cost-effective, profitable, ip-based deployments of inclusion technologies in developing countries...
TRANSCRIPT
Cost-effective, Profitable, IP-Based Deployments of Inclusion Technologies in Developing Countries
“Models for a commercially viable increase in Tele-density and Broadband penetration”
CANTO – 2005 / St. Kitts – West Indies
Marcio Fonseca – Marketing Manager
Cost-effective, Profitable, IP-Based Deployments of Inclusion Technologies in Developing Countries
“Models for a commercially viable increase in Tele-density and Broadband penetration”
CANTO – 2005 / St. Kitts – West Indies
Marcio Fonseca – Marketing Manager
UTStarcom Inc.UTStarcom Inc.
2
Who is UTStarcom?Who is UTStarcom?
Founded in 1991, HQ in Alameda, California
NASDAQ listed since March 2000 – (ticker symbol: UTSI)
• Over 300 customers worldwide
• Three consecutive years of growth
• Over 70 million ports deployed worldwide
• Over 40 million iPAS subscribers in China (PHS Technology)
• Over 100K iPAS Subscribers in the Caribbean and Latin America
• Shipped over 30 million handsets in 2003/2004
• The largest Softswitch deployment in the world
• The largest GE-PON network in the world
• Introduced 4 new key products in 2004
– MovingMedia 2000, MovingMedia 6000, GE-PON & mVision
UTStarcom is a worldwide leader in the development of wireline, wireless, optical and access switching solutions. By working with UTStarcom , service providers around the world can now generate new revenue by offering their subscribers a rich array of premium voice, data and video communications services
4
Market RecognitionMarket Recognition
# 31 - “100 Fastest-Growing Companies”
# 33 - “100 Hot Growth Companies” - June 2004, 5th fastest growing company
# 9 – “Top 25 Fastest Growing Tech Companies”**two years straight
Top 10 - Investor’s Business Daily 100
# 1 - “Fastest Growing Tech Companies”
5
Technology and Industry LeadershipTechnology and Industry Leadership
#1#1
#2
#1
#2
WirelessWireless
WirelineWireline
Market Share Worldwide in PAS/iPAS
Market Share Worldwide in CDMA PDSN
Market Share Worldwide in Media Gateways
Market Share Worldwide in IP-DSLAM
Market Share Worldwide in SoftSwitch
Source: Infonetics Research Inc., Synergy Research, First Call Reports, Internal EstimatesSource: Infonetics Research Inc., Synergy Research, First Call Reports, Internal Estimates
7
Strategic Acquisitions 2003/2004Strategic Acquisitions 2003/2004
CDMA2000
450/800/1900MHz
Audiovox Communications Corporation (ACC)
Mobile Handsets
Data Enhanced Mobile Switching Solutions
iPAS®, MovingMedia 2000®, IP-DSLAM, and GE-PON
Models for a commercially viable increase in Tele-density and Broadband penetration in Developing Countries
9
Regional Statistics and CommentsRegional Statistics and Comments
Country TeledensityInternet users
per 10,000 inhabitants
PC's per 100 inhabitants
Antigua & Barbuda 48.78 1282.05 10.21Bahamas 41.53 2649.01 …Barbados 49.68 3707.82 10.41Belize 11.27 1088.53 12.70Cuba 6.40 86.63 2.39Dominica 30.39 1602.56 8.97Dominican Republic 11.54 1023.84 8.78Grenada 29.04 1690.39 13.21Guyana 9.15 1422.07 2.73Haiti 1.68 180.16 …Jamaica 16.92 2284.50 5.37St. Kitts & Nevis 50.00 2127.66 19.15St. Lucia 31.95 823.96 15.00St. Vincent & the Grenadines 27.25
598.29 11.97
Suriname 15.17 437.18 4.55Tinidad & Tobago 24.98 1060.32 7.95
U.S.A 62.38 5577.84 65.98Germany 65.73 4725.46 48.47England 59.06 4230.98 40.57Brasil 22.29 822.41 7.48Hong Kong 55.89 4717.70 42.20
Other Countries
Comments:
- Great opportunity for ISP’s to join forces with hardware providers to increase overall PC / Internet penetration (packaged deals, i.e. MSN)
- Specific opportunities for immediate increase of Teledensity.
- Developed countries usually have higher broadband penetration rates in general.
- Total Broadband penetration for the developed world is 14.1%. Internet usage in the region is 13.78%. Conversion from dial-up to Broadband will result in added revenues for carriers.
- Broadband deployment is the path for future triple-play services which will add to the bottom line of carriers.
10
iPAS® - PHS WLL technology for low Tele-density areas iPAS® - PHS WLL technology for low Tele-density areas
PS
ATC/SATC
WRT
Call Control& BES
iPAS GW
WRT
iAG
DWRTRadius
PSTN
INTERNET
AN-2000
AN-2000 AN-2000
CS
FSU
CSCE1/T1
2W
SS7
E1: V5.1/V5.2T1: TR08/GR303
BRI
AN-2000
CSCSC
AN-2000
CSCSC
AN-2000
CSCSC
AN-2000
Tot al Cont r ol 1000
WRT
DWRT
ATC
CSC
CS
FSU
PS
iAG
Wireless Remote Terminal
Data WRT
Air Traffic Controller
Cell Station Controller
Cell Station
Fixed Subscriber Unit
Personal Station
Internet Access Gateway
LEGEND
IP Network
AN-2000
Key Points:
WLL application very economic
Implementation via Micro-cells with 500m to 1Km in range
Quickly deployment for rapid increase of Tele-density.
