Asian Telecom 2023

Page 1

OUTSTANDING TELCO COMPANIES HONOURED AT THE ASIAN TELECOM AWARDS 2023

HOW LINK NET NAVIGATES SPEED AND CONTENT

ACCOUNTING COMPLEXITIES SEEN IN TELCO REORGANISATIONS

5G ROLLOUT IN APAC UNHINDERED BY LICENCE VALIDITY

APAC TELCOS MERGE TO CHALLENGE MARKET LEADERS

Issue No. 102 Asian Telecom
Display to 30 June 2024
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With the recent upswing in internet penetration in Indonesia, PT Link Net Tbk’s CTO, Edward Sanusi, shares the integrated strategy for enhancing customer satisfaction, focusing on speed, stability, and content variety. Find the exclusive interview on page 14.

More on the Asian market, Moody’s Investors Service has warned the major telecommunication firms about the potential financial and accounting complexities that may arise amidst the ongoing organisational restructuring. Gain a deep insight of the experts on these impacts on page 10.

Continuing with theme of change, we examine how inconsistent licensing terms in the Asia-Pacific region are not hampering the ambitious 5G rollout plans in countries such as Australia and Japan. Discover more on this on page 12.

We also celebrate industry excellence by featuring the top telecom companies that have demonstrated resilience and innovation in our Asian Telecom Awards 2023, with details starting on page 16.

Read on and enjoy!

Asian Telecom is a proud media partner and host of the following events and expos:

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2 ASIAN TELECOM 2 RETAIL SINGAPOREASIABUSINESS REVIEW | MARCH 2018 CONTENTS For the latest business news visit the website www.asiantelecom.com FIRST INTERVIEW EVENT COVERAGE COMMENTARY 14 INTERVIEW HOW LINK NET NAVIGATES SPEED AND CONTENT REPORT 5G ROLLOUT IN APAC UNHINDERED BY LICENCE VALIDITY 12 06 Connectivity not enough to boost telco revenue 07 What drives data centre growth? 14 How Link Net navigates speed and content 16 Outstanding telco companies honoured at the Asian Telecom Awards 2023 32 Post-pandemic era and changing consumer behaviour push telcos to elevate retail digital landscape REPORT 08 SEA rises as data centre powerhouse amidst 5G shift 09 APAC telcos merge to challenge market leaders: S&P 10 Accounting complexities seen in telco reorganisations in Southeast Asia: Moody’s 12 5G rollout in APAC unhindered by licence validity 13 Operators navigate telco reconfiguration tide 10 REPORT ACCOUNTING COMPLEXITIES SEEN IN TELCO REORGANISATIONS IN OUTHEAST ASIA: MOODY’S Published by Charlton Media Group Singapore: 101 Cecil St. #17-09 Tong Eng Building Singapore 069533 Hong Kong: Room 1006, 10th Floor 299 QRC, 287-299 Queen's Road Central, Sheung Wan, Hong Kong +852 3972 7166
ASIAN TELECOM 3

Daily news from Asian Telecom

MOST READ

Globe Telecom is transforming itself to a full-fledged tech enterprise, a development anchored on the company’s desire to help Filipinos build a digital nation. According to the company’s President and CEO Ernest Cu, this move means a complete transformation for Globe, given that telco industry is maturing.

Three key levers for improving telco B2C margins

Telecom operators have created enormous value with new applications and services, but have underperformed shareholders’ expectations. Some operators are separating their network operations (NetCo) from customer-facing operations (ServCo) to expose the value of their network assets.

Three ways telco operators could monetise 5G

Telcos may not be getting their return on investment from 4G because the technology limits the providers in offering plans specifically aligned to their customer’s demands. But with 5G, they can differentiate offerings through various ways backed by network slicing, or the ability to charge customers more.

How

Monetising international applicationto-person (A2P) short message service contributes to the earning streams of mobile network operators, but threats like fraud and spam messages should be blocked to avoid revenue leakages.

Razan Itani, product manager of Monty Mobile, said it is crucial to bring a firewall to secure from such threats.

How this telco company helps Indonesia to centralise healthcare data

Indonesia’s plan to achieve herd immunity by the end of 2021 seemed impossible when it was first announced given that it will take one million injections a day to attain its target. But with the help of Telkom Indonesia’s Satu Data Vaksinasi COVID-19 (SDVC), the country was able to achieve its goal.

Telkom transcends internet service providing

When the number of internet users in Indonesia grew to 210 million in June 2022, the competition was taken to a higher level. Internet providers had to step up and offer something new. For Telkom Indonesia’s IndiHome, they collaborated with over-the-top (OTT) platforms to build a complete digital content ecosystem.

News from asiantelecom.com
Globe Telecom transforms into a fullfledged tech enterprise Monty Mobile prevent revenue leakages caused by cyber threats
TECH ENTERPRISE CYBER THREAT PREVENTION B2C VALUATIONS HEALTHCARE DATA 5G MONETISATION INTERNET

SG LEADS APAC IN 5G COMMERCIALISATION

Singapore has pulled ahead of its APAC peers in 5G commercialisation whilst South Korea led globally in terms of penetration, according to Kearney’s latest 5G Readiness Index report.

The Lion City scored 7.6 in the 5G readiness index, the highest in the region surpassing Japan which scored 7.1, and trailing behind the United States, which ranked first globally at 8.4.

“Operators in 25 markets now offer 5G private networks or multiaccess edge computing… but only two markets, US and Singapore, are truly innovating and engaging with stakeholders via 5G-focused APIs and active ecosystem development,” as stated in Kearney’s report.

