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Category: Telecom

Retail News Asia is committed to providing both local and global retailers with the latest Telecom & Telco news throughout the Asian market. This on a daily base.

  • Globe Q1 profit grows 44%

    Globe Q1 profit grows 44%

    The Philippines’ Globe Telecom has reported a 44% year-on-year increase in net profit for the first three months of 2019 to 6.7 billion pesos ($129.1 million), partly as a result of strong data revenue growth.

    The company reported revenue for the quarter of 36 billion pesos, up 13% year-on-year. Growth was mainly fueled by increasing data usage across the operator’s service offerings.

    Mobile revenue grew 11% to 27 billion pesos, with mobile data revenues reaching 16.5 billion pesos, representing 61% of gross service revenues. Total mobile data traffic surged to 370 petabytes for the quarter.

    But mobile voice revenues fell 15% to 6.3 billion pesos, with SMS revenues down 22% to 4.2 billion pesos.

    Globe’s home broadband business reported 21% higher revenue of 5.2 billion pesos, with the company’s total subscriber base increasing 22% year-on-year to 1.7 million. Of these, 63% are fixed wireless subscribers. Enterprise data revenues grew 16% year-on-year to 2.7 billion pesos.

    Globe’s capex for the quarter reached 8.8 billion pesos, representing 24% of topline revenues.

    “As we continue to invest in our LTE network, we are also excited with the growth opportunities of our 5G commercial pilot launch in June this year,” Globe CEO Ernest Cu commented.

    “Through this launch, we will be able to offer our customers a whole new ecosystem of devices to enhance the way they experience data to the home. This is in line with our proven strategy of making our customers a priority, by providing them a superior digital and network experience, despite all the industry challenges that we face ahead.”

     

  • Nokia, FAW Group to use 5G to transform China’s automotive sector

    Nokia, FAW Group to use 5G to transform China’s automotive sector

    Nokia has signed a strategic MoU with FAW Group, the Chinese state-owned automotive manufacturing company, to carry out joint research in smart connected cars, industrial IoT (IIoT), smart manufacturing and digital transformation.

    Nokia will deploy a 5G trial network on FAW’s campus in Changchun, the capital of northeast China’s Jilin province, to support R&D in autonomous driving and connected car applications.

    As well as the commercial 5G solution, Nokia will provide security, big data, cloud and 5G slicing technology to accelerate FAW’s digital transformation, according to a company statement.

    In addition, Nokia will provide end-to-end system integration, helping FAW to implement smart manufacturing with automation solutions, such as autonomous AGVs, AR/VR machine vision, and AI-enhanced quality inspection.

    FAW Group is one of the biggest automakers in China. Through collaboration with Nokia, the company intends to maintain its dominant position in the market by using digital technologies to enable autonomous driving, IoT and smart manufacturing.

    FAW, together with eight automobile OEMs including Guangzhou Automobile Group and Dongfeng Motor Group, has recently acquired a combined 31.2% in Smart Connection Technology, the Internet of Vehicle unit of China Unicom.

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  • ZTE debuts China’s first 5G smartphone

    ZTE debuts China’s first 5G smartphone

    ZTE has launched the first 5G smartphone in China, the ZTE Axon 10 Pro 5G. The vendor’s flagship 5G smartphone is ready for commercial use on China’s upcoming 5G networks.

    The device has achieved downlink speeds of 2Gbps under China’s 5G experimental network based on EN-DC technology in April, and achieved 100Mbps speeds over 5G at a launch event for the device yesterday.

    ZTE said the ZTE Axon 10 Pro 5G includes a number of innovations designed to overcome the technical challenges involved in supporting 5G networks, including liquid cooling technology and composite phase-change thermal materials to allow the CPU to operate at a high frequency for extended periods.

    In addition, the device includes innovations in electromagnetic compatibility, antenna design and power consumption.

    The device is the first commercial smartphone to use the Qualcomm Snapdragon 855 5G chipset with the chipmaker’s Snapdragon X50 5G modem. It sports up to 8GB of RAM and 256GB of ROM, runs on the Android P operating system and includes a large 6.47”, 2340×1080 AMOLED display.

