China Authorizes 4th Mobile Operator

China has authorized a fourth mobile operator , allowing state-owned China Broadcasting Network–which was created in 2014 to consolidate cable TV and broadcast operations in China–to enter the mobile services market. Two angles are noteworthy. First, CBN marks the entry of the cable TV industry in China into the mobility business. Second, the move illustrates a continuing divide among communications regulatory authorities about the “best” market structure for mobile communications. Given a choice, most seem to believe “four” providers a better structure (at least in terms of competition) than “three.” French regulators are foremost among proponents of a “three supplier” structure, largely to bolster the climate for more-robust investment

Read this article:
China Authorizes 4th Mobile Operator

Telecom Outsourcing Will Grow 3% Annually Through 2020

It never is easy for any executive to clearly identify a company’s “core competence.” Asked to do so, most people cite a list of “things we think we do well.” That is not core competence. To the extent a firm has such competence, and it is possible many firms do not, it is the singular capability that competitors cannot replicate. It is not “things we think we do well,” if other competitors also can make a credible claim in those areas. As it turns out, many mobile operators find that operating access networks really is not a core competence, or at least adds little value

Excerpt from:
Telecom Outsourcing Will Grow 3% Annually Through 2020

Survey Shows Heavy Industry Leading IoT Deployments

In 2016, 43 percent of organizations will either already be using the Internet of Things or be implementing it within their environments, according to Gartner’s survey of 465 IT and business professionals. Some 29 percent of respondents already have deployed IoT technologies. Some 14 percent expect to do so in 2016. “Heavy” industries , including utilities, energy suppliers and manufacturers are lead users at present, with 56 percent of businesses in those categories indicating that they will have implemented IoT by year’s end. “Up until now, the leading adopters of IoT have been more the industrial, heavy-industry-type businesses” involved in mining, manufacturing and the like, Gartner research Chet Geschickter, said

Follow this link:
Survey Shows Heavy Industry Leading IoT Deployments

CenturyLink "Between a Rock and a Hard Place"

CenturyLink, the third-biggest “telco” fixed network services provider is “caught between a rock and a hard place,” according to Jennifer Fritzsche, Wells Fargo senior analyst for telecommunications services. Basically, CenturyLink is not competitive with cable TV offers, so it either must step up investment or admit defeat and hope to make up revenue losses elsewhere. Operating revenues for first quarter 2016 declined to $4.40 billion, compared to $4.45 billion in first quarter of 2015. In its business customer segment, revenues of $1.58 billion declined 3.4 percent year over year. Total consumer segment revenues of $1.49 billion declined 0.5 percent, year over year

Continued here:
CenturyLink "Between a Rock and a Hard Place"

FCC Says Set-Top Monopoly is a Big Issue; Consumers Might Not Care

As the U.S. Federal Communications Commission moves towards requiring third party supply of decoders used to receive linear TV programming, a survey by Leichtman Research suggests consumers do not care too much about renting decoders. “Pay-TV subscribers tend to express little enmity toward set-top boxes,” Leichtman Research suggests. Some 20 percent of respondents to a Leichtman Research poll agree that  “set-top boxes from TV companies are a waste of money.” On the other hand, 44 percent of respondents disagree with the statement. About 42 percent of respondents agree that set-top boxes from TV companies provide features that add value to the TV service

Continued here:
FCC Says Set-Top Monopoly is a Big Issue; Consumers Might Not Care

Virgin Media to Add 1 Million FTTH Connections; BT to Add 2 Million

Virgin Media, owned by Liberty Global has said it will use fiber to home to connect about a million U.K. homes by 2019. That is historically unusual, as cable operators have insisted loudly that the hybrid fiber coax network is extensible enough to underpin the business. The Virgin Media decision is a rather major step towards use of a physical media platform suggesting Virgin sees an end to HFC as a market-leading platform. To be sure, there is a key difference between the protocols telcos normally run when deploying FTTH and what Virgin Media will do.

