TELECOM SUBSCRIPTION IN INDIA CROSSES 500 MILLION MARK Total Telephone subscriber base reaches 509 Milliono Wireless subscription reaches 471.7 Milliono Wireline subscription declines to 37.3 Million 14.98 Million new additions in Wireless Wireline subscription declines by 0.02 Million Overall Tele-density reaches 43.50 Broadband subscription is 7.21 million
Wireless-TT Info Service Limited (WTTIL)Quippo Telecom Infrastructure Limited (QTIL)
Hightlight the effect of Tata docomo’s per second billing.
In India market-share is completely different - than
S. P. Jain Institute of Management & Research<br />Post Graduate Program in Management<br />Information Management<br />2009<br />Telecom Sector in India<br />Business Environment Domain Study Presentation<br />20th Nov 2009<br />Anjana Rao, Prachi Joshi, Puneet Taneja, Sandeep Sreenivasa<br />
Agenda<br />BE - Domain Study - Telecom<br />2<br />
History of Telecom in India- I<br />BE - Domain Study - Telecom<br />4<br />First Military Landline from Fort William to Lalbazaar (Calcutta ) by the British Govt<br />Merger with the Postal service <br />Merger of ETC &IRT to form (IRCC) Indian Radio Telegraph Cable Company<br />First Civil landline service introduced for the British Viceroy and his team <br />Formation of Indian Radio Telegraph Company (IRT)<br />Formation of Posts Telephone & Telegraphs under Ministry of Communication<br />
History of Telecom in India- II<br />BE - Domain Study - Telecom<br />5<br />DOT established separate from Postal system <br />For 3 months in a row India beats China for the maximum subs added every month<br /><ul><li>Cellular service launched.
Agenda<br />BE - Domain Study - Telecom<br />19<br />
India’s Competitive Advantage<br />BE - Domain Study - Telecom<br />20<br />Fastest growing free market democracy<br />Cost advantage in product development and back office processing<br />Stable economic outlook – Decade long reforms<br />Huge market potential – one of the largest consumer markets<br />Large talent pool<br />Source: www.telenor.com<br />
BE - Domain Study - Telecom<br />21<br /><ul><li>Intensive competition in the country has made it possible for service providers to offer the services with lowers fare in the world, profitability,
Many new handset have been launched.</li></ul>Porter’s Diamond Model<br /><ul><li>India has a large middle class of 300 million,
Growing affordability and lifetime free schemes have care a market at the bottom of the pyramid.
Teledensity (~43.5%) offers huge future potential.</li></ul>Firm strategy structure and rivalry.<br />Chance<br />Factor Conditions<br />Demand conditions<br />-The government extends full support to industry through reform processes.<br />- Policies are in place to safeguard the interests of service providers, as well as those of consumers.<br /><ul><li>Presence of skilled labour pool.
Increasing demand due to changing lifestyles and growing attraction for mobiles with new features.</li></ul>Related and supporting industries<br />Government<br /><ul><li>Competent handset manufacturers have produced the lowest priced handsets for the Indian market.
Handset players are setting up manufacturing bases in India for better operation management.
Many telecom and equipment and software companies are based in India.</li></ul>Source: IBEF Report<br />
FDI in Telecom Sector<br />BE - Domain Study - Telecom<br />22<br />Third largest sector to attract FDI in India<br />Source: IBEF Report<br />
Agenda<br />BE - Domain Study - Telecom<br />23<br />
VAS (Value Added Services)<br />SMS<br />VAS services, Bulk Messaging, B2B and B2C<br />Voice IVR<br />Mobile Radio, Voice chat, English Learning, Devotional and Astrology, Music on Demand<br />Content downloads<br />Mobile WAP Portal<br />Consumer Applications <br />Enterprise solutions : Mobile CRM, Mobile SFA<br />CRBT (Caller ring back tones)<br />USSD<br />Message along with *141#<br />Flash alerts<br />
VAS offerings<br />BE - Domain Study - Telecom<br />25<br />
VAS market in India<br />BE - Domain Study - Telecom<br />26<br />VAS: Not a form of basic service but adds value to the total service offering <br />Contributes to 10% of total revenue from telecom operators<br />The corresponding figure in developed nations is ~25%<br />
Alternate Technologies (Solar/Wind for power back-up)</li></li></ul><li>Road Ahead<br />BE - Domain Study - Telecom<br />44<br />Highest Number Not Connected People<br />
References<br />Trai – Quaterly Report (Nov 2009).<br />IBEF report 2007-08 : Telecommunication - MARKET & OPPORTUNITIES.<br />Cellular Statistics – Cellular Operator Association of India<br /> IAMAI & eTechnology Group@IMRB: MOBILE VALUE ADDED SERVICES IN INDIA- A Report.<br />Telenor Entering India: Investment Update<br />Voice and Data(May 2009): Mobile Number Portability - Poaching with Portability.<br />Business India : Telecom Takeover, Bharti-MTN deal<br />BE - Domain Study - Telecom<br />45<br />Thank You for Your Attention !<br />