Showing posts with label telcos. Show all posts
Showing posts with label telcos. Show all posts

Tuesday, August 4, 2009

Infosys BPO inks five-year deal with T-Mobile UK

BANGALORE, INDIA: Infosys BPO, the business process outsourcing subsidiary of Infosys Technologies, today announced that it has secured a five-year contract with T-Mobile UK.

Infosys BPO has been engaged by T-Mobile UK to support several core processes for its finance directorate –- covering customer finance, commercial finance and accounting (F&A) and procurement operations.

This strategic partnership is significant as Infosys BPO is taking responsibility for specific transactional activities, allowing T-Mobile to concentrate on financial issues that are strategically important or which deliver competitive advantage.

Over the past year, Infosys BPO has been focusing on acquiring domain expertise across industries to enable it to address industry-specific pain points faced by clients, using a combination of process and technology levers to improve efficiencies.

Infosys BPO’s continued focus on process excellence and operational scalability has been key to forging this strategic partnership.

“We are pleased to have been selected by T-Mobile UK. Our strong F&A capabilities combined with osur understanding of the telecom industry helps us successfully transform businesses of our clients.” said Gopal Devanahalli, VP and Head, Communications, Media and Entertainment (CME), Infosys BPO.

Tim Spence, Head of Customer Finance, T-Mobile UK, said: “We were keen to partner with a company that possessed a good understanding of our requirements and business needs. Infosys BPO has shown deep telecoms experience and is widely recognised as a leader in business process outsourcing. We are confident of gaining immense value through our partnership with Infosys BPO.”

Monday, August 3, 2009

xMax to bring lower calling costs to consumers

SARASOTA, USA: xG Technology has released field trial results of a new approach to mobile telecommunications that will significantly lower the cost of offering wireless voice and data services.

Called xMax, the technology enables an Internet calling service similar to Skype, but in the form of a fully mobile handset that doesn’t require the use, and extra cost, of a computer or broadband Internet connection, which is typically required to place such low-cost calls.

The field trial results highlighted the reasons why the xMax approach can allow cheaper calling:

* xMax transmits over unlicensed spectrum—the same as baby monitors and cordless phones. Major national cellular carriers paid billions of dollars for licensed spectrum that they recoup from customers.

* xMax was built as a totally Internet-based digital system from top to bottom—an extremely cost efficient communication approach.

* xMax networks will enable communication providers to aggressively compete with national carriers by offering customers unlimited voice and data plans both locally and long distance, extremely low-cost international calling, no contracts, as well as home phone and high-speed Internet service.

Seven-year-old xG Technology is a US based company, but development of xMax is an international effort that involves companies in Europe and Asia. A portfolio of 50 US and 101 international patents and pending patent applications has been developed with the goal of bringing lower-cost communications to consumers.

Friday, July 31, 2009

Telcos localise SaaS for the SME market

Comment by Claudio Castelli, Senior Analyst at Ovum

UK: National and regional telcos are increasingly picking applications with localised content to cement existing relationships with SMEs and differentiate from the global software-as-a-service (SaaS) providers.

The goal is to be the preferred ‘one-stop shop’ for ICT services for SMEs, combining applications and services from local developers and global providers. However, some of these partners will eventually also be competitors.

Administrative applications high on the agenda
With software delivered as a service from virtually anywhere, telcos entering the SaaS game will increasingly face competition from global players in their own backyards.

With much smaller scale, telcos will need to be creative in finding ways to differentiate in their marketplace. Existing customer relations and good knowledge of their particular needs will be key to telcos' ambitions to maintain a broader role in the value chain and avoid the risk of becoming only connectivity providers.

An increasing number of telcos are launching services focusing on SMEs' local needs. Telstra, for example, launched its SaaS proposition in April, with offerings including Workforce Guardian, an HR service that helps SMEs in Australia to create compliant employment contracts.

It has now announced Xero, a hosted accounting tool that provides SMEs with access to bank transactions, invoicing reports and tax data. In both cases, applications will run based on local requirements. This is expected to provide a competitive advantage against global players.

Telcos want to be a ‘one-stop shop’ for SMEs
Having a single ICT provider is on the majority of SMEs’ wish-lists. Ovum research shows that 65 percent of SMEs globally prefer to purchase all their fixed and mobile services from a single provider. Telcos are listening to their demands.