    “ZTE is always active in promoting and accelerating the 5G end-to-end commercialization process. We have submitted over 3,500 5G patent applications, among which including thousands of terminal-related 5G patents,” ZTE Mobile Devices CEO Xu Feng said.

    “ZTE is keeping open in 5G ecosystem development by cooperation with leading carriers worldwide and industry-chain partners to let 5G happen in the near future.”

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  • Axiata Group negotiating mega merger with Telenor

    Axiata Group negotiating mega merger with Telenor

    Malaysia-based Axiata Group has revealed it is in discussion to merge with Telenor’s Asian operations to create a regional powerhouse with total annual revenues of over 50 billion ringgit ($12.05 billion).

    Under the preliminary terms of the proposed merger of equals, Telenor would own a 56.5% stake in the merged company, while Axiata would take a 43.5% stake.

    The combined company would be one of the largest operator groups in Asia-Pacific, with operating subsidiaries in nine countries with a total of 300 million customers and a market reach of over 1 billion people.

    In Axiata’s home market, the merger would involve combining Malaysia’s Celcom Axiata with Telenor’s subsidiary in the nation Digi.Com to create the largest mobile operator in the market.

    Axiata’s subsidiary in Bangladesh Robi Axiata would continue to be managed independently by Axiata.

    The merger is expected to deliver around 20 billion ringgit in synergies through the consolidation of assets as well as the benefits of economies of scale.

    In addition to the retail operations, the merger has the potential to create a top five mobile infrastructure player through the combination of Axiata’s tower company edotco with Telenor’s Asian tower assets.

    In a filing with the Malaysian stock exchange, Axiata Group said discussions are still ongoing and there is no guarantee a deal will eventuate, but that it has opted for early disclosure to provide transparency for shareholders during the negotiations.

    “This proposed mega-merger of equals would create a Global Champion, headquartered right here in Malaysia…Leveraging on the synergies of our combined assets, organizations, talents, best practices, scale and financial firepower, we would create the largest telecom operator in the region,” Axiata president and group CEO Tan Sri Jamaludin Ibrahim said.

    “There is a lot of work ahead of us to conclude this deal, but I am excited as this merger would be unparalleled in the history of telecom in Asia and corporate Malaysia.”

    Subject to due diligence, the two companies aim to have negotiated the terms of a binding agreement by the end of the third quarter.

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  • 32 countries agree on 5G security guidelines

    32 countries agree on 5G security guidelines

    Participants from 32 countries from Europe, North America and Asia-Pacific have agreed on a set of proposals for security guidelines in 5G networks, in a move that could spell further trouble for Huawei.

    As part of a non-binding agreement known as the Prague Proposals released during the Prague 5G Security Conference, representatives agreed on an outline of a potential coordinated approach to securing 5G networks.

    Officials from South Korea, Japan, Australia, New Zealand, the US, Israel, the UK and a number of European markets signed the non-binding agreement.

    The proposals state that security of 5G networks is “crucial for national security, economic security and other national interests and global stability,” and stresses the importance of the development of “adequate national strategies, sound policies, a comprehensive legal framework and dedicated personnel, who are trained and educated appropriately.”

    Notably, one of the policy proposals involves ensuring that the “overall risk of influence on a supplier by a third country [is] taken into account.”

    While no vendors were mentioned, the US, one of the signatories to the proposals, has been pressuring its allies to restrict Chinese vendors including Huawei from participating in national 5G rollouts due to unproven concerns that the Chinese government could use the equipment to facilitate cyberspying. Huawei has vigorously denied the allegations.

    The Prague Proposals also include recommendations such as the development of international, open, consensus-based standards for 5G security, a call for regular vulnerability assessments for all components and network systems, and active collaboration and threat information sharing by the participating countries.

  • Avelacom establishes PoP at Thai stock exchange

    Avelacom establishes PoP at Thai stock exchange

    Avelacom, a high-performance networking and IT infrastructure provider for the financial services industry, is expanding its reach in Asia with a new point of presence at The Stock Exchange of Thailand (SET).

