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Table of Contents
Executive Summary 3 1 Indian Telecom Industry 4 1.1 History 4 1.2 Quick Facts 4 1.3 Telecom services 4 1.4 Industry Sectors 5 1.5 Growth Avenues 6 1.6 Industry Revenue (2002-2010 8 1.7 Subscriber Growth 8 1.8 Major Players 9 1.8.1 Wireless Service Providers (Market share 10 1.8.2 Handset Manufacturers (Market share) 11 1.9 Major Investments 11 1.10 Rural Telephony 11 1.11 Exploring the rural telecom opportunity 11 1.12 Policy Initiatives 12 2 Telecom Regulatory Authority of India (TRAI) 13 2.1 Mission 13 2.2 Role of TRAI 13 2.3 Recommendatory Functions 13 2.4 Mandatory Functions 13 2.5 Other functions 14 3 Spectrum Auctions in India Vis--vis Worldwide 15 3.1 Spectrum Auction Scenario in India 16 3.2 Gaps in Indian Spectrum Auction Licensing Scenario 16 3.3 3G Spectrum allocation policy in India 17 3.4 Comparison-Spectrum Allocation Policy in UK 18 4 Indias Competitive Advantage 19 4.1 Stable Economic Outlook 19 4.2 Large Market Potential 20 4.3 Large Talent Pool 20 4.4 Low Labour Cost 21 5 Point of Sales (POS) 21 5.1 The Road Ahead 23 5.2 Gradual Progression in Telecom Sector 23 5.3 Acquiring New Subscribers through expansion in Rural India 24 5.4 Selling More to Existing Subscribers 24 5.5 Government Initiatives 24 5.6 The reasons for the increasing importance of MVAS can b classified as: 24 5.7 Defining VAS 25
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Executive Summary
The rapid growth in Indian telecom industry has been contributing to Indias GDP at large. Telecom industry in India started to set up in a phased approach. Privatisation was gradually introduced, first in valueadded services, followed by cellular and basic services. Telecom Regulatory Authority of India (TRAI), was established to regulate and deal with competition (the service providers). This gradual and thoughtful reform process in India has favoured industry growth. Upcoming services such as 3G and WiMax will help to further augment the growth rate.The Indian telecommunications industry is one of the fastest growing in the world and India is projected to become the second largest telecom market globally by 2010. This is evident from the facts of Telecom Industry for example, India added 113.26 million new customers in 2008, the largest globally. The countrys cellular base witnessed close to 50 per cent growth in 2008, with an average 9.5 million customers added every month. This would translate into 612 million mobile subscribers, accounting for a tele-density of around 51 per cent by 2012. It is projected that the industry will generate revenues worth US$ 43 billion in 2009-10. In this report we have tried to capture most of the areas of Telecom Industry. Major highlights of the report are History of Telecom Industry, Current Industry Analysis, Role of TRAI, Spectrum allocation, FDI Regulation, Competitive advantages, Outsourcing in Telecom, Emerging
India has a prospering market specifically in GSM mobile service and the number of subscribers is growing very fast.
From holistic point of view telecom industry can be divided to four sub-sets. The major forces in Indian telecom industry are Service providers. All major telecom equipment suppliers have their R&D centers in India. In last 5 years, global giants in mobile devices have set up their manufacturing facitilities in India. The discussions in this document is mainly restricted to only Telecom Service Providers.
Managed services is another segment that is attracting telecom companies. On account of the rapidly growing subscriber base, service providers find it difficult to manage their infrastructure and network management operations. In such cases, they completely or partially outsource their infrastructure or network management operations.
To reduce their network deployment costs, many service providers are considering infrastructure sharing offers the following advantages: Improved service quality Increased affordability for customers Faster roll out of services in rural and remote areas Significant reduction in initial set up costs Increased environmental aesthetics Lower operating costs for service providers
Enterprise Telecom Services includes key services, such as voice over Internet protocol (VoIP), dedicated telecom communication systems; IT infrastructure enabled unified communication services, etc. Telecom service providers are increasingly targeting enterprises by providing dedicated services and is expected to witness major developmentsin near future.
