www.strategies.nzl.com
Achieving Success in
Telecoms and
New Media NETWORK
STRATEGIES • Telecommunications Strategy •
ICT STRATEGY, POLICY AND REGULATION
“...the Network Strategies report, I believe, is a detailed and useful contribution during a time when we are developing the government’s policy for accelerating the roll-out of ultra-fast broadband to 75% of New Zealanders” Hon. Steven Joyce, Minister for Communications, New Zealand.
Benchmarking Digital Economy Business Planning Broadband Wireless Broadband Internet Cost Modelling Convergence Economic Development Pricing Number Portability ICT Policy Market Analysis Wholesale Scenario Analysis Mobile Spectrum Next Generation Networks Satellite Technology Evaluation Retail Market Forecasting Regulatory 02
Surround yourself
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and
Connect 04
Opportunities. Challenges. New frontiers. Each year decision makers face new obstacles to achieving their objectives. Tightly controlled cash flows, highly competitive environments, new technologies, new business models, regulatory constraints.
Opportunities do exist
Inaction is not an option Innovation and knowledge are essential for success
Success – whether it is measured by market share, higher profits, economic growth or social benefit – requires the right partner to help you achieve your goals. Multi-disciplinary experts with global experience in policy, regulatory, technology and commercial issues. With rigorous approaches that manage risk. Providing you with practical outcomes designed specifically for your needs.
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REGULATORY STRATEGY
POLICY DEVELOPMENT
TELECOMMUNICATIONS ECONOMICS
MARKET STRATEGY
Our Commitment. Delivering Excellence. Since 1997 our professional team has built an enviable track record in key Asia-Pacific markets. We are recognised by industry leaders for our high-quality research, analysis and reports that withstand the highest levels of commercial and regulatory scrutiny. We offer practical and affordable solutions for tackling complex strategic issues. With innovative work practices, offices in New Zealand, Australia and the United Kingdom and a highly motivated and mobile team, we provide clients with the close partnerships essential for successful outcomes. As our reputation has grown, we have expanded into new markets, and can now deliver our exceptional quality of service to clients everywhere.
Outstanding Customer Service Breadth of Experience Depth of Knowledge Analytical Rigour
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REGULATORY STRATEGY
POLICY DEVELOPMENT
TELECOMMUNICATIONS ECONOMICS
MARKET STRATEGY
your
Business
“We were particularly impressed with their foresight and intelligence. The team anticipated a need for material that we did not realise was needed, providing context and sense for the study. They have delighted the customer.� Marketing Manager Major Incumbent Operator
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Our Achievements. Our Values. Innovative ways of increasing revenue We designed comprehensive product strategies for broadband and VoIP for an incumbent operator, identifying value creation from existing network functionality. Saving costs We supported TelstraClear in regulatory proceedings in New Zealand, suggesting changes to the regulator’s cost modelling methodologies which were subsequently enacted, resulting in substantial savings for our client through a reduction in its universal service obligation. Providing regulatory solutions for Government We provided interim regulatory services to the Government of Samoa for a six-month period, including an on-site regulator from our staff together with full technical and economic support from the Network Strategies team. Identifying emerging business models for new media We advised the Australian Broadcasting Authority on the potential impact that new mobile telecommunications technologies may have on the delivery of traditional and new forms of audiovisual content in the Australian market. Ensuring best practice regulatory processes and structures We advised on appropriate regulations and structure for a new regulatory authority in Vanuatu and its corresponding policy unit within Government. Establishing the business case for new ventures We reviewed the ability of new applications and services on next generation networks to generate commercial returns given the substantial amount of investment required by carriers and hardware equipment vendors. Encouraging infrastructure rollout in developing countries We created a mechanism for awarding subsidy payments to operators for increases in fixed and mobile rural infrastructure in Sri Lanka, defining measures of connectivity to assess operator performance and a multi-year payment formula to distribute funds collected via a 08
Government levy.
