Economics Analysis for Business Decision

Report on

“Telecommunication and its competitive ERA”

Gro up Pro ject By :

• SAMEER PRASAD
• VIPUL BANSODE
• RUTUJA SONAR
• RUTUJA SHINDE
• SABA KAZI
• AMRITA SINGH
• TERALIA NEWMAI
• TEJAS BODAGE
• AKASH RATNAPARKHI
• SATYAM GIRI

Under the Guidance o f: Pro f. Gurura j Da ng re

Sub: Eco no mical Analysis for Business Decision

 “ Teleco mmunica tio n a nd its co mpetitiv e ERA”

I NT RO D UC T I O N :

Telecommunication is the transmission of signs, signals, messages,

words, writings, images and sounds or information of any nature by
w i r e , r a d i o , o p t i c a l o r o t h e r e l e c t r o m a g n e t i c s ys t e m s .
Telecommunication occurs when the exchange of information between
communication participants includes the use of technology. It is
t r a n s m i t t e d t h r o u g h a t r a n s m i s s i o n m e d i a , s u c h a s o v e r p h ys i c a l m e d i a ,
for example, over electrical cable, or via electromagnetic radiation
through space such as radio or light. Such transmission paths are often
divided into communication channels which afford the advantages of
multiplexing. Since the Latin term communication is considered the
social process of information exchange, the term telecommunications is
often used in its plural form because it involves many different
technologies

H i s t o r y o f T e l e c o mmu n i c a t i o n

• Communication started in the old Historic Period where they

communicated by the carvings on walls around 40000 -100000
Years back
• In 1200 B.C Communication took place by the way of Smoke and
fire signals
• Beacons and Pigeons were used as mode of communication during
late Historic period.
• During the 1980’s telegraph was invented which changed the
entire history of communication
• After telegraph various other devices like telephones, Radios,
television were invented.
• 1940 Computer was invented and 1983 Internet was added
changing the entire telecommunication sector to a new level.
• 1990 – 2010 Internet was evolved as a most important mode of
communication along with other sources, wireless network came
into existence.
• 2011 – 2019 Internet entered a new phase of 4G, LTE was
Introduced Internet became one of the basic needs of human.
Impo rta nce o f Teleco mmunica tio n

• Communication plays a central role in the fundamental operations

of a societ y from business to government to families. In fact,
communication among people is the ess ence of what distinguishes
a n o r g a n i z a t i o n , c o m m u n i t y, o r s o c i e t y f r o m a c o l l e c t i o n o f
individuals.
• Communication from Web browsing to cell phone calling to
instant messaging has become increasingly integrated into how
w e w o r k , p l a y, a n d l i v e . T e l e c o m m u n i c a t i o n s p l a ys a n
increasingly vital role in enabling the participation and
development of people in communities and nations disadvantaged
b y g e o g r a p h y, w h e t h e r i n r u r a l a r e a s o r i n d e v e l o p i n g n a t i o n s i n
t h e g l o b a l s o c i e t y a n d e c o n o m y.

T y p e s o f T e l e c o mmu n i c a t i o n S e r v i c e s
 E-mail
 Fax
 Instant messaging
 Radio
 Satellite
 Telegraphy
 Telephony
 Television broadcasting
 Videoconferencing
 VoIP
 Computer networks
o ARPANET
o Ethernet
o Internet
o Wireless networks
 Public switched telephone networks (PSTN)
 Packet switched networks
  Radio networks
 Television networks

Jio VS Competitors

I. Reliance Jio

Parent Company Reliance Industries Limited

Category Mobile service provider
Sector Telecom Service Providers
Tagline/ Slogan Jio digital life
USP Affordable 4G LTE mobile network with
innovative technology
T yp e Subsidiary
Founder Mukesh Ambani
Founded on 15 February 2007
Headquarters Maker Chambers IV, 222 Nariman Point, Mumbai,
India
Revenue (est.) ₹11,679 crore (FY, 2019)
Operating ₹3,631.2 crore (FY, 2019)
Income
Total Asset ₹187,720 crore (FY, 2019)
Net income ₹1,148 crore (FY, 2019)
Members 348.25 million (FY 2019)