Virtual Private Network is a private data network that provides connectivity within closed user groups via public telecommunication infrastructure. Competition is likely to heat up in the VPN segment as DoT has relaxed the norms for private players. 3G The Indian government plans to auction the spectrum for 3G services by inviting bids from domestic as well as foreign players, and creating a competitive environment that offers better services to consumers. Therefore, the 3G spectrum is among the major investment opportunities and growth drivers of the telecom industry. The immense potential for 3G is reflected by the 3040 percent annual growth in Value-Added Services. Cell phone manufacturers are striving to develop USD 100 priced 3G handsets for the Indian market. India expects to replicate its 2G growth in 3G services. WiMAX has been one of the most significant developments in wireless communication in the recent past. Since this mode of communication provides network access in inaccessible locations at a speed of more than 4 Mbps, it is expected to be a major factor in driving telecom services in India, especially wireless services. Thus, it will lead to the increased use of telecom services, Internet, valueadded services and enterprise services. WiMAX is expected to accelerate economic growth and assist in providing better education, healthcare and entertainment services.
It is estimated that India will have 13 million WiMAX subscribers by 2012. Aircel is the pioneer in WiMAX technology in India. The state-owned player, BSNL, aims to connect 74,000 villages through WiMAX. Bharti, Reliance and VSNL have acquired licenses in the 3.3GHz range to utilise the opportunities offered by this domain.
Value Added Services:The VAS industry was worth USD 632 million in 200607. The industry is estimated to grow by 60 percent in 2007 08 and become an USD 1,011 million opportunity.
The VAS industry is currently focussing on the entertainment sector, such as the Indian film industry and cricket; however, there is scope for growth in other avenues as utility-based services, such as location information and mobile transactions. Rural Telephony: As the government targets to increase rural teledensity from the current 2 percent to 25 percent by 2012, rural telephony will require major investments. This segment will boost the demand for telecom services, equipment, Internet services and other value-added services; thereby, offering great market opportunities for telecom players.
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Bharti-Airtel leads the wirless market with 24% market share. The company recently achieved the magic figure of 100 million subscribers. However, Bharti-Airtel expects a bloodbath in the Indian telecom market in the near future, and is looking to spread its risks by entering new geographies (Bharti-MTN deal is discussed in Industry Update Section). With 12-13 players present in the market there would be a severe pressure on margins. Be it an Aircel or Etisalat, the new operators would not remain fringe players in the Indian market, but would try and rock the applecart of existing operators. The growth in Indian market could start tapering off very soon. According to an industry expert the subscriber base will not expand beyond 800 million in coming years from current number 400 million. Also, ARPUs in India have steadily falling($5-$6). There have been talks about 3G and IPTV pushing growth, but it all seems far-fetched. The third generation of mobile services (3G) will be used by telcos to gain more spectrum. Besides, the services will be used only in urban areas.
Source: www.coai.com
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The Department of Telecommunications (DoT) has stated that foreign telecom companies can bid for 3G spectrum without partnering with Indian companies. Only after winning a bid, would they need to apply for unified access service licence (UASL) and partner with an Indian company in accordance with the FDI regulations.
One of the main objectives of TRAI is to provide a fair and transparent policy environment which promotes a level playing field and facilitates fair competition. In pursuance of above objective TRAI has issued from time to time a large number of regulations, orders and directives to deal with issues coming before it and provided the required direction to the evolution of Indian telecom market from a Government owned monopoly to a multi operator multi service open competitive market. The directions, orders and regulations issued cover a wide range of subjects including tariff, interconnection and quality of service as well as governance of the Authority. The functions of TRAI can be divided as : Recommendatory function and Mandatory Function.