An important value that telcos can add is integrating multiple services into end-to-end offerings. They normally have relationships with the majority of small business customers, which in many cases extend beyond billing. Their reach and understanding of SME pain points might attract the right ISV partners.

However, some of these partners might eventually become competitors. Telstra will also offer Microsoft Online Services through its SaaS platform T-Suite. Although not broadly promoted, Microsoft also offers applications online directly to customers. We think there is potential conflict in the future.

SingTel is another operator that is working hard to build an end-to-end ICT proposition for SMEs in Singapore. The operator released a range of ICT packages for SMEs, and recently launched an Innovation Exchange programme to bring application developers into the service provider’s SaaS offerings.

The aim is to combine solutions from global players such as Microsoft, Google and Salesforce.com with local ISVs. Like Telstra, SingTel included HR applications in these initial offerings.

Other telcos are also rolling out their SME plans. AT&T has just re-launched its small business portal; AT&T Small Business InSite now provides a library of practical ‘how to’ articles, podcasts and video resources to help small companies integrate technology into their business, with a strong emphasis on mobile solutions, remote access and wireless applications.

Friday, July 3, 2009

Converged services a natural play for telcos

SINGAPORE: Converged services have become one of the marketing strategies employed by service providers today to grow revenues and subscriber base, and reduce customer churn.

"Bundling two or more services such as fixed voice, broadband, mobile and pay TV into attractive price plans has proven to result in less customer churn than single-service offerings," says Frost & Sullivan senior industry analyst Kamlesh Kalwar. He cites Hong Kong's PCCW which has managed to keep churn rate below one percent since introducing its converged services.

Kalwar further reckons that single-service telco offerings may soon be a thing of the past as tomorrow's consumers are likely to demand fully converged services from a single provider as a result of changing lifestyles and technology convergence.

New analysis from Frost & Sullivan, Asia-Pacific Converged Services Market Potential, reveals that approximately 20.8 percent of households across 14 Asia-Pacific countries subscribed to dual-, triple- and quadruple-play (quad-play) services in 2008 for total bundled billings of $58.7 billion. By 2014, residential bundled-service revenues are expected to hit $88.3 billion.

Dual-play services, typically fixed-line and broadband, are the most commonly contracted bundles at present, with 10.8 percent of residential users.

Triple-play services (fixed-line, broadband and TV) however are likely to see greater adoption in the longer term to account for 11.4 percent of residential subscribers in 2014; while dual-play subscriptions drop to 10.2 percent household penetration and quad-play (fixed-line, TV, broadband and wireless) expected to grow nearly two-fold to 4.9 percent.

Kalwar argues that three forms of convergence are driving the delivery of bundled or multiple services to a single user - convergence of networks, content and devices.

Network convergence: Thanks to IP (Internet protocol), existing networks are capable of delivering a multitude of services -- such as a broadband network enabling applications like Internet, TV and VoIP -- with just an incremental upgrade to the core network. Operators are banking on this opportunity to up-sell their services and increase average revenue per user (ARPU) and customer stickiness.

Content and device convergence: The increased mobility of present-day consumers dictates the need for multiple access points to the same content. Similarly, the sophistication of devices available today supports consumers' expectations for ubiquitous access to such content.

Given this, Kalwar believes that converged services present obvious benefits to both service providers and users, "Converged services is expected to be a critical strategy for communication service providers in the mid- to long-term.

"Apart from meeting customers' demands with attractive price points while maintaining ARPU and retaining customers, telcos are also able to roll-out loyalty programs to reward subscribers and offer one-stop customer service centres and consolidated monthly billings for users," he adds.

Kalwar cautions however that pricing alone is just part of the battle. "Quality of service, timeliness of market entry and [type of] content will also make or break an operator's converged offerings. StarHub, for example, has virtually cornered the pay TV market in Singapore with its exclusive content rights and early introduction of services," he says, adding however that content and broadcast regulations vary country to country, of course.

Sunday, May 3, 2009

Embedded netbooks could blur broadband service boundaries

NEW YORK, USA: The growing popularity of netbooks and laptops with embedded broadband wireless modems could lead network operators to offer single-price broadband services that include both mobile and fixed connectivity, marking a significant shift in the way broadband services are used and sold, according to the latest report from Light Reading Insider.

