ITV

Tag: telecom

  • Minimal growth in September in broadband usage: TRAI

    Minimal growth in September in broadband usage: TRAI

    NEW DELHI: Even as there was growth of just 1.92 per cent in broadband between the end of August and the end of September, there was a decline of 4.31 per cent in the fixed wireless subscribers (Wi-Fi, Wi-Max, Point-to-Point Radio & VSAT).

     
    According to reports received by the Telecom Regulatory Authority of India (TRAI) from the service providers, the number of broadband subscribers increased from 74.31 million at the end of August to 75.73 million at the end of September.

     
    There was marginal increase in mobile devices users (Phones and dongles) of 2.32 per cent from 58.82 million to 60.19 per cent, and a minimal growth in wired subscribers of just 0.53 per cent from 15.05 million to 15.13 million.

     
    The top five wired broadband service providers by September-end were BSNL (9.98 million), Bharti Airtel (1.40 million), MTNL (1.13 million), Beam Telecom (0.42 million) and YOU Broadband (0.41 million).

     
    The top five wireless broadband service providers were Bharti Airtel (15.44 million), Vodafone (13.55 million), Idea Cellular (10.52 million), BSNL (7.94 million) and Reliance Communications Group (6.40 million).

     

  • Airtel launches ‘One Touch Internet’

    Airtel launches ‘One Touch Internet’

    MUMBAI: Bharti Airtel, the telecom service provider with operations in 20 countries across Asia and Africa, has announced the launch of ‘One Touch Internet’ – a first of its kind initiative aimed at simplifying internet services for millions of first-time users in India.

     Airtel’s ‘One Touch Internet’ is a WAP (Wireless Application Protocol) portal designed with a simple, secure and intuitive interface that will allow first-time users to discover the internet easily and help them overcome common perception barriers around the mobile data experience. Now available for prepaid mobile customers on Airtel – ‘One Touch Internet’ will work as a single point destination for uninitiated internet users to see-try-buy a host of popular services (including social networking, videos, online shopping and travel bookings) through free tutorial videos and trial packs – all with just one touch.

    Bharti Airtel consumer business director Srinivasan Gopalan said, “The Indian telecom market has entered a phase of data led growth. As data networks expand and internet enabled devices become affordable – more and more Indians are getting online on their mobile devices. However, our market research has shown that there are millions of customers across the country who own an internet-ready mobile device and are keen on getting online, but are apprehensive due to reasons like lack of know-how and fear of incurring heavy data charges. Airtel’s ‘One Touch Internet’ will address these very customer challenges and play the crucial role of hand-holding first-time mobile users as they discover the internet. We believe that this initiative can play a transformational role in breaking perception barriers among customers and demystifying the internet not only for the young and urban, but for people from across generations and social strata – thus giving the Indian masses an opportunity to enjoy their first ever internet experience”.

    The rapid penetration of mobile telephony has played a pivotal role in transforming the socio economic growth in countries world over, including India. According to estimates – India has over 220 million internet users today, of which, about 59 per cent get online over a mobile device. Projected to reach a whopping 385 million by 2017, the smartphone penetration in India is only growing stronger and contributing to a rapidly increasing base of internet users, which is expected to more than double to 480 million by 2017.

    To self-learn or have family and friends explain the internet to them easily, Airtel prepaid mobile customers can now call 111 or simply visit http://one.airtel.in on their mobile phones’ web browsers. Currently available in English and Hindi, ‘One Touch Internet’ will soon also be available in 8 Indian vernacular languages in weeks to come.

     To promote the launch of ‘One Touch Internet’, Airtel is also launching a full-blown 360 brand campaign. The insight for its Television Commercial (TVC) film comes from the brand’s core territory of enabling relationships, and evokes a strong emotional connect compelling viewers to teach someone how to discover the joys of the internet. The TVC will also be supported by a strong digital leg.

     

  • TRAI’s Khullar lashes out at DoT for delay in giving spectrum to Airtel and Vodafone

    TRAI’s Khullar lashes out at DoT for delay in giving spectrum to Airtel and Vodafone

    NEW DEHI: The Telecom Regulatory Authority of India (TRAI) has lashed out at the Department of Telecom (DoT), noting that it is “unable to understand the reasons for the inordinate delay in the assignment of spectrum despite the clear provision in the notice inviting applications fo the assignment of spectrum and after the payment has been made by the licencees.

     

    In a letter by TRAI chairman Rahul Khullar to Telecom secretary Rakesh Garg, it has been stated that the Authority is seriously concerned that this delay on the part of WPC in assigning spectrum in the 1800 MHz band may lead to a partial breakdown of services offered by  Airtel and  Vodafone especially in Delhi, the national capital.

