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MIS presentation on Skype business model
 

MIS presentation on Skype business model

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MIS presentation on Skype business model

MIS presentation on Skype business model

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    MIS presentation on Skype business model MIS presentation on Skype business model Presentation Transcript

    • Skype MIS presentation
      09BM8078
    • Introduction to telecom scenario
      Economy, services, industry
      Telecom industry growth: The government has also legalized Internet telephony (Voice over Internet Protocol or VOIP for short) April 1, 2002
      Major players and challenges
      Opportunities
    • New world order
      Emerging areas
      New services: basic telephony, PC-to-landline/mobile/PC calls, IMs, video calls, video-conferencing, file-transfer
      Players: Skype, Gtalk, Jajah, Yahoo’s VoIP, Lycos, phone.com, AltiGen, Micrsoft
    • Gossip is the human equivalent of'social grooming' among primates
    • Skype Introduction
      Software that enables the world's conversations.
      Millions of individuals and businesses use Skype to make free video and voice calls, send instant messages and share files with other Skype users.
      Everyday, people also use Skype to make low-cost calls to landlines and mobiles
    • Skype is a communications tool
      Humans are really, really, interested in things that help us communicate with each other more and better.
      From cave paintings to mobile phones, it’s always the same.
      And this is even more true for young people. They are forging their social identity through conversation.
    • Nature of services
      voice calls over the Internet Calls to other users of the service and, in some countries, to free-of-charge numbers, are free, while calls to other landlines and mobile phones can be made for a fee. Additional features include
      instant messaging,
      file transfer and
      video conferencing
    • Skype is free
      • Free is quite interesting to people. Especially free and good.
      • And it’s more interesting still to impoverished young people!
      • If you tell your friends to get Skype too, you can talk for as long as you like without worrying about the cost or the distance.
    • Skype’s success
      0 to customers in 2.5 years.
      Nearly 200 million customers today.
      Still growing at 200,000 new users every day.
    • Right idea, right time
      There was plenty of internet calling software before Skype. But it didn’t work very well, and lots of people still had slow dial-up internet connections. Plus it was called VoIP, which was a bit off-putting.
      Skype was called Skype instead, and it just worked. And it arrived just as lots of people were starting to get broadband internet access.
      It’s a very ‘native’ product for young people.
    • Simple and easy
      Skype worked really hard on making Skype as easy to install and use as possible.
      We knew it was easy enough when Geoffrey’s grandma could use it. (Geoffrey is one of the original Skypers.)
      Ease of use is important for busy young people too. Hence the iPod, people moving to Facebook…
      • Facebook group
    • Giving influencers new stuff
      Skypecasts are a new way to have conversations with people across the world who share your interests.
      Pick a subject you’re interested in from the directory, and join a hosted call with up to 100 other people from around the world.
      Our early-adopter influencers are helping us pioneer and shape this new way of communicating.
    • Skype feels free
      Skype is free. More than that though, it feels free.
      Free helps people realise that Skype is a different kind of company.
      We took something that big companies charged quite a lot for, and gave it to you for free. Nice, eh?
    • Skype does a lot
      It’s a fast world. People get bored quickly.
      Part of being committed is keeping doing stuff – it’s not good enough to have done it once.
      The advertising industry’s idea of the reductive ‘big idea’ is no use here.
      It’s about doing lots of little things, that all add up to a rich, complex and involving brand.
    • What didn’t work?
    • What is Video Conferencing?
      • Interactive telecommunication technology
      • Conference between two or more participants at different sites by transmitting audio and video data
      • Tools: Video camera, microphone, speakers on device
    • Video Conferencing Cell Phones: A Bust!
      • Buy a specific phone
      • Cost of the cell phone is expensive
      • Poor image and sound quality
      • Position of the camera is in the back of the phone
      • Awkward
      • Pointless
    • Video Chat Software
    • Skype
      • Software application that allows users to make voice and video calls over the Internet
      • Initial names: “Sky peer-to-peer” and was abbreviated to “Skyper”
      • Since the domain name was taken, the creators dropped the “r” and left the current title “Skype”