The Netbook Effect: Remaking Broadband Price Structures identifies and analyzes key issues that will affect the embedded laptop and netbook market through 2010. It forecasts the adoption of these products and discusses barriers to and drivers of that adoption. This report also examines the competitive environment, such as pricing pressure on modem vendors and how embedded PCs will affect the wired broadband market.

"Until the past year or so, embedded laptops were aimed primarily at enterprises and business users, but with the arrival of embedded netbooks, the addressable market now includes consumers," says Tim Kridel, research analyst for Light Reading Insider.

"While the full impact of embedded PCs on broadband services is not likely to be felt over the next 12 to 18 months, network operators will have to respond with different service options as more of these devices are put into use," he added.

As embedded netbooks grow in popularity and accessibility, consumers will look for more choices from their broadband service providers, Kridel notes. "Operators that figure out how to offer service that cuts across fixed and mobile lines stand the best chance of succeeding with this emerging user group," he says. "The amazing growth of mobile data services driven by devices such as the BlackBerry and the iPhone, coupled with the arrival of higher-speed mobile data services, will likely spur a huge opportunity for operators that can adapt their services to fit user demands."

Key findings of The Netbook Effect: Remaking Broadband Price Structures include:
* About 3 million embedded laptops and netbooks were sold in 2008, with at least 4.5 million possible this year.
* Some laptop and netbook vendors say that up to 40 percent of their 2008 sales were embedded.
* Despite the growth of embedding, USB/PC card adapters are selling briskly and remain in the majority.
* Bundling wired/wireless broadband removes a major barrier to consumer adoption of embedded products.
* Competition and pricing pressure are fierce among makers of embedded modems.Embedded netbooks could blur broadband service boundaries.

Friday, May 1, 2009

Telepresence grows in Asia-Pacific: Ovum

UK: Telepresence was a global vendor (Cisco/Tandberg/Polycom), global service provider (AT&T/BT/Verizon Business) story. That changed recently when Hong Kong-based CPCNet launched a managed high-definition (HD) video conferencing solution, VC2, and China’s Huawei Technologies launched its own line of telepresence equipment.

Separately, SingTel has been giving visibility to its Managed HD Video Conferencing Service, which launched at the end of 2008 and which now includes telepresence.

Global managed telepresence offers from AT&T and BT have had limited reach into the Asia-Pacific region as the operators build up network operations centre capacity to support inter-carrier and inter-company video networking. Now regional enterprise users will have potentially even more choice than counterparts in Europe and the Americas, with the emergence of these regional players.

CPCNet’s VC2 solution is provided through a range of CPE devices and allows laptop access to the conference room. CPCNet provides the managed network connectivity to maximise the efficient use of the network for video traffic at the same time as integrating different bandwidths to provide HD quality video to all participants in the conference.

The new solution provides a web portal for end users to manage video conferences and a 24×7 helpdesk to ensure quality of service can be given at all times.

CPCNet has focused its managed services model around video conferencing being accessible to all users, something that Ovum believed was essential for the development of video conferencing when telepresence made its entrance to the market in 2007. Telepresence has definitely spurred on the video conferencing market and CPCNet’s managed network connectivity is essential for the quality of video conferences using different devices.

Huawei also quietly announced its latest telepresence offering. It already offers a selection of end points for HD video conferencing, but this is the first move in the telepresence market.

The solution, ViewPoint Telepresence 3006, is based on open standards so that it can be interoperable over different networks and can provide HD and standard-definition conferencing to users with existing video conferencing solutions. The solution uses a wireless control to manage the call setup, which it says is simpler and more convenient to use than a telephone call.

Interoperability is key for telepresence, and Huawei has made the right choice to make sure that its solution is interoperable.

The potential for HD video conferencing in China is huge. It is an extremely useful tool to help manufacturers demonstrate their products without the need for travel. So far, telepresence deployments in China have been made by the major players in the HD video conferencing market: Tandberg, Polycom and Cisco.

The release of Huawei’s Telepresence solution will help the market grow within China. Huawei is renowned for its low-cost solutions so we may expect pricing to become more competitive for video conferencing units in the future if the Huawei solution can compete with its western competitors.

Western operators catch up in Asia-Pacific

It is not only the local players that are making moves in China. In March, AT&T announced that it would also extend its telepresence services into China during 2009 by working with local partners to provide the service. This month, Orange Business Services announced that it is upgrading its IP network in Asia-Pacific, citing video conferencing support as one of the reasons for the upgrade.

