study of teelcon sector its growth and its future in indian market

1. TELECOM SECTOR BY: NITIN AGARWAL ASHU SAHU ISHAN SHARMA AITREY BANERJEE ROHIT MATHUR POST GRADUATE DIPLOMA IN MANAGEMENT(2009-11), JAGAN INSTITUTE OF MANAGEMENT STUDIES(JIMS), SECTOR 5,ROHINI, DELHI

2. TELECOM REVOLUTION

4. Landlines: 37.16 mn(nov 09)

5. Teledensity: 46.32 (nov 09)

6. Projected teledensity: 626 mn, 51(by 2010 end)(as per TRAI report)

7. INDIAN TELECOM REVENUE 2002-03 2003-04 2004-05 2005-06 2006-07 2008-09 2009-10 (FORCASTED) 9 US$ BILLION 10 US$ BILLION 11 US$ BILLION 15 US$ BILLION 20 US$ BILLION 32 US$ BILLION 43 US$ BILLION

9. Prior to that VSNL and MTNL

10. DEPARTMENT OF TELECOM(DoT) set up in 1994

11. NATIONAL TELECOM POLICYin 1994, 1999

12. TELECOM REGULATORY AUTHORITY OF INDIA (TRAI) in 1997

14. CURRENT MARKET TREND

15. CURRENT MAJOR PLAYERS PRIVATE PUBLIC

16. TYPES OF SERVICE PROVIDERS GSM(GLOBAL SYSTEM FOR MOBILE COMMUNIOCATIONS) CDMA(CODE DIVISION MULTIPLE ACCESS) RELIANCE TATA INDICOM MTNL AIRTEL VODAFONE-HUTCH IDEA CELLULAR BSNL UNINOR

19. 500 mn telephone sets by 2011.

21. Wants to bring in advanced Technology & more capital in Telecommunication sector. FDI( Foreign Direct Investment) Capital Markets GDP Employment Market INTRODUCTION Economic Sectors

23. Increases the flow of foreign currency

25. Vodafone Norway based Telecom operator Telenor Japanese Telecom Major NTT Docomo Singtel Mauritious Baharain’sBatelco Etisalat’s (gulf based Telecommunication Company) Juniper Networks(Second Largest maker of networking Equipment) Investment Companies

26. The telecom sector, which clocked a 42.2% growth in the quarter ended September, has emerged as a big contributor to the GDP growth. The telecom sector is expected to perform even better; its contribution to the nation's GDP is expected to increase from 2% in 2006 to an estimated 3.6 per cent in 2010. The telecom sector's potential in India remains under-tapped and growth rate in Teledensity, especially in rural India, will remain robust. High growth rate in this sector - with weight of less than 3% in GDP - was a key driver which pushed GDP figures for the quarter ended September to 7.6%," Companies reflect the confidence, and the sector will continue its growth story remain unscathed by the global financial turmoil. GDP

28. Hardware Engineer for Mobile Handsets

29. In Marketing People

30. Financial Analyst New Players Entered so hike in salary & New employment Opportunity created Expected by 2012 Direct employment -2.8 million Indirect Employment- 7 million Employment Markets

33. Idea communication

34. MTNL

35. Reliance Communication

36. Spice Communication

37. Tata Tele ServicesCapital Markets

38. Company Current Price EPS Airtel 319 6.05 Reliance 189 - .57 Idea 58 .88 MTNL 92 .33 Spice 63 .91 Tata 362 .37

40. INTRODUCTION - It is a Singapore based company founded in 2001 It is a service based operator providing high quality international direct dialing (IDD),voice over internet protocol (voip),internet protocol facsimile etc. It provides global IDD connections to more than 200 destinations.

41. PRODUCTS AND SERVICES - SMART 1542 – it is smarttel’s premium voip IDD service.It provides an unparalleled voice quality.with smart1542,our subscribers saves up to 97% of their long distance call charges. smartROAM – it is a value added service. 80% of mobile subscribers who travel overseas can be benefited from this service. They are provided with prepaid GSM sim card of the country and smarttel provides them with unique smartDIAL and smartREACH no.

42. SELECTION CRITERIA - The company visited the campus in the year 2007 & 2009. The company visited the campus for Finance , Marketing & HR profiles. The selection procedure includes two steps - CASE STUDY ANALYSIS - PERSONAL INTERVIEW The company was offering the salary package of 4.15 lakhsctc.