• Starting off with the newest operator on the block, Reliance Jio
has revamped its Dhan Dhana Dhan offerings, giving users some
more options at a couple of new price points.
• I n i t i a l l y, R e l i a n c e J i o l a u n c h e d t h e D h a n D h a n a D h a n p l a n w i t h
two offers – Rs. 309 and Rs. 509. They both offered 1GB and
2 G B 4 G d a t a p e r d a y r e s p e c t i v e l y f o r 8 4 d a ys . U n d e r i t s n e w
Dhan Dhana Dhan offers, Reliance Jio has redu ced the validity of
t h e R s . 3 0 9 a n d R s . 5 0 9 p l a n s t o 5 6 d a y s f r o m 8 4 d a ys .
• T h e c o m p a n y h a s l a u n c h e d a n e w R s . 3 9 9 p l a n w i t h 8 4 d a ys
v a l i d i t y, 1 G B d a t a p e r d a y w i t h u n l i m i t e d v o i c e c a l l s a n d S M S .
• For all the plans, Jio Prime membership is required. It costs Rs.
9 9 a n d i s v a l i d f o r o n e ye a r
 II. B h a r t i Ai r t e l

Parent Company Bharti Airtel Limited

Category Mobile service provider
Sector Telecom Service Providers
Tagline/ Slogan Sab Kuch Try Karo, Fir Sahi Chuno
USP Open to taking risks, experimenting with new
ideas
T yp e Public
Founder Abhash Mittal
Founded on 7 J u l y 1 9 9 5 ; 2 4 ye a r s a g o
Headquarters Bharti Crescent, 1, Nelson Mandela Road, New
Delhi, India
Revenue (est.) ₹807,802 million (FY, 2019)
Operating ₹-4,095 million (FY, 2019)
Income
Total Asset ₹2,751,975 million (FY, 2019)
Net income ₹4,095 million (FY, 2019)
Members 383.37 million (FY, 2019)

• Airtel has recently launched a new plan to compete with Reliance

Jio’s Rs. 399 plan.
• The new Rs. 399 plan from Airtel offers 84GB high-speed 4G
d a t a , w i t h 1 G B d a t a p e r d a y. I t a l s o o f f e r s u n l i m i t e d l o c a l a n d
STD calls, but this comes with a FUP of its own. Airtel’s terms
and conditions say that free voice calls are limited to 1000
m i n u t e s p e r w e e k . B e yo n d t h a t l i m i t , A i r t e l - t o - A i r t e l c a l l s w i l l
cost Rs. 0.10 per minute, while calls to other networks will cost
Rs. 0.30 per minute.
• The plan does not offer any free SMS, unlike Reliance Jio.
• Airtel also has a cheaper Rs. 244 plan that offers 1GB data per
d a y f o r 7 0 d a ys , b u t f r e e v o i c e c a l l s a r e l i m i t e d o n l y t o t h e A i r t e l
network. There are no free SMSs in this plan as well.
 III. Vodafone Idea

Parent Company Vodafone India Idea Cellular Limited

Category Mobile service provider
Sector Telecom Service Providers
Tagline/ Slogan A n I d e a c a n c h a n g e yo u r L i f e ( I D E A ) . H a p p y t o
h e l p yo u ( V o d a f o n e )
USP The Compan y provides pan India Voice & Data
services across 2G, 3G and 4G platform.
T yp e Public
Founder Kumar Mangalam Birla ( Chairman ), Ravinder
Takkar ( CEO )
Founded on 31 August 2018; 13 months ago
Headquarters Mumbai (Corp.) Gandhinagar
Revenue (est.) ₹378,236 million (FY, 2019)
Operating Income ₹-192,243 million (FY, 2019)
Total Asset ₹2,296,995 million (FY, 2019)
Net income ₹-145,711 million (FY, 2019)
Members 375.07 million (FY 2019)