    This will inconvenience consumers greatly. Both these operators have around 20 million subscribers in Delhi which constitute around 45 per cent of the total subscriber base of Delhi Licence Service Area. It is apprehended that in December 2014, there will be a serious deterioration in the quality of service to these subscribers because of call drops, network congestions etc.
     
    The Authority has suggested that the DoT should immediately call a meeting of both Telecom Service Providers and arrive at a feasible solution so that consumers’ inconvenience can be avoided.
     
    At the outset, Khullar said in the three metros of Delhi, Mumbai and Kolkata, the first two CMTS/UAS licences given in 1994 are due to expire on 29/30 November 2014. These “expiry” licensees were holding spectrum in the 900 MHz and 1800 MHz band which was put to auction in the February 2014 auctions. Except Loop which did not participate in the auctions, other “expiry” licensees.  and Vodafone were successful in re-acquiring spectrum in these LSAs.
     
    In the Delhi LSA, Airtel and Vodafone, which were both having 8MHz in 900 MHz, could re-acquire only 6 and 5 MHz of 900 MHz band respectively in the auctions. Moreover, the spot frequencies now assigned to them are almost entirely different from the earlier different from the earlier assignment.  To make up for the shortfall int eh 900 MHz band, these TSPs have acquired additional spectrum in the 1800 MHz band, but it will require sufficient time to build a new network in the 1800 MHz spectrum.  In addition, in the Delhi LSA, Idea has acquired 5 MHz in the 900 MHz band, which has to be assigned to it after getting it vacated from these two TSPs.
     
    As reported by these TSPs, this whole exercise of change over of frequencies will need to be carried out in two stages. First, these TSPs will have to build a new network of 1800 MHz spectrum by putting new BTSs and augmenting the capacity of the existing ones. In the second stage, they will have to reduce their holding in the
    900 MHz band in steps and carry out swapping of spectrum andreleasing spectrum to the new entrant (Idea). Both of them will berequired to do rigorous planning and work in tandem. The above change  over  will be  a huge challenge  as all these changes are to be carried out on a live network catering to millions of subscribers and any lapse may result in service interruption and serious deterioration in quality of service.
     
    Anticipating the above challenges in mind, the Authority, in its recommendations on ‘Auction of Spectrum’ dated 23 April 2012 had recommended that the 900 MHz spectrum be auctioned at least 18 months in advance so as to enable the winning bidders to be ready with the deployment plans. According to the NIA of 12 December 2013 for the auctions of February 2014 in case of bidders whose licenses were about to expire in 2014, the effective date of spectrum assignment in 1800 MHz band, will be the preferred date of allotment of spectrum indicated by the successful bidders which in no case shall be later than date of expiry of existing licenses in the respective service area.
     
    Khullar noted that media reports had reported and Vodafone and Airtel had told the Authority that there has been inordinate delay in the assignment of spectrum in the 1800 MHz band. Vodafone says it has been assigned spectrum only on 10 October 2014, that is, after almost 8 months from the February 2014 auctions despite a number of representations to the WPC.
     
    In its representation of 16 October, Vodafone has indicated that it would require at least one week for the deployment of new frequencies assigned in the 1800 MHz band and 9 weeks for freeing up the excess 3MHz in the 900 MHz band in a progressive manner.  Subsequently, it would require another three weeks’ time for swapping of its frequencies in the 900 MHz band with Airtel.
     
    However, only seven weeks are left before the expiry of licences, Khullar noted.

     

  • “DoT should regulate carriage and I&B can look at content”: Rahul Khullar

    “DoT should regulate carriage and I&B can look at content”: Rahul Khullar

    NEW DELHI: The Telecom Regulatory Authority of India (TRAI) chairman Rahul Khullar has once again spoken loud and clear. The 62-year-old Khullar has proposed that while the Department of Telecom should exclusively focus its attention on carriage and carriage related issues while the Information and Broadcasting Ministry (I&B), considering its history, should be only regulating content.

     

    “And I think that is the way we need to go,” he said while addressing the gathering at the recently concluded CII Big Summit 2014.

     

    He also came down heavily on the politicians and political parties. He said, “The Supreme Court through its ruling has clearly stated that airwaves are not the monopoly of the state.”

     

    So, while Prasar Bharati must exist and it must be independent; politicians, governments, state governments and their organs have “absolutely no business whatsoever to be in broadcasting space,” he announced and suggested that the government must announce this as an integral part of the National Media Policy.

