GROWTH PROSPECTS OF INDIAS TELECOS IN 2012

GROUP MEMBERS: VEDANT PODDAR PIYUSH K CHANDAK KESHAV JHA MUNNESHWAR SINGH VIKAS SAINI MOHAMMAD IRFAN

PRESENTATION PLAN
Introduction by Vedant Poddar Telecom Investment Attracting Sector by Piyush K. Chandak Regulatory Framework and its Impact by Keshav Jha Emerging Trends by Munneshwar Singh Growth Opportunities by Vikas Saini Growth Avenues (Conclusion) by Mohammad Irfan

INTRODUCTION
Big market potentiality socio-economic development Telecom Regulatory Authority of India (TRAI) was formed in 1997 Two segments, which are Fixed Service Provider (FSPs) and Cellular Services. The sector requires 14 billion units of electricity annually India: An Ideal Destination for Investments in Telecom Sector

Indian Telecom Investment Opportunities(1)

Second largest telecom penetration, worlds highest monthly additions.

Indian Telecom sector to witness huge investments .

Telecom Subscribers to cross 1.5 billion by 2015 and 5 billion by 2020.

Indian Telecom Investment Opportunities(2)

About 25 per cent ( Appx. 300 million) would be 3G/4G subscribers

About $ 70 Bn. is estimated to be invested in rolling out green field 2G, 3G/4G
The total investment in the pan-India broadband rollout is expected to be $ 20 Bn,.

Regulatory Framework provides level playing field for all operators

The Department of telecommunications (Government of India) is the main governing body for the industry. Telephone Regulatory Authority of India (TRAI) assists the Government of India (GoI) to take timely decisions and introduce new technologies in the country.

Indian Telecom Industry Framework

Indian Government Bodies

Independent Bodies

Wireless Planning and Coordination (WPC) Department of Telecommunicatio ns Telecom Commission Group on Telecom and IT (GoT-IT)

Handles spectrum allocation and management DoT Licensee and frequency management for telecom

Telecom Regulatory Authority of India (TRAI) Telecom Disputes Settlement and Appellate Tribunal (TDSAT)

Independent regulatory body Telecom disputes settlement body

Exclusive policy making body of DoT

Handles ad hoc issues of the telecom industry
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RECENT REGULATORY NEWS

A. Liberalization of long distance segment B. Corruption investigation still on for 2G spectrum C. Mobile number portability D. Fresh guidelines for telemarketer. E. User tally crossed 800 mn. F. Increase in FDI limit to 74% & 100% in manufacturing G. New telecom policy expected in Jan 2012

Concerns
Advent of 4G Licensing and sale of spectrum Below cost pricing and industry profitability Managing competition Security Managing M&A

EMERGING TRENDS

TELCO GENERATIONS
1G 2G 3G 4G

INTO THE FUTURE

VALUE ADDED SERVICES

FUTURE GROWTH DRIVERS

Burgeoning Middle Class Booming Knowledge Sector
major global hub for IT enabled services. MNs add every year

Large Young Population

60% population below age of 35

GROWTH
High GDP Growth
8% -9% p.a. in next coming years.

Competition
Innovation leads to growth

Rising Income Levels

4th largest economy.

Technical Opportunities
Mobile TV
M- Commerce
M wallet and Mobile Banking.

Mobisodes entertainment video clips.

Video on Demand
Entertainment, news, sports etc. GROWTH

Mobile Gaming
Positive shift of consumers behavior.

Data Cards LBS

Market place navigation, emergency etc.

need to connect anywhere and anytime.

Major Players in different segments of Indian telecom industry

Basic Services Operators
MOBILE SERVICES BSNL MTNL Reliance TTSL

GSM Services Operators

Airtel Vodafone Idea Reliance

Internet Services Operators

BSNL MTNL Reliance TTSL Airtel

BSNL CDMA Services Operators

Reliance
TTSL

BSNL

TTSL Tata Teleservices Ltd.

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