Peter Bouchard Maine - Telecommunication http://www.PeterBouchardMaine.com

1. TELECOMMUNICATION
Etymology
The French word télécommunication was coined in 1904 by the French
engineer and novelist Édouard Estaunié
The word telecommunication was adapted from the French word
télécommunication.
compound of the Greek prefix tele-, meaning "far off", and the Latin
communicare, meaning "to share".

2.  In 1792, Claude Chappe, a French
engineer, built the first fixed
visual telegraphy system (or
semaphore line) between Lille
and Paris. However semaphore
systems suffered from the need
for skilled operators and the
expensive towers at intervals of
ten to thirty kilometers . As a
result of competition from the
electrical telegraph, the last
commercial semaphore line was
abandoned in 1880.
A replica of one of Chappe's semaphore towers in Nalba

3. HISTORY OF TELECOMMUNICATION
 The first commercial electrical telegraph was constructed by Sir Charles
Wheatstone and SirWilliam Fothergill Cooke, and its use began on April 9, 1839.
 Then many transformation and improvement were done in telegraphics.
 The conventional telephone now in use worldwide was first patented by
Alexander Graham Bell in March 1876.As with other great inventions such as
radio, television, the light bulb, and the digital computer,
 Alexander Graham Bell and Gardiner Greene Hubbard, who created the first
telephone company, the BellTelephone Company of the United States, which
later evolved into AmericanTelephone &Telegraph (AT&T).
 The first commercial telephone services were set up in 1878 and 1879 on both
sides of the Atlantic in the cities of New Haven, Connecticut, and London,
England.

4. TYPES OF COMMUNICATION
POINT-TO-POINT COMMUNICATION
TELECOMMUNICATION OVER TELEPHONE LINES
BROADCASTCOMMUNICATION
TELECOMMUNICATION THROUGH RADIO
BROADCASTS
MULTIPLEX SYSTEM.
TELECOMMUNICATIONS IN WHICH MULTIPLE
TRANSMITTERS AND MULTPILE RECEIVERs

5. Top 10 Largest Telecom
Operators in World
 AT&T - the former SBC merged with AT&T creating the new AT&T
(USA)
 China Mobile - formerly China state-owned, now still state-controlled,
one of two mobile phone monopolies in the entire China.
 Vodafone - Britain's largest telecom operator.
 Verizon Communications - US-based telecom company formed after a
series of mergers.
 Telefonica - Multinational company with stakes in Dpain, Latin America
and Europe. Owns the O2 brand.
 DeutscheTelekom - German telecom company, also owns t-mobile.
 America Movil - Mexican operator controlled by the world's richest man
- Carlos Slim.
 NTT DoCoMo - One of Japan's telecom operators.
 FranceTelecom - One of France's telecom companies.
 Nippon Telegraph &Telephone - Japan's second largest telecom operat

6. Top 15 Telecom Companies in World
RANK NAME OF COMPANY SUBSCRIBER
1 China Mobile 522 MLN
2 Vodafone Group 333 Mln
3 Telefonica 202 Mln
4 America Movil 201 Mln
5 Telenor Group 172 Mln
6 Deutsche telecom 151 Mln
7 china Unicom 148 Mln
8 TeliaSonera 148 Mln
9 FranceTelecom 133 Mln
10 Bharti Airtel 125 Mln
11 MTN Group 116 Mln
12 MobileTelesystems 102 Mln
13 Reliance Communications 100 Mln
14 OrascomTelecom 93 Mln

7. Indian Telecommunication Industry
 The Indian
telecommunications has
been zooming up the growth
curve at a feverish pace
 The key sectors responsible
for India's resurgent
economic growth.
 India is has surpassed US to
become the second largest
wireless network in the
world with a subscriber base
of over 300 million ( acc. to
the Telecom Regulatory
Authority of India )