     

    Khullar also gave his perspective on the other components of the National Media Policy. “Firstly, there must be a clear articulation that we want a free media, unhampered and unrestricted by the government in any way possible,” he said while also suggesting that the media itself must be subject to safeguards. “It could come from other forms of independent regulators. You cannot have an institution which has rights but no duties,” he added.  

     

    Secondly, there must be commitment in National Media Policy to uphold plurality of views and opinion. “And this must be a commitment,” he said.

     

    Thirdly, time has come that we start talking about infrastructure. “If this National Media Policy is actually going to work, are we or are we not going to be in a digitised world? We cannot be flipping and flopping the dates as we send out wrong signals to the rest of the world about your credible commitment towards any policy,” he stated.

     

    Khullar also pointed out the issues with spectrum availability. “It is a nightmare to deal with ISRO. The organisation neither gives you a transponder nor does it allow you to get a transponder of your own,” he informed.  

  • ‘Super Regulator’ to replace TRAI, TDSAT

    ‘Super Regulator’ to replace TRAI, TDSAT

    MUMBAI: After scrapping the planning commission, the Modi government is thinking about clipping the wings of the Telecom Regulatory Authority of India (TRAI).

     

    According to a CNBC TV-18 story, the government is planning on a new super regulator for the communications sector. To be called Communications Commission, it will not only retain powers that TRAI enjoys, but also look into other matters concerning other regulators as well like Censor Board, some clearances from Ministry Of Environment, Competition Commission of India and the Department of Telecommunications.

     

    Moreover, the bill will also replace the Telecom Disputes Settlement Appellate Tribunal (TDSAT) with a new appellate body called the Communications Appellate Tribunal, which will have three members and a chairman. According to the report, this tribunal will also have the power to oversee dispute resolution.

     

    The communications bill seeks to replace all old and redundant legislations which include the Telegraph Act and TRAI Act. The Bill proposes a six member regulator with one chairman, who will have five year tenure. The member will include one each from sectors like telecom, broadcasting, finance, management, accountancy and either law or consumer affairs.

  • One more week to respond to TRAI paper on resolving issue of the controversial AGR for broadcast, telecom

    One more week to respond to TRAI paper on resolving issue of the controversial AGR for broadcast, telecom

    NEW DELHI: The Telecom Regulatory Authority of India (TRAI) has decided to give one last opportunity to stakeholders to respond to its consultation paper on a review of the definition of Gross Revenue (GR) and the permissible deductions to arrive at Adjusted Gross Revenue (AGR) in the context of the National Telecom Policy 2012 in view of a multitude of cases by both telecom and broadcast operators.

     

    Stakeholders have been given one extra week and can respond to the 24 questions raised by the Authority by 8 September with counter comments if any by 15 September. This is being done in view of the important issues involved, but TRAI said no further opportunities would be given.

     

     The Authority will also examine the components of GR, AGR and minimum presumptive AGR, rates of licence fee and spectrum usage charges, formats of statements of revenue and licence fee, and audit and verifiability of revenue and licence fee.

     

    The paper on ‘Definition of Revenue Base (AGR) for the Reckoning of Licence Fee and Spectrum Usage Charges’ will also examine the changes made in the licensing regime, the transition from the administrative allocation regime towards market-determined prices for spectrum, and the conclusion of tenure of many licences. The paper provides the relevant background information on the subject covering various issues involved.

     

    On the definition of AGR specifically, the Authority had in 2012 recommended that only the revenue from the wireless services shall count towards AGR calculation for the limited purpose of calculation of Spectrum Usage Charges (SUC) that would continue to be determined on service area basis, and should be levied only in respect of those service areas where the Licensee holds any access spectrum.

     

    TRAI wants to know whether there is a need to review/revise the definition of GR and AGR in the different licences at this stage; the guiding principles for designing the framework of the revenue sharing regime; and whether the rate of licence fee (LF) be reviewed instead of changing the definitions of GR and AGR, especially with regard to the component of USO levy In the interest of simplicity, verifiability, and ease of administration.

     

    The paper also wants to know whether the revenue base for levy of licence fee and spectrum usage charges include the entire income of the licensee or only income accruing from licenced activities if the definitions are to be reviewed/revised.

     

    It has asked whether LF be levied as a percentage of GR in place of AGR in the interest of simplicity and ease of application, and should the revenue base for calculating LF and SUC include ‘other operating revenue’ and ‘other income’.

     

    The government prepared a draft licence agreement for International Long Distance (ILD) services in September 2000 containing a provision that LF was payable as a percentage of revenue. For the Public Mobile Radio Trunk Service (PMRTS) too, the revenue share regime was made applicable from 1 November 2001.