      • Special features:
      • Conference Calls with multiple people
      • Send Files instantly
      • Connect to your land line
      • Get your calls forwarded when you’re offline
      • Send Text from skype
      • Incoming calls from anyone
      • Great for individuals and businesses
      • Affordable
      • Free: Both users having Skype accounts
      • Pay as you go or Monthly payment
      • Calls to landlines and call phones
    • Top 3 Video Conferencing sites
      • iChat
      • Must have Mac computer
      • expensive
      • 2009: est. 12%
      • Most businesses use PC
      • Google Talk
      • Both parties have to have gmail account
      • Skype
    • Skype in a Business Aspect
      • Great way to communicate in real time
      • A way to communicate without physically being there
      • Can work anywhere at anytime
      • Better communication
      • Less errors: everyone can look at the document at the same time and communicate
      • Changes are visible
      • Deal with off shore clients
      • Establish and maintain business relationships
      • Improves Customer service
    • Skype and Education
      • Video conferencing with authors
      • Tutor session
      • Language tutor around the world
      • Study sessions
      • Great way to Q & A with teachers and T.As
    • Porter’s model analysis
      New Market Entrants
      Buyer Power
      Supplier Power
      Competitive Rivalry
      Product and Technology Development / Substitutes
    • Competitive Rivalry
      • Jajah: . The service requires no client to download, and doesn't actually use a user's PC to make the call.
      • Yahoo's VoIP Yahoo Messenger
      • Lycos : A bundle of freebies
      • PHONE.COM : With no hardware to purchase, no switching of business phone systems provider
      • VIA TALK : A bouquet of services
      • 8X8 INC. :
    • Buyer Power
      Cost
      Access
      Features
      Quality - video, voice
    • Supplier Power
      IT-Infrasturcture companies e.g. Cisco
      Voice/Video Carrier
    • New Market Entrants
      • MICROSOFT :
      As the VoIP (Voice over Internet Protocol) market continues to grow,
      computing heavy weight Microsoft have announced plans to enter the market with
      the release of their Office Communications Server.
      • AltiGen :
      AltiGen, a provider of VoIP business phones and Microsoft-based Unified
      Communications offerings, has signed a deal with Italian distributor and telecom
      equipment vendor Hypercom.
      The move will allow Hypercom to sell and distribute
      AltiGen VoIP products to companies through Telecom Italia.
    • Subsitutes
      Mobiles with 3G/2G
      Landlines
      Video-conferencing
    • SWOT Analysis
      Strengths
      E-bay
      Skype’s brand equity
      User base
      Conducive environment for growth
      Users
      Culture
      Infrastructure
      Skype-to-Skype calls accounted for 54 billion out of a total of 406 billion international call minutes in 2009.
    • Strengths
      Skype is confident of maintaining its growth in customer numbers of about 30-35 million per quarter for some time to come
      reported more than $550 million in sales for 2008, with $145 million in the fourth quarter, up 26 percent on a year ago.
      By the end of 2008, the company had 405 million customers, up 47 percent in a year.
    • Weaknesses
      • Low penetration of broadband
      • relatively low visibility
    • opportunities
      BPOs and call-centers
      Collaborations with leading Indian ISP (like Airtel, Satyam etc) or portals (like rediff , indya.com etc) and bundle free downloads (same strategy followed by Skype in China , Japan)
      Aggressively Advertise Skype out charges in Indian Media
      Plunging broadband rates , large no of citizens, customer base living/working abroad ,booming economy and sheer numbers makes India and also China very good markets and worth fighting for in future
    • In February Skype secured a deal with Nokia under which the world's biggest phone maker will preload Skype software into some of its new smartphones.
    • Threats
      High growth means highly competition
      Easily available subsitutes
      Technology ever changing
      Intelligence agencies
      Majority of people extensively portals like Yahoo, MSN or rediff for checking emails/search/IM
      Skype’s two day outage
    • Growth and financial impact
      Skype-to-Skype calls accounted for 54 billion out of a total of 406 billion international call minutes in 2009
      Skype is confident of maintaining its growth in customer numbers of about 30-35 million per quarter for some time to come
      Reported more than $550 million in sales for 2008, with $145 million in the fourth quarter, up 26 percent on a year ago.
      By the end of 2008, the company had 405 million customers, up 47 percent in a year.
    • Summary
      A great Web 2.0 business
      Significant growth opportunities
      Leverage on the brand
      Buzzes quite well with everyone!
    • Thank you