    The new PoP at the SET’s data center facilities will provide lower latency connectivity as well as more direct connectivity options for traders, brokers and market data vendors.

    For example, it will offer a roundtrip latency of 26ms between the SET and the Singapore stock exchange, and 39ms between the SET and the Hong Kong stock exchange.

    Avelacom CEO Aleksey Larichev said the expansion has been motivated by a growing interest in Asian markets from global capital markets players, as well as the prospect of new arbitrage opportunities for equity derivative products between SET and other major exchanges worldwide.

    “Avelacom’s network has always been intended to serve latency sensitive clients by working with international institutions, accessing emerging markets, particularly on Asian trading venues,” he said.

    “A PoP in Thailand further enhances our Asian presence and provides our clients with low-latency access to yet another growth market. We hope this will bring more global clients to SET and positively influence the exchange trading volumes.”

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  • Vietnam, Cuba to strengthen ICT collaboration

    Vietnam, Cuba to strengthen ICT collaboration

    The governments of Vietnam and Cuba have agreed to strengthen cooperation on communications, IT and cybersecurity.

    During a meeting with Cuba’s minister of communications Jorge Luis Perdomo Di-Lella, Vietnam’s minister of information and communications Nguyen Manh Hung pledged its continuing support for Cuba’s goal of developing the nation’s ICT capabilities, the ministry revealed.

    Vietnam’s telecoms ministry plans to share experience in areas including network security, 4G development, and ICT legislative frameworks.

    The Cuban government is planning to soon issue a decree governing security within the ICT industry and is seeking input on its contents.

    During the Cuban delegation’s visit, Vietnam’s prime minister Nguyen Xuan Phuc also tasked the ministry with directing enterprises to study the possibility of boosting ICT trade in Cuba.

    Vietnam and Cuba have been collaborating on telecommunications and IT development for several years. Last year, the two governments signed an agreement to expand this cooperation to cover areas including the sharing of information on policies, legal frameworks, and vocational training.

  • Two thirds of large companies plan to invest in UC

    Two thirds of large companies plan to invest in UC

    When car rental company Hertz needed to take its unified communications (UC) to a new level, it teamed up with IBM and Ribbon Communications to make it happen.

    According to Monica Gionet, director of UC at Hertz, the company has, for the last 3 years, outsourced its IT transformation to IBM, from helpdesk to UC infrastructure.

    Working closely with the IBM and Ribbon teams, Hertz now enjoys simplicity with its UC solution on the cloud serving multiple locations globally, especially in the ease of scaling up and down according to needs and demands, and ease of use for its end-users taking calls and orders for car rentals.

    Many other businesses, large and small, are experiencing – or looking to experience – similar transformations, seeing the need to improve customer and employee experiences, enhancing workflows and productivity, and to enhance security.

    Over the past year, on the Asia Pacific service provider front, Hong Kong Broadband and Optus have launched Communications-Services-as-a-Service (CPaaS)-powered offerings. This represents a growing trend in which large service providers are turning to CPaaS solutions to quickly deliver their enterprise and developer customers carrier-grade, no-code to low-code, real-time communications (RTC) capabilities.

    Ribbon Communications, a global software leader in secure and intelligent cloud communications, recently completed a comprehensive research study it undertook to understand the purchase drivers and buying behaviors of SMEs and enterprises around the world.

    The results were first unveiled by Patrick Joggerst, CMO and EVP Business Development, in his keynote speech at Perspectives19 held in Washington DC this week.

    Ribbon’s global survey reached 4,800 decision makers in 23 countries at businesses ranging in size from 5 to many thousands of employees, asking questions aimed at understanding who these companies are buying services from today, how they use collaboration tools and video conferencing, how they are managing their IT and their adoption of Unified Communications. The companies represented a wide range of industries.

    Respondents were from Australia, Austria, Belgium, Canada, China, France, Germany, Hong Kong, India, Italy, Japan, Malaysia, the Netherlands, New Zealand, Portugal, Singapore, South Africa, Spain, Switzerland, Thailand, the UAE, the UK and the US.

    The survey found that, of the organizations who have not yet invested UC technology, 68% of large (more than 1,000 employees) companies and 46% of small (1-20 employees) planned to adopt some form of UC in the next two years.