All this activity in the Chinese market shows that telcos are trying to maximise their efforts to make the most of the potential of these markets. Time will tell whether the economic downturn will restrict this growth or if the emergence of HD video conferencing will enable enterprises to make much-needed cost savings to help them through this difficult period.

-- Lucy Arole, Analyst at Ovum.

Thursday, April 30, 2009

Operators lose prime position for LBS

BOSTON, USA: Wireless carriers are increasingly losing control of location-based service provision to Internet companies such as Google and Yahoo, and to handset vendors like Nokia, according to “Location-Based Services: Opportunities within an Emerging Battleground,” the latest report from the Strategy Analytics Wireless Media Strategies Service.

Operators have focused primarily on navigation, people locators and ‘find the nearest’ services, but struggled to drive location service adoption for each of these categories.

However, the development of cell tower databases by companies such as Google and Skyhook, along with the integration of location APIs onto handsets, has enabled the development of a diverse set of location applications for distribution through popular channels, such as Apple’s App Store and Google’s Android Marketplace.

“Strategy Analytics expects that these elements, combined with greater GPS handset ownership and data plan adoption, will trigger growth in location-based service revenues from $650 million at the end of 2008 to almost $8 billion by 2013,” comments Nitesh Patel, Senior Analyst, Wireless Media Strategies, at Strategy Analytics.

Over 80 percent of these location revenues will come from location-enabled search and voice-guided navigation applications.

This report also identifies Google and Nokia as significant threats to carrier ambitions. David MacQueen, Director at Strategy Analytics, added: “Nokia has made significant moves in location-based services through its acquisition of mapping data provider, Navteq, and smaller companies, such as Plazes and bit-side. Nokia’s significant handset market share, combined with its ability to integrate location applications onto its handsets, places it in a strong position to compete with carrier and internet brands for ownership of location service users. Similarly, Google’s significant brand strength and carrier independent location positioning database threatens to disintermediate the operator from the location services value chain.”

Prospects for UMTS900: Status review and outlook

DUBLIN, USA: Research and Markets has announced the addition of the "Prospects for UMTS900: Status Review and Outlook" report to its offering.

UMTS900 is attracting significant interest from mobile operators, primarily because of the coverage advantages inherent in deploying UMTS at 900MHz compared with 2100MHz. All other things being equal, the lower the frequency, the further a radio signal propagates, which means that UMTS900 offers a significant improvement over UMTS2100 for cell range and coverage.

This translates into fewer sites and cost savings for both network build and opex, as well as faster network roll-out. These benefits enable operators to roll out 3G services to rural areas that might otherwise be uneconomical to serve using UMTS2100, or, for GSM-only operators, to reduce the costs of building a new 3G network. Other benefits include potential improvements in indoor coverage and better voice quality compared with GSM.

The ecosystem for UMTS900 is rapidly maturing. The technology is proven not just in field trials but also in a number of operational networks worldwide, and network equipment and crucially devices are in ready supply.

However, the pace of implementation of UMTS900 has been held back, particularly in Europe, by delays in removing technology restrictions from the 900MHz band. While the regulatory situation is improving, any significant delays in liberalising 900MHz spectrum will make it increasingly likely that operators will opt for alternative solutions for rural coverage, or even introduce LTE rather than UMTS in 900MHz spectrum once refarming is permitted.

This report reviews the deployment status of UMTS900 worldwide and evaluates the potential role of UMTS900 in mobile network evolution for a range of operator types.

Sunday, March 29, 2009

Top 10 telecom predictions for 2009: Deloitte

Deloitte recently came out with its TMT (telecom, media and technology) predictions for 2009. Here are some bits from the telecom predictions for 2009. May I also take this opportunity to thank V. Srikumar, partner, Deloitte Haskins & Sells, for sharing this study. Thank you, sir!

1. Smart phones: how to stay clever in the downturn.
Mobile phone manufacturers should focus on developing smart phones features consumers want to use and are willing to pay for. They should work closely with operators to create easy-to-use services based on specific functionality that users value, says Deloitte. Smart phone manufacturers could also consider selling devices as price-competitive replacements for laptops. For some workers a smart phone may address all their communications, connectivity and applications requirements.