Continue reading here:
Virgin Media to Add 1 Million FTTH Connections; BT to Add 2 Million

Sigfox Launches 100-City U.S. IoT Network

Sigfox, the Internet of Things communications network, is deploying across 100 U.S. cities in 2016.  Sigfox operates in the non-licensed ISM bands (similar to Wi-Fi), using the 868 MHz band in Europe and the 902 MHz band in the United States. Sigfox is optimized for low-power, low-bandwidth Internet of Things devices that must communicate over metropolitan area distances. By way of comparison, Sigfox signals propagate further than GSM (2G) signals

Read more from the original source:
Sigfox Launches 100-City U.S. IoT Network

U.S. Consumers are Plain Unhappy with Most Communications, Entertainment Services

U.S. consumer satisfaction with fixed network telephone services has been falling since 1994. Satisfaction with Internet access providers has fallen since recordkeeping began in 2013, not to mention that ISPs rank dead last for consumer satisfaction among all industries tracked by the American Consumer Satisfaction Index. Subscription TV services are in a tie for last place among all industries tracked by ACSI. Satisfaction with mobile services generally had grown until about 2013, when satisfaction hit a plateau before dropping in 2015

Continue reading here:
U.S. Consumers are Plain Unhappy with Most Communications, Entertainment Services

U.S. Consumer Satisfaction Falls for 8 Straight Quarters

Somehow, no matter what investments U.S. businesses are making to better serve their customers, consumer satisfaction continues to fall. A steep downward trajectory in national customer satisfaction continues, as the free fall of the American Customer Satisfaction Index (ACSI) reaches the two-year mark. The aggregate ACSI score for the fourth quarter of 2015 is down 0.5 percent to 73.4 on a 100-point scale, its lowest score in a decade after eight consecutive quarters of decline. Customer satisfaction might not be identical to the equally nebulous concept of “quality of experience,” but one has to presume that less satisfied consumers are experiencing declining Experiences with a broad array of services and products

Read the original:
U.S. Consumer Satisfaction Falls for 8 Straight Quarters

Altice Formally Becomes the 3rd-Largest U.S. Cable TV Firm

The Altice purchase of Cablevision Systems Corporation “will serve the public interest, convenience, and necessity,” the U.S. Federal Communications Commission says, and has approved the transaction. The deal makes Altice the third-largest U.S. cable TV provider, after Comcast and Charter Communications

Link:
Altice Formally Becomes the 3rd-Largest U.S. Cable TV Firm

India Will Become 2nd-Biggest Smarthphone Market in 2017

India will overtake the United States to become the second-largest smartphone market in 2017, says Morgan Stanley. “Following our survey of more than 2,600 urban smartphone buyers in India, we raise our global smartphone unit growth estimate by one percentage point in each of 2017 and 2018,” Morgan Stanley said. The firm expects 23 percent compounded annual growth rate for Indian smartphones through 2018, representing about 30 percent of the global unit growth.

Visit link:
India Will Become 2nd-Biggest Smarthphone Market in 2017

Unless Cost Structures are Revolutionized, Sustainable Mobile Markets Will Feature Just 2 Providers

Sprint added 58,000 net accounts in the first quarter of 2016, including 22,000 postpaid phone accounts, part of a total net gain of 56,000 postpaid accounts. On a year-over-year basis, Sprint dramatically improved its account metrics, up about 1.5 million net accounts, year over year. Sprint still faces issues in terms of gross revenue and operating profit.

View post:
Unless Cost Structures are Revolutionized, Sustainable Mobile Markets Will Feature Just 2 Providers

Between 2008 and 2015, Developed Market Telecom Markets Shrank

source: McKinsey The years 2008 to 2015 were troubling for telecom service providers in developed markets. And though there was growth in developing markets, average voice revenue per mobile account dropped substantially. Despite forecasts from most market research firms that prediced growing revenue on a global basis, consultants at McKinsey say telecom industry revenue actually shrank in developed markets. At the same time, fixed network voice accounts and average revenue per user dropped in all regions.  Mobile voice subscriptions climbed in all regions, but mobile voice ARPU dropped dramatically in all regions.