8. The year 2010 saw India
achieving significant
distinctions1 having the world's lowest call rates 2-3 US cents
2 the fastest growth in the number of subscribers 15.31 million in 4 months
3 the fastest sale of million mobile phones in a week
4 the world's cheapest mobile handset US$ 17.2
5 the world's most affordable color phone US$ 27.42
6 largest sale of mobile handsets in the third quarter

9. Segment-wise growth
 Wireless segment is the preferred mode of telephone service by
the consumers,
 the rising share of mobile phone connections to total
connections.
1.The share of mobile phones has increased from 71.69 per cent at
the end of March 2006 to 87.68 per cent at the end of May 2008.
2.While total mobile subscriber base was 277.92 million, wire line
subscriber base was 39.05 million.
3.Consequently, overall tele-density has increased to 27.59 per cent
at the end of May 2008.
 INDIA,the second largest mobile market in the BRIC nations, with
560 million mobile users


10. Investment
 cumulative FDI inflows into the Indian telecommunications sector
amounted to US$ 3.84 billion, accounting for 6.81 per cent of the total
FDI inflows into the country.
 In fact, the surge in mobile services market is likely to see huge amount
of investment implying a mobile in the hands of every second person in
the country.
 Buoyed by the rapid surge in the subscriber base, huge investments are
being made into this industry by companies like
 • Maxis Communications-owned mobile service provider Aircel
 • Srei Group's QuippoTelecom Infrastructure Ltd (QTIL)
 • The Central public sector enterprises(CPSEs) have lined up
investments for infrastructure sectors like telecom energy and power for
2008-09.
 • Vodafone Essar has invest US$ 6 billion to increase its mobile
subscriber base from 40 million at present to over 100 million.


11. Manufacturing
 India is emerging as a handset super-power as more manufacturers set up base
in the country, it is not only the world's fastest-growing telecom market but it is
also making remarkable progress in the telecom manufacturing space.The
Indian telecom equipment manufacturing sector is set to become one of the
largest globally by 2010.
 Simultaneously, India's surging domestic market is also providing excellent
investment opportunities in other segments of telecom equipment industry.

 • Nokia Siemens Networks (NSN) is shifting its global services business unit
headquarters from Munich to India.
 • Nokia set up its manufacturing plant in Chennai.
 • Samsung has set up its GSM mobile manufacturing base in Manesar.
 • Motorola has established a manufacturing plant in Sriperumbedur.
 • Sony Ericsson has set up GSM Radio Base Station Manufacturing facility in
Jaipur and R&D centre in Chennai.


12. Value Added Services Market
 India's runaway success in mobile telephony
has also given a boost to the mobile value
added services (MVAS) market. According to
a study by Stanford University and consulting
firm BDA, the Indian MVAS is likely to grow at
a CAGR of 44 per cent 2010.

13. Government Initiatives
 The Government has taken many proactive initiatives which has
provided a framework for the rapid growth of the telecom industry.
 • Opening the industry for private sector participation.
 • 100 per cent FDI is permitted in telecom equipment manufacturing
through the automatic route.
 • FDI ceiling in telecom services has been raised to 74 per cent.
 • Establishment of an independent regulator - theTelecom
Regulatory Authority of India (TRAI)-for the telecom sector.
 • Introduction of a Unified access licensing regime for telecom
services on a pan-India basis. .
 • Introduction of Mobile Number Portability in a phased manner,
starting with the fourth quarter of 2008.
 • Allowing service providers to share active infrastructure

14. Road Ahead
 According to a report by Boston Consulting Group, while only one in 20
of the world's first two billion mobile subscribers live in India, as many as
one in every four of the next billion subscribers will be an Indian.
 The department of telecommunication estimates the total subscriber
base to total 500 million by 2010, out of which 80 million are expected to
be from rural areas.
 The Indian telecom industry's revenue, likewise, is estimated to
increase, which according to Ernst &Young is expected to be 3.6 per
cent of the total GDP of the country.
 With such growth projection, this industry is likely to see increased
investments. In fact, total investment is projected at US$ 76.6 billion
during the eleventh plan period (2007-12).
 Private sector is estimated to continue its dominant share, accounting
for 67 per cent of the total projected investment while public sector
accounts for the rest.


