PPT Telecom Industry 2019

2. CONTENTS
• Introduction
• Evolution
• Classification And Segments
• Market In India
• Broadband subscriber in India
• Fiber Cable and circles in India
• DATA Consumption Pattern in India
• Key Players And Disruption
• Key Player market share
• Financial Scenario in India
• Labour Market in India
• SWOT Analysis
• PESTEL Analysis
• 5G Spectrum Road Map
• Future Scope
• Conclusion
• Reference

3. INTRODUCTION
• Telecommunication (“Telecom”) is the transmission of
signs, signals, messages, words, writings, images and
sounds or information of any nature by wire, radio, optical
or other electromagnetic systems. Telecommunication
occurs when the exchange of information between
communication participants includes the use of
technology.
• The telecommunications industry, or telecom industry, is
comprised of companies that provide the infrastructure for
data transmission and communications.
• Telecom industry is controlled by TRAI (Telecom Regulatory
Authority Of India) in India .
• Government of India provide the Spectrum License
through bidding to the internet provider.

4. EVOLUTION OF TELECOM INDUSTRY
• 800Mhz
• Voice Only
• 1980
• Maximum
Speed
2.4Kbps
• 850 -
1800Mhz
• Voice and
Data ,
Narrow
Band
• 1991
• Maximum
Speed
50Kbps
• 1800-
2100Mhz
• Voice and
Data ,
Broad
Band
• 1998
• Maximum
Speed
2MBps
• 2100-
2350Mhz
• Voice and
Data, Ultra
Broad Band
• 2008
• Maximum
Speed
100MBps
• 2400-3600Mhz
• Multi Input
Multi Output
(MIMO)
• By 2020
• Maximum
Speed 20Gbps
Expected
Source: https://www.lifewire.com/1g-vs-2g-vs-2-5g-vs-3g-vs-4g-578681

5. 4812 Radiotelephone Communications
4812-12 Paging & Signalling Equipment & Systems
4812 Cellular and Other Wireless Telecommunications
4813 Telephone Communications except radio
4813-02 Telecommunications Resellers
4822-06 Video Conferencing
4899 Communications Services NEC
Source : https://www.nsca.org/sic-listing/
TELECOM MARKET CLASIFICATION
• Total Range of Telecom Industry: 4812 to 4899
Parent Category
481 - Telephone
Communications
SIC Code 4812,4813 - Telephone
Communications, except
Radiotelephone
INDUSTRY SECTOR
Transportation &
Public Utilities
Companies in this industry operate or provide access to facilities for voice, data, text,
sound, and video transmission through wired, wireless, or satellite networks.
Source : https://siccode.com/sic-code/4813/telephone-communications

6. TELECOM MARKET SPLITS IN TO THREE SEGMENTS
Source: “Aranca Research” /Dec 2018
Comprises establishments
operating and maintaining
switching and transmission
facilities to provide direct
communications via
airwaves
Includes Internet Service
Providers (ISPs) that offer
broadband internet
connections through
consumer and corporate
channels
Consists of companies that
operate and maintain
switching and transmission
facilities to provide direct
communications through
landlines, microwave or a
combination of landlines
and satellite link-ups

7. TELECOM MARKET IN INDIA
• India is currently the second largest
telecommunication market and has
the second highest number of internet
users in the world, with a subscriber
base of over 1.2 billion.
• India’s telephone subscriber base
expanded at a CAGR of 17.44%,
reaching 1,206.22 million during FY07–
18.
• According to report prepared by GSM
association in collaboration with the
Boston Consulting Group App
downloads in the country grew
approximately 215% between 2015
and 2017.
Source: Telecom Regulatory Authority of India Report : Telecom At a Glance, Oct 2018

8. MOBILE BROADBAND SUBSCRIPTION IN INDIA
56%
11%
29%
4%
In 2018
GSM WCDMA LTE CDMA
12%
1%
81%
2% 4%
In 2024
GSM WCDMA LTE CDMA MIMO
Source: Ericsson Mobility Report, December 2018
CDMA - Code-Division Multiple Access – Technology For 1G
GSM - Global System for Mobile – Technology For 2G
W-CDMA - Wideband Code Division Multiple Access – Technology For 3G
LTE - Long Term Evolution – Technology For 4G
MIMO - Multiple Input, Multiple Output - Technology for 5G