Providers in the two countries such as Singtel’s Paragon in Singapore and US-based T-Mobile US DevEdge are leading in monetisation as they team up with companies and programmers on new services.

“This B2B2x (B2B to any enduser) is one of the main roads to monetisation,” it said.

Penetration rate

Regarding penetration rate, or the share of 5G users to total subscribers, South Korea recorded the highest adoption at 36.4%, leading not only in the region but amongst all the 33 nations studied worldwide. It was then followed by Finland and Australia with 22% penetration each whilst Japan and China each have 20% penetration.

Thailand saw the highest jump in take-up among the APAC countries with more than 8% improvement in the fourth quarter of 2022 from the first quarter of the same year, compared to the typical 2% to 6% increase in most countries.

“Rather than maintain the status quo and operate the way they always have, telcos can be bold, find the opportunities inherent in 5G, and lead from the front,” Kearney said.

Connectivity not enough to boost telco revenue

Telecom operators’ consumer divisions need to take a page out of their business divisions’ books to stabilise and grow their revenue. According to a recent report by Analysys Mason, telecom operators’ short-term strategy of upgrading customers to unlimited mobile data plans or faster-fixed speeds has limited potential as many operators already have 80% of their mobile customers on unlimited plans and a third of their fixed customers on 1Gbit/s speeds.

To increase revenue further, operators will need to offer more than just connectivity in their plans. Telecom operators’ business divisions have been successful in stabilising revenue for years, and consumer divisions can learn from their strategies.

Business spending with telecom operators has held up better than consumer spending, which has been in decline for much of the past 10 years. For instance, spending in Western Europe declined by $21.82b (EUR20b) between 2012 and 2022.

“Business divisions have become aggregators of IT services from

multiple providers. Consumer divisions will need to implement a similar strategy if they are to grow their revenue,” according to the report authored by Tom Rebbeck.

Broadening services

Operators should offer a wide range of hardware and services for consumers, including Wi-Fi mesh hardware, endpoint security, cloud storage, pay TV and streaming services, games, and other products. The products and services offered do not have to be developed or created by the operator.

Business divisions have a low threshold for success and do not try to sell all of their products to all of their customers. These products are low-risk because the operator has not invested in their development.

In addition, operators that broaden their portfolio of services need to be willing to experiment and be flexible. They will need to add and remove products and test different pricing strategies, amongst others.

The report added that operators should be also more concerned about the total value of the account rather than the margin per product. Offering a wider range of services provides more scope for differentiation.

Consumer divisions can also make use of the investments made by the business division. The same basic products for mobile endpoint security can be sold to a multinational as to an individual on a prepaid contract.

But, the business division must strategise for a different approach. Business products being sold for an extra fee whilst bundled with additional services into premium plans, for instance, maybe a better approach for the consumer market.

Operators’ traditional approach was to differentiate their consumer connectivity product with a relatively small number of additional features.

This report suggests that operators need to consider a more complex product portfolio if they want to increase revenue and stabilise their business. Consumer divisions should take a cue from their business counterparts and offer a wide range of services to their customers. Doing this will help to increase the total value of each account.

6 ASIAN TELECOM FIRST
Operators should offer a range of hardware and services (Photo by David Arrowsmith on Unsplash)
TELECOM NETWORK
Business divisions have become aggregators of IT services from multiple providers
Tom Rebbeck (Photo by rawpixel from freepik)

What drives data centre growth?

As demand for data centres surges, investors could support the growth of the sector by exploring investment opportunities in sustainable energy, cooling and energy consumption, data centre operations, and power and connectivity services.

According to McKinsey’s analysis, demand for data centres in the

This has led to increased investor interest in the sector, with over $48b worth of deals in 2021 and 87 deals worth $24b in the first half of 2022. Data centres are typically owned and operated by large companies or co-location companies, with the latter leasing out space and providing network capacity, power, and cooling equipment. Investors are attracted

limitations to this trend, such as higher interest rates, competition for potential acquisition targets, and pressure on operating margins from cloud vendors.

Despite these limitations, data centres still present opportunities for investors in sustainable energy. Investors can help the data centres secure carbon-free energy supplies by signing power purchase agreements with suppliers of renewable energy or by investing in renewable-energy plants.

Efficient cooling is also crucial for a data centre’s profitability, as it accounts for 40% of its energy consumption. Companies are developing technologies such as immersion cooling and artificial intelligence and machine learning to address these challenges, and investors can explore investment opportunities in this area.

Investors can also consider investing in data centre operations,

FIRST
In the US, data centres are expected to reach
GW
GW in 2022
INDUSTRIAL
35
by 2030 from 17
(Photo by Lars Kienle from Unsplash)
Transform the way you live, work and play with Singtel 5G; awarded Technology Innovation of the Year at the 2022 Asian Telecom Awards and many other accolades, while being recognised as Singapore’s Fastest 5G Network by Ookla® Based on analysis by Ookla® of Speedtest Intelligence® data Q3–Q4 2021. Ookla trademarks used under license and reprinted with permission. Q3–Q4 Power up with Singapore's most-awarded 5G.
Investors are attracted to the steady, utility-like cash flows and riskadjusted yields of data centres

SEA rises as data centre powerhouse amidst 5G shift

Singapore, Indonesia, and Malaysia are the leading DC markets in the region.

Buoyed by favourable governmental policies and cost-effective construction opportunities, Southeast Asian nations—Malaysia, Indonesia, and Singapore—are emerging as the most sought-after destinations for data centre (DC) establishments amidst a rapid global shift to 5G connectivity.