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Source: www.telenor.com
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In addition, it will be a good solution for education, telemedicine, etc. Even if 2 per cent of the 180 million cellular subscribers adopt 3G technology as soon as it is launched, it is likely to create an initial subscriber base of 3.6 million. The market is slated to capture more than 11.3 per cent of all mobile subscribers by 2010, i.e., 21.3 million people. Therefore, it would not be incorrect to assume that 3G is poised to create the next mobile revolution in India. In the race towards lowering the entry barrier for 3G services, companies plan to offer bundled service packages with subsidised handsets.With regard to its business potential, many national players have already completed 3G trials. BSNL has charted out a plan for launching 3G services in 250 cities. Private players, such as Bharti, Reliance and Idea, are also ready to offer this service in 10-20 major Indian cities. However, Airtel and MTNL are very keen on leveraging their first mover advantage in this field. In June 2009 the DoT (Department of Telecom) in India has announced the radio spectrum that will be made available when 3G licenses are eventually auctioned off.It could be the case that just 4 Operators are given radio spectrum around Delhi - given that two incumbents (BSNL and MTNL) already have some licenses in each zone, then that would be just the possibility of two new Operators coming to play. In other areas, there is apparently going to be more provision for private players - meaning up
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According to the 2001 census, about 54 per cent of the countrys total population was below 25 years of age. By 2013, another 200 million people will be joining the league, representing an exponential growth in the consuming class. India will become a large consumer of world resources - be it natural or man-made, thereby offering numerous opportunities to marketers around the globe. Approximately 33 per cent of Indias population will be residing in urban areas by 2026, as against 28 per cent in 2001.
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HISTORY
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The recent TRAI recommendation permitting PC-to-phone calls where ISPs can offer cheaper STD calls and even free local calls. This would result in
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5.6 The reasons for the increasing importance of MVAS can be classified as:
Decrease in ARPU despite increase in MOU: Though the subscriber base is growing at a rapid pace and has positively impacted industry revenues, operator margins also have shrunk owing to competition and lower Average Revenue per User (ARPU) as the major growth is coming from bottom of the pyramid. As ARPU
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Number of Licensees: With increasing number of licensees (98 UASL, and 37 cellular licenses) in the telecom space the average numbers of operators in many circles have increased to 5-6 operators offering more choices to the consumer. Thus the competition among the operators has increased tremendously. Therefore it is very important for them to differentiate themselves from the others. Now that voice has got commoditized these operators are using MVAS for their differentiation and marketing these services heavily for creating awareness among the consumers. Decreasing Call Rates: In order to attract consumers with relatively low purchasing powers primarily from Semi Urban and Rural India the operators have drastically reduced the call rates making it affordable to even the lower segment of society. The tariff in India is one of the lowest at Rs.1 per minute as compared to the tariff in developed nations like USA and UK where the call rates are Rs.13 and Rs7-8 respectively. 3G bidders who are non operators: The arrival of new technologies will give rise to greater competition as many non operators are also bidding for the 3G licenses. Department of Telecom has planned to allow five 3G operators in each circle depending on the availability of spectrum.Therefore there would be a greater need to differentiate one self in order to attract new customers and retain the existing ones. Saturation in Metro and Urban Market: The metro/urban areas offer high level of penetration and have significant mobile subscribers. In such a highly saturated market with the entry of MVNOs the competition will get fierce. Therefore capitalizing on value added services will give operators opportunity to increase ARPU by providing premium services. Increasing need and demand from consumers: In addition to the above supply side reasons the pull effect from consumers asking for more than just basic telephony is also a key driver for MVAS services. Today most of the consumers are seeking more from their communication device apart from just mobility and desire to stay connected. As we have seen, Telecommunication has moved beyond providing just basic voice calls. The mobile phone has evolved from a mere communication device to an access mode with an ability to tap a plethora of information and services available in the ecosystem. This is the reason why it is now being referred to as the fourth screen, after Cinema halls, Television and PC.
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A value added service may demonstrate one or more of these characteristics and not necessarily all of them. In some cases, the value added service becomes so closely integrated with the basic offering that neither the user nor the provider acknowledge or realize the difference. A classic example is of P2P SMS. Some of the operators do not consider P2P SMS as part of their VAS revenue.