9. FIBER CABLE AVAILABLE IN INDIA
Source :https://www.nperf.com/en/map/IN/
Idea-voda has
20 circle
Spectrum
Licence
BSNL has 17
circle
Spectrum
Licence
BSNL IDEA-VODAFONE
Idea-voda has
20 circle
Spectrum
Licence
BSNL has 17
circle
Spectrum
Licence

10. RELIANCE JIO
FIBER CABLE AVAILABLE IN INDIAContd….
AIRTEL
Jio has 22
circle
Spectrum
Licence
Airtel has 21
circle
Spectrum
Licence
Source :https://www.nperf.com/en/map/IN/
RELIANCE JIOAIRTEL
Jio has 22
circle
Spectrum
Licence
Airtel has 21
circle
Spectrum
Licence

11. DATA CONSUMPTION PATTERNS IN INDIA
Video
Streaming
, 68.5
Browsing,
16.5
Social
Media, 9
Others, 6
Data Consumption In %
Video Streaming Browsing Social Media Others
Source: Nokia MBiT Report / November 2018
• As per NOKIA MBiT Report , at the end of 2024
average data consumption per Smart Phone is
projected to be 21GB/Month which is now in
2019 is 5.6GB/ Month.
• Interim finance minister Piyush Goyal while
presenting the Union Budget 2019 said that the
monthly consumption of mobile data has
increased by over 50 times in last 5 years.
• Furthermore, Goyal said that the government has
a vision making 1 lakh digital villages in the next 5
years.

12. Key Players & The Disruption In India
After JioBefore Jio

13. Vodafone Idea
37%
Airtel
29%
Reliance Jio
22%
BSNL
10%
MTNL
0% Others
2%
Indian Telecom Operator Market Share%
in Sept,2018
Vodafone Idea
Airtel
Reliance Jio
BSNL
MTNL
Others
TELECOM INDUSTRY KEY PLAYER MARKET
SHARE IN INDIA
Source : TRAI
• Vodafone Idea has increased its wireless
subscriber base to 434.95 million in September
2018 from 409 million in December 2017.
• Airtel indicated that it may remove 70 million
customers in phases in a bid to improve its
revenue and profit.
• Reliance Jio has 252.25 million in September
2018 as compare with 160.09 million in the end
of 2017. Jio is recognized as 10th most trusted
brand of India as revealed by ET.
• BSNL is the fourth largest telecom operator in
India with a subscriber base of 113.04 million in
September 2018 as against 107.91 million in
December 2017.

14. -5
0
5
10
15
20
FY 14 FY 15 FY 16 FY 17 FY 18
ROCE (%)
RJIL AIRTEL VODA-IDEA BSNL
RJIL AIRTEL VODA-IDEA BSNL
FY 14 8.08 13.18 10.8 -0.13661
FY 15 7.41 17.32 15 -0.12733
FY 16 8.24 8.38 9.69 -0.05631
FY 17 11.04 7.38 3.57 -0.04292
FY 18 11.8 3.01 -2.38 -0.07973
TELECOM INDUSTRY: FINANCIAL SENARIO
• Here the ROCE (Return on Capital Employed) shows that RJIL and Airtel are in good
position than others .
Source : Annual Report of RJIL, Airtel, Voda-Idea & BSNL

15. TELECOM INDUSTRY: FINANCIAL SENARIO
Source : Annual Reports of RJIL, Airtel, Voda-Idea & BSNL
Common Size Balance Sheet
Values are in Rs . Cores
Reliance Jio Airtel Voda-Idea BSNL
Total Asset 100.0 100.0 100.0 100
Fixed Asset 91.9 62.5 86.1 87.4
Investment 0.4 27.0 5.0 0.0
Current Asset 7.7 10.5 8.8 12.6
Total Liability 100.0 100.0 100.0 100.0
Capital 40.6 1.0 4.5 67.5
Reserves & Surplus 0.0 49.2 22.0 0.0
Other Liability 25.3 28.5 62.5 15.0
Current Liability 34.1 21.3 11.0 17.5
100.0
91.9
0.4
7.7
100.0
40.6
0.0
25.3
34.1
100.0
62.5
27.0
10.5
100.0
1.0
49.2
28.5
21.3
100.0
86.1
5.0
8.8
100.0
4.5
22.0
62.5
11.0
100
87.4
0.0
12.6
100.0
67.5
0.0
15.0
17.5
TOTAL ASSET FIXED ASSET INVESTMENT CURRENT ASSET TOTAL LIABILITY CAPITAL RESERVES &
SURPLUS
OTHER LIABILITY CURRENT
LIABILITY
COMMON SIZE BALANCE SHEET FOR THE YEAR ENDING ON 31ST MAR,2018
Reliance Jio Airtel Voda-Idea BSNL