According to a report by RHB, the typical cost to build a DC is between $7m and $12m for every megawatt (MW). Within this region, Malaysia offers a more affordable rate of $0.92 per watt, primarily due to reduced costs for land, construction, and energy, according to the DC construction cost index by Turners and Townsend for 2022.

For comparison, the cost index also indicates that Singapore charges $1.15 per watt, whilst Jakarta’s rate stands at $0.95 per watt.

Industrial power tariffs in Malaysia and Indonesia are also low at $0.10 per kilowatt-hour (kWh) and $0.08 per kWh, respectively, whilst Singapore is at $0.27 per kWh.

“ASEAN has become a major hotspot

Rising competition from emerging ASEAN DC hubs presents a medium to longer-term threat

for DCs, thanks to accelerated digitalisation, accommodative policies, and the lower cost of land and energy, with content and overthe-top (OTT) providers focusing on the region’s population demographics and clamorous appetite for social media,” the report read.

“Consequently, hyper scalers are compelled to move closer to endusers (edge computing) to reduce latency with the setting up of new cloud regions,” it added.

Singapore as epicentre Singapore remains the leading market for data centres in the region with 23 unique third-party DC providers and around 40 co-location DC units with a total capacity of over 600 MW. It also accounts for 60% of the DCs in the Asia Pacific.

Some of the major co-location players in the country are Equinix, ST Telemedia Global Data Centres, and Keppel Data Centres. The country has become attractive to data centres because of its leading infrastructure with sufficient power

and water supply, and for being a “focal point” for undersea cables with over 16 sub-sea cables connected to every continent. Its stable political environment also contributed to this.

RHB also noted that in 2022, Singapore has already lifted a threeyear moratorium on the construction of the new DCs, with the Infocomm Media Development Authority and the Economic Development Board, launching a call for applications for new DC capacity in July 2022.

“Key risks for the Singapore DC industry include escalating energy costs and land limitations, which indirectly cap new developments. The DC-CFA also places more stringent conditions on new DCs with a cap on the capacity to factor in sustainability concerns, given that DCs are key consumers of power on the island state,” it said.

“Rising competition from emerging ASEAN DC hubs such as Malaysia, Indonesia, and Thailand presents a medium to longer-term threat with these countries’ greater land resources and improving policies to attract hyper scalers,” RHB added.

Emerging Malaysia hub

Meanwhile, Malaysia has also become an attractive location for investments in DC due to its abundant land and power resources, coupled with good international connectivity and supportive government policies, according to RHB.

The Malaysia Digital Economy Blueprint (MyDigital), which was launched in February 2021 detailed the plans to enable the country to be technologically advanced and digitally driven.

The hotspots in the country are located in Cyberjaya township in Selangor, housing almost half of all DCs and over 70% of the combined DC land area in the country.

Johor is also turning into the next hotspot, catering to 24% of the DCs in the country.

However, connectivity and policy issues remained to be barriers to propelling Malaysia as a DC market. The country falls behind Singapore (39) and Indonesia (59) in terms of connectivity as it only has 25 international submarine cables, RHB said, citing data from Telegeography.

To read the full story, go to https:// asiantelecom.com/

8 ASIAN TELECOM REPORT: DATA CENTRE
SOUTHEAST ASIA
Figure 1: Cost components of a DC
Land
Electrical
HVAC/Mechanical
Source: Digital Infrastructure
& Shell
Systems
Building Fit- Out

APAC telcos merge to challenge market leaders: S&P

As Asia-Pacific telecoms unite, reduced redundancies promise efficiency but could challenge consumer choice.

In an ideal scenario, telecommunication companies’ mergers would result in cost savings from reduced overlapping services, potentially leading to lowered costs for consumers. However, there is a caveat. If too few companies dominate the market, it reduces competition. This lack of competition can lead to price hikes, fewer choices for consumers, and potentially slower innovation, as dominant players have less incentive to improve.

With this, more telecommunication companies are consolidating in Asia to better compete with the dominant players and survive economic headwinds. The rampant consolidation in the Asia-Pacific mobile markets is a testament to the ever-changing landscape of telecommunications in the region. As digital transformation picks up pace, the need for enhanced infrastructure and capital

A duopoly is undesirable in the context of market competition since it creates monopolistic characteristics

investment becomes paramount. By consolidating, these telcos are not just optimising their capital allocation, but also preparing to meet the increasing demands of the 5G era.

S&P is seeing opportunities for further market consolidation in the still fragmented markets of Indonesia and Malaysia, whilst a recently approved megamerger in Thailand has reduced the market into a duopoly.

“Hefty capital investments in 5G, fibre, and digital transformation, coupled with a higher cost of capital due to rising interest rates have put operators in Asia-Pacific in a tight spot at a time when they should be focusing on monetising 5G,” the report said. “To better compete with market leaders, some relatively smaller operators have agreed to merge to save costs and redirect capital toward debt reduction and new investments.”

In markets like Indonesia and Malaysia, mergers create a dynamic

shift. Whilst the newly formed entities, such as IOH and Celcomdigi Bhd., might have a competitive edge in terms of resources, they also carry the challenge of managing vast operations and ensuring seamless service delivery. The mergers could usher in a phase of rapid technological advancements in these regions, as combined R&D capabilities and capital could facilitate faster deployment of innovative solutions.

Highly concentrated markets, however, may result in companies gaining strong pricing power to the detriment of consumers, S&P added.

Market consolidation’s impact

Whilst these mergers promise operational efficiency and technological advancements, they also bring forward concerns regarding market monopolies and potential exploitation of the consumers. With fewer players in the game, the power dynamics could shift drastically.

