Telecommunications Industry:Trends, Challenges & Opportunities

49,473 views

Published on

Telecommunications Industry:Trends, Challenges & Opportunities.
Dr. Sayeed Ghani
IBA, Center for Computer Studies.
15th December, 2007

Published in: Business, Career

Telecommunications Industry:Trends, Challenges & Opportunities

  1. 1. Telecommunications Industry: Trends, Challenges & Opportunities Dr. Sayeed Ghani IBA, Center for Computer Studies 15 th December, 2007
  2. 2. Overview <ul><li>Market Trends </li></ul><ul><li>Technology Trends </li></ul><ul><li>Challenges/Opportunities </li></ul>
  3. 3. Tech Stocks Have Outperformed S&P500 YTD… <ul><li>Although Tech Stocks underperformed market in 6 of last 7 years </li></ul><ul><li>Tech stocks outperformed the market in 2007 </li></ul>
  4. 4. Telecomm Industry <ul><li>$1.5 Trillion global revenues </li></ul><ul><li>Telecommunication Equipment: $70B Worldwide Spending </li></ul>
  5. 5. Pakistan Mobile Industry Growth in Subscribers
  6. 6. Worldwide Growth: Fixedline vs. Mobile Telephone and Internet Users Worldwide (Millions)
  7. 7. Private ownership worldwide 1991 – 2007
  8. 8. ICTs become more available But disparities persist between regions … Penetration of major ICTs by region, 2005
  9. 9. International Internet Traffic and Capacity, 2003-2008
  10. 10.
  11. 11. Voice over IP <ul><li>Growth in number of worldwide VoIP subscribers was about 90% in 2006 </li></ul>
  12. 12. Optical Networking Breakthrough! Capacity Increase & reduction in costs
  13. 13. Data Explosion <ul><li>Storage Data is increasing at a staggering rate: </li></ul><ul><ul><li>World wide data stored on computer hard disks is increasing at a rate of 30%; about 10 Exabytes (10 18 ) each year – equivalent to about 70,000 libraries of congress, each with 17 million books! Accounting for a $70 B industry. </li></ul></ul>
  14. 14. Changing Characteristics: Hello Social Networking!
  15. 15. New Traffic Characteristics
  16. 16.
  17. 17.
  18. 18.
  19. 19.
  20. 20. <ul><li>Market Trends </li></ul><ul><li>Technology Trends </li></ul><ul><li>Challenges/Opportunities </li></ul>
  21. 21. Convergence - Industry
  22. 22. Mobile/Wireless Trends
  23. 23. Wireless technologies target segments.
  24. 24. 802.16 Fixed WiMax / 802.11
  25. 25. 802.16e Mobile WiMax
  26. 26. The Wireless Vision: A Disappearing Technology An example: The light bulb Penetration Time Exclusive ” Everyone” has it Vanishing technology In almost every home Why isn’t there an outlet here? In a few homes 1900 1950 2000
  27. 27. Overview <ul><li>Market Trends </li></ul><ul><li>Technology Trends </li></ul><ul><li>Challenges/Opportunities </li></ul>
  28. 28. <ul><li>Technology vs. Privacy </li></ul><ul><li>Location Tracking </li></ul><ul><li>Mobile phone can spy even when off: Roving bug! </li></ul>
  29. 29. Pakistan: Progress in ICT <ul><li>The Telecom Industry – phenomenal growths: </li></ul><ul><ul><li>Attracting one of the highest Foreign Direct Investment in Pakistan </li></ul></ul><ul><ul><li>Deregulation of the telecom sector </li></ul></ul><ul><ul><ul><li>Six mobile companies </li></ul></ul></ul><ul><ul><ul><li>14 LDI & 18 WLL companies </li></ul></ul></ul><ul><ul><ul><li>cutting edge new services at lower costs </li></ul></ul></ul><ul><ul><li>number of cell phone subscribers from 0.2 million to about 70 million (last 7 years) </li></ul></ul><ul><li>The Internet Industry – phenomenal changes: </li></ul><ul><ul><li>The number of cities connected to the Internet: from 29 to about 2400. </li></ul></ul><ul><ul><li>Tariffs for PTCL’s International Internet bandwidths: from US$87,000 to US$1,000 per month for a 2MB circuit. </li></ul></ul><ul><ul><li>number of Internet users: from 200,000 to over 12 million. </li></ul></ul>
  30. 30. Growth of ICT Usage <ul><li>Banking Sector </li></ul><ul><ul><li>Focus on Technology – competitive edge </li></ul></ul><ul><ul><li>Numbers of ATMs in Pakistan: tripled in the last 5 years to around 1500 ATMs across 30 major cities </li></ul></ul><ul><ul><li>ATM networks: 1 Link and MNET </li></ul></ul><ul><ul><li>The number of online branches in Pakistan: from 400 in 1999 to 2,000+ at present </li></ul></ul><ul><ul><li>E-enabled plastic cards in banks: from 0.3 million in 1999 to over 4 million </li></ul></ul>
  31. 31. Issues & Opportunities <ul><li>Network Readiness Index </li></ul><ul><ul><li>Network Readiness Index Pakistan Ranked 67/115 in 2005 and now down to 84/122 in 2006/07 </li></ul></ul><ul><ul><li>Pakistan still categorized in the Low Access Category </li></ul></ul><ul><ul><li>Total Teledensity in Pakistan at ~ 45% </li></ul></ul><ul><ul><li>However rural Teledensity ~ 1% </li></ul></ul><ul><li>The BPO industry </li></ul><ul><ul><li>E.g. Call Centers, data processing, MT </li></ul></ul><ul><ul><li>$150+ bn (India has over $10 bn share growing at 70%) </li></ul></ul><ul><ul><li>Potential to provide large scale job opportunities </li></ul></ul>
  32. 32. Thank You!

×