     

    The definition of AGR has been litigated since 2003. TSPs questioned the inclusion of various components of revenue in the reckoning of AGR as well as the legality of the definition before TDSAT. In 2006, TDSAT, after noting that revenue from non-licensed activities needed to be excluded from the reckonable revenue, asked TRAI to make recommendations on the inclusion or exclusion of the disputed items in the AGR. TRAI made its recommendations on 13 September 2006 and the Tribunal gave its final order in the matter on 30 August 2007 after accepting most (but modifying some) of TRAI’s recommendations.

     

     In the course of finalising the recommendations of the Authority on the reference from TDSAT, the views of DoT were obtained by the Authority through its representative and incorporated in the “Recommendations on components of Adjusted Gross Revenue” dated 13 September 2006. The Authority was informed that the basic rationale adopted by the government while formulating the definition of AGR was that it should be easy to interpret – so as to pose fewer problems in application and less disputes and litigations, and to make it less prone to reduction in LF liability by way of accounting jugglery; and it should be easy to verify.

     

    The TDSAT’s judgment of 30 August 2007 was taken in appeal by DoT to the Supreme Court and was set aside by its judgment on 11 October 2011 on the grounds, among others, that TDSAT had no jurisdiction to decide the validity of the terms and conditions of the licence including the definition of AGR incorporated in the licence agreement. It was for DoT – and not TRAI and TDSAT – to take a final decision on the definition of AGR. The Supreme Court also held that a licensee can raise a dispute about the computation of AGR relating to a particular demand and that TDSAT can then examine whether the demand was in accordance with the licence agreement and the definition of AGR. 

     

    The judgment of the Supreme Court settled important points of law and has clarified the nature of the contractual relationship between the government as licensor and the TSPs. The judgment also laid down the parameters of institutional responsibility in arriving at the contractual terms and conditions; it held that: Litigation regarding the computation of LF continues before the TDSAT in the case of individual demands made on TSPs. It has also been reported that writ petitions re-agitating the revenue share definition have been filed by TSPs in different High Courts.

  • GroupM revises Ad Spend growth to 12.5% from earlier 11.6%

    GroupM revises Ad Spend growth to 12.5% from earlier 11.6%

    MUMBAI: GroupM revised their annual estimated advertising expenditure (AdEx) for 2014 from 11.6 per cent to 12.5 per cent released earlier this year. The AdEx revision is part of the global report called the ‘This Year, Next Year’ 2014.

     

    Speaking about the various sectors contributing to the revised growth, GroupM South Asia CEO CVL Srinivas said, “After a cautious start to the year, the overall sentiment in the country is positive following the general elections and a new stable government. One of the sectors that is adding to the growth story in India is retail. Specifically e-Commerce players that are investing heavily in above the line advertising along with digital media. Industries like FMCG, Auto, telecom and BFSI are expected to increase spends given competitive pressures and clear policies.”

     

    While, digital media continues to show the maximum growth with 35 per cent, television spending is set to grow to 14.8 per cent as against the previously predicted 12 per cent. In print, as government spending and retail will continue to increase spending, regional publications and local advertisers are projected to lead the growth for dailies.

     

    ‘This Year, Next Year’, is part of GroupM’s media and marketing forecasting series drawn from data supplied by holding company WPP’s worldwide resources in advertising, public relations, market research, and specialist communications.

     

    GroupM globally also released their revised estimate India, Brazil and Russia remain among the faster-growing ad markets.

  • DoT in favour of 10 per cent custom duty on telecom gear

    DoT in favour of 10 per cent custom duty on telecom gear

    MUMBAI: Following the uproar after the union budget proposed imposing 10 per cent import duty on telecom products not covered under Information Technology Agreement (ITA) 1 of WTO to boost domestic production of telecom products, media reports suggest that the Department of Telecommunications (DoT) wants the Finance Ministry to retain the 10 per cent customs duty on specified telecom products as proposed in the budget.

     

    According to a report in Economic Times, a letter written by the DoT to the revenue secretary said, “Imposition of customs duty on specified telecom products will create a level playing field for domestic manufacturers who suffer severe disability due to poor infrastructure and inverted duty.”

     

    India is a signatory of ITA 1 as a member of World Trade Organisation. Under the pact, member countries should allow duty free import of products falling under eight categories covering telecom, computers and semiconductors like mobile phones and electronic chips.

     

    The telecom products mostly fall in the category of 2G, 3G as well as the 4G equipment, including switches and broadband equipment. These products are outside the list of about 220 electronic items on which India has a zero duty commitment under the World Trade Organisation’s Information Technology Agreement (ITA-1).  