The regulators and authorities must find a delicate balance to ensure that whilst companies benefit from mergers, the consumers are not left at a disadvantage. In the coming years, it will be crucial for regulatory bodies across these nations to strike a balance. Whilst they must encourage mergers and acquisitions (M&A) for the betterment of services and infrastructural development, it is equally essential to ensure that the benefits trickle down to the end consumers and not just the corporations.

Details of significant mergers in Indonesia, Malaysia, Thailand, and Taiwan highlight the complex interplay between market competition, corporate strategy, and consumer interests.

“A duopoly is undesirable in the context of market competition since it creates monopolistic characteristics and concentrates market power — think pricing and limited consumer choice in particular — or market collusion,” S&P said, noting that the merger raises the chances of price hikes for mobile services in the country.

In Taiwan, there are two pending merger deals that might see its existing five operators get consolidated into three major players, depending on which proposal will get the final nod from regulators.

ASIAN TELECOM 9 REPORT: MERGERS
Indosat Ooredoo and Hutchison 3 Indonesia merger forms Indonesia’s 2nd largest operator Source: Industry data; Kagan estimates. Kagan, a media research group within the TMT offering of S&P Global Market Intelligence. APAC

Accounting complexities seen in telco reorganisations in Southeast Asia: Moody’s

Amidst low penetration, fixed broadband presents growth opportunities.

Telecommunication giants

in Asia are betting big on organisational restructuring to transform their fortunes. Whilst Moody’s Investors Service predicts a promising future of operational efficiencies and heightened valuations, they also issue a stark warning: the potential for a web of accounting complexities that could derail these high-stake ventures.

The wave of telco reorganisations can boost valuations, generate a better return on capital, improve infrastructure efficiency, and enhance customer experience in the long run.

“Whilst such deals can bring operational benefits and enhance the longer-term value of assets, they also introduce financial and accounting complexities,” Moody’s said.

Aimed at capturing the high growth potential in fixed broadband, it said the respective reorganisations at Telekom Malaysia Berhad and

Telcos across South and Southeast Asia are expanding their fixed mobile convergence strategy and digital assets

Telekom Indonesia will improve operational efficiencies overall but they also add another layer in their group structures, which may increase reporting and financial complexities moving forward.

These strategies, nonetheless, remain aligned with their fixed mobile convergence initiatives and should streamline processes, eventually leading to cost reduction.

Restructuring plans

In the Lion City, the latest reorganisation move by Singapore Telecommunications Ltd of setting up a standalone digital infrastructure called Digital InfraCo in April could enhance valuations and create more monetising opportunities through public listing or having strategic partners, since the unit has been separated from the services business.

“Accounting complexities could potentially arise through intragroup

Such deals can also introduce financial and accounting complexities

transactions between the Digital InfraCo and Singtel’s operating subsidiaries,” Moody’s noted.

Malaysian telco conglomerate Axiata Group, on the other hand, considers trimming its stake in its regional tower subsidiary edotco Group to less than 50% from 63%. Depending on the use of proceeds, the rating agency expects the move to bring down Axiata’s consolidated leverage as edotco was its subsidiary with highest gearing.

In the Philippines, telco giant PLDT is one of the few firms to let go of passive tower assets despite the string of portfolio sales it has entered into since April of last year.

PLDT still owns 37% of its tower portfolios, presenting monetisation opportunities that could generate an estimated US$1.06b (PHP58b). Although, PLDT may still classify some of the remaining towers as strategic and not available for sale.

10 ASIAN TELECOM
REPORT:
ACCOUNTING
Source: Company financials and company information
SOUTHEAST ASIA

REPORT: 5G ADOPTION

5G rollout in APAC unhindered by licence validity

Firms face varied 5G licence terms, but affordability keeps their motivation high.

The inconsistency in private network licence durations in the Asia Pacific raises questions despite the region’s appetite for embracing new mobile technologies. Yet, a report suggests that the lure of 5G remains strong, driven primarily by the affordability of these licences.

According to US tech firm, Verizon Business, the APAC region is one of the most active for private 5G because of its proactive initiatives by several governments. However, each country has its unique licensing validity for private 5G networks.

For instance, in India, licences are valid until 10 years. In Australia, the licences are valid for half a decade.

Cost considerations

Despite the variations of licencing validity, the report showed that a short span of validity will likely not deter companies from “building proofs of concept or rolling out the technology” because of the affordability of licences.

In Australia, businesses are interested in establishing their own private 5G networks. However, there are limitations because of the availability of the airwaves (spectrum) that these networks need.

A good development is that the

Australian Communications and Media Authority (ACMA) is working to ease the spectrum access they need for businesses. They are also discussing with network operators and organisations to help with this.

All over Australia, certain radio waves known as millimetre-wave (mmWave) spectrum in the n258 band are now accessible for businesses to use in creating their private 5G networks. The ACMA is also planning to release more spectrum in the mid-band range (3.4–4.0 GHz), which will support various applications of the technology and increase device compatibility.

The process of releasing this midband spectrum is expected to start in rural parts of Australia in the second quarter of 2023, and it should reach cities and towns in the first quarter of 2024. Until then, private businesses can get temporary permission for testing and experimentation.

There are also two types of temporary authorisation types including a scientific licence, which is over one-year validity, and a trial certificate which has sixmonth validity. A scientific licence allows the licencee to research, teach, demonstrate, or trial a new technology or product. Meanwhile,

a trial certificate allows testing of new networks or services for feasibility feasible— effectively a temporary carrier licence.

Another 5G adoption example is Japan’s Fujitsu. The company declared that it had received approval to operate Japan’s first private 5G radio licence from the Kanto Bureau of Telecommunications. This leveraged Japan to become one of the first countries to make spectrum specifically available for private 5G.