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This clearly indicates that the consumer today engage more in text based services than the web based applications. Therefore for MVAS to grow to its full potential the handset manufacturers will have to look at ways to manufacture GPRS enabled phones which are affordable and user friendly. Moreover they would also need to increase its awareness and educate the consumers on how to use GPRS.
5.9.2 3G Handsets
The market for 3G in the country is expected to be huge with over 65 million wireless subscribers, who use their handsets to access data services on the Web. These subscribers are currently using mobile handsets which are internet-enabled and are potential broadband subscribers with the deployment of advanced wireless technologies such as 3G. According to Indian Cellular Association (ICA) about 5% of mobile users already have handsets that can work on 3G spectrum. In addition, out of all those possessing the 3G enabled handsets the number of people who would use 3G services would be determined by the quality of content available. Unlike most other countries, we are looking at 3G services not only as premium services but also as an extension of 2G. Since our broadband penetration is abysmal, 3G would provide a much required boost to it. Given that mobile phones are much cheaper as compared to PCs, the demand for broadband on mobile is expected to be much greater. More importantly, 3G will solve problems more in rural India. Therefore the shift towards 3G would depend on affordability of handsets along with the quality of content available.
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Huge Costs: One of the most common barriers in MNP implementation, within any country, has been the implementation cost. Service Providers have been constantly bargaining for time, based on the cost factor, from their respective governments. Referring to the recent example of the US, where each of the large carriers would need to spend $5060 million to institute the service and an equivalent sum to maintain it. The FCC on this plea gave wireless carriers in the US another year, i.e., till November 2003, for resolving implementation issues. The experience of developed countries exhibits that local number portability for fixed wireline was introduced within two to three years of introduction of competition to incumbent state telcos. The cost estimate for the implementation of WNP in developed nations like the US can be very helpful for the other countries, who wish to think on the lines of number portability. To add on increased marketing costs are to be realized as the carriers look to lock up their current base before number portability is implemented, and then aggressively pursue the customers of other carriers thereafter.
Customer Retention/Increased Competition: Every subscriber in a race to retain its customer would like to offer its customers best services so as to save them from porting. Its like a blessing in disguise for the customers, as they would get better service irrespective of the carrier, albeit with the same number. Infrastructure Upgrade: To support WNP, a company has to upgrade both its hardware and software capabilities, which will amount to some cost. Softwares need to be upgraded to provide proper routing of calls. The carriers need to upgrade their networks to handle portability requests. The provider, which has its portability compatible would be expected to attract maximum customers and will emerge the winner. Cost Recovery and Bill
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The failure in most markets where MNP was implemented is attributed to factors like halfhearted implementation, issues related to contract, lack of consumer awareness, overboard of paperwork, technical difficulties and poor customer service.
The neighboring country Pakistan, the first country in Southeast Asia to introduce MNP in March 2007, experienced less than 1% portability. One of the reasons for such poor response is the pitiable customer service and time consuming process during porting the number. Pakistan has over 90 mn cellular subscribers with approximately 95% of them pre-paid. According to experts, disaster recovery and business continuity are also critical elements for MNP providers and hence, it is essential to have a
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Operators will have to use 3G spectrum to revive voice services that are being choked by a dearth of 2G spectrum, Patel added. The WiMax customer premise equipment (CPE) is priced at Rs 5,000-10,000, while the CPEs for 3G would be cost Rs 10,000 and above. The industry will know the winner in the next six months, when the spectrum allocation is complete.