• Vodafone Idea Limited is an Indian telecom operator with its

headquarter based in Mumbai, Maharashtra. Vodafone Idea is a
pan-India integrated GSM operator offering 2G, 3G and 4G
VoLTE mobile services under two brands named Vodafone and
Idea. Vodafone Idea also provides services including Mobile
p a ym e n t s , I o T , e n t e r p r i s e o f f e r i n g s a n d e n t e r t a i n m e n t , a c c e s s i b l e
via both digital channels as well as on -ground touch points,
c e n t e r s a c r o s s t h e c o u n t r y. A s o f J u l y 2 0 1 9 , V o d a f o n e I d e a h a s a
subscriber base of 380 million, making it the largest mobile
telecommunications network in India . Vodafone Idea has a
broadband network of 340,000 sites, distribution reach of 1.7
million retail outlets.
• On 31 August 2018, Vodafone India merged with Idea Cellular,
and was renamed as Vodafone [Idea Limited. However, the
merged entity continues using both the Idea and Vodafone bra nd.
C u r r e n t l y, t h e V o d a f o n e G r o u p h o l d s a 4 5 . 1 % s t a k e i n t h e
c o m b i n e d e n t i t y, t h e A d i t ya B i r l a G r o u p h o l d s 2 6 % a n d t h e
remaining shares will be held by the public. Kumar Mangalam
Birla heads the merged company as the Chairman and Balesh
Sharma used to be t he CEO. After a plunge in share price of
Vodafone Idea by 80% on NSE, Balesh Sharma resigned citing
personal reasons. Ravinder Takkar, Ex -CEO of Vodafone Romania
and the key deal negotiator from Vodafone has taken over the
reigns as CEO.
MARKET SHARE OF TELECOMMUNICATION SECTORS:
Introduction:

Reliance Jio Infocomm Ltd. an Indian Telecommunication company

and wholly owned subsidiary of Reliance Industries. It has the
maximum number of share market and the largest mobile network
operator in India and third largest mobile network in the world.
India’s second largest telecommunication sector with a second place
market share gives a various facilities to its customers and that place is
hold by the Bharti Airtel Ltd. It has the third largest mobile network in
India.
Vodafone Idea limited is an Indian Telecom operator which provides
d i f f e r e n t t yp e s o f s e r v i c e s . I d e a a n d V o d a f o n e I n d i a h a s a n n o u n c e d t h a t
their respective boards has approved a merger of two companies.
 • J io Infocomm Ltd has the largest number of customers over the
Indian market and has a largest market share.
• Day by day the market share of Jio is getting more response from
its customers because of new stratergies and plans provided by
t h e c o m p a n y.
• Increasing market share of Jio is showing an impact on other
telecommunication sectors that is on Airtel, Idea and Vodafone.
• As we can see the above diagram represents highest market share
in the favour of Reliance Jio that is 39.30%, on the second place
highest market share is carried by Airtel that is 18.38%,
Vodafone has a 13.99% of share and Idea has a 8.47% market
share.

U P C OM I NG P L AN S
• The biggest announcement for the Jio customers that took place
was the commercial launch schedule of Jio Fiber, Jio Home
Phone, Jio postpaid plus, Jio set top box with gaming support etc.
• It also announces offers like Jio to Jio calling free, 6 ps. Per
minute, Yearly planning, Television services touted to deliver
console like gaming experiences.
• In other side, Airtel announced th at it would offer double data
with almost all its broadband plans and now the company is
looking to do the same with its data card plans.
• According to a source close to us, Airtel will roll out new data
tariff plans for data card users starting at Rs. 499.
Similarl y Vodafone Idea also changing their plans b y offering new
plan. For example: 3 family post -paid connections for Rs.749.

A N N U A L R E P OR T
• J i o a i m s a t c r e a t i n g a n e n t i r e d i g i t a l e c o s ys t e m , o f f e r i n g
broadband services, applications, smart devices, and mobile
telephon y facilities. Its offering range from a wide library of
recorded and live music programs, television shows, sport
p r o g r a m t o m o v i e s , J i o m o n e y, J i o P l a y a n d J i o J o i n A p p a r e
amongst the most popular Jio applications.
STRATERGY J IO:

• Entry of Jio took the Oligopol y telecom market by storm. It was

something that was no other competitors in the market was
expecting.
• Mukesh Ambani finally acknowledges the universal truth –
globally consumers pay for eithers calls and texts or data – they
don’t pay for both.
• Reliance drives shareholders value through active portfolio
management to continuously enhance the quality of its business
portfolio, consistently deliver shareholder returns and maintains
a focus on long term growth potential.
• R e l i a n c e c r e a t e s v a l u e f o r i t s e m p l o ye e s , b y e n s u r i n g t h e i r
prosperity as the organisation grows.