In Japan, a formal regulatory framework for private 5G is needed more than in other countries. For example, firms need a radio licence even to conduct a pilot to reduce the risk of network interference.

Another fast adopter of 5G tech is The Lion City. Singapore has covered two-thirds of its territory with 5G connectivity. It aims to reach full 5G coverage by 2025.

Despite this progress, no spectrum has been allocated for enterprises to build private networks. Another way to do this is to build a pseudo-private network, using spectrum leased from one of the local MNOs.

Unlike Japan, economies such as Singapore and India have taken an operator-led approach to putting up private 5G networks. Instead of dedicating spectrum to private networks, they expect firms to work with MNOs.

South Korea initially enforced an operator-led approach but it is looking at setting aside the spectrum. The South Korean government declared that it will speed up the country’s private 5G ecosystem, it will allow non-telecom operators to build and operate 5G networks using 4.7 GHz and 28 GHz spectrum.

Government role

The government can also do more to support 5G coverage such as offering grants, running communication programmes to inform businesses about the technology, or setting up bodies dedicated to driving innovation.

An example of this is the Digital Catapult, a UK organisation that launches many programmes, and the Japanese government’s incentives and tax breaks for companies that would begin 5G projects.

To read the full story, go to https:// asiantelecom.com/

12 ASIAN TELECOM
Companies will not deter from “building proofs of concept or rolling out the technology”
Figure 1: Mobile subscriptions by technology (billion) Source: https://telecoms.com/522302/1-5-billion-5g-subscriptions-predicted-by-the-end-of-the-year/
APAC

REPORT: RECONFIGURATION

changing market dynamics, presents both challenges and opportunities for industry players, as they strive to remain competitive and relevant.

Central to this reconfiguration is the value of future Infrastructure Companies’ (InfraCos), which hinges on optimising network economics and wholesale business, emphasising FTTP network share and utilisation.

Anticipated issues

Operators navigate telco reconfiguration tide

The rise of FTTP access networks pushes a majority of operators toward a single converged network strategy.

Often overlooked by many, passive asset configuration now emerges as a pivotal component in the telecommunications industry. According to a report by the consulting firm Arthur D. Little, pressures from rising interest rates, the quickening pace

of fibre-to-the-premises (FTTP) deployment, and an increasing need for differentiation are urging integrated telcos to recalibrate their asset structures. This imperative for reconfiguration, stemming from a desire to optimise network economics and adapt to

Amidst expected consolidation, value creation depends on local market structures. Operator decisions during reconfiguration involve six key trade-offs: deciding between open or closed InfraCo networks (FTTP and legacy); opting for separate InfraCo and ComCo entities or a unified approach; choosing FiberCo over NetCo; tailoring wholesale portfolios to specific tenants or a broader audience; aligning or adjusting the InfraCo-ComCo demarcation based on product portfolios; and either embracing FTTP or taking a defensive stance.

To read the full story, go to https:// asiantelecom.com/

APAC
Figure 2. Variety of demarcation lines specific to the local market contexts Source:
Source: Arthur D. Little

How Link Net navigates speed and content

First Media adapts, offering diverse content amidst 62% of users demanding for speed.

With a robust 78.19% of Indonesia now online, Industry leaders such as PT Link Net Tbk are recognising that meeting faster and more reliable connections requires a multi-faceted approach: speed and bandwidth are essential, but they are just part of a larger equation that includes a richer, more diverse range of content.

PT Link Net Tbk, through its flagship First Media, is taking a nuanced approach. Recent APJII surveys indicate that 62.22% of internet users are clamoring for speed and reliability, and First Media is answering that call by offering a blend of speed, stability, and seamless accessibility.

Yet, the strategy is more complex than it appears. Edward Sanusi, Link Net’s Chief Technology Officer, adds another layer to this pursuit of customer satisfaction. “Our goal isn’t just to meet the obvious technical expectations like speed and bandwidth. We’re looking beyond that,” he explains. According to Sanusi, the truly enhanced customer experience is a product of balancing these technical factors with a rich and diverse range of content offerings.

Content innovation

Whilst First Media aims to increase the number of cable TV channels, they also prioritise the quality of the content.

“We understand that our customers want wider and more diverse access to entertainment, which is why we have integrated streaming services through collaboration with various OTT (Over-TheTop) partners,” told Sanusi.

At present, several OTT services have collaborated with First Media such as CATCHPLAY+, Viu, MOLA, CinemaWorld On Demand, and Lionsgate Play. Since each subscriber has distinct preferences, the service offers flexible packages with a a wide selection of content.

Amongst the favourite options are the Stream package, which caters the users who are keen on streaming, and the Premium Channels that features an array of genres such as sports, news, movies, and spiritual content.

First Media’s proactive stride includes a partnership with a Content Delivery Network (CDN) provider to bolster streaming experience. “We understand that content streaming from big platforms such as YouTube (Google) and Netflix has significant traffic in Indonesia. To increase the accessibility and speed of this streaming experience, we have placed a CDN node within our own data centre,” Sanusi explained.

The partnership of First Media with CDN ensures swift access to Indonesia’s streaming giants. Further, localised CDN nodes could translate to buffer-free, uninterrupted, and streaming delight of the internet users. In addition to content enhancement and expansion, First Media also embarks on technological innovation. Sanusi noted their pioneering introduction of HD TV channels in Indonesia elevated their viewers’ experiences with unp aralleled clarity.