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Operator, launched in the UK in 1999. It does not maintain its own network, and instead has contracts to use the existing network(s) of other providers. In the UK, Virgin Mobile uses the T-Mobile network. In the US, the Sprint network is the carrier. In Australia, Virgin Mobile operates on the Optus network. In Canada, it uses the Bell Mobility network. These networks use different technology (GSM in the UK and Australia and CDMA in the US and Canada). Usually MVNO's do not have their own infrastructure, some providers are actually deploying their own Mobile Switching Centers (MSC) and even Service Control Points (SCP) in some cases. Some MVNO's deploy their own mobile Intelligent Network (IN) infrastructure in order to facilitate the means to offer value-added services. In this way, MNVO's can treat incumbent infrastructure such as radio equipment as a commodity, while the MVNO offers its own advanced and differentiated services based on exploitation of their own IN infrastructure. The goal of offering valueadded services is to differentiate versus the incumbent mobile operator, allowing for customer acquisition and preventing the MVNO from needing to compete on the basis of price alone. MVNO's have full control over the SIM card, branding, marketing, billing, and customer care operations. While sometimes offering operational support systems (OSS) and business support systems (BSS) to support the MVNO, the incumbent mobile operators most keep their own OSS/BSS processes and procedures separate and distinct from those of the MVNO. In the future a cell phone user may be able to subscribe to a network operator plus multiple MVNOs for specific data services over the same phone. One MVNO could provide sports news, another weather and traffic and still another could provide instant messaging capabilities. In this way, each MVNO and the network operator could focus on their own niche markets and form customized detailed services that would expand their customer reach and brand. Regulation of MVNOs So far MVNOs have not been regulated in any country. The ITU has received several requests to study the issue, specifically to provide input on whether government intervention is necessary to allow MVNOs to offer services and applications at a lower price to consumers. This would help to ensure a more efficient use of the spectrum but some incumbent providers argue that the market is already competitive and intervention is not necessary.
6.4 IPTV
IPTV (Internet Protocol Television) delivers television programming to households via a broadband connection using Internet protocols. It requires a subscription and IPTV set-top box, and offers key advantages over existing TV cable and satellite technologies. IPTV is typically bundled with other services like Video on Demand (VOD), voice over IP (VOIP) or digital phone, and Web access, collectively referred to as Triple Play.
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promises more efficient streaming than present technologies, and therefore theoretically reduced prices to operators and subscribers alike. However, it also adds many advantages that may play into market pricing. One of the advantages of IPTV is the ability for digital video recorders (DVRs) to record multiple broadcasts at once. According to Alcatel, one leading provider, it will also be easier to find favorite programs by using "custom view guides." IPTV even allows for picture-in-picture viewing without the need for multiple tuners. You can watch one show, while using picture-in-picture to channel surf! IPTV viewers will have full control over functionality such as rewind, fastforward, pause, and so on. Using a cell phone or PDA, a subscriber might even utilize remote programming for IPTV. For example, if a dinner function runs longer than expected, you don't have to miss your favorite program. Just call home and remotely set the IPTV box to record it. However, the real advantage of IPTV is that it uses Internet protocols to provide two-way communication for interactive television. One application might be in game shows in which the studio audience is asked to participate by helping a contestant choose between answers. IPTV opens the door to real-time participation from people watching at home. Another application would be the ability to turn on multiple angles of an event, such as a touchdown, and watch it from dual angles simultaneously using picture-in-picture viewing. One can also receive Web service notifications while watching IPTV for things such as incoming email and instant messages. If you IPTV is packaged with digital phone, Caller ID might pop up on screen as your telephone rings. IPTV is already growing in the international market, with providers in many countries including Japan, Hong Kong, Italy, France, Spain, Ireland, and the United Kingdom. In the United States SBC, reportedly purchased a software delivery system for IPTV services from Microsoft in 2004 for $400 million dollars. Alcatel is working with Microsoft to develop a "global solution" for IPTV services, and Verizon has also made a deal with Microsoft for IPTV software.