     

    The Government, also, recently declared set top boxes as a part of telecom network. The move exempts STBs from various taxes and duties, bringing down prices, which the government hopes to pass on to consumers. In the first and second phase of cable digitisation, imported STBs accounted for about 95 per cent market share.  

     

    The letter also added that “India is under no obligation to allow duty free imports of items not covered in ITA-1.”

  • USD 1 trillion to be spent on telecom and datacom over next 5 years

    USD 1 trillion to be spent on telecom and datacom over next 5 years

    NEW DELHI: The Asia Pacific region has shown major growth of six per cent year-over-year in the telecom/datacom equipment and software revenue as against 4.5 per cent by North America.

     

    This trend is expected to continue through at least 2018, Market research firm Infonetics Research says. It also projects a cumulative $1.01 trillion will be spent by service providers and enterprises on telecom/datacom gear and software over the five years from 2014 to 2018.
     

    Sales of telecom and datacom equipment and software came globally to $183 billion in 2013, three per cent above the previous year.
     

    According to research data from its 2014 Telecom and Datacom Network Equipment and Software report, Infonetics says the overall telecom and datacom network equipment and software market share leaders are in rank order: Cisco, Huawei, Ericsson, Alcatel-Lucent and ZTE – the same top five vendors with virtually the same shares as the year prior.

     

    Vendor share positions also held steady in the enterprise segment, with Cisco in the driver’s seat and followed distantly by tightly bunched Avaya, Brocade, HP, and Juniper (listed in alphabetical order).
          

    Infonetics Research principal analyst Jeff Wilson said: “Despite the fact that enterprises and service providers are in the middle of massive network upheavals due to the evolution of software-defined networking (SDN) and network functions virtualisation (NFV) technology, the telecom and datacom networking equipment and software market is on track to grow annually through 2018 with the fastest growth coming in 2015.”
     

    Infonetics co-founder and co-author of the report Michael Howard added: “Looking at just the service provider equipment space, we’re seeing a shakeup in vendor market share, with Huawei leapfrogging longtime number-one Ericsson to take the top spot in 2013. While Huawei’s been doing well in a number of regions, China’s economy is a key factor keeping Huawei’s growth so strong.”
     

    The report has compiled worldwide and regional market size, vendor market share, and forecasts through 2018 from all of its reports that track enterprise and service provider gear. It is the majority of all data networking and telecom equipment for service providers, cable companies, and small, medium, and large organisations, excluding consumer electronics.

    The 11 major categories of equipment and software tracked in Infonetics’ report include broadband aggregation; broadband CPE; pay TV; optical network hardware; carrier routing, switching, and Ethernet; service provider VoIP and IMS; service provider mobile/wireless infrastructure; service enablement and subscriber intelligence; security; enterprise and data center networks and enterprise communications. Companies tracked include Alcatel-Lucent, Avaya, Brocade, Ciena, Cisco, Ericsson, Fujitsu, HP, Huawei, Juniper, Motorola, NEC, Nokia, Samsung, Siemens, ZTE, and many others.

  • Samsung Mobile partners with Sunstrike for mobile trade-up programme

    Samsung Mobile partners with Sunstrike for mobile trade-up programme

    NEW DELHI: Sunstrike Telecom India has joined hands with Samsung Mobile for its pan-India trade-up programme under which customers can trade-in their existing mobile devices in exchange for select Samsung Mobile handsets at a special price.

     

    Sunstrike will provide the end-to-end solution for this ambitious Samsung Mobile trade up plan.

     

    Sunstrike’s role involves large scale on-ground implementation along with seamless back-end logistics to power the programme in India.

     

    The telecom provider has put in well-structured, customised, multi-point criteria for determining the customer handsets’ trade-in valuation. The appraised value is honoured on the spot against the new purchase.  Sunstrike will buy these handsets at the appraised price.

     

    The programme rides on the intricate back-end verification process and attached logistics for the physical transfer of handsets. The programme will augment Samsung Mobile’s customer retention and acquisition initiatives in the highly competitive Indian market.

     

    Sunstrike Telecom head of global buyback Parm Dhillon said, “Though India has its own huge infrastructure challenges, our global extensive experience in this field, gave Samsung complete confidence to partner with us to drive this programme and make it a success. Not only did we turn this around in record time, we also underscored our position as a global leader in buy-back industry.”

     

    “Our mobile device trade-up team has successfully launched previous schemes in under three weeks enabling our partners to quickly deliver unbudgeted growth as part of new customer activations and existing customer retention strategies,” he added.

     

    Sunstrike India MD Chanpreet Singh concluded, “We know that besides being extremely challenging, India is a huge market for this business. We have put in a fantastic team in India to lead this exclusive deal with Samsung.”