Category Archives: Telecom

India Telecom

Vodafone’s Surprise Buy of 2500Mhz Spectrum in Big Spectrum Auction 2016

Telecom Spectrum Auction in IndiaVodafone has primarily focused on enhancing its 4G footprint. With its significant acquisition of spectrum in 2500MHz, 2100MHz, and some in 1800MHz, it has 4G coverage in 17 circles, which cover 91% of its revenues and 94% of mobile‐data revenues. Vodafone has faced capacity issues of late, and this addition was expected; nevertheless, Vodafone’s acquisition in 2500MHz, which does not have the evolved handset ecosystem of 1800MHz or 2100MHz (3G), surprised us.

Airtel’s spending, at Rs 142bn, was significantly higher than expectations. It acquired Continue reading Vodafone’s Surprise Buy of 2500Mhz Spectrum in Big Spectrum Auction 2016

India’s Biggest Telecom Spectrum Auction – Tepid Demand

indias-biggest-telecom-spectrum-auctionIndia’s and possibly World’s Biggest Telecom Spectrum Auction will go live on Oct 1st, 2016 amidst tepid demand from existing Indian operators. Global Telcos give it a miss due to fresh memories of Spectrum Scam and constantly changing policies with motive of massive corruption. The spectrum bands put to auction include 700MHz, 800MHz, 900MHz, 1800MHz, 2100MHz, 2300MHz, and 2500MHz, constituting a total of 2,355MHz of spectrum, with the largest chunk in the most sought after 700MHz band suitable for 4G and 5G Wireless Broadband.

Barring few circles, we expect most of the spectrum to be sold at current Continue reading India’s Biggest Telecom Spectrum Auction – Tepid Demand

Autos – Telcos will Battle for Supremacy in Telematics

Auto Industry Telematics BattleUber-Didi isn’t the only Car Deal of China that needs to be noted as we move into convergence of devices and services. In a cross border deal across the Atlantic, Verizon acquired Fleetmatics which is a step toward its three-pronged connectivity + platforms + solutions strategy. The US$2.4bn acquisition of Fleetmatics will give Verizon meaningful scale in telematics. Although the acquired assets won’t be an overnight success, Verizon is aggressively putting the building blocks in place to create its own tech ecosystem.

The Telogis and Fleetmatics deals will help boost Verizon’s scale in Telematics, where it has a growing portfolio of solutions including automatic, insurance, and fleet management. Since buying Hughes Telematics in 2012, the majority of Verizon’s auto revenue (~US$500m) has come from wholesale as opposed to its retail LTE connectivity. In this case, the Telogis acquisition Continue reading Autos – Telcos will Battle for Supremacy in Telematics

Big Spectrum Auction – Idea Cellular Reaffirms JIT Strategy+ Rational Bidding

Idea Spectrum Auction StrategyFor the forthcoming Biggest Wireless Spectrum Auction, Idea Cellular has re-iterated its strategy of “Just in Time” [JIT] procurement which it has mastered and executed well over the past few years. To prove this point, in Q2-2016, Idea has exited 3G Roaming Arrangements in six of the seven circles as it rolled out its own network. [Recall, the first 3G Spectrum Auction was conducted in 2010 after the Spectrum Scam and Idea Cellular then decided to skip bidding in non-strategic circles and bought the same in 2014 & 2015 auction]

The spectrum bids will be rational and Idea will adopt a circle-wise approach based on requirements. The focus will Continue reading Big Spectrum Auction – Idea Cellular Reaffirms JIT Strategy+ Rational Bidding

Will Lower Spectrum Charges Make Biggest Spectrum Auction Attractive ?

Spectrum Charges Biggest Auction India 2016The Government has announced that Spectrum Usage Charge (SUC) will be a weighted average rate of individual rates for different bands, including 3% for spectrum won in the 2016 auction. The change is positive for Bharti, since telcos having 2300MHz that carries just 1% rate will benefit from its inclusion in the weighted average. Reliance Jio will have the lowest SUC, having the highest Continue reading Will Lower Spectrum Charges Make Biggest Spectrum Auction Attractive ?

Indian Telecom Network Capacity Doubles in 2 Years

Wireless Network Capacity IndiaThe Indian Telecom network capacity is a function of multiple parameters like spectrum allocation, number of sites (base stations), number of components on each site (no. of antennae, their frequency range, TRxs, etc). Theoretical calculations also require assumptions on busy hour usage – which may differ for regions and services. Increasingly, the choice of technology (2G/3G/4G, etc.) also plays a role in determining the Continue reading Indian Telecom Network Capacity Doubles in 2 Years