Indian

Telecommunication

Sector
Presented By:
Rajvinder Singh
MBA- 2nd sem
TELECOMMUNICATION
 The French word télécommunication was coined
in 1904 by the French engineer and novelist
Édouard Estaunié

 The word telecommunication was adapted from

the French word télécommunication.

 compound of the Greek prefix tele-, meaning "far

off", and the Latin communicare, meaning "to
share".
HISTORY OF
TELECOMMUNICATION
 The conventional telephone now in use worldwide was
first patented by Alexander Graham Bell in March 1876.

 Alexander Graham Bell and Gardiner Green Hubbard,

who created the first telephone company, the
Bell Telephone Company of the United States, which later
evolved into American Telephone & Telegraph (AT&T).

 The first commercial telephone services were set up in

1878 and 1879 on both sides of the Atlantic in the cities of
New Haven, Connecticut, and London, England.
HISTORY OF
TELECOMMUNICATION

FIRST
TELEPHONE
INVENTED BY
“ALEXENDAR
GRAHAM BELL”
EVOLUTION OF
TELECOMMUNICATION
 WIRELESS TELECOMMUNICATION
1 generation
2 generation
3 generation
4 generation
WIRELESS
TELECOMMUNICATION
 Basic Concepts
 Making a Call
 Wireless Access Evolution
Circuit and Packet Switching

 Circuit-switched
Circuit and Packet Switching

 Packet-switched
FDMA - TDMA - CDMA
Analog and Digital signals
Making a Call

Scan Control Channels

Choose Strongest

Send Origination Message

Get Channel Assignment

Begin Conversation
Wireless Access Evolution
Wireless Access Evolution
1G (Analog)

 Uses frequency division multiple access (FDMA) to communicate (every

call in one area uses its own set of channels for communication)

 No support for wireless data

 NMT (Nordic Mobile Telephone)

is an analog cellular phone system deployed in more than 40
countries in Europe. NMT was the first analog cellular phone system
(launched in the Scandinavian countries 1979). The system used
originally 450 MHz band (NMT 450), but later when more capacity
was needed, it was also adopted for 900 MHz band (NMT 900).
 1G (Analog)
 AMPS (Advanced Mobile Phone System)
is
the analog cellular phone system used in North
and South America. AMPS uses FDMA and
operates at 800 MHz band. AMPS was
introduced in the USA in 1983.
 2G (Digital)
 Uses digital encoding and includes CDMA, TDMA and GSM. Text
messages can be sent on 2G networks, but more bandwidth hungry
applications require 2.5G.

 Circuit switched

 In the United States, GSM, TDMA, and CDMA are assigned two
frequency ranges that include the frequency ranges assigned to analog
cellular, 824 MHz to 849 MHz and 869 MHz to 894 MHz, and also the
frequency ranges of 1850 to 1910 MHz and 1930 MHz to 1990 MHz.

 CDMA (Code Division Multiple Access)

uses a spread spectrum technique to scatter a radio signal across a wide
range of frequencies.
 2G (Digital)
 GSM (Global System for Mobile Communications)
is the digital transmission technique widely adopted in
Europe and supported in North America. GSM uses 900
MHz and 1800 MHz in Europe. In North America, GSM
uses the 1900 MHz band.

 TDMA (Time Division Multiple Access)

divides each cellular channel into three time slots in order to
increase the amount of data that can be carried. GSM and D-
AMPS use TDMA in one form or another. It is also generally
used to describe what was formerly known as D-AMPS.
TDMA networks are operated in the United States, Latin
America, New Zealand, parts of Russia and Asia Pacific.
 2.5G
 An enhancement to 2G networks that allows them to operate in a "packet
switched" manner

 2.5G networks incorporate 2G technology with GPRS' higher speeds to

support data transport. 2.5G is a bridge from the voice-centric 2G
networks to the data-centric 3G networks.

 GPRS (General Packet Radio Service)

is a radio technology for GSM networks that adds packet-switching
protocols. As a 2.5G technology, GPRS enables high-speed wireless
Internet and other data communications. GPRS networks can deliver
SMS, MMS, email, games, and WAP applications.

Enhanced Data Rates for Global Evolution (EDGE)

is a bolt-on enhancement to 2G and GPRS networks. This technology is
compatible with TDMA and GSM networks. EDGE uses the same
spectrum allocated for GSM850, GSM900, GSM1800 and GSM1900
operation.
 3G

Difference between 2G,2.5G and 3G in

terms of Speed and Features
Component 2G wireless 2.5G wireless 3G wireless

Feature 1. Phone call 1. Phone call/ fax 1. Phone calls/ fax

2. Voice mail 2. Voice mails 2. Global roaming
3. Simple e-mail 3. Send & receive 3. Send & receive
large mails large e-mail
4. Web browsing messages
5. Navigation 4. High speed web
6. New updates 5. Navigation
maps
6. Video
conferencing
7. TV. streaming
Speed 10 kb/sec 64-144 kb/sec 144kb/sec- 2mbps