15. Top players
Bharti, 62
Reliance, 46Vodafone, 44
BSNL, 41
Idea cellular ,
24
 Cellular services can be divided into
two categories:
 The Global system for Mobile
Communication (GSM) sector is
dominated by Airtel,Vodafone-
Hutch, and Idea Cellular
 TheCode Division MultipleAcess(
CDMA) sector is dominated by
Reliance andTata Indicom.
 CDMA market has increased its
market share up to 30%.
 across the globe, CDMA has been
losing out numbers to popularGSM
technology, contrary to the scenario
in India


16. Reasons for growth
> low tariffs
>falling handset prices

17. PROBLEM FACED
 .
 The bottlenecks for ' IndianTelecom Industry ' are:
>Slow reform process.
>Low penetration.
>Service providers bears huge initial cost to make inroads and
achieving break-even is difficult.
>Lack of infrastructure in semi-rural and rural areas, which
makes it difficult to make inroads into this market segment
as service providers have to incur a huge initial fixed cost.
>Huge initial investments.
>Limited spectrum availability and interconnection charges
between the private and state operators.


18. Rural Telecom Market – an
emerging market
 According to numbers compiled by theTelecom Regulatory
Authority of India As on September 2007, out of the
209 million mobile users in the entire country, 43
million were in rural areas.
 Rural India will wrest 40 percent of new telecom
market

 India’s rural telecom connectivity is poised for
explosive growth in the next five to 10 years,
grabbing a 40 percent share of the new market
 The government will roll out new incentives for
mobile networks in rural India.
 It’s also planned that the ultra-low cost handset of
approximately Rs.840 ($20) to the market with
built-in subsidies, lifetime validity and minimal
maintenance costs have promoted mobile usage in
remote areas.


19.  Reasons for rural inclination
 rural areas has now become the hot spot for private telecom operators.
 Nearly 75 per cent of the mobile users in the villages are now owned by private
operators as cellular phones catch the imagination of rural consumers. Until
now, state-owned Bharat Sanchar Nigam Ltd was known to be the only
significant rural telecom operator in the country.
 Analysts said that the share of rural telecom consumers will continue to increase
as operators have initiated an aggressive roll-out plan to cover remote areas of
the country.This is primarily driven by a slump in the growth rate of mobile user
base in the metro and urban areas.
 According to the data released by the Cellular OperatorsAssociation of India
Circle C and Circle B States such as Bihar, Kerala, Madhya Pradesh and Punjab
are showing better growth rates compared to the metros.Therefore, most of the
mobile operators are investing heavily in setting up infrastructure in these
circles.
 The telecom regulator has suggested a number of initiatives to make mobile
connection attractive, including lower entry cost to make it more affordable.


20. Corporate views on telecom sector !
 In a hi-tech market like telecom,Schumpeter's view that
competition through innovation is more important than price
holds significance.Technology advancements, lower costs
and competition translate this into benefits for the consumer.
Moreover, competition drives innovation."
- Poonam Madan Sarmah, Head of Research, Genesis PR.
 "We are looking at making the phone a more useful product
than just an instrument to exchange voices.We want to be
identified as a great value-added service provider."
- Harit Nagpal,Vice President (Corporate Marketing),
Vodafone