See the original post:
Between 2008 and 2015, Developed Market Telecom Markets Shrank

High, Low, Medium: South and Southeast Asian Have All 3 Types of Markets

If India represents one sort of Internet access market (big, underserved, rural access issues), and Singapore, Hong Kong and Taiwan represent others (small, well served, urban), then Colombia represents a country with characteristics more akin to Malaysia and Thailand (mix of urban and rural, underserved area but rapidly improving, and moving up on information and communiations technology sophistication. Colombia was the fourth nation to support the Facebook “Free Basics” program, for example, and in 2016 won the GSMA “Spectrum for Mobile Broadband” award, for example. And since 2013, Colombia has been in the process of joining the Organization for Economic Cooperation and Development, the 34-nation group founded by nations with advanced economies, but also including “emerging” countries.   source: ITU

Follow this link:
High, Low, Medium: South and Southeast Asian Have All 3 Types of Markets

Ecosystem Value of "Access" is Declining

One hard reality of the access provider (we used to call this “telecom” ) business is that ecosystem value in the “access networks” portion of the business is going to be under increasing and persistent pressure over the next couple of decades, at least in developed nations. Google Fiber, other independent Internet service providers, municipal Wi-Fi and mobile Internet access to an extent are going to reduce demand for traditional Internet access provided by fixed line providers. So lower revenues and lower profit margins are almost certainly going to be on-going pressures within the access business. Not only are new providers having lots of success in the market, notably cable TV providers and more recently perhaps Google Fiber, independent ISPs and a growing number of municipal networks, but we are far from exhausting what could happen in the future with new or rival platforms

Read more:
Ecosystem Value of "Access" is Declining

Who Can Most Easily Build a Platform?

All discussion of “platforms” revolves around business strategy, and the ability to create advantage in the ecosystem. In some cases, platforms have been built on operating systems, devices or applications. Almost never–if ever–have big platforms been built on “functions.” Microsoft, Apple iOS and Android; iPhones and Facebook are examples of the former. But Amazon is an example of the latter: a platform built on a function, namely a retail transaction function. You might also argue that Google Play and the Apple App Store function as platforms,  inseparably from a device

The rest is here:
Who Can Most Easily Build a Platform?

How Big Can Telco Cloud or Platform Become?

Whenever major new technology transformations begin, it is virtually always the case that leading incumbent suppliers begin to cast their “legacy” or present offerings in terms that mimic or co-opt the concepts of the emerging technology. So it is that we now hear much more about use of network functions virtualization and related trends, both as a way to reduce cost and create a growth platform. All the terms suggest that a telecommunications network built on NFV not only costs less to build and operate, but also offers flexible service creation and delivery. The bigger question is whether that service creation capability can used with other assets to create a sort of operating system, digital services enabler, platform or telco cloud , with the emphasis on how assets can be leveraged in the same way as any other platform, attracting developers and services built on that platform.

Read the rest here:
How Big Can Telco Cloud or Platform Become?

Will Internet Access Revenues Grow Fast Enough to Offset Voice Revenue Declines in India?

Bharti Airtel, Idea Cellular and Reliance Communications experienced flat voice revenue and struggled with  data revenue growth in the first quarter of 2016, illustrating the “demand side” of the Internet access supply problem, as well as the ongoing difficulties in the key voice business. Simply, demand for Internet access, though growing, might not be growing fast enough to offset perhaps-accelerating losses in voice revenue. That fundamental problem is faced by most mobile operators in most markets. According to a report published by securities firm Kotak, ” 4G uptake has been slow and is unlikely to help the surprisingly slow momentum of data volume growth.” Kotak analysts expect Bharti Airtel’s  India wireless revenue to grow 3.6 percent sequentially

Read more:
Will Internet Access Revenues Grow Fast Enough to Offset Voice Revenue Declines in India?

U.S. Accounts for 46% of Glboal Data Center Sites

The United States now accounts for 46 percent of major cloud and internet data center sites globally, say researchers at Synergy Research. China has seven percent of the sites, while Japan has six percent. Australia, Singapore, Germany, the United Kingdom and Brazil each represent three percent to five percent of the global market. On average, each of the largest 17 firms had 14 data center sites. The companies with the broadest data center footprint are the leading hyperscale cloud providers such as Amazon Web Services,, IBM and Microsoft

The rest is here:
U.S. Accounts for 46% of Glboal Data Center Sites

Half the World Colocation Market Exists in Just 15 Cities

Just five metro areas account for 27 percent of worldwide retail and wholesale colocation revenues, according to researchers at Synergy Research. The top five metros include New York, London, Washington, Tokyo and Silicon Valley. The next 10 largest metro markets account for another 25 percent of the worldwide market. So half the world market exists in just 15 cities.

Here is the original post:
Half the World Colocation Market Exists in Just 15 Cities

Get Adobe Flash player