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7. SWOT ANALYSIS
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INTRODUCTION
SWOT analysis is a strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. The technique is credited to Albert Humphrey, who led a convention at Stanford University in the 1960s and 1970s using data from Fortune 500 companies. A SWOT analysis must first start with defining a desired end state or objective. A SWOT analysis may be incorporated into the strategic planning model. Strategic Planning has been the subject of much research.[citation needed] Strengths: characteristics of the business or team that give it an advantage over others in the industry. Weaknesses: are characteristics that place the firm at a disadvantage relative to others. Opportunities: external chances to make greater sales or profits in the environment. Threats: external elements in the environment that could cause trouble for the business.
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The internal factors may be viewed as strengths or weaknesses depending upon their impact on the organization's objectives. What may represent strengths with respect to one objective may be weaknesses for another objective. The factors may include all of the 4P's; as well as personnel, finance, manufacturing capabilities, and so on. The external factors may include macroeconomic matters, technological change, legislation, and socio-cultural changes, as well as changes in the marketplace or competitive position. The results are often presented in the form of a matrix.
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7.0.4 Marketing
In many competitor analyses, marketers build detailed profiles of each competitor in the market, focusing especially on their relative competitive strengths and weaknesses using SWOT analysis. Marketing managers will examine each competitor's cost structure, sources of profits, resources and competencies, competitive positioning and product differentiation, degree of vertical integration, historical responses to industry developments, and other factors. Marketing management often finds it necessary to invest in research to collect the data required to perform accurate marketing analysis. Accordingly, management often conducts market research (alternately marketing research) to obtain this information. Marketers employ a variety of techniques to conduct market research, but some of the more common include: Qualitative marketing research, such as focus groups Quantitative marketing research, such as statistical surveys Experimental techniques such as test markets Observational techniques such as ethnographic (onsite) observation Marketing managers may also design and oversee various environmental scanning and competitive intelligence processes to help identify trends and inform the company's marketing analysis.
Using SWOT to analyse the market position of a small management consultancy with specialism in HRM.
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to-day activities, but it would also have a say while making bigger strategic decisions, such as those pertaining to investments in other
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7.1.5.3 Major Challenges for the merger One of the major challenges would be the integration of the company on the ground. It is tough for intercontinental companies to merge seamlessly because of cultural divide. Alcatel-Lucent for instance is still trying to adjust to cultural divide. Although Nokia-Siemens has bridged this divide faster, it was because both the companies were European.
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With stable macroeconomic impetus and numerous other advantages, India has the potential to become the electronics manufacturing hub of the world. Excited by the record-breaking industry growth, investors have outlaid US$ 1.5 billion in the past two and a half years in the Indian telecom sector. India will receive an additional US$ 2 billion investment in the next one year. With the world now recognising Indias manufacturing potential, the Indian telecom handset manufacturing market is likely touch US$ 7 billion by 2010. An example is Nokia. The company has already produced 25 million handsets in its Chennai facility. It will pump in an additional US$ 150 million to this set up. The company exports around 20 per cent of its volume to South-east Asia, the Middle East and Africa. Local manufacturing allows companies to avoid 4 per cent countervailing duties on imported handsets, thereby further reducing the cost.
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Managed service is another segment that is attracting telecom companies. On account of the rapidly growing subscriber base, service providers find it difficult to manage their infrastructure and network. In such cases, they completely or partially outsource their infrastructure or network management operations.
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Effectively, IMS provides a unified architecture that supports a wide range of IP-based services over both packet- and circuit-switched networks, employing a range of different wireless and fixed access technologies. A user could, for example, pay for and download a video clip to a chosen mobile or fixed device and subsequently use some of this material to create a multimedia message for delivery to friends on many different networks. A single IMS presence-and-availability engine could track a user's presence and availability across mobile, fixed, and broadband networks, or a user could maintain a single integrated contact list for all types of communications. A key point of IMS is that it is intended as an open-systems architecture: Services are created and delivered by a wide range of highly distributed systems (real-time and non-real-time, possibly owned by different parties) cooperating with each other. It is a different approach to the more traditional telco architecture of a set of specific network elements implemented as a single telco-controlled infrastructure.