    The numbers were even more striking for mid-sized companies, with 67% of those with 21 to 100 employees and 71% of those with 101 to 1000 employees predicting the same timeframe.

    “Clearly, the UC value proposition resonates across cross-market and cross-industry no matter the size of the company,” said Patrick Joggerst, CMO & EVP of Business Development, Ribbon. “Our findings highlight the significant market opportunity to serve these organizations, and results also provided us with some unexpected findings….”

    For instance, UC adoption is more advanced (41%) in large companies than in small ones (10%), contrary to the view that smaller companies are usually the first to leverage new technologies.

    The research also highlights security’s key role in a comprehensive UC solution, with a staggering 56% of respondents admitting they have been victimized by attacks running the gamut from DDoS to robocalls, and 83% of respondents wanting their UC providers to be responsible for providing protection.

    Meanwhile, 28% of respondents have deployed or are already deploying SD-WAN. About three-quarters are familiar with the concept, and 17% are planning to deploy SD-WAN in the near future. Deploying SD-WAN with session border controllers (SBC) makes sense especially for securing and ensuring mission-critical communications.

    Additional findings include:

    • The UC market still offers a number of growth prospects — Ribbon estimates that the available US market comprises 85 million seats.
    • A significant number (39%) of UC adopters purchased their service from “traditional” providers (LECs in the US and national carriers in the rest of the world), with the next 30% of buyers evenly split between competitive carriers and IT services companies. Mobile carriers, on the other hand, only accounted for 4% of purchases.
    • The numbers change significantly for those who have not yet purchased UC services. Their stated preferences run to traditional providers (21%) and mobile carriers (16%), followed by cablecos, competitive carriers, equipment providers and IT services companies each accounting for 11% of stated intention.
    • Of the 83% of respondents who felt that UC providers should be responsible for the security of IP communications, 18% were willing to pay extra for this capability.
  • Airtel granted partial stay on $1.2b spectrum charge demand

    Airtel granted partial stay on $1.2b spectrum charge demand

    India’s Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has granted Bharti Airtel and Tata Teleservices on the 83 billion rupees ($1.19 billion) demand from the Department of Telecom as a condition of approving the merger between the two companies.

    The tribunal has directed Indian authorities to clear the merger subject to a stay on around 70 billion rupees in one-time spectrum charges.

    But Bharti Airtel has been asked to submit 50% of around 12.87 billion rupees in one-time spectrum charges related to a license in Chennai.

    The tribunal case is still ongoing, with the next hearing scheduled for July.

    Bharti Airtel arranged to acquire Tata Teleservices’ consumer mobile business in 20 as part of the wave of consolidation that swept the sector after the entry into the market of Reliance Jio Infocomm with an aggressive price promotion.

    The Department of Telecom approved the merger last month, but only on the condition that Airtel submits a bank guarantee covering the department’s spectrum charge demands. Airtel subsequently appealed the demand for this guarantee with the tribunal.

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  • Vodafone Idea taps Ericsson for cloud packet core

    Vodafone Idea taps Ericsson for cloud packet core

    India’s Vodafone Idea has contracted Ericsson to deploy a cloud packet core to enhance its existing core network.

    The deployment forms part of the operator’s ongoing network modernization program. It is aimed at enabling speedier introduction of new services and providing full-service continuity over the operator’s network.

    Under the agreement, Vodafone Idea will deploy Ericsson core network applications and network functions including the Ericsson virtual Evolved Packet Gateway (vEPG), Service Aware Policy Controller (vSAPC) and Virtualization Infrastructure (NFVi) solutions.

    The NFVi solution is designed to enable operators to deploy virtual telecom, OSS, BSS, IT and media applications at a low total cost of ownership.

    “Data consumption in India is growing rapidly and users are looking for new, richer experiences every day,” Vodafone Idea CTO Vishant Vara said.

    “At Vodafone Idea, we endeavor to stay ahead of the curve by investing in technologies and solutions to address the evolving demands of millions of our customers in India. We are confident that Ericsson’s vEPC solution will enable us to meet our strategic goals.”