11
Success Stories – Ti Telefon and MultifonSuccess Stories – Ti Telefon and Multifon
Teleco Haiti / Multifon Honduras
- “Ti Telefon” and “Multifon”
- 50K Subscribers in 3 years of operation in Haiti. 50K subs in Honduras in less than a year.
- First really affordable option for telecommunications services in both countries
- Known as diesel phone in Haiti.
- Stable platform fully operational through hurricanes and political turmoil.
- Responsible for immediate increase of more than 30% in country’s Tele-density.
- UTStarcom support extends itself to everything from marketing to the operation of the network
12
MovingMedia 2000® - IP Based CDMA 2000 1X solutionMovingMedia 2000® - IP Based CDMA 2000 1X solution
Applications:Applications:• Wireless NetworksWireless Networks• Tandem NetworksTandem Networks• IP-Based CDMA2000 1XIP-Based CDMA2000 1X
PacketNetwork
Sonata SEWireless SoftSwitch
Feature Server
1G/2G/2.5GRAN/BSS
• AMPS• GSM/GPRS• CDMA2000 1X
SS7
PSTN
SonataOMC
E1 or T1MF R1, MFC R2, ISDN PRI or ISUP / SS7
Sonata IMGIntelligent Media Gateways
CDMA iCellIP-BSS
Voicemail, Prepaid, SMS,
Internet
PacketCore Network
AAA
PDSN
13
MovingMedia 2000® - Key Value Proposition: Rapid Deployment and Transmission Cost SavingsMovingMedia 2000® - Key Value Proposition: Rapid Deployment and Transmission Cost Savings
TraditionalBandwidth Required: 22 T1
Annual cost $1,056,000
MSCServer
IMG
PSTN
LocalPSTN
iCell
IMG
Managed
Packet Network
563Kps
UTStarcom’s All IP NetworkBandwidth Required: Partial T1
Annual cost $17,592
A transmission cost comparison of UTStarcom’s All IP NGN vs. traditional wireless solutions indicates potential savings of 98%.
BSCPSTN
5 T1
17 T1
BTS
LocalPSTN
MSC
Assumes 5 iCells, 85% local traffic
14
IPDSLAM – Broadband SolutionIPDSLAM – Broadband Solution
Where an actual copper infrastructure exists, operators may deploy broadband service utilizing IP-DSLAM’s to a neighborhood or a cluster of buildings or a single building if it wishes to do so.
The key for any successful broadband deployment is the cost of the service. Research shows that customers are willing to embrace new technologies that they may afford.
15
IPDSLAM – Brasil TelecomIPDSLAM – Brasil Telecom
Key points:
- Late deployment
- Very aggressive pricing strategy
- Available plans:
Turbo Lite – 50 Hours of access for $ 9.95 monthly @ 150Kbps
Unlimited Usage @ 400Kbps for $ 31.95
- Expected subscriber base: more than 1 million subscribers in less than a year of operation.
16
GE-PON – Passive Optical NetworkGE-PON – Passive Optical Network
Where no copper exists, operators may decide to go directly with GE-PON for their last mile
17
SIP/MGCP
IP CORE
OLTGE PON
SoftSwitchCall Control& Signaling
SUBSCRIBER
PONONU
VOICE, DATA & VIDEO
DSL CPE
SUBSCRIBER
PONONU
VOICE, DATA & VIDEO
DSL CPE
PSTN
Internet
PSTN/PLMNGATEWAY
TMG
GE-PON – Triple Play ServicesGE-PON – Triple Play Services
Where GE-PON networks are deployed the operator can fully explore that market’s potential by offering triple play services: Telephony, TVoIP, Broadband, VoIP, VOD, Gaming, and many more to come…
18
BB TV - IP
BB Gaming – Online Gaming
Yahoo! BB - WiFi
BB Phone –VoIP
BB Video – Video on Demand
Yahoo! BB – Broadband Access
Yahoo BB! – Triple play utilizing UTStarcom InfrastructureYahoo BB! – Triple play utilizing UTStarcom Infrastructure
$35.29/month
$10.37/month
$4.07/month $3.01/month
$28.30/month
$9.27/month
Total = $90.31/monthly ARPU
19
ConclusionsConclusions
• Network deployments need to go hand in hand with an initial demand study for the applications.
• In other countries, broadband penetration has been a direct consequence of its pricing.
• Any network investment must add to the bottom line by saving OPEX or increasing revenue.
• Search for network vendors that support the operation from all sides. Including marketing and sales of the solution to the end-user such as UTStarcom
QUESTIONS???
For more information, or for a copy of this presentation please email
QUESTIONS???
For more information, or for a copy of this presentation please email