STRATERGY AIRTEL

• Airtel uses mix of segmentation strategies to segment its

offerings like basic Call /SMS plans, prepaid / Post -paid plans,
VAS – Data, caller tunes etc. Apart from geographically
segmenting the market in East, West, North, South & central, the
market is also segmented in each region on the basis of
demographic variables like age, Income, Social groups.
• The subscriber base for Airtel did not feel a massive blow. In the
quarter that ended in September 2016, Airtel had 36308.8 crore
subscribers and by the end of December 2016 there was only a
marginal rise in the number and it stood at 36456.4 crore. The
fourth quarter that ended In March 2017 saw Airtel have a
registered user base of 37235.4 crore while in the latest quarter
release (Q1) the subscriber base stood at 37987 crore.
• It looks like Airtel saw a humungous loss with the entry of Jio.
The net income had the largest setback as it dropped 75 per cent
y e a r o n ye a r t o R s 3 6 7 c r o r e w h i l e t h i s w a s a m a r g i n a l d r o p f r o m
the previous quarter which was recorded at Rs 374 crore rupees.
C o mmu n i c a t i o n S y s t e m

D i g i t a l s i g n a l p r o c e s s i n g , a s i t i s u s e d i n c o m m u n i c a t i o n s ys t e m s , o f t e n
requires the implementation of special functions in addition to
filtering. Examples of these are modulation, demodulation, detection,
a n d f r e q u e n c y t r a n s l a t i o n . O f t e n , t h e r e a r e s e v e r a l w a ys i n w h i c h a
particular function can be implemented; however, one method may
require less compu tation than another. It is important to recognize the
m a n y m e t h o d s t o r e d u c e c o m p u t a t i o n i n a s ys t e m , b e c a u s e t h e s e t r i c k s
o f t e n m a k e t h e d i f f e r e n c e b e t w e e n a p r a c t i c a l s ys t e m a n d o n e t h a t i s
unrealistically complex. This was particularly important during the
e a r l y d a ys o f d i g i t a l s i g n a l p r o c e s s i n g , w h e n h a r d w a r e r e s o u r c e s w e r e
v e r y l i m i t e d . E v e n i n p r e s e n t d a y s ys t e m s , r e a l a d v a n t a g e s c a n o f t e n b e
realized by recognizing the best algorithm.
FINANCIAL PERFORMANCE
P l a i n o l d t e l e p h o n e c a l l s c o n t i n u e t o b e t h e i n d u s t r y’ s b i g g e s t r e v e n u e
g e n e r a t o r ‘ b u t t h a n k s t o a d v a n c e s i n n e t w o r k t e c h n o l o g y, t h i s i s
changing.
Telecom is growing less about voice and increasingly about video, text
and data.
High-speed internet access, which delivers computer -based data
applications such as broadband information services and interactive
entertainment, is rapidly making its way into homes and businesses
around technology ,digital subscriber line[dsl],
Has ushered in new era.
The fastest growth comes from services del ivered over mobile network
.of all the customer markets, residential and small business market are
arguably the toughest.
W i t h l i t e r a l l y h u n d r e d s o f p l a ye r s i n m a r k e t , c o m p e t i t o r s r e l y h e a v i l y
on price to slog it out for households’ monthly checks; success rests
largely on brand name strength and heavy investments in efficient
b i l l i n g s ys t e m s .
Telecom operators also make money by providing network connectivity
to other telecom companies that need it, and by wholesaling circuits to
heavy network users like internet service provider and large
corporations.
I n t e r c o n n e c t e d a n d w h o l e s a l e m a r k e t s f a v o r t h o s e p l a ye r s w i t h f a r -
reaching networks.

NETWORK EXPANSION
 G o i n g f o r w a r d , t h e n u m b e r o f p l a ye r s i s e x p e c t e d t o r e d u c e f r o m
4 in a service area to 3 or 2,
 TRAI has recommended enabling m and n provision for increase
in market share for merged entity has been increased from 35%to
60%.
 Data trends show an upswing 4G/5G roll out is progressing and
user devices currently in the range of $2000 dollars are available
in the Indian market.
 Demographics favor India: 50% of the population is below the
a g e o f 2 5 , a n d 6 5 % b e l o w 3 5 ye a r s a n d t h e y a r e e x p e c t e d t o b e
the main drivers of consumption.
 As far as the availability of spectrum for commercial exploitation
is concerned, we hope that 700 MHz will be auctioned in the near
future for long term evolution [lte].
  The commercial value of spectrum is creating pressure for the
release of spectrum by government agencies.
 Average spectrum holding per operator is expected to increase
from 7.4 MHz to 10 MHz .
 The growth strategy has reached a watershed . The race for
increasing subscribers is over.
 F o r t h e f i r s t t i m e t o t a l s u b s c r i b e r n u m b e r s d e c r e a s e d i n J u l y.
 The focus will now be on the quality of service and the quality of
experience.
 W i t h t h e p o t e n t i a l f o r g r o w t h l e f t i n t h e s ys t e m , T e l e c o m
industry will now come up with a new generation of 5G by 2021