21. Telecom tops in employment
growth
 According to estimates of theWorld Bank, employment in the telecommunications sector has
grown by 33 per cent since 1994, the highest growth among all the sectors in the services
industry.
 While theWord Bank numbers, released in its recent report on `India's Services Revolution,' head-
hunters and recruiters say that telecom is still the favorite among higher level professionals.
 Thanks to the aggressive rollout of a countrywide network, operators like Reliance Infocom,Tata
Teleservices and Bharti have gone on a hiring overdrive.
 From a career point of view, telecom sector continues to offer growth and new learning as the
sector matures and the business opportunities expand.
 TheseTelecom companies require large number of telecom engineers, telecom software
engineers andTelecom test engineers in the functional areas of Embedded software
development, Analog Digital engineering technology,Telecom networking, Protocol, Chip Design
Engineering,VLSI SoftwareTesting. In the MumbaiTelecom companies there are Software
Engineer jobs,Telecom software Engineers jobs, Quality /Test Engineer jobs, Product Manager
job openings, Network Security Systems Specialist vacancies, NMS Engineer jobs, Network
Management specialists, Managers, UNIX Network SystemsOperations Engineers, NMS
Administrator jobs, Cisco Specialist Software Engineer etc.
 Taking a cue from the demand for telecom professionals, top educational institutions have
begun specialized courses in telecommunication management. Symbiosis in Pune andAmity in
Delhi are examples of such institutions. Even state-owned MahanagarTelephone Nigam Ltd
(MTNL) has set up a training facility for telecom engineers in Mumbai.

22. List of top 30 Telecom
companies in India :
Company Name Market Cap in Crores
Bharti Airtel 108066.23
Reliance Communications 32683.44
Idea Cellular 14368.92
Tata Communications 13181.25
Tata Teleservices 4393.06
Spice Communications 4136.13
MTNL 4044.6
GTL 2475.12
GTL Infrastructure 2210.49
OnMobile Global 1403.52
HFCL Infotel 457.73

23.  Bharti Airtel is one of the most valued company of India. It is also the leading
telecom provider in India. Reliance Communications follows Airtel in market
capitalization. Interestingly the same order holds good for the total number of
subscribers these telecom companies has.

 Bharti has a subscriber base of 91.1 million and added 2.7 million subscribers in
Feb 2009. Reliance added 3.3 million new subscribers in FEB 2009 to take the
total to 69.6 million. Reliance rolled out its GSM operations late last year
following which there was a surge in the number of new subscribers. It also
added more subscribers than Airtel in a month.
 Following MTNL is the list of other telecom providers in infrastructure,
equipment and value added services. Vodafone-Essar which has 66 million
subscribers is not listed on the Indian Bourses.
 BSNL is also not listed and that is the reason why it is not in the list. If listed it
could be one of the top companies.There is a lot of things happening around
BSNL’s IPO even before the recession started. Now, that the recession has
started the IPO plans were postponed. But, BSNL will dilute 10% stake sooner
than later.
 *Market valuations as on 20 MAR 2009. Source (ETIG)

25. Our Vision & promise
By 2010 Airtel will be the
most admired brand in India:
 Loved by more customers
 Targeted by top talent
 Benchmarked by more businesses
We at Airtel always think in fresh and innovative ways about the needs
of our customers and how we want them to feel.We deliver what we
promise and go out of our way to delight the customer with a little bit
more”

26. Bha rtiAirtel !!
 Bharti Airtel
 Telecom giant BhartiAirtel is the flagship company of Bharti Enterprises.The
Bharti Group, has a diverse business portfolio and has created global brands in
the telecommunication sector.

 Airtel comes to you from BhartiAirtel Limited, India’s largest integrated and the
first private telecom services provider with a footprint in all the 23 telecom
circles. Bharti Airtel since its inception has been at the forefront of technology
and has steered the course of the telecom sector in the country with its world
class products and services.
 The businesses at Bharti Airtel have been structured into three individual
strategic business units (SBU’s) - Mobile Services, AirtelTelemedia Services &
Enterprise Services.The mobile business provides mobile & fixed wireless
services using GSM technology across 23 telecom circles while the Airtel
Telemedia Services business offers broadband & telephone services in 94 cities.
The Enterprise services provide end-to-end telecom solutions to corporate
customers and national & international long distance services to carriers.All
these services are provided under the Airtel brand.

