Presentation 110414010822-phpapp01
Download as PPT, PDF1 like241 views
The document outlines the growth trajectory of India's telecom sector, detailing historical milestones, regulatory roles, and the contributions of BSNL and TRAI. It highlights growth opportunities in rural connectivity and broadband penetration, alongside challenges such as rising operational costs and infrastructure readiness. The future goals include significant increases in connectivity and the adoption of new technologies to enhance service delivery.
Presentation 110414010822-phpapp01
- 1. A Presentation on the Growth of Telecom Sector in India and Challenges ahead
- 2. Contents • Global Telecom Scenario • Growth of Telecom in India • Role of BSNL • Role Of TRAI and TDSAT • Opportunities & Challenges
- 4. Telephone connections in millions 35.997 220.743 1090.504 837.195 Africa America Asia Europe Oceania 1744.815 • • Mobile. 2699.270 M Fixed.1229.987 M Population 6563.69 M Total. 3929.257 M Teledensity. 60.02
- 5. Countries with more than 100% Teledensity • Africa – Seychelles • Americas – Argentina, Aruba, Bahamas, Barbados, Canada, Jamaica, Puerto Rico, United States of America • Asia- Japan, Korea (Rep.), Qatar, Singapore, Taiwan,UAE • Europe- Andorra, Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Greenland, Hungary, Iceland, Ireland, Italy, Latvia, Lithuania, Luxemburg, Malta, Monaco, Netherlands, Norway, Poland, Portugal, Russia, Slovak Republic, Slovenia, Spain, Sweden, Switzerland, Ukraine, United Kingdom • Oceania- Australia, New Zealand
- 6. Mobile Tariffs in India one of the Lowest 0.25 0.23 0.22 0.2 0.19 0.17 0.16 0.15 0.11 0.11 0.09 0.03 0.02 India 0.04 China 0.05 Pakis tan Malayas ia Argentina Taiwan Philippines Brazil France UK Italy 0 Hong Kong 0.05 0.05 Thailand 0.1 Belgium USD 0.11
- 7. Growth of Telecom in India
- 8. Growth of Telecom in India • 1994 National Telecom Policy – 1994 announced • Aug 1995 Kolkata became the first metro to have a cellular network • 1997 Telecom Regulatory Authority of India was setup • 1999 Tariff rebalancing exercises gets initiated • March 1999 National Telecom Policy – 99 announced
- 9. Growth of Telecom in India • Aug 1999 License fee (revenue share) reduced from provisional 15% to 12%, 10% & 8% on Circle wise basis (A type, B type & C type circles) • 2000 TRAI Act amended & separate tribunal proposed • Jan 2001 TDSAT started functioning • Jan 2001 Policy announced for additional licenses in Basic and Mobile Services • Jan 2001 Limited mobility allowed to Basic Services (CDMA spectrum allotted to Basic Service Operators)
- 10. Growth of Telecom in India • Oct-2002 BSNL entered in to GSM cellular operation w.e.f 19th October, 2002. Made incoming call free & initiated tariff equalization process • Tariff for GSM cellular mobiles reduced • Nov 2003 Unified Access (Basic & Cellular) Service License (USAL) introduced as a first step towards Unified License Regime • Technology neutral and allows provisioning any kind of service • Apr 2004 License fee reduced by 2% across the board for all the access licenses.
- 12. Mobile Services : Fuelling the growth Nov-06 Nov-07 39.31 15% 40.35 22% Fixed Line Wireless 143.11 78% Fixed Line Wireless 225.46 85% Total telephone connections as on November 2006: 183.46 million November 2007: 264.77 million
- 13. Subscribers (in millions) Year Fixed line including WLL(F) Mobile (GSM+WL L(M) Total Tele density March-97 14.54 0.34 14.8 1.57 March-00 26.65 1.9 28.55 2.81 March-01 32.71 3.58 36.29 3.52 March-02 38.33 6.54 44.87 4.28 March-03 41.48 13 54.48 5.1 March-04 42.84 33.69 76.53 7.04 March-05 46.19 52.22 98.41 9.11 March-06 50.18 90.14 140.32 12.8 March-07 48.87 157.96 206.83 18.46 Dec. 2007 43.3 226 269.3 24.04
- 14. Exponential Growth Growth of Telephone Connections Wireline Wireless Total 206.83 2003 2004 5 10 1. 8 76.53 54.63 40.92 41.42 40.22 40.78 35 .6 1 2002 41.33 13 .3 0 2001 44.97 36.29 28.53 2000 38.29 6. 68 1999 32.71 3. 58 0 21.61 26.65 1. 88 50 22.81 100 56 98.37 .9 5 150 16 6. 05 142.07 200 1. 20 No. of Connections (in Millions) 250 Year as on 31st March 2005 2006 2007
- 15. Role of Bharat Sanchar Nigam Limited
- 16. Bharat Sanchar Nigam Limited Company Profile (as on 31.12.2007) Corporatized on 1st October 2000 Connects length and breadth of INDIA except Delhi & Mumbai 37516 Digital Exchanges with 29051 exchanges in rural areas on reliable media.
- 17. Services Offered BSNL is an Integrated telecom service provider which provides all types of telecom services. Wire Line Services CDMA WLL Limited Mobility Services National Long Distance Services International Long Distance Services Broadband & Internet Services IN Services viz. Prepaid calling card etc.
