SPOTLIGHT ON INDIAN ELECTRONICS Spotlight on Indian Electronics | Page 141

HIGH PRIORITY MARKET - TELECOM
Government Initiatives
The government has fast-tracked reforms in the telecom
of India ( TRAI ).
sector and continues to be proactive in providing room for
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The Central Government ’ s several initiatives to
growth for telecom companies . Some of the other major
promote manufacturing in the country , such as ‘ Make
initiatives taken by the government are as follows :
in India ’ campaign appears to have had a positive
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The Telecom Regulatory Authority of India ( TRAI ) has
impact on mobile handsets manufacturing in the
directed the telecom companies or mobile operators
country . Companies like Samsung , Micromax and
to compensate the consumers in the event of dropped
Spice had been assembling handsets in the country
calls with a view to reduce the increasing number of
already . Xiaomi and Motorola , along with Lenovo have
dropped calls .
also started assembly of smartphones in India . Firms
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With a view to encourage consolidation in the telecom
like HTC , Asus and Gionee too have shown interest in
sector , the Government of India has approved the
setting up a manufacturing base in the country .
rules for spectrum trading that will allow telecom
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The Government of India plans to roll out free highcompanies
to buy and sell rights to unused spectrum
speed wi-fi in 2,500 cities and towns across the
among themselves . The Union Cabinet chaired by the
country over the next three years . The program entails
Prime Minister , Mr Narendra Modi , gave its approval to
an investment of up to Rs 7,000 crore ( US $ 1.06
the guidelines on spectrum sharing , aimed to improve
billion ) and will be implemented by state-owned
spectral efficiency and quality of service , based on the
Bharat Sanchar Nigam Ltd ( BSNL ).
recommendations of the Telecom Regulatory Authority
Five trends for Indian telecom in 2016
PricewaterhouseCoopers ( PwC ) has published its “ Five
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Data monetisation to move away from telcos : This
trends for Indian telecom in 2016 ”– a preview of what the
continues a theme from 2015 , and predicts that new
market may expect from one of India ’ s most dynamic
revenues in the industry generated from data service
industries of late :
will flow more and more to data service and
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Consolidation towards a 5 + 1 market : The market will settle
applications providers , and not to telecom operators .
on five private sector players , and one state-owned
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OEMs to climb the value chain : Network technology
one . Combinations may come in the form of outright
providers are expected to do more to leverage their
mergers , or of spectrum sharing such as recently
potential in usage analytics , packet-probing and
announced by Idea and Videocon .
pushing content-based offerings , all in a bid to protect
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Network experience prevails over customer experience : In
their challenged revenue base .
other words , operators will continue to focus on
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More regulatory scrutiny on quality : The regulatory
providing a high quality , consistent network
authorities are likely to go harder on ensuring
experience offering the speeds and coverage expected
operators keep to their commitments for providing a
by customers . Differentiating that experience
quality service , and doing so transparently and
( reference net neutrality debates ) is not for India , just
responsibly .
yet .
Telecommunications Industry Outlook
Continued momentum around core telecommunications
mPayments , and evolving communications
businesses — as well as innovation around non-traditional
technologies — will present both new challenges and
business models such as Internet of Things applications ,
growth opportunities for telecommunications companies .
Where do you see opportunities for growth in 2016 ?
The telecom sector continues to be at the epicenter for
telecom industry including wireless and
growth , innovation , and disruption for virtually any
wireline / broadband carriers , network
industry . Mobile devices and related broadband
equipment / infrastructure companies , and device
connectivity continue to be more and more embedded in
manufacturers who are all critical components of this key
the fabric of society today and they are key in driving the
ecosystem .
momentum around some key trends such as video
As the number of embedded devices that require mobile
streaming , Internet of Things ( IoT ), and mobile payments .
connectivity grows , telecommunications companies will be
The number of “ connected things ” continues to grow as
looking for opportunities to increase revenue through their
mobile and “ smart ” device utilization and connectivity
core businesses such as network connectivity , sale of
continues to expand — which will ultimately shape and
network equipment and devices , all of which this emerging
define the IoT space . Based on the results of our latest
ecosystem will require , as well as through new products
Global Mobile Consumer Survey ( GMCS ), US consumers
and services that are enabled by these core businesses .
look at their devices over 8 billion times a day in the
The consumer oriented “ things ” that comprise IoT will in
aggregate . This is a big deal for all sectors within the
large part consist of wearables , smartphones , “ connected ”
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