Program link, with Alexandra Rehak moderator, Vivek Jhamb, Virat Patel, and Suresh Sidhu. Ongoing shift to mobile, impact on carriers, networks, etc.
Alexandra: mobile subscriptions 1.5 – 7+B between now and 2014. Real growth story is around mobile data. If you accept view that world is mobile, what does this ean for your business?
Suresh: mobile telecom companies have a stronger brand with customers. What it means for us: we’re having to move beyond being just mobile to more sophisticated service providers. Trends moving with mobile providers, challenge is how to address expectations at a price that keeps
Vivek: in emerging markets, we’re also seeing trend of fixed from enterprise, esep data. Projected to grow revenue in India significantly. Can’t wish away fixed data.
Virat: We’re increasingly being asked to do more mobile. Shareholders are also content providers. As you move to HD, fixed side is becoming more important.
A: What sort of new biz models are emerging?
Suresh: what we’re starting to see is that as customer relationship shifts more to mobile, service providers need to do more. Multiple access solutions on retail side. On carrier side, we’re further down chain with other providers. Carriers will have to shift to have more meaningful relationship with mobile carriers over experience, QoS, exclusive content and differentiators, etc. Biz models from carriers will need to evolve and adjust.
A: Time to market becomes more critical.
Suresh: focus on quick launch, less on build.
Vivek: mobile biz models applied to carriers, not as transactional (bandwidth, signaling). Carriers need to get more engaged. Content providers also need to adjust, carrier has thin margins, so business models have to change over time to be more sustainable, incentive to improve capacity.
Virat: we shouldn’t underestimate challenge in meeting expectations by carriers. Different needs of different players, some mobile operators will be more help in advisory, others flexibility of bandwidth.
A: bit of a paradigm shift to take place with carriers. Developing markets?
Virat: data is main driver in emerging markets. Smartphones: video: YouTube and long-form video on public transport, for example. More developing market (Indonesia, Blackberry knockoff) used for Facebook.
Virek: India has 3G, driver is data, more coming from wireless dongles. There are smartphones, but majority from wireless dongles. Wireless broadband is biggest driver.
Suresh: Malaysia 1.5M mobile and DSL users. 2.5 years vs 10 years to build those markets, respectively. Supply & quality, DSL provider is PTT (takes a long time to get your line), vs buy, plug in and you’re on. In emerging markets, would consider dongles as a form of personal, vs DSL which is house-oriented. Personal time vs shared time is very significant.
A: consumer vs enterprise: what are they looking for?
Virek: consumer is big space, data as driver in enterprise (SMB) and has much faster growth rate. Consumer at 3G, big segment in enterprise data. Voice (even fixed) is declining, Internet and MPLS growing. Mobile: wireless broadband and smartphones.
Virat: Mobile is core part of proposition. Five screen strategy: TV, mobile phone, computer, tablets: iOS and others. Consumers are consuming content, providers need to have a proposition that works at good price point. Enterprise: SNEs, corporations working across fixed and mobile, services provided by could.
Suresh: share from consumers on mobile growing, need to deliver more complex solutions on enterprise (cool vs secure). Investments will be largely consumer-centric, but enterprise space will be more interesting.
Virek & Suresh: Lot of enterprises have specific apps, e.g., salesforce, are on mobile (India, some parts of South Africa), sales cycle and ARPU are challenges. To Carriers: how can you help us? They’re still struggling with this. Big opportunities, carriers not meeting need well.
A: two most critical elements to carriers?
Suresh: embrace mobility (more than signaling), fee-based or revenue sharing.
Virek: mobile partnerships, not owning assets, and engage in solutions (less transactions) and advisory.
Virat: listen, support and be flexible.