    Ericsson head of digital services for SEA, Oceania and India Alvise Carlton added that the project is one of the vendor’s largest virtual evolved packet core deployments globally to date.

    “This will not only provide VIL the scale and reach to address the growing data traffic levels in India, but the advanced cloud infrastructure will also enable VIL to tap new revenue streams in SMEs and IoT.”

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  • Siemens helps Vietnam build smart infrastructure

    Siemens helps Vietnam build smart infrastructure

    The deal, inked by Minister of Industry and Trade Tran Tuan Anh and a representative of Siemens AG, is part of the roadmap towards realizing the joint statement issued by the Ministry of Industry and Trade and the German Ministry of Economic Affairs and Energy last month.

    Smart infrastructure development for Vietnam is made based on the country’s economic, energy, and industrial production situation with a view to making Vietnam an industrialized economy that pursues sustainable development in the near future.

    It looks to ensure sufficient and sustainable energy, train high-quality human resources, and carry out the Green Growth Strategy and infrastructure development plan in the country.

    Before the signing ceremony, Minister Anh had a working session with German Minister of Economic Affairs and Energy Peter Atmaier and leaders of Siemens AG, during which they reviewed cooperation between the two sides under the joint statement, and urged the engagement of the German corporation in smart infrastructure building in Vietnam.

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  • Australia’s ACCC proposes to continue regulating MTAS

    Australia’s ACCC proposes to continue regulating MTAS

    Australian telecommunications regulator ACCC has proposed to continue regulating Australia’s domestic mobile terminating access service (MTAS) for voice services, including setting default mobile termination rates (MTRs).

    But the regulator has proposed to drop the price declaration of the MTAS for SMS services as a result of increased competition from OTT messaging apps such as iMessage and WhatsApp.

    The MTAS is a wholesale service for interconnecting calls and SMS between mobile networks. The ACCC’s regulation of the service includes a price declaration, which is the MTR that operators are required to offer in the absence of a commercial agreement with the terminating network provider.

    In August, the ACCC launched a public inquiry into whether to continue the current regulation of voice and SMS MTAS, which has been regulated since 2014.

    After the inquiry the ACCC has provisionally concluded that while the voice declaration is still required, the SMS declaration is not.

    “Many consumers with smartphones are now using over-the-top messaging services such as iMessage and WhatsApp as alternatives to SMS. Importantly, we have also found that the majority of mobile plans now on offer in the market offer unlimited SMS,” ACCC chair Rod Sims said.

    “Our decision to regulate SMS appears to have had the desired effect. We are therefore proposing to remove regulation of MTAS for SMS services as we do not think continued regulation is necessary to promote competition.”

    But Sims said OTT voice services are not yet substitutes for mobile calls due to quality issues and the lack of access to services such as the 000 emergency hotline.

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  • Airtel, Vodafone may sell stakes in merged tower company

    Airtel, Vodafone may sell stakes in merged tower company

    India’s Bharti Airtel and Vodafone Group are reportedly in talks to sell more than half of their respective stakes in the tower company that will be created through the merger of Bharti Infratel and Indus Towers.

    Bharti Infratel is Bharti Airtel’s tower division, while Indus Towers is an independently managed tower company jointly owned by the Bharti Group and Vodafone Idea.

    The combined entity is expected to have a market valuation of $12 billion to $13 billion and have a portfolio of over 160,000 towers.

    According to a report, which cites unnamed sources, Bharti Airtel and Vodafone Group are aiming to bring their stakes in the combined company down to around 13% each after the merger.

    The operators are looking to sell part of their stakes primarily to existing investor, global investment firm KKR, the sources said.

    KKR could eventually hold between 25% and 32% of the combined company, with minority stakes held by the Canada Pension Plan Investment Board (CPPIB) and some other investors.

    The stake sales could be worth around $3.2 billion for Bharti Airtel and $2.1 billion for Vodafone Group, the report states.

    It also asserts that the Vodafone Group may plan to eventually exit its investment in the company, and that the merger is likely to close in June.