Max. Time for 40 min 9 min 1.5 min

Download (MP3 Songs)
 3G
 UMTS (Universal Mobile
Telecommunications System) or WCDM
(Wideband Code Division Multiple Access)
was selected as the successor to GSM. It is the
European standard for 3G wideband digital
radio communications, and it utilizes one 5
MHz channel for both voice and data, offering
data speeds up to 2 Mbps.
3G
Benefits of 3G:
 Mobile Internet connectivity
 Mobile email
 Mobile Interview
 E-learning & m-learning
 Multimedia services, such as digital photos taken by
and shared via wireless handsets
 Wireless application downloading
 Video-on-demand and short-format Clipcast™ content
 Real-time multiplayer gaming
 Enhanced emergency and location-based services
 Low-latency push-to-talk and push-to-video message
services
Benefits of 3G:
Benefits of 3G:
The Future : 4G
The Future : 4G
The Future : 4G
The Future : 4G
INDIAN TELECOM
SECTOR
1. Telecom Industry Overview
2. Telecom – Investment Attracting Sector
3. Emerging Trends in Telecom Market
4. Major Players in Telecom Sector
5. Growth Avenues
Indian Telecom Industry – A Lucrative
Option
In recent years, the Indian telecom industry has
witnessed phenomenal growth. A conducive
business environment, favourable demographic
outlook and the political stability enjoyed by the
country have contributed to the growth of the
industry. India achieved the distinction of having
the world's lowest call rates (2–3 US cents), the
fastest sale of million mobile phones (1 week), the
world's cheapest mobile handset (USD 19) and the
world's most affordable colour phone (USD 31).
Indian Telecom Industry – Facts
Fastest growing telecom industry.
2nd largest telecom network(wireless communication) after China.
Telephone subscribers(wireless+landlines) – 806.13 million (Jan.
2011)
Landlines – 34.87 million
Mobiles – 771.18 million
Monthly cell phone addition – 20.20 million
Teledensity – 67.67%
Projected teledensity – 1million, 84% of population by 2012
Projected mobile subscribers – 1.159 billion by 2013
Indian Telecom Industry – Facts
Telecom services in India

 Telecom Services – India

Telecom – Investment Attracting
Sector
 World’s largest democracy
 Skilled and competitive labour force
 Fifth largest telecom network in the world; second largest among the
emerging economies after China
 On an average, about 6–7 million new users added per month,
making India the world’s fastest growing wireless services market
 Liberal Foreign Investment Regime–FDI limit increased from 49
percent to 74 percent; the rural telecom equipment market is also
open to large investments
 Among the countries offering the highest rates of return on
investment
 The large untapped potential in India’s rural markets–1.9 percent
teledensity in rural markets as compared to the national level of 18
percent
Emerging Trends in Telecom Market

Recent Deals in Telecom Sector

Vodafone purchased stake in Hutch from Hong

Kong's Hutchison Telecom International for
USD 11.08 billion.

Reliance Communications Limited has sold a five percent equity share capital of
its subsidiary Reliance Telecom Infrastructure Limited to international
investors across the US, Europe and Asia. The deal was worth USD 337.5
million.
Emerging Trends in Telecom Market

Telekom Malaysia acquired a 49

percent stake in Spice
Communications for USD 179 million.

Maxis Communications acquired a 74

percent stake in Aircel for USD 1.08
billion.

Ericsson to design, plan, deploy and

manage Bharti Airtel network and facilitate
their expansion in the rural areas, under a
USD 2 billion contract.
Emerging Trends in Telecom Market

3g-Bids-Auctions-India
Major Players in Telecom Sector

Basic Services Operators

GSM Services Operators

Major Players in Telecom Sector

CDMA Services Operators

Internet Services Operators

Major Players in Telecom Sector
Growth Avenues

Growth Avenues

Virtual
Virtual Private
Private Networking
Networking
3g
3g
Wi-Max
Wi-Max
Value
Value Added
Added Services
Services
Rural
Rural Telephony
Telephony
Growth Avenues

Virtual Private Network

is a private data network that provides
connectivity within closed user groups via
public telecommunication infrastructure.
Competition is likely to heat up in the VPN
segment as DoT has relaxed the norms for
private players.
Virtual Private Network
Growth Avenues

3G
The Indian government plans to auction the spectrum for 3G
services by inviting bids from domestic as well as foreign players,
and creating a competitive environment that offers better services to
consumers. Therefore, the 3G spectrum is among the major
investment opportunities and growth drivers of the telecom industry.
The immense potential for 3G is reflected by the 30–40 percent
annual growth in Value-Added Services.
Cell phone manufacturers are striving to develop USD 100 priced
3G handsets for the Indian market.
India expects to replicate its 2G growth in 3G services.
Growth Avenues
Growth Avenues

WiMAX has been one of the most significant developments in wireless

communication in the recent past. Since this mode of communication provides
network access in inaccessible locations at a speed of more than 4 Mbps, it is
expected to be a major factor in driving telecom services in India, especially
wireless services. Thus, it will lead to the increased use of telecom services,
Internet, value-added services and enterprise services. WiMAX is expected to
accelerate economic growth and assist in providing better education,
healthcare and entertainment services.
 It is estimated that India will have 13 million WiMAX subscribers by 2012.
 Aircel is the pioneer in WiMAX technology in India.
 The state-owned player, BSNL, aims to connect 74,000 villages through
WiMAX.
 Bharti, Reliance and VSNL have acquired licenses in the 3.3GHz range to
utilise the opportunities offered by this domain.
Growth Avenues

Value-Added Services in India

The VAS industry is

currently focussing on the
entertainment sector, such
as the Indian film industry
and cricket; however, there
is scope for growth in other
avenues as utility-based
services, such as location
information and mobile
transactions.
Growth Avenues

Rural Telephony
As the government targets to
increase rural teledensity from the
current 2 percent to 25 percent by
2012, rural telephony will require
major investments. This segment will
boost the demand for telecom
services, equipment, Internet
services and other value-added
services; thereby, offering great
market opportunities for telecom
players.
 QUERIES

THANK YOU.