E V A PO RA T E D C O MP A NI E S I N I N DI A

 India is the world's second -largest telecommunications market,

with around 1,183.53 million telephon e subscriber bases at the
end of May 2019.

 The telecom market can be split into three segments – wireless,

wireline and internet services.

 The wireless market segment comprises of 89.92 per cent of the

total subscriber base, as of May 2019 compared to 95.90 % in
year 2011. As of May 2019, rural subscribers form 42.9 % of
total telephone subscribers and in April 2019 43.33 per cent,
c o m p a r e d t o 3 3 . 3 5 % i n ye a r 2 0 1 1 .

INTRODUCTION
 India is the world's second -largest telecommunications market,
with around 1,183.53 million telephone subscriber bases at the
end of May 2019.
 The telecom market can be split into three segments – wireless,
wireline and internet services.
 The wireless market segment comprises of 89.92 per cent of the
total subscriber base, as o f May 2019 compared to 95.90 % in
year 2011. As of May 2019, rural subscribers form 42.9 % of
total telephone subscribers and in April 2019 43.33 per cent,
c o m p a r e d t o 3 3 . 3 5 % i n ye a r 2 0 1 1 .
T h e f o l l ow i n g c o mp a n i e s a r e e v a p o r a t e d a r e a s f o l l ow s :
Modi Telstra 2000 Merged into Axiata Spice Communications

Hutch 2007 Bought by Vodafone Group

Axiata Spice Communications 2008 Merged into Idea Cellular Limited

S-Tel 2012 Licence cancelled by the Supreme Court of India

Etisalat 2012 Licence cancelled by the Supreme Court of India

Loop Mobile 2014 Ceased operations after expiration of licence

Virgin Mobile India 2015 Merged into Tata Docomo

T24 Mobile 2015 Merged into Tata Docomo

Videocon 2016 Shut down following sale of spectrum to Bharti Airtel

MTS India 2017 Merged into Reliance Communications

Vodafone India 2018 Merged with Idea to form Vodafone Idea Limited

Idea Cellular 2018 Merged with Vodafone to form Vodafone Idea Limited

Aircel 2018 Bankrupt

Telenor India 2018 Merged into Bharti Airtel

Tata Docomo 2019 Merged into Bharti Airtel

Reliance Communications 2019 Bankrupt

U NI NO R / T E L E NO R
• Telenor was Merged with Bharti Airtel
• On 2 January 2017, The Bharti Airtel had entered into discussions
with Telenor India to acquire the Firm.
• On 23 February 2017, Airtel announced that it had entered into a
definitive agreement with Telenor South Asia Investments Pvt Ltd
to acquire Telenor (India) Communications Pvt. Ltd.
• As part of the deal, Airtel will acquire Telenor India's assets and
customers in all seven telecom circles that the latter operates in -
Andhra Pradesh, Bihar, Maharashtra, Gujarat, Uttar Pradesh
(East), Uttar Pradesh (West) and Assam. Airtel will gain
43.4 MHz spectrum in the 1800 MHz band from the Telenor
acquisition.
TATA DOCOMO

• Tata Docomo was an Indian mobile network operator, a wholl y

owned subsidiary of Tata Teleservices in partnership with NTT
Docomo of Japan.
• In October, 2017 Bharti Airtel announced merger deal with Tata
Teleservices and acquisition of Tata Docomo.

History

Further information: Tata Group

Tata Docomo was part of the Indian conglomerate Tata Group. The
company received the license to operate GSM services in nineteen
telecom circles and was allotted spectrum in eighteen of these circles
and launched GSM services on 24 June 2009.
 AIRCEL

• Aircel Ltd. was an Indian mobile network operator headquartered

in Mumbai that offered voice and 2G and 3G data services.
• Services aircel telecom operator to offer all the three existing
technologies of 2G, 3G and 4G in these markets.
• As of December 2017, Aircel had a subscriber base of over 84.93
million and was India's sixth -largest GSM mobile service
provider.

