India is the world’s second-largest telecommunications market, with about one billion mobile subscribers. Handset shipments in India have been rising strongly, at a CAGR of 29% over the last year. India stood second in terms of total handset shipments, next only to China, in 2015.
India is also the largest feature-phone market in the world. Even though the market share of feature phones is declining, these low-cost phones still account for almost 55% of the overall mobile phone market. Out of the total smartphone market, 67% of devices shipped are priced under $200.
Smartphone shipment in India has been growing continuously and India is poised to surpass the United States to become the second largest smartphone market by 2018-19E. Currently India is the third largest smartphone market in the World. The biggest pie of the smartphone market lies (more…)
Akash Ambani managed Reliance Jio Infocomm has launched VoLTE service [Mobile Voice] on a unique ecosystem (850 + 1800/2300MHz) along with 4G Mobile Broadband. A very small number of smartphones will currently work on the Jio ecosystem (<5mn), as <3% of the smartphones have VoLTE capability. However, Reliance insiders say that, Jio has a large inventory of LYF branded phones. In order to encourage VoLTE penetration, we see the possibility of Jio subsidizing the LYF handsets, which may act as a catalyst for increased smartphone growth.
Currently there is awareness about 4G phones and consumers are demanding future ready smartphone (i.e. 4G over 3G), there (more…)
Bharti Infratel saw reduction in tenancies currently as the smaller operators are exiting the market. There was a reduction of 1,179 tenancies in this quarter due to such smaller operator exits (Largely Videocon’s Exit). But even excluding the impact of such exits, gross tenancy addition of 2,546 is muted vs the prior four-quarter tenancy addition of 3,185. This suggests that even the Big 3 (Airtel, Vodafone, Idea) have been slow in rolling out tenancies/towers in this quarter, in part seasonal and in part due to the nearness of the upcoming spectrum auctions.
Strong loading on existing sites has led to a ~3% Y/Y increase in average rentals (~Rs 35,039 for Jun-16). Almost all 3G/4G build-out by operators (more…)
The management of Idea Cellular stated that only ~10% of consumers are on packs of >1GB on 3G / 4G LTE networks in a month / 30 day cycle. Hence the higher allowance for high usage packs will not by itself result in sharp ARMB decline.
Idea carries the second highest data traffic in the industry by garnering 20.5% data RMS [Revenue Market Share] in FY16, which is higher than its overall RMS. Its incremental data RMS was 27%. Idea deployed close to 40,000 3G/4G sites in the past year in addition to (more…)
To bring in personalized user experience, MakeMyTrip has added features such as mobile virtual assistant (GIPS) to assist customers while on trip, notifications when fares for searched routes / hotels fall, etc made possible by data mining and use of Artificial Intelligence algorithms. MakeMyTrip has also been continuously upgrading its mobile platform, which has led to reduced latency rate, lower app size, 100% crash-free performance, etc. – enhancing customer experience and hence retention and repeat rates.
MakeMyTrip had 5.2mn monthly active users on its platform in F1Q17 vs. 4.2mn in F4Q16. Downloads of the MakeMyTrip app have exceeded 23mn as of the end of F1Q17. The company’s nationwide TV campaign has resulted in 63% growth in new users acquired and 59% growth in total users. Mobile has been the key driver of (more…)
The Indian Department of Telecom (DoT) has put out the Notice Inviting Application (NIA) for auction of seven spectrum bands starting from 29th September 2016. The spectrum bands include 700MHz, 800MHz, 900MHz, 1800MHz, 2100MHz, 2300MHz and 2500MHz constituting a total of 2356 MHz spectrum with the largest chunk in the 700MHz band. This auction is the Largest ever Telecom Spectrum auction till date in terms of quantity, quality and price of spectrum being put on (more…)
The advent of multi-core processors has also provided a big boost to deeper penetration of server virtualization in the data center. For example, a 4-core processor based server can now host four virtual machines on the same physical server – one on each core – thus consolidating four workloads that were running on four different physical servers onto one physical server.
The key implication of this development is that each physical server is clearly processing more data and generating orders of magnitude higher network traffic than in the past. Diskbased storage with sequential read-write is inadequate to extract data out of these servers fast enough creating a data supply problem on the server. NAND Flash-based Storage, which allows random read-write and hence offers an order of magnitude improvement in Storage performance in terms of IOPS (more…)
Pokemon GO is taking the global app world by storm, and as of today remains the top ranked app by daily downloads in every major market in which it has been launched. This momentum coupled with the app’s strong user metrics, poses a serious risk to time spent in other apps.
According to Sensor Tower, the average U.S. iOS user is spending over 33 minutes playing Pokemon GO (PG) each day. This places PG (more…)
OTT Mobile Apps have been gaining ground for some niche offering. Unlike YouTube having most of its content unlicensed and pirated, OTT Apps have 100% Licensed and Authentic Content to offer for the Indian consumer. Hotstar, Sony LIV etc are the leading OTT Convergence Apps in India.
OTT platforms are able to differentiate themselves by providing one or all of the below services, including,
Live TV and catch up TV, which give users flexibility to view TV content on their mobile handsets. Star was able to aggressively push Hotstar as it has digital rights for the IPL. As per our channel checks, nearly half of Hotstar’s views are cricketing events, implying that the same has strong pull and is able to attract users to the platform.
On-demand movies, fiction and (more…)
Airtel and Idea recently announced price cuts / Increased Benefits on Pre-Paid 3G / 4G Mobile Data Packs. They have announced steep price cuts on entry-level and high-volume data packs. We expect Vodafone to follow suit soon. Effective cuts come essentially in the form of higher data allowance on smaller packs at one end and higher volume packs at the other end. Effective data realization (per MB) cuts range from 20% to 40% on different packs.
Idea and Airtel have a very Smart Analytics team which suggest the dynamics of pricing in the Indian Wireless market. Both the companies have not touched packs with monthly allowance between 300 MB and 1.5 GB which are the (more…)