We don’t only focus on purely technical aspects but also embrace a broader dimension of content

They were also the first to offer a Google-certified Android set-top-box (STB) in the country, and took a global lead by adopting the Widevine CAS, to ensure content security on the 4K Android set-top-box, STB Smart Box X1 Prime. Sanusi further elaborated their product innovation with the repackaging of First Media’s service package for all Indonesian Internet users. This revamp entailed a 5x faster Extreme Speed Upgrade, reaching up to 500 Mbps across the fixed broadband network.

A range of customer-tailored packages were also launched into their offerings offerings, that are categorised into three primary packages, namely, the Stream package, with 30 Mbps speed and streaming sites such as HBO GO, Viu, and CinemaWorld On Demand; the Joy package, which begins at 50 Mbps and diverse cable TV channels; and the Star package, with 250 Mbps speed and extensive selection of cable TV channels.

These Star packages include the Smart Box X1 and enhanced Dual Band Routers, equipped with MU-MIMO technology, that enhances capacity and efficiency for a better internet experience.

Reliability of First Media’s internet speed is anchored on its dynamic preventive maintenance. “We prioritise prevention over reactive solutions,” Sanusi said, adding that they focus on anticipating downtime risks, like those caused by infrastructure projects.

14 ASIAN TELECOM INTERVIEW
INDONESIA SCAN FOR FULL STORY
Link Net’s Chief Technology Officer (CTO) Edward Sanusi

Outstanding telco companies honoured at the Asian Telecom Awards 2023

The telecommunications industry in Asia is facing many challenges amidst the digital age, but it also comes with great opportunities for growth and transformation in the industry. Organisations continue to innovate new features and services to stay on top of the competitive environment.

In recognition of the extraordinary organisations in the Asia Pacific region that showed resilience and exemplary performances over the past year, the Asian Telecom Awards honoured companies that provided outstanding products and services to their clients whilst navigating the various challenges in the market.

Asian Telecom Awards, now in its second year, held its first-ever awards dinner on April 6 at the Conrad Centennial Singapore. The event was

AsianTelecomAwards congratulates the following winners:

5BB Broadband Global Technology Company Limited

• Broadband Telecom Company of the Year - Myanmar

AIS Fibre

• Broadband Telecom Company of the Year - Thailand

Airtel - Robi Axiata Ltd

• Mobile App of the Year - Bangladesh

• Digital Initiative of the Year - Bangladesh

ATOM MYANMAR LIMITED

• Telecom Company of the Year - Myanmar

• Mobile Operator of the Year - Myanmar

CamGSM Co. Ltd (Cellcard)

• Mobile Operator of the Year - Cambodia

• Digital Initiative of the Year - Cambodia

Circles.Life, Australia

• Marketing & Brand Initiative of the Year - Australia

Circles.Life, Singapore

• Travel Product of the Year - Singapore

CMC TELECOMMUNICATION INFRASTRUCTURE CORPORATION (CMC Telecom)

• Infrastructure Initiative of the Year - Vietnam

• Cloud Initiative of the Year - Vietnam

Colt Technology Services

• Telecom Solutions Provider of the Year - Japan

• Cloud Initiative of the Year - Japan

CONVERGE ICT SOLUTIONS INC.

• Broadband Telecom Company of the Year - Philippines

DZS

• Infrastructure Initiative of the Year - Philippines

Eastern Communications

• B2B Client Initiative of the Year - Philippines

Epsilon Telecommunications

• Cloud Initiative of the Year - Singapore

EZECOM Co., Ltd.

• Cloud Initiative of the Year - Cambodia

attended by nearly 150 top-level executives, industry leaders, and experts from all over the Asia Pacific region to recognise their achievements as prominent firms in the telco sector.

This year’s entries were judged by an elite panel of experts in the field consisting of Darren Yong, Head of Technology, Media and Telecommunications and Head of Clients and Markets Development at KPMG Asia Pacific; Michinori Sato, Asia Pacific Telecom, Media, and Entertainment Sector Leader at Deloitte; Joongshik Wang, EY-Parthenon Asean Leader and EY Asean Technology, Media & Entertainment and Telecommunications Leader; and Wilson Chow, Global Technology, Media and Telecommunications Industry Leader at PwC China.

Telcotech Co., Ltd

• Submarine Telecom Company of the Year - Cambodia

Fiber Infrastructure and Network Services Inc.

• Technical Training Initiative of the Year - Philippines

Green Packet Global Pte Ltd

• Wholesale Company Initiative of the Year - Singapore

HKT Limited

• Broadband Telecom Company of the Year - Hong Kong

• Infrastructure Initiative of the Year - Hong Kong

Indosat Ooredoo Hutchison

• HR Initiative of the Year - Indonesia

IX Telecom Sdn Bhd

• Telecom Solutions Provider of the Year - Malaysia

Kacific Broadband Satellites Ltd

• ESG Initiative of the Year - Singapore

Lao Telecommunication Public Company

• Mobile Operator of the Year - Laos

Millennial Zeal Technology Corporation (OPPO Philippines)

• Mobile Phone Company of the Year - Philippines

Mobile-Technologies

• Digital Initiative of the Year - Thailand

Ooredoo Kuwait

• Mobile App of the Year - Kuwait

• Website of the Year - Kuwait

Optus SubHub

• Digital Initiative of the Year - Australia

Plintron

• Cloud Initiative of the Year - India

• IoT Initiative of the Year - India

PROGRESIF

• Mobile Operator of the Year - Brunei Darussalam

• Marketing & Brand Initiative of the Year - Brunei Darussalam

PT Telkom Indonesia Tbk

• Digital Initiative of the Year - Indonesia

PT. Eka Mas Republik

• Infrastructure Initiative of the Year - Indonesia

• Cloud Initiative of the Year - Indonesia

EVENT: ASIAN TELECOM AWARDS 2023 16 ASIAN TELECOM

RevComm Inc.

