industry shows positive growth with overall market clocking revenue of 1,422 crore in FY12 from 1,299 crore in FY11 showing a promising growth of 9 percent. Facebook Twitter Linkedin Email

45.89 million subscribers opted for mobile number portability till April: TRAI
Economic Times
The total number of subscribers opting for mobile number portability (MNP) has risen to 45.89 million, with Karnataka receiving the maximum number of 5.11 million requests till the end of April, according to official data released by the Telecom Regulatory Authority of India (TRAI) on Wednesday. MNP allows users to switch operators while retaining their mobile numbers. Karnataka was followed by Andhra Pradesh and Gujarat where 4.44 million and 4.23 million subscribers opted for the service. Facebook Twitter Linkedin Email

Android grew by 500% in India in one year
Times of India
At its I/O event for developers in San Francisco, Google revealed that Android grew by 500% in India in the last one year. "Android is a truly global phenomenon. We now have 400 million Android devices. In countries like Brazil, India and Thailand we have seen it grow by 500% in the last one year," said Hugo Barra, Director of Product Management, Android. He added that one million new Android devices were activated every day. Facebook Twitter Linkedin Email

Hurdles to mobile Internet
Calcutta Telegraph
Indians are willing to pay only Rs 100-150 per month for mobile data services, and the current price points along with spectrum availability issues are hampering the success of mobile Internet, according to Google. The U.S. Internet giant, which derives more than 95 percent of its revenues from online advertising, is in talks with 3G service providers on pricing. At present, the operators charge between Rs 250 and Rs 450 for up to 2GB of 3G data download per month. "Globally, we are partnering carriers to reduce (prices of) 3G data plans. In India, we will announce some plans on this front soon," Lalitesh Katragadda, Country Head (India product), Google, said. Facebook Twitter Linkedin Email

Telecom gear market opens up to newbies
mydigitalfc.com
A silent revolution is unfolding in the telecom hardware space in the country with little known Indian gear makers venturing into frontier technology to roll out 4G network equipment in direct competition with global heavyweights such as Ericsson and Nokia-Siemens Networks. Boutique firms like PointRed Telecom and Kavveri are honing their R&D skills and erecting dedicated assembly lines in the country to carve a slice of domestic and global markets for themselves. Right now, these outfits are either setting up greenfield projects, expanding existing capacities or moving acquired units to India. Facebook Twitter Linkedin Email

  Insight 
How Wi-Fi Will Change the Mobile Industry as We Know It
Cisco
In 97 countries around the world, there are now more mobile devices than people.1 No wonder mobile networks are clogged with massive amounts of new traffic! Mobile operators are struggling with how to provide the mobile broadband experience customers expect, in a cost-effective, scalable, and profitable manner. Wi-Fi, the "silent sleeper" of wireless access networks, may hold the answer.

Indian Telecom Industry- 2012 Performance Report Summary (Premium) - View Free Sample
The Indian telecommunications industry in FY12 had nothing much to cheer about having burnt its fingers with 3G and the only bright spot being 4G emerging in the scene as a wiser opportunity. It was 2011 déjà vu for the Indian telecommunications industry in FY12 and the erstwhile poster boy of Indian growth story offered us nothing more than a flashback of what happened in 2011. Same old story. The industry did not see much growth, lacked momentum, lagged in finalizing deals and the stakeholders wore a pale look throughout the year. As if the industry did nothing the entire year and was sitting idle. Yes, to a great extent it was sitting idle. The hype of 3G wave expected to sweep across the length and breadth of the country, remained only in the air. And the operators who had put all their flesh and blood during the auction to get spectrum and licenses, did not do anything significant to reach the masses and lacked substantial 3G offerings.