  • Hansen Technologies acquires Sigma Systems for $117m

    Hansen Technologies acquires Sigma Systems for $117m

    Australia’s Hansen Technologies has agreed to acquire catalog-driven software vendor Sigma Systems for C$157 million ($116.8 million).

    Found in 1996, Sigma provides enterprise catalog-driven software products to the communications, media and high-tech sectors.

    The Toronto-based BSS firm has over 70 customers in 40 markets, including  Tier 1 telcos such as Vodafone, Liberty Global, Telstra (Australia), Altice, Cox Communications (USA), Ziggo (Netherlands), Telkomsel (Indonesia), J:Com (Japan), Inmarsat (UK), Telmex (Mexico), Tiscali (Italy), Telus (Canada), Sky (UK), EWE TEL (Germany) and ViaSat (USA).

    It has 480 employees with offices located in Toronto, London and Wales (UK) and Pune, India.

    Andrew Hansen, chief executive officer of Hansen Technologies, said the acquisition is a strategic move to enhance the company’s proposition to the telecoms, pay TV and energy verticals.

    Hansen said the company has driven an exceptional growth strategy through acquisitions over the past 10 years, achieving a compound annual growth rate of 28% over the last four years.

    “Bringing Sigma Systems onboard further strengthens our ability to provide valuable solutions to our customer base and creates new expansion opportunities to cross-sell Sigma’s software solutions into our broad base of energy customers,” he said.

    In 2018, Sigma reported revenue of C$73.1 million and an EBITDA of C$18.8 million.

    Through the acquisition of Sigma, Hansen Technologies expects to “significantly” expand its scale and scope in the telecoms sector.

    “Sigma’s proprietary products sit within or adjacent to the company’s core business of billing and customer management, and are well designed to capture growth opportunities from the rollout of new telecommunications services such as 5G,” the company said.

    The acquisition is set to close on May 31. Hansen Technologies said the acquisition will increase its pro-forma basis share of revenue from the telecoms sector to 38% from a reported 17% in 2018.

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  • KT taps Samsung to expand PS-LTE coverage in South Korea

    KT taps Samsung to expand PS-LTE coverage in South Korea

    Samsung has signed an agreement with KT to help expand the telco’s public safety LTE (PS-LTE) network in South Korea, the vendor announced.

    The expansion deal will see Samsung provide KT with LTE network solutions based on 3GPP Release 13 in 10 major metropolitan regions in South Korea including Seoul by 2020.

    The expanded deal will also see the pair deliver what they say is the world’s first narrowband Internet of Things (NB-IoT) service over the PS-LTE network to help prevent and respond to natural disasters such as fires and people stranded in remote, mountainous areas.

    In addition to LTE radio base stations that support 700-MHz, Samsung is providing KT with a virtualized core and features such as MCPTT solutions, RAN sharing, evolved Multimedia Broadcast Multicast Service (eMBMS), Isolated eUTRAN Operation for Public Safety (IOPS), and device to device (D2D) network solutions.

    For instance, D2D allows direct and undisrupted communications between any two devices without traversing radio base stations or core networks, even in areas where bases stations are not provided.

    Samsung said D2D and NB-IoT technologies will play crucial roles in public safety network by ensuring stable, seamless, and reliable network in unfavorable environments.

    “By acquiring innovative wireless communications from Samsung, we are able to aid in life-threatening situations where data traffic is severely congested or connection is completely out of reach,” said Yoon-Young Park, senior executive vice president and head of enterprise business group at KT. “These first-of their-kind networks help responders connect with those in need.”

    KT and Samsung have been collaborated since 2016. The pair deployed the first PS-LTE network in 2016 throughout Gangwon (Pyeongchang) province of South Korea.

    In 2017, the companies delivered LTE-railway service on a high-speed train traveling at up to 250 km/hour (155 mph) using MCPTT solutions.

    The two companies are now aiming to expand the PS-LTE network further into the metropolitan areas around the country, including Seoul, Gyeonggi, Gangwon, Jeolla, Gyeongbuk and Chungnam provinces.

    South Korea’s three major carriers-KT, SK Telecom and LG Uplus- launched full-fledged commercial 5G services in early April and racked up over 260,000 5G subscribers that month.