• B2B Client Initiative of the Year - Japan

Robi Axiata Limited

• Marketing & Brand Initiative of the Year - Bangladesh

Singtel

• B2B Client Initiative of the Year - Singapore

• Cybersecurity Initiative of the Year - Singapore

• Digital Initiative of the Year - Singapore

Somchai Lertsuthiwong, Advanced Info Services Plc.

• CEO of the Year

Telekom Malaysia Berhad

• Telecom Company of the Year - Malaysia

• Wholesale Company Initiative of the Year - Malaysia

Unified National Networks Sdn Bhd

• Telecom Company of the Year - Brunei Darussalam

ViewQwest Pte Ltd

• Broadband Telecom Company of the Year - Singapore

Vodafone Idea Ltd

• A2P SMS Monetization of the Year - India

• Technology Innovation of the Year - India

• Digital Initiative of the Year - India

XL Home (PT. XL Axiata, Tbk)

• Broadband Telecom Company of the Year - Indonesia

• Marketing & Brand Initiative of the Year - Indonesia

ZTE Philippines Inc.

• HR Initiative of the Year - Philippines

• Technology Innovation of the Year - Philippines

Circles.Life

ASIAN TELECOM 17
CONVERGE ICT SOLUTIONS INC. 5BB Broadband Global Technology Company Limited Advanced Info Services Public Company Limited Colt Technology Services ATOM MYANMAR LIMITED
18 ASIAN TELECOM
EVENT: ASIAN TELECOM AWARDS 2023
CamGSM Co. Ltd (Cellcard) Epsilon Telecommunications PT. Eka Mas Republik ViewQwest Pte Ltd Indosat Ooredoo Hutchison Mobile-Technologies Plintron HKT Limited CMC TELECOMMUNICATION INFRASTRUCTURE CORPORATION (CMC Telecom) Lao Telecommunication Public Company
ASIAN TELECOM 19
Telcotech Co., Ltd Telekom Malaysia Berhad XL HOME (PT. XL Axiata, Tbk) Eastern Communications EZECOM Co., Ltd. Singtel Green Packet Global Pte Ltd ZTE Philippines Inc DZS Unified NetworksNational Sdn Bhd
20 ASIAN TELECOM

Green Packet Global pioneers the future of telecommunications with unparalleled solutions

With the company’s exceptional achievements in the wholesale voice, A2P, data connectivity, and data centre space markets, the company was honoured at the prestigious Asian Telecom Awards 2023.

award at the Asian Telecom Awards 2023. The recognition highlights Green Packet Global’s exceptional foray into wholesale voice, A2P, data connectivity, and data centre space markets, further solidifying its path of expansion and diversification.

Alvin Tan, CEO of Green Packet Global, expressed that the award win reflects the company’s dedication to excellence and ability to overcome market challenges whilst delivering award-winning products and services to clients. The Asian Telecom Awards recognise remarkable achievements and initiatives of Asia’s leading telecom companies, honouring those that provide quality products and services whilst navigating market challenges.

Capturing new markets and achieving excellence

The telecommunications industry, driven by technological advancements and changing customer demands, is evolving rapidly. Green Packet Global, the leading carrier-neutral wholesaler in Asia since its establishment in 2007, has been dedicated to delivering wholesale voice solutions to telecommunication network operators worldwide. The company’s success can be attributed to its reliable and efficient services, with extensive coverage and billions of voice traffic generated in Asia and wholesale A2P.

Sustainable growth through well-thought collaborations

Green Packet Global continues to excel and grow by diversifying its offerings through strategic partnerships with prominent organisations like Etisalat and Tencent Cloud. The partnership with Etisalat focuses on voice, A2P, and data connectivity for Asian markets, utilising Etisalat’s firewall solutions and connections in the Middle East to secure A2P outsourced deals. The collaboration with Tencent Cloud aims to meet internal demand and offer unique cloud services to niche markets.

Expanding beyond wholesale business, Green Packet Global has entered the B2C market with a dedicated 5G e-SIM platform for business and leisure travellers, providing seamless connectivity and superior customer experiences.

Additionally, the company has ventured into cloud gaming to cater to the growing demand in the e-gaming scene. These expansions strengthen Green Packet Global’s commitment to becoming a one-stop wholesale solutions provider for telco partners.

The company’s achievements and financial performance have earned it the Wholesale Company Initiative of the Year - Singapore

Green Packet Global’s continuous growth and success have led to its plans for public listing in 2024, cementing its position as a strong player in the telecommunications industry. As the landscape continues to evolve, Green Packet Global remains committed to sustainable growth and meeting the evolving needs of its customers. Through strategic collaborations and market expansions, the company aims to remain at the forefront of the telecommunications sector, delivering innovative solutions and outstanding services.

22 ASIAN TELECOM
This is a significant milestone for our company and a reflection of our strong financial performance and growth potential
WHOLESALE COMPANY INITIATIVE OF THE YEAR - SINGAPORE Alvin Tan, CEO of Green Packet Global Green Packet Global was honoured at the Asian Telecom Awards 2023

early warning

Singtel delivers maximum visibility so you can identify threats at the edge

In our hyperconnected world, network visibility is everything. Our ability to adapt to complex, emerging threats is augmented by AI to give you maximum visibility, 24/7, from a single vantage point. So you can identify, investigate and eliminate threats across a wider threat surface, now and in the future.