Examining the role of 2.5GHz for mobile broadband We estimated the economic benefits of mobile broadband in Australia on behalf of the Australian Mobile Telecommunications Association, and demonstrated that these benefits will only be realised if there is sufficient spectrum capacity to meet anticipated future demand. Analysing markets We examined the satellite market across the Pacific region, analysing both supply- and demand-side issues affecting Pacific Island nations. Our findings were used by the Australian Government for international policy development. Assessing a regulator’s rates for wholesale fixed line services On behalf of Optus we reviewed indicative unbundled local loop rates released by the Australian Competition and Consumer Commission. We found that after adjusting for Australian conditions, the indicative rates were high compared with European and Canadian rates. We identified issues in the cost model used to determine the rates, concluding that service costs had been overestimated by 20%. Creating ICT strategies to deliver socio-economic benefits We assessed the current state of ICT across Pacific Island countries. Our analysis identified gaps and emerging needs for the region, with our research and recommendations being used by the Pacific Islands Forum Secretariat in the development of an updated Digital Strategy. Member of the ICT Expert Panel for the Ministry of Economic Development (New Zealand)
“I found the Network Strategies PIFS report particularly rich in valuable information�. Randy Spence, Director, Economic and Social Development Affiliates
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Our People. Our Expertise. We offer strong multi-disciplinary teams and a truly comprehensive approach to ICT consultancy. Our deep industry knowledge, rigorous analytical skills and innovative approaches enable us to deliver customised, results-oriented solutions that identify and directly address the key issues facing decision-makers in the ICT sector. All our people have proven international industry experience across Asia, Europe, North America and the Pacific region, backed by strong academic qualifications.
Telecommunications engineering
Telecommunications economics
ICT law and regulations
Techno-economic modelling
Radiocommunications
Financial analysis
ICT market strategies
ICT market analysis
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REGULATORY STRATEGY
POLICY DEVELOPMENT
TELECOMMUNICATIONS ECONOMICS
MARKET STRATEGY
with
Industry
“A very high quality piece of work.� Chief Advisor, Department of Finance, Vanuatu
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“I have seen many reviews of business plans and Network Strategies’ report is the best I have ever seen.” Investment Banker
and
People 12
Our Clients. We advise the telecommunications, IT and new media sectors, encompassing operators, government, vendors and investors. n Alcatel
n Northern Territory Government (Australia)
n Asian Development Bank
n NZAid
n AusAID
n Office of the Regulator (Samoa)
n Australian Broadcasting Authority
n OFTA (Hong Kong)
n Australian Communications and Media Authority
n One 2 One
n Australian Mobile Telecommunications Association n BT
n Optus n Qualcomm
n Celcom
n Pacific Islands Forum Secretariat
n Cisco
n Productivity Commission (Australia)
n Commerce Commission (New Zealand) n Department of Broadband, Communications and the Digital Economy (Australia)
n SaskTel International n Scientific Atlanta
n eircom
n Telecom Fiji
n Ericsson
n Telecom New Zealand
n Government of Samoa
n Telekom Malaysia
n Government of Vanuatu
n Telkom Indonesia
n InternetNZ
n Telstra
n Ministry for Economic Reforms, Science and Technology (Sri Lanka)
n TelstraClear
n Ministry of Communications and Information Technology (Samoa)
n Vodafone Group
n University of Auckland
n Ministry of Economic Development (New Zealand)
n Vodafone Hutchison Australia
n Nokia
n Vodafone New Zealand
n Nortel
n The World Bank
As part of our client confidentiality policy, we have listed only those clients that have given their permission
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REGULATORY STRATEGY
POLICY DEVELOPMENT
TELECOMMUNICATIONS ECONOMICS
MARKET STRATEGY
within a
Global Community
“A great report that has been well received. Your report has been very helpful in advocating the need for a national deployment framework with regional planning and implementation.� Local Government Association of New Zealand.
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Predicting the effect of regulatory changes We developed a business impact model to illustrate the effect of various proposed regulatory changes on the expected financial performance of a South East Asian operator under reformed regulatory conditions. Identifying costs and benefits of restructuring We advised the New Zealand Ministry of Economic Development on issues relating to structural and operational separation of incumbent operators, including implementation costs and the potential impact on competition. Informing policy development We investigated economic and commercial developments enabled through Internet-based communication, including new business models and distribution structures for the Australian Government’s Future of the Internet project, identifying ways Government may assist growth, including accessibility of the Internet, enabling policies, and e-Government. Creating a national broadband strategy We developed workable technical and institutional structures to deliver very highspeed broadband connectivity to 75% of New Zealand’s population within ten years, estimating investment and financing requirements under likely market scenarios.
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STRATEGIES • Telecommunications Strategy •
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