Telecom Towers- 2012 Industry Report (Premium) - View Free Sample
3G's failure has brought down the much promising tower segment to its knees. The unexpected failure of 3G hiteach and every stakeholder of the Indian telecommunications industry, and the telecom tower segment was no exception. Slower than expected offtake of 3G rollouts, and the delay in rolling out the BWA networks, even after a year of paying out the license fees, has forced the tower segment to display a reluctant performance. 3G rollout being limited to the top 40 cities in India and the primary focus being on upgrading and utilizing the existing infrastructure, has pulled the segment down. According to VOICE&DATA estimates, the telecom tower industry added a mere 7,213 towers in fiscal 2011-12 flat growth. The key players in the telecom tower business are Indus Towers, Bharti Infratel, Viom Networks, GTL, American Towers, BSNL, and MTNL.

The Seva Group

Your organization may already have powerful reporting and business intelligence solutions, but they are likely not of much use on a 3.5 inch screen. Fortunately, mobile specific reporting solutions have begun to reach critical mass, with some robust options available both in the native and mobile web space.


McGraw-Hill Research Foundation

Mobile technology, or cellular communication technology, has burst into business culture faster than many companies can capitalize on its benefits. From wireless networks to personal communication devices, businesses are increasingly using mobile technology in a variety of settings for a variety of reasons. This paper explores the advantages of mobile learning, or mLearning.


Wireless Infrastructure- 2012 Performance Report Summary (Premium) - View Free Sample
Slow pick up of 3G and lack of 4G ecosystem led to the downfall. The wireless infrastructure segment in FY12 was dependent on 2G and 3G as one could not see large scale deployment of 4G network. In case of 2G, it was more of capacity expansion in B and C class circles whereas in case of 3G there was a lot of hope initially which died down as network was unable to deliver due to lack of proper backbone infrastructure. In case of 4G, lack of proper ecosystem delayed things and it is expected that large scale deployment will happen only in 2013, once operators launch their networks in couple of cities in this fiscal. All the vendors be it Alcatel-Lucent, Ericsson, Huawei, NSN, and ZTE have focused on 2G and 3G. In 2G, the focus is on value added services whereas in 3G, the focus is on improving consumer's experience. Focus is also on improving backbone and access network so that consumer can get better experience.

Can Sony be a smartphone without Ericsson (Premium) - View Free Sample
Sony Xperia S is the first product from Sony Mobile Communications after Sony bought out Ericsson's 50 per cent stake in Sony Ericsson. Can Sony be a 'smart'phone without its old partner? Over the years, Sony has built a reputation for itself as a premium brand in the consumer electronics business and enjoys a loyal customer base. However, it needs to recreate the same aura in the mobile segment which was earlier run in partnership with the Swedish handset maker, Ericsson. It needs to establish its new brand identity as a mobile player in the minds of the consumers, who till now associate Sony with consumer electronics.

Telecom Cables- 2012 Industry Report (Premium) - View Free Sample
Dealing with huge crisis for some time, telecom cable manufacturers are riding high as FY12 brings in promises of growth. Dealing with a huge crisis for the past few years the telecom cable industry has shown some signs of revival. The market was going from bad to worse with an intensive price war among the cable manufacturers and losses y-o-y. However FY12 has brought a huge smile to the manufacturers as industry shows positive growth with overall market clocking revenue of Rs.1,422 crore in FY12 from Rs.1,299 crore in FY11 showing a promising growth of 9%. Sterlite, Birla Ericsson, Finolex Cables, Vindhya Telelinks and Aksh Optifibre contributed a major chunk of the market share. Sterlite remained a leader with total revenue for telecom cables at Rs.804 crore in FY12 followed by Aksh Optifibre with Rs.171 crore.

Technology Synergies for Small-Cell Backhaul in 4G Networks
Intracom Telecom
The evolution of 4G networks will initially be realized through the LTE transformation of macro cells, and ultimately through the deployment of small cells that will increase the size and capacity of the network. A significant advantage of the small-cell approach is the low cost of ownership. The associated challenge is to select an appropriate backhaul solution that would fit the small-cell concept, technologically and economically- wise. This paper examines the available state-of-the-art technologies for small-cell backhaul in the 2 GHz and 80 GHz frequencies, namely Point-to-Point (PtP) and Point-to-Multi Point (PtMP). While every technology exhibits distinct advantages, as well as some constraints, currently, none of them can be considered as generalized solution.

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