44. MATRIX CELLULAR - It is a telecommunication solution provider headquarter in NEW DELHI. It was founded in 1995. Indian mobile services business is in partnership with VODAFONE ESSAR company India. It is structured in four strategic business units - International sim cards - International 3G data cards - Indian mobile service - Radiocom

45. Contd…. International 3G Data cards - Matrix offers 3G data connectivity in the following countries: Germany, Singapore, U.S.A. & U.K. Indian Mobile Services Matrix Indian Mobile Services business is in partnership with Vodafone Essar, and provides local post-paid mobile, BlackBerry and Data solutions for Delhi and the National Capital Region (NCR).

46. SELECTION CRITERIA - The company visited the campus in the year 2008 & 2010 The company visited the campus for Marketing & finance. The selection procedure includes two steps - CASE STUDY ANALYSIS - PERSONAL INTERVIEW The company was offering the salary package of 3 lacsctc. The profile offered by the company was Business Development Executive

47. PROJECTONTELECOM

48. VODAFONE PREPAID- 100% talk time recharge :Recharge with a Rs 400 Recharge Card and get Rs 400 talk time & zero validity. Full Calling Value Recharge :Recharge with Rs 222 and get Rs 197.58 talk time & zero validity. Chhota Recharge Now recharge your Vodafone mobile phone from as little as Rs 10 onwards. Get maximum talk time for your recharge.

49. Validity Offers:- Connected for life. Recharge with Rs 99 & stay connected for life! Recharge with Rs 74 & get One year validity with Rs 5 talk time Bonus Cards: Now make local and STD calls from Vodafone to Vodafone @ 1p/sec with the Rs 28 Bonus Card. Now recharge with SMS bonus card 24 and get all Local SMS’s at 10 paisa and All National SMS’s at 20 paisa with a validity of 30 days.

50. POSTPAID Talk 222- 222 M2M Local / STD min free Local Vodafone–to–Vodafone, Local Mobile to Mobile, To other phones - 75p STD Vodafone–to–Vodafone, To other phones – Rs 1.3 SMS Local Vodafone–to–Vodafone 1 National 1.5 International 5

51. AIRTEL Services:- Mail & messages- Rs 1.50 for local SMS as per bill plan, Rs. 2 for National SMS & Rs. 5 for International SMS. Call conferencing- With Airtel call conferencing, you can teleconference with 6 people simultaneously! Data services- Stay connected to the internet, and access your e-mail anywhere, anytime while on the move. Operator services- Everything you need like Railway info, Infotel etc., is just a call away

52. PREPAID Tariffs:- Going mobile is now a lot more affordable with amazingly reduced tariffs from Airtel .So go ahead and choose Airtel’s New Prepaid with lowest monthly cost of staying cellular, available for both new and existing customers. Roaming- Recognizes your accessibility needs. Extensive coverage of more than 400 roaming partners in over 200 destinations worldwide.

53. POSTPAID New Airtel 150 (Airtel/DL/GSM/1) Bill Plan Charge 150 Local Rates: AIRTEL, CDMA, LANDLINE -Re. 1 STD Rates 1.5 SMS- Local/CDMA 1 National 1.5 International 5

54. IDEA PREPAID IDEA Cellular India’s 4th largest GSM Mobile service provider has introduced ‘Pay Per Second Billing Plan’ for its GSM Prepaid customers in Delhi and NCR telecom circle. IDEA’s prepaid subscribers availing this “PAY PER SECOND PLAN” will get to make all Local and STD calls to any network with in the country for Just 1 Paisa for one Second. The STD calls will be charged at 1p/sec for first 18000 sec of the month, Post that it will be charged at 1.2 paisa/sec.

55. Postpaid Plans SMS Local / National / International will be charged as Rs. 1/- /Rs. 1.50/- / Rs. 5/-respectively. Home tariff will be applicable while roaming on Idea network, on non-idea networks charge of 10 paise / 10 kB is applicable towards GPRS usage. International Roaming Tariff - Rs 5 /10 kb

56. Reliance Reliance Communications, India's largest and only nationwide operator offering both GSM and CDMA mobile services. Reliance Mobile customers can avail of two revolutionary SMS tariff plans: ONE PAISE PER SMS UNLIMITED SMS's @ Re. 1 PER DAY The new SMS tariff plans are add-on plans and are applicable for all Reliance Mobile customers irrespective of CDMA or GSM network as well as prepaid and postpaid customers.

57. TARIFF WARS: Voda to voda 75p/min Voda to other Rs1.3/min Local Rs 1/min STD Rs 1.5/min 1paise/second for18000 sec then1.2p/sec 50 p/sec VODAFONE AIRTEL IDEA RELIANCE

58. SMS WAR.. Local Rs 1, national Rs 1.5, international Rs 5 (special scheme sms local 24p, national 20p) LOCAL Rs 1, national Rs 1.5 , International Rs 5 LOCAL Rs 1, national Rs 1.5, international Rs 5 VODAFONE AIRTEL IDEA