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4G or Fourth Generation is future technology for mobile and wireless comunications. It will be the successor for the 3Rd Generation (3G) network technology. Currently 3G networks are under deployement. Approximatly 4G deployments are expected to be seen around 2010 to 2015. The basic voice was the driver for second-generation mobile and has been a considerable success. Currently , video and TV services are driving forward third generation (3G) deployment. And in the future, low cost, high speed data will drive forward the fourth generation (4G) as short-range communication emerges. Service and application ubiquity, with a high degree of personalization and synchronization between various user appliances, will be another driver. At the same time, it is probable that the radio access network will evolve from a centralized architecture to a distributed one. The evolution from 3G to 4G will be driven by services that offer better quality (e.g. multimedia, video and sound) thanks to greater bandwidth, more sophistication in the association of a large quantity of information, and improved personalization. Convergence with other network (enterprise, fixed) services will come about through the high session data rate. It will require an always-on connection and a revenue model based on a fixed monthly fee. The impact on network capacity is expected to be significant. Machine-to-machine transmission will involve two basic equipment types: sensors (which measure parameters) and tags (which are generally read/write equipment). It is expected that users will require high data rates, similar to those on fixed networks, for data and streaming applications. Mobile terminal usage (laptops, Personal digital assistants, handhelds) is expected to grow rapidly as they become more user friendly. Fluid high quality video and network reactivity are important user requirements. Key infrastructure design requirements include: fast response, high session rate, high capacity, low user charges, rapid return on investment for operators, investment that is in line with the growth in demand, and simple autonomous terminals. The infrastructure will be much more distributed than in current deployments, facilitating the introduction of a new source of local traffic: machine-tomachine.
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9 Conclusion
The Indian Telecom Service provider industry is gearing for a revolution. The customer is driving this revolution and will see more unique and sophisticated offerings coming his way. The 3G which will pave the way for 3.5G, 3.75G and the next big thing-4G and the VAS services will keep the customer asking for more. The rural areas which have remained untapped will see an insurgence of services. Also the easing of the regulations by TRAI ,the ease of spectrum licensing, the FDI influx will make the telecom space in India a must watch in the coming years.
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10 References
[1] IBEF report 2007-08 : Telecommunication - MARKET & OPPORTUNITIES. [2] Cellular Statistics Cellular Operator Association of India [3] IAMAI & eTechnology Group@IMRB: MOBILE VALUE ADDED SERVICES IN INDIA- A Report. [4] Telenor Entering India: Investment Update [5] Voice and Data(May 2009): Mobile Number Portability - Poaching with Portability. [6] Business India : Telecom Takeover, Bharti-MTN deal [7] Moneycontrol.com: Idea Spice deal [8] Business Standard: Vodafone Hutch deal [9] IntoMobile: Indias 3G License Plans Updated. [10] World Bank Report: Spectrum auctions in India: lessons from experience
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Appendix A
SNAPSHOT (Data As on 31st March 2009) Telecom Subscribers (Wireless +Wireline) Total Subscribers 429.72 Million % Growth During Quarter 11.68% Urban Subscribers 309.43 Million (72%) Rural Subscribers 120.29 Millions (28%) Overall Teledensity 36.98 % Urban Teledensity 88.66 % Rural Teledensity 14.8 % Wireline Subscribers Total Wireline Subscribers 37.96 Million % Growth During Quarter 0.15% Urban Wireline Subscriber 27.38 Million (72.13%) Rural Wireline Subscribers 10.58 Millions (27.87%) Village Public Telephones 5.61 Million (VPT) Public Call Office (PCO) 6.20 Million Wireless Subscribers Total Wireless Subscribers 391.76 Million % Growth During Quarter 12.93% Urban Wireless 282.05 Million(72%) Subscribers Rural Wireless Subscribers 109.71 Million (28%) GSM Subscribers 297.26 Million (75.88%) CDMA Subscribers 94.50 Million (24.12%) Internet & Broadband Subscribers Total Internet Subscribers 13.54 Million (including Broadband)
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Source www.trai.gov.in
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