2. Data ascends from the basement to the boardroom.
Indeed! Data on customer information has been residing with telcos since ages. It is time now for the telcos to recognize that the data or information assets could become as significant to value creation as physical assets. Deloitte recommends that this customer information be integrated, and not appended or archived. It suggests that telcos should consider how to structure their activities to utilize their full spectrum of information. Having a CIO on the top management team and further, implementing a data governance framework, may become essential.

3. Digital communication loses its message.
In 2009, employees are likely to communicate digitally with each other in more ways, and in greater volumes, than ever before, says Deloitte. However, email may become obscure. The success of instant messaging was based on its greater immediacy and lesser formality. Growth of services like text messaging, has been driven by similar benefits. Companies should consider discouraging email for one day a week. Even not making indiscriminate use of the ‘reply-all’ function could save them time and money. Also, social networks may find that the best approach is to offer ‘white-label’ solutions to corporations, advises Deloitte.

4. The joys of disintermediation: why operators should embrace the application store.
According to Deloitte, in 2009, mobile phone users are likely to download over 10 billion applications to their mobile phones. A majority of applications are likely to be sourced from sites managed by mobile device manufacturers, consumer electronics firms and software houses. Although some operators may launch their own application stores38, the majority are likely to see no alternative to allowing their customers to access third parties’ stores. As the consumer awareness of mobile applications increases, the number of voice subscribers that add data subscriptions may well rise, boosting revenues. Applications could be used to drive operator loyalty and reduce retention costs.

5. Integration unleashes mobile phone convergence, finally.
Deloitte advises that while mobile handset manufacturers are getting better at convergence, they would still need to proceed with care. They should not assume that the mere addition of more features would guarantee success. Operators should study the consumers’ use of converged products in detail. It may help them identify revenue opportunities relating to converged functionality. The mobile phone may soon come to be regarded as the most successful converged product of all time.

6. Farewell mobile phone, welcome the wireless device.
All players in the mobile industry should understand how they are affected, for better or worse, by the emergence of the low-cost, multiple-standard chipset. The business case for the integration of wireless technology into a range of devices may be stronger. Mobile operators should consider their positioning -- whether to remain focused on the provision of long-range cellular mobile standards, or to become the aggregators of multiple wireless standards. Similarly, companies in other sectors should consider what low-cost integrated chipsets could enable.

7. The mobile broadband accident in slow motion.
As per Deloitte's study, data now exceeds voice volume on some mobile networks68, and with data traffic growing by several hundred percent on others, the cost of carrying data traffic could rapidly erode margins. Where possible, operators should try to divert heavy data traffic from cellular networks, and route it via other networks, such as WiFi-hotspots or home-broadband connections, at structured data tariffs. The operators need to focus marketing attention on managing customer expectations. They should examine the business model for mobile broadband carefully as well. With PC manufacturers increasingly integrating mobile broadband connectivity into their devices, diversification may soon be necessary.

8. The third screen goes dark: mobile television loses its reception
Deloite's study points out that everyone involved in the mobile TV industry -- an operator, a handset developer or a creative -- should take a long, hard, look at the demand for mobile television so far. The downturn could be a perfect opportunity to call time on a format that has too many fundamental challenges to work. It does not mean there's no space for mobile TV! Mobile telephony could provide an efficient payment mechanism for VoD -– delivered to the home set-top box, particularly for smaller VoD players. They can also be used to control the DVR. TV broadcasters can use mobile as part of their CRM strategies. Lots can be done, actually!

9. One for all and all for one: fiber networks change the shape of competition.
Shared ownership may reduce fiber's cost and risk, but may also require a new, unfamiliar approach to competition. Telcos and other companies should determine which skills they may need to hire to be able to compete on basis of services, or service levels, alone. Also, fiber-to-the-node (FTTN) or street-side cabinets may provide more than enough capacity for consumer and small business broadband, at a quarter of the cost of fiber-to-the-home (FTTH). Further, governments should complement their commitment to fiber deployment with campaigns to encourage adoption.

10. Mobile termination rates in Europe: a cut too far or a cut too fast?
Mobile operators in Europe, especially, have acknowledged that mobile termination rates (MTRs) must decline. However, 2009 is likely to see them push for a less drastic descent than the EC proposes. Consumer groups should monitor progress very carefully. Operators' knee-jerk reactions to sudden cuts could disadvantage millions of consumers, particularly those on low incomes. It may be better to call for a more moderate approach, from both operators and regulators. The local regulators should consider developing MTR glide paths that respect operators’ costs and market conditions.