Exit-
• Aircel had planned to shut down its operations in unprofitable
c i r c l e s i n c l u d i n g , G u j a r a t , M a h a r a s h t r a , H a r ya n a , H i m a c h a l
P r a d e s h , M a d h ya P r a d e s h a n d U t t a r P r a d e s h ( W e s t ) f r o m 3 0
January 2018
• Aircel incurring losses of Rs 1 -1.5 billion every month, Maxis
was not ready to fund it for the next six months, during which
time the SDR talks would go on. This, even though the lenders
h a d a g r e e d t o c o n v e r t t h e i r d e b t i n t o e q u i t y.

T y p e s o f S e r v i c e s A n d S e c t o r s O f E v e r y Co mp a n y
The telecommunications sector consists of three basic sub -sectors:
telecom equipment (the largest), telecom services (next largest) and
wireless communication.
The major segments within these sub -sectors include the following:
 Wireless communications.

 Communications equipment.

 P r o c e s s i n g s ys t e m s a n d p r o d u c t s .

 Long-distance carriers.

 Domestic telecom services.

 Foreign telecom services.

 Diversified communication services.

B r i e f s u mma r y
The smallest, but fastest -growing, area within the sector is wireless
communications, as more and more communications and computing
m e t h o d s s h i f t t o m o b i l e d e v i c e s a n d c l o u d - b a s e d t e c h n o l o g y. T h i s p i e c e
o f t h e i n d u s t r y i s t h e a n t i c i p a t e d k e ys t o n e f o r t h e c o n t i n u e d g l o b a l
expansion of the telecommunications sector. There is still ample room
for growth, even in developed countries: As of 2018, the Federal
Communications Commission (FCC) reported that approximately one -
fifth of the rural American population still does not have access to
broadband networks, for example.
Looking forward, the sector's biggest challenge is to keep up wit h
p e o p l e ' s d e m a n d f o r s p e e d i e r d a t a c o n n e c t i v i t y, h i g h e r r e s o l u t i o n ,
quicker video streaming, and ample multimedia applications. Meeting
people's needs for faster and better connections as they consume and
create content requires significant capital expenditures . Companies that
can meet these needs thrive.

5 Tech Trends in Telecommunications

 Connecting the IoT

Telecoms seem keenly aware of the potential —in 2015 the

industry ranked 4th in IoT spending , committing nearl y $111
million to IoT pursuits. Telecoms are not going to sit back, build
t h e i n f r a s t r u c t u r e f o r i t a n d w a t c h t h e w o r l d r i d e p i g g yb a c k w i t h
a l l t h e p r o f i t s l i k e t h e y h a v e i n t h e p a s t 1 0 ye a r s w h e n m o r e a g i l e
digital service providers ran roughshod over their business.
 Cloud Computing

Communications providers are facing some great challenges and

opportunities in cloud computing. They can potentially use the
c l o u d t o d e l i v e r h i g h e r q u a l i t y, m o r e f l e x i b l e a n d m o r e s c a l a b l e
enterprise IT services at lower cost than on -premise solutions.
 Carrier-Grade WiFi

When it comes to wireless connectivity over short distances,

W i F i i s h a r d t o b e a t . T h e o r e t i c a l l y, i t ’ s f a s t e r t h a n t h e l e a d i n g
alternative, 4G LTE, and can handle bandwidth -hogging services
like mobile video for a fraction of the cost. But in practice,
t o d a y’ s W i F i h o t s p o t s a r e n o t o r i o u s l y s l o w a n d f i c k l e . T h a t ’ s
about to change.
 5G Wireless

The pressures of Io T on top of our insatiable desire for streaming

v i d e o w i l l a b s o l u t e l y d e c i m a t e 4 G L T E . ( S e r i o u s l y, 3 . 2 5
BILLION hours of video is watched every month on YouTube
 a l o n e . T h a t ’ s a b o u t 4 0 0 , 0 0 0 ye a r s , i n c a s e yo u w e r e w o n d e r i n g ) .
And according to Gartner, 20.8 billion devices will be connected
to the internet by 2020. That’s a lot of YouTube -ing, Netflix-ing,
a n d I o T - i n g , a n d t h e f i f t h g e n e r a t i o n ( s i x t h , i f yo u ’ r e c o u n t i n g
LTE) of wireless is being built to handle it. 5G is projected to be
about 10x faster than 4G, with download speeds around 10 GBPS.
 Integration with Content