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YOUR NEXT IS NOW Strategic gateway into ASEAN region with wholesale digital infrastructure, connectivity and platform solutions tmglobal.com.my WINNER OF TELECOM COMPANY OF THE YEAR - MALAYSIA 2023 ASIAN TELECOM AWARDS for WHOLESALE COMPANY INITIATIVE OF THE YEAR - MALAYSIA unn com bn

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ASIAN TELECOM 29 CLOUD SERVICES Singapore | London | Sofia epsilontel.com CELEBRATING 20 YEARS OF Interconnecting Your World DEPENDABLE 20 Years of Experience as A Reliable Global Provider CONTINUOUSLY EVOLVING Expanding Global Reach and Partner Ecosystem AGILE Simple and Scalable Cloud and Application-Driven Networks
More than just a number. A Digital Brand For The Digital Generation Circles.Life is a customer-centric, innovative and seamless lifestyle services platform that creates revolutionary digital experiences. Visit www.Circles.co for more information. 2023 Proud winners of:

MEHDI JAOUADI OPINION

Post-pandemic era and changing consumer behaviour push telcos to elevate retail digital landscape

In the wake of the COVID-19 pandemic, the retail industry has undergone a significant transformation. As consumer behaviour and preferences continue to shift, telco players have emerged as key players in revolutionising retail spaces and enhancing consumer experiences. With their technological expertise and expansive networks, telco companies are strategically positioning themselves to drive innovation and meet the evolving needs of both retailers and consumers.

Telco companies as enablers of digital transformation

Telco players are leveraging their expertise in connectivity and digital solutions to empower retailers to navigate the digital landscape. With reliable networks and cutting-edge technologies, telco companies enable seamless online transactions, faster delivery services, and personalised shopping experiences for consumers. Through collaborations with retailers, telcos are working towards bridging the gap between online and offline channels to provide a seamless omnichannel experience.

In an era where online transactions have become the norm, reliable connectivity is paramount. Telco companies offer retailers the advantage of robust and secure networks, ensuring uninterrupted online transactions. This reliability not only fosters customer trust but also contributes to an efficient shopping experience.

The swift and dependable delivery of goods has become a competitive edge in the retail arena. Telcos play a pivotal role in enhancing delivery services by optimising communication networks. This optimisation translates to quicker and more dependable shipping options for retailers, resulting to an elevated standard of service that aligns with the fast-paced expectations of today’s digital consumers.

Personalisation has become a cornerstone of modern retail, and telco companies are instrumental in making it a reality. Through data analysis and insights, retailers can comprehend customer preferences and behaviours. Telcos provide the tools that enable retailers to tailor their offerings and marketing strategies, creating a personalised shopping experience that resonates with each individual customer.

IoT and smart retail solutions

The Internet of Things (IoT) has emerged as a game-changer in the retail industry. With the help of connected devices, telco companies are enabling retailers to collect valuable data on customer behaviour, inventory management, and store operations. This data-driven approach allows retailers to make informed decisions and personalise their offerings to meet the specific needs of their customers. According to a study by McKinsey, companies that use IoT technologies in their operations can experience a 10% to 30% increase in efficiency.

Moreover, telco players are also partnering with retailers to implement smart retail solutions such as smart shelves, automated checkout systems, and digital signage. These innovations improve the overall shopping experience by reducing wait times, streamlining processes, and providing real-time information to customers. Retailers can leverage these solutions to enhance customer engagement, optimise operations, and increase sales.

Telco companies also play a pivotal role in collaborating with retailers to introduce smart retail solutions that take advantage of IoT capabilities. For instance, telco companies can create smart shelves. These shelves are equipped with sensors that monitor product levels in real-time. When items run low, automated notifications can be sent to store staff, ensuring timely restocking, and minimising instances of products being out of stock.

In addition, they can also do automated checkout systems. This IoT-powered checkout systems, such as self-checkout kiosks can expedite the payment process. This reduces wait times for customers, leading to a smoother shopping experience.

Telco companies can also create a digital signage, or an interactive digital signage that can provide real-time information, promotions, and product details to customers. This enhances engagement and assists customers in making informed purchase decisions.

These IoT-driven smart retail solutions contribute to an enhanced shopping experience. Reduced wait times, streamlined processes, and readily available information improve customer satisfaction.

Moreover, these innovations can influence purchasing decisions, ultimately leading to increased sales for retailers. By leveraging technology to create a more convenient and engaging shopping environment, retailers can establish stronger relationships with customers and foster brand loyalty.

5G and the future of retail

The deployment of 5G technology is set to revolutionise further the retail industry. With its ultra-fast speed, low latency, and high capacity, 5G will enable immersive experiences, such as augmented reality (AR) and virtual reality (VR) shopping. Consumers will be able to visualise products in their own spaces, try virtual try-on of clothing and accessories, and explore interactive digital displays, creating a more engaging and personalised shopping experience.

Beyond customer-facing applications, 5G will also have an impact on supply chain management. The real-time connectivity and communication capabilities of 5G enable constant tracking and monitoring of inventory and deliveries. Retailers can have accurate and up-to-the-minute information about their stock levels, movement of goods, and delivery statuses. This heightened visibility into the supply chain allows retailers to make data-driven decisions, optimise logistics, reduce costs associated with stockouts and overstocking, and ultimately enhance overall operational efficiency.

As telco players forge ahead in the retail space, it is crucial to consider diverse perspectives and collaborate with stakeholders across the industry. This includes retailers, e-commerce platforms, technology providers, and even local communities. By coming together and sharing insights, ideas, and resources, telco companies can develop comprehensive solutions that empower retailers, enhance consumer experiences, and drive industry-wide growth.

32 ASIAN TELECOM

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