27. Business Divisions
• GSM mobile services in all the 23-telecom circles of India and is the
largest mobile service provider in the country, based on the number
of customers.
MOBILE SERVICES
• delivering telecommunications services as an integrated offering
including mobile, broadband & telephone, national and international
to enterprises.
ENTERPRISE
SERVICES (
CORPORATES )
• high speed broadband internet with a best in class network &
Landline services in 94 cities
AIRTELTELEMEDIA
SERVICES
• The Company compliments its mobile and broadband & telephone
services with national and international long distance services. It has
over 35,016 route kilometers of optic fibre on its national long
distance network.
ENTERPRISE
SERVICES (CARRIER
SERVICES)

28. FUTURE Development
 In the mobile business, Bharti Airtel plans to
make considerable investments in Network
expansion to establish presence in all census
towns and over 500,000 villages across India by
2010, thereby covering 95% of the country’s total
population.
 The company’s strategic focus will be on further
strengthening the Airtel brand through best-in-
class customer service, which is backed by wide
national distribution.



29. The Airtel subscriber base according
to COAI - Cellular Operator
Association of India as of May 2008[7]
was
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Column1
Column1

30. Achievements
 The first private player in telecom sector to connect all states of India.
 The first mobile service provider to introduce the lifetime prepaid services and electronic recharge
systems.
 the network has spread over 93 per cent along the National Highways and 88 per cent of key rail
routes across the State .
 Having achieved huge success in mobile services- postpaid and prepaid-
 Now entered fixed-line telephony providing broadband services in 92 cities across India.
 The company has an optical fiber network of 35,016 km and a customer base of 35,440,406 GSM
mobile and 1,819,083 broadband subscribers.
 Airtel is listed onThe Stock Exchange, Mumbai (BSE) andThe National Stock Exchange of India
Limited (NSE).
 Rapidly expands network, to roll out across all census towns and over 5,00,000 villages – covering
over 95% of the population.
 the fastest private telecom company in the world to achieve this milestone
 Enters into the league of the world’s top telecom companies, moves towards top 5 global mobile
companies
 Adding 25000 towers every month expanding their network all over India.
 Wide range ofValue Added Services – like ringtones, caller tunes, news etc
 One of the 1st company to introduce mobile banking, mobile bill payments etc

31. Targets
 To provide a superior network service that is
congestion-free and to help customers get
connected the first time.
 The SMS capacity is sought to be raised
 spread its wings in US by providing its mobile
service under the name 'CALLHOME' to the
NRIs.

32. Advertisements
 Airtel’s advertising campaigns are always admired.
Their idea of creating a signature ringtone with A R
Rehman was brilliant; and they still continue to use
that tone. In a masterstroke they elevated the brand
without having to talk of talk time , rates etc.
 Then came the almost magical ‘ExpressYourself ‘
campaign stunningly executed with excellent imagery
and creativity. It showcased the ubiquitous utility of
the mobile phone through the situations ( a fighting
couple, a bride entering church, an irate mob) but
converted a rational purchase decision to an
extension of one’s voice. And from that Bharti’s
market share has kept increasing to being the biggest
mobile service provider.
 They chose the country’s most popular people i.e.
SRK, Kareena and Sachin for their campaign & made
connection with people.
 Its advertisements always touch the chord of the
people.


33.  More than 48 million mobile
users
 9.80 million subscribers from
rural areas.
 planned to increase the pace of
its network expansion in rural
areas
 Distribution has been growing
at a rapid pace and Airtel will be
in easy reach for all customers in
the State.
We want to increase the brand presence and become far more local,” CEO
says.

34. Organizational Structure of
AIRTEL

35. Departments
 Levels
Departments
IT
Sales &
Marketing
Finance Networking HR Operations
Customer
Care
Audit
Assurance
1. CEO
2. COO
3. CFO/CMO/CIO etc
4. VP
5. AVP
6. GM
7. DGM
8. Senior Manager
9. Manager
10. Deputy Manager
11. Asst. Manager
12. Senior Executive
13. Executive
14. Management Trainees
15. Trainees