It has been said more than once, “one or more communication

service providers will be acquired by content providers by 2020.”
Well, it is 2016 and it is starting to seem like the CSPs are the
ones doing the acquiring. AT&T bought DirecTV in
2014, Verizon has absorbed both AOL and Yahoo!, With the
Amazons, Rokus, and Netflixes of the world snatching up more
a n d m o r e c a b l e c u s t o m e r s b y t h e d a y, a n d i t o n l y m a k e s s e n s e
that CSPs get into the content game themselves. The strategy of
most CSPs seems to be owning the content, so however it is
consumed, they still derive revenue from it (and user data).

T e l e c o m Re g u l at o r y Au t h o r i t y o f I n d i a ( T RAI )

What is T R A I?
Telecom Regulatory Authority of India (TRAI) is a statutory body set
up b y the Government of India under Section 3 of Telecom Regulatory
Authority of India Act, 1997.
It is the regulator of Telecommunication Sector in India.
• Telecom Regulatory authority of India was established on 20
February 1997 by an Act of Parliament to regulate telecom
services and tariffs in India. Earlier regulation of telecom
services and tariffs was overseen by the Central Government. The
current Chairman of TRAI is Ram Sewak Sharma.
• TRAI's mission is to create and nurture conditions for growth of
telecommunications in India to enable the country to have a
l e a d i n g r o l e i n t h e e m e r g i n g g l o b a l i n f o r m a t i o n s o c i e t y.
Which Sectors it Deals with?
M a i n l y, i t d e a l s w i t h : -
i) Telecom Sector.
ii) Broadcasting. (TVs, Radio)
 In Telecom Sector
- It ensure that the Telecom industries grow along an Ethical
path.
- Protecting the interest of telecom service providers and
consumers.
- Encourage technological improvements whenever new advances
are made.
- Establishing a standard quality of service that telec om industries
h a v e t o f o l l o w t o g r o w p r o p e r l y.
- Ensuring that the telecom Industries are functioning within a
Proper Legal frame work.
- It supervises how services providers share revenue
- A l s o c o n d u c t s p e r i o d i c a l s u r v e y.

U p c o mi n g R u l e s
- Mobile user cannot Port-out request from 4th Nov. to 10th
Nov 2019 for all licence Service area.
- New Guidelines will come into effect
From 11th Nov.

Relience JIO
1. J i o a l s o k n o w n a s r e l i a n c e j i o a n d o f f i c i c a l l y a s r e l i a n c e j i o
infocomm limited (RJIL) is an upcoming provider of mobile
t e l e p h o n y, b r o a d b a n d s e r v i c e s a n d d i g i t a l s e r v i c e s i n I n d i a .
2. R J I L i s s e t t i n g u p a I n d i a t e l e c o m n e t w o r k t o p r o v i d e t o a h i g h l y
underservied India market.
3. J I O a i m s t o p r o v i d e a n yt i m e , a n yw h e r e a c c e s s t o i n n o v a t i v e a n d
empowering digital contet, applications and services, thereby
I n d i a i n t o g l o b a l l e a d e r s h i p i n d i g i t a l e c o n o m y.
4. J i o p h o n e i s a l i n e o f f e a t u r e p h o n e s m a r k e t e d b y J i o . T h e f i r s t
model, released in August 2017 (with public pre-orders beginning
24 August 2017), was positioned as an "affordable”.
5. O N D E C E M B E R 2 4 , 2 0 1 5 B o l l yw o o d a c t o r S h a r u k h k h a n w a s
appointed as a brand ambassador of jio.
E f f e c t o f j i o o n o t h e r c o mp a n i e s
Mobile data consumption in th e country up from 20 cr GB/month to
nearly 370 cr GB/month.
• Cost of data down to less than Rs 15/GB from at least Rs 250/GB.
• India now no. 1 in data consumption compared with 155th before
Jio launch.
• Enhanced user base across all key social media platforms ;
Facebook, YouTube with an estimated 70 m additions in the Ist
year of Jio’s launch.
• No. of private telcos down to 3 Bharti Airtel .
Reliance Jio has caused the revenue shares of the competition to
drop by 7% percent in the next two quarters. Combined wit h
demonetization, there has been a huge fall in the income of
incumbents since most of their customers are prepaid.
• Airtel, Vodafone and Idea are constantly coming with offers to
counter Jio’s Happy New Year Offer. Atleast two offers a week!
Airtel probably has come up with more than 20 offers since Jio’s
launch.
• Jio has completely turned the industry on it’s head. it has been
one of the changing forces that has put a halt to rising data costs
and increased mobile penetration in second tier towns and rural
areas. Jio is one one the best things to have happened in 2016.
The monthly data usage per smartphone (GB/month) in India is
expected to
go up to 13.7 GB by 2023 from 5.7 GB in 2017. The total mobile data
traffic
per month in India ex pected to grow fi ve times from 1.9 EB to 10 EB
by 2023.
The adoption of 4G has been made possible
only after the arrival of Reliance jio.
Almost all smartphones now shipped are 4G - VoLTE enabled.
There has been a increase in investment and revenue for video -
streaming WEBSIT ES such as Hotstar and Netflix.