- 18. Telephone connection provided by BSNL (in Million) Year 31.03.2001 31.03.2002 Fixed 28.11 33.4 31.03.2003 31.03.2004 31.03.2005 31.03.2006 31.03.2007 31.12.2007 Mobile 0 0.02 Total 28.11 33.42 35.93 36.11 37.04 2.26 5.54 9.9 38.19 41.65 46.93 37.51 36.92 35.6 17.65 27.8 33 55.16 64.72 68.6
- 19. .20 31 01 .03 .20 31 02 .03 .20 31 03 .03 .20 31 04 .03 .20 31 05 .03 .20 31 06 .03 .20 31 07 .12 .20 07 31 .03 Total No. of Connect ions (in million) Telephone Connect ions provided by BSNL 80 70 60 50 40 30 20 10 0 Fixed Inc. WLL(F) Mobile Tot al Years
- 20. Present Status (as on 31.12.2007) Customer Base • • • • • • Wireline Customers WLL Customers GSM Customers Total Customers Broadband customers Internet Customers : : : : : : in million 31.72 4.09 32.71 68.51 1.45 3.35
- 21. Present Status (Contd…) • Village Public Telephones (VPTs) : 5.18 Lakh • Largest Transmission Network in the Country – OFC Network – M/W Network – Satellite Earth Stations : 5.29 Lakh RKMs : 0.50 Lakh RKMs : 217 Numbers • Internet Nodes operational at all District Headquarters. • All wiredline connections enabled for Dial-up Internet Services.
- 22. Financial Achievement (Last 3 Years) (In Rupees Crore) S. # Parameter 2004-05 2005-06 2006-07 1 Total Income 36090 40177 39517 2 Gross Profit 6183 8954 8933 3 Net Profit 10183 8940 7806 4 Sundry Debtors 3632 3455 3206 5 Capital Expenditure 10476 8892 8142 6 Net Fixed Assets 61769 60188 57934 7 EPS 15.75 15.3 13.95
- 23. BSNL’s Milestones • Set up on 1st October,2000 • Introduced cellular services on 19th October,2002 and has 32.7 million customers as on date • Became market leader within 6 months, in its areas of operation • Introduced limited mobility WLL services w.e.f. December 2000, and has 4 million customers as on date • Introduced dial up internet facility w.e.f. December 2000 • Introduced CLI based internet facility w.e.f. December 2003 • 3.35 million Internet Customers with BSNL • Introduced Broadband in the country w.e.f. 14.11.2005 and has 1.45 million customers
- 24. New Initiatives WiMAX: Tender Invited for 1000 BTS at Rural Block HQs covering 25000 village communities centres IPTV Launched in Three Cities viz. Bangalore, Pune & Kolkata Agreement signed with Franchisees for another 50 Cities VOIP EOI under Issue
- 25. Developmental Plans (2008-09) Expansion of 13.5 m GSM lines. Expansion of 3m Broadband. Expansion of 2 m WLL (CDMA) lines Introduction of 200K IP Transit Switch. Addition of 1206 K TDM TAX Addition of 200 IDRs Satellite System for Inaccessible Stations.
- 26. Role Of TRAI & TDSAT in Indian Telecom Growth TRAI • • • • Setup in 1997 Protection of Consumer Interest Nurture Conditions for Growth of Telecom in India Major Activities – Reduced levies on Operators. – Reduced upper limit in tariff (Local, STD & ISD) and other Interoperators tariffs. – Directives on number of network access service providers. – Policy guidelines on new services like 3G, WiMAX, Internet Telephony, Radio Paging, VSAT, etc. – Regular monitoring of Quality of Service parameters
- 27. Role Of TRAI & TDSAT in Indian Telecom Growth TDSAT • An integrated & comprehensive dispute settlement mechanism. • Set up on 29th May 2000 & started hearing w.e.f. Jan 2001 • 83% cases disposed off from 2001 till 2007 TRAI & TDSAT provided healthy atmosphere for healthy growth of Telecom sector (Teledensity from 1.57 in 1997 to 24 in December 2007)
- 28. Opportunities & Challenges in 2008 and years to come
- 29. Opportunities • • • • • Rural tele-density is less than 10%. Overall tele-density is only 24%. Broadband penetration is just 0.25%, hence vast scope. BPO business is growing fast: Telecom can ride on it. Value added services like M-Commerce, M-Marketing, Special Information, Ring tones, etc. offer venues of additional revenue. • As globalization is increasing, more percentage of global business for Indian telecom. • Technologies like NGN, 3G, WiMAX, will open up new frontier of business.
- 30. Challenges • No. of operators are increasing per circle: hence more competition • ARPUs are going down • Cost/ Customer is very high in rural areas • Spectrum – a scare commodity • Infrastructure readiness in rural • PC prices are very high • Availability of Contents in local language • Availability of Contents for Rural Population • International Bandwidth is costly • Telecom Manufacturing in India.
- 31. Growth- the way ahead • Network expansion – 250 million by 2007 - Already achieved – 600 million by 2012 • Rural connectivity – 100 million by 2010 – 200 million by 2012 • Broadband – 20 million broadband connections and 40 million internet connections to provide by 2010 – Broadband connections to provide on demand across the country by 2012
- 32. Thank You