16. TELECOM INDUSTRY: LABOUR MARKET
• India telecom sector may slash 60,000 plus jobs by the end of
the current financial year as a result of consolidation.
• The Indian telecom sector slashed over 1 lakh jobs and saw
an attrition rate of 20-25 percent on average in 2017-2018.
• Telecom industry insiders say some 15,000-20,000 people lost
their jobs in the six months ended September 30.
• TeamLease Services said some 65,000 telecom sector workers
will lose their jobs by March 31. The main areas hit by the
poor performance of Indian telecom operators will be
customer support and financial functions. Customer support
is expected to slash about 8,000 jobs, while financial functions
will terminate about 7,000 employees.
Source : https://telecom.economictimes.indiatimes.com/

17. Telecom
Industry
Strength
Threat
Weakness
Opportunity
• Mobile penetration
• Increase in internet users
• Untapped rural market
• Strong demand
• Increasing data usage
• Good telecom infrastructure
• Intense competition
• Debt and finances
• Late adoption of 4G and
advanced wireless technologies
• Interconnection charges
• Spectrum auctions
Source : ET CONTRIBUTORS | Dec 30, 2018, 10.50 AM IST
SWOT ANALYSIS OF TELECOM INDUSTRY IN INDIA

18. PESTELANALYSIS OF TELECOM INDUSTRY IN INDIA
POLITICAL FACTOR
ECONOMICAL FACTOR
SOCIAL FACTORPESTEL
ANLYSIS

19. 5G Use Cases and Spectrum Roadmap
• 5G can support the development of smart cities, and improve access to low-latency
public services such as healthcare and education in India
• mMTC can support the deployment of the government’s 100 smart cities mission
through installation of smart meters, smart poles, and CCTV cameras .
• uRLLC can enable low latency healthcare (through remote medical facilities delivered
at Public Health Centers by making use of BharatNet optical fiber infrastructure) and
digital education services (through remote virtual classrooms .
• In India, the focus has been on sub-700MHz spectrum band and a part of C-band
(3.3GHz) .
• Availability of V-band (56-66GHz), and E-band (71–76GHz and 81–86GHz) for backhaul
wireless deployment will be pivotal in the proliferation of 5G technology .
• Commercial launch of 5G in India is expected by 2020, in-line with other developed
markets, driven by operators investing in virtualized networks as part of their 4G
rollout .
Source: NOKIA MBIT Report

20. FUTURE SCOPE OF TELECOM INDUSTY IN INDIA
• Improvement in Download/Upload Speeds
• Making In-Roads for 5G in India
• VoLTE and VoWi-Fi Becoming the Standard
• Improving Self-Care Apps
• Content Partnerships
• BSNL 4G Services Might Finally Become a Reality
• Gigabit Broadband Services at Affordable Prices
Source: https://telecomtalk.info/telecom-trends-watch-out-for-in2019/185148/
As per Ericsson Mobility Report, Nov_2018, In 2024 5G network will carry 25% of
global mobile data traffic . In INDIA it will take around 15% of total Telecom Market

21. Conclusion
From the whole
discussion of telecom
industry in India it is
concluded that there
is No clear winner in
this industry each
and every Player
have their significant
importance and
contribution
individually as well
as in a whole .

22. References
• “Aranca Research” /Dec 2018
• “Ericsson Mobility Report” | December 2018
• “Nokia MBiT Report” / November 2018
• “Telecom At A Glance (TRAI)” / December 2018
• “TRAI Company Statement”, Oct 2018
• Telecom Regulatory Authority of India Report : “Telecom At a Glance”, Oct 2018
• Annual Reports of RJIL, Airtel, Voda-Idea & BSNL
• www.lifewire.com/1g-vs-2g-vs-2-5g-vs-3g-vs-4g-578681
• https://www.ibef.org/
• https://telecom.economictimes.indiatimes.com/
• https://www.nperf.com/en/map/IN/