M e a n i n g a n d d e f i n i t i o n o f G DP
• Gross domestic product(GDP) is the total monetary or market
value of all the finished goods and services produced within a
c o u n t r y’ s b o r d e r s i n a s p e c i f i c t i m e p e r i o d .
• G D P c a n b e c a l c u l a t e d i n t h r e e w a ys u s i n g
expenditure,production, or income.
• The GDP measures the value of economic activity within a
c o u n t r y. G D P i s t h e s u m o f t h e m a r k e t v a l u e s o r p r i c e s o f a l l t h e
final goods and services produced in an economy during a period
of time.

E c o n o mi c a l e f f e c t o v e r G D P
1) BUSINESS PLANNING:
• Businesses use the GDP as a planning tool to decide whether they
will expand or contract in the coming year. If the GDP has grown
s i n c e t h e l a s t ye a r , a c o m p a n y m a y t a k e t h e g r o w t h a s a p o s i t i v e
s i g n a n d h i r e m o r e e m p l o ye e s , b u i l d a n e w f a c t o r y o r p u r c h a s e
m o r e r a w m a t e r i a l s f o r p r o d u c t i o n . C o n v e r s e l y, w h e n t h e G D P
shrinks, firms may not focus on expanding their operations.
2) CHANGES IN CURRENCY:
• When a country releases its GDP data, its currency can apprecia te
or depreciate as a result. Let’s say that the U.S. releases its GDP
f o r t h e p a s t ye a r , a n d t h e G D P h a s r i s e n s i n c e t h e l a s t t i m e t h e
data was published. It will likely take more of a foreign
currency--for example, the British pound --to buy fewer U.S.
dollars. If the U.S. GDP shrinks in comparison to the previous
 ye a r , i t w i l l g e n e r a l l y c o s t f e w e r B r i t i s h p o u n d s t o b u y m o r e U . S .
dollars.
• 3) GOVERNMENT POLIC IES:
• As the GDP measures economic performance, governments watch
i t c l o s e l y. A l o w G D P w i l l c a u s e a g o v e r n m e n t t o e m b a r k o n a
d i f f e r e n t e c o n o m i c p o l i c y, o n e w h i c h w i l l b o o s t e c o n o m i c
performance. If, on the other hand, the GDP rises from the
p r e v i o u s ye a r , t h e g o v e r n m e n t w i l l p r o p o s e p o l i c i e s t o m a i n t a i n
economic growth, but will also seek to prevent inf lation.
• 4) INTEREST RATE CHANGES:
Rising or shrinking GDP also affects interest rates. The interest
rate refers to the amount of money charged for loans. In the U.S.,
the Federal Reserve sets the basic interest rates. If the GDP rises,
it means the economy has grown. GDP growth also means that
people are spending more money to purchase goods on the
market. To prevent inflation, the Federal Reserve will raise the
prime interest rate.

List of Some global telecom companies

• 1} China mobile ltd.
• 2} Verizon Co mmunications Inc.
• 3} AT&T Inc.
• 4} AT&T Inc.
• 5} Nippon Telegraph & Telephone Corp.
• 6} Softbank Group Corp.
• 7} Deutsche Telekom AG.
• 8} Telefonica S.A.
• 9} America Movil
• 10} China telecom.