Mybrandbook2017 part1

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Brand Book on Indian ICT Industry

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India’s most TRUSTED brands chosen by the customers

Copyright © Kalinga Digital Media Pvt. Ltd.

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CISCO

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Content PREFACE 9 FOREWORD 13 CATEGORIES 10 TOP TWENTYFIVE BRANDS IN INDIAN ICT INDUSTRY 17 INDIA’s MOST ADMIRED BRANDS 25 HOT TOPIC 32-37 INDIAN MARKET SCAPE 38-57 AFTER MARKET SERVICES 38 CYBER SECURITY 40 MAKE IN INDIA 42-44 TELECOM SERVICES 45-47 MOBILE PHONE 48-50 SOFTWARE 51 HARDWARE 52-54 IT SERVICES 56-57 ACER INDIA PVT. LTD. 58 AIRCEL LIMITED 60 ARRAY NETWORKS 61 AMD INDIA PVT. LTD. 62 AMERICAN MEGA TRENDS INDIA PVT. LTD. 64 ARUBA( HP ENTEERPRISE) 66 AVAYA INDIA PVT. LTD. 67 AXIS COMMUNICATIONS INDIA 68 BARRACUDA NETWORKS INDIA 69 BENQ INDIA PVT. LTD. 70 BT INDIA PVT. LTD. 71 BRIGHTSTAR TELECOMMUNICATIONS INDIA LIMITED - 72 CANON INDIA PVT. LTD. 74 CHECK POINT SOFTWARE TECHNOLOGIES LTD.IND 76 CISCO SYSTEMS INDIA PVT. LTD. 78 CLOUDERA 79 CSDC INDIA PVT.LTD. 80 DELL INDIA PVT. LTD. 82 DELL TECHNOLOGIES (DELLEMC) -83 DENAVE INDIA PVT. LTD. 84 DIGISOL SYSTEMS LTD. 85 D-LINK INDIA LTD. 86 E-PAISA SERVICES PVT. LTD. 88 EPICOR SOFTWARE CORPORATION 89 ESCAN (MICROWRLD SOFTWARE SERVICES PVT. LTD) 90 EPSON INDIA PVT. LTD 92 ESDS SOFTWARE SOLUTIONS PVT. LTD. 94 F5 NETWORKS PTE LIMITED 96 FOURTH DIMENSIONS SOLUTIONS LTD. 98 FORCEPOINT SOFTWARE CONSULTING INDIA PVT. LTD. 100 FORTINET TECHNOLOGIES INDIA PVT. LTD. 102 F SECURE PVT.LTD. 104 HAPPIEST MINDS TECHNOLOGIES PVT. LTD. 106 HITACHI DATA SYSTEMS INDIA PVT. LTD. 108 HID GLOBAL PVT. LTD. 110 HEWLETT PACKARD ENTERPRISE 111 HPINDIA SALES PRIVATE LIMITED 112 HIK VISION(PRAMA HIKVISION INDIA PVT. LTD.) 114 HUAWEI TECHNOLOGIES INDIA PVT. LTD. 116 IBM INDIA PVT. LTD. 117 INSPIRA ENTERPRISE INDIA PVT. LTD. 118 INTERRA INFORMATION TECHNOLOGIES 122 IXIA TECHNOLOGIES PVT. LTD. 123 JUNIPER NETWORKS INDIA PVT. LTD. 124 KASPERSKY LAB INDIA 126 LENOVO INDIA PVT. LTD. 127

LG ELECTRONICS INDIA PVT. LTD. 128 MATRIX TELECOM PVT. LTD. 129 MACFEE INDIA SALES PVT. LTD. 130 MANORAMA INFOSOLUTIONS PVT. LTD. 120 MICROSOFT CORPORATION INDIA PVT.LTD. 131 NETAPP INDIA MARKETING & SERVICES PRIVATE LIMITED NETMAGIC SOLUTIONS PVT. LTD. 133 NETGEAR TECHNOLOGIES INDIA PVT. LTD. 134 NEWGEN SOFTWARE TECHNOLOGIES LTD. 136 NATIONAL INSTITUTE OF ELECTRONICS AND INFORMATION TECHNOLOGY(NIELIT) 126 NVIDIA GRAPHICS PVT. LTD. 138 ORACLE INDIA PVT. LTD. 140 PANASONIC INDIA PVT. LTD. 141 PALO ALTO NETWORKS INDIA PVT. LTD. 142 PEGASYSTEMS INDIA 143 PRYSM INC 144 QUALCOMM INDIA PVT. LTD. 145 QUANTUM CORPORATION 146 Redington India Ltd. 137 RELIANCE INDUSTRIES (LYF) 147 RADWARE INDIA PVT. LTD. 148 RAH INFOTECH PVT. LTD. 150 R&M INDIA PVT. LTD. 152 RICOH INDIA LTD. 154 RUCKUS WIRELESS INDIA PVT. LTD. 156 RIVERBED TECHNOLOGY INDIA PVT. LTD. 158 SAP INDIA PVT. LTD. 159 SCHNEIDER ELECTRIC INDIA PVT. LTD. 160 SECLORE TECHNOLOGY PVT. LTD. 161 SEAGATE TECHNOLOGY HDD INDIA PVT.LTD. 162 SIFY TECHNOLOGIES LTD. 164 STMICRO ELECTRONICS INDIA 166 STERLITE TECHNOLOGIES LTD. 167 SONICWALL INC. 168 SOPHOS TECHNOLOGIES PVT. LTD. 170 SUPERTRON ELECTRONICS LTD. 172 SUSE (MICRO FOCUS INDIA PVT. LTD.) 174 TALLY SOLUTIONS PRIVATE LIMITED 176 TP-LINK INDIA PVT. LTD. 177 TREND MICRO INDIA PVT. LTD. 178 TVS ELECTRONICS LIMITED 179 VEEAM SOFTWARE PVT. LTD. 180 VITAL INTELLIGENCE GROUP 182 VERTIV (FORMERLY EMERSON NETWORK POWER) 183 VMWARE SOFTWARE INDIA PVT. LTD. 184 WESTERN DIGITAL (UK) LTD. 186 XEROX INDIA LIMITED 187 ZOTAC INDIA PVT. LTD. 188 MARIN AUTOMATION PVT. LTD. 190 DIGITAL OUTLOOK 2017 192-205 SMART STARTUP’S IN INDIA 206-218 ADVERTISEMENT INDEX 219 GOVERNMENT BODIES/ AUTHORITIES 220 ICONS OF INDIA 226 DISTRIBUTORS AND VALUE ADDED DISTRIBUTORS IN INDIA INDUSTRY BODIES IN INDIA 240 MOVERS N SHAKERS- SOFTWARE INTEGRATION 241 SOLUTION PARTNERS IN INDIA 250 MAKE IN INDIA BRANDS 262

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Preface

We are delighted to unveil the Sixth edition of the Brand Book. The Brand Book speaks on how the brands position themselves in the crowded market place overcoming the challenges to differentiate the services offered. The Brand Book is a research-driven Book which provides a unique reference material for IT and telecom companies to chalk out annual strategies and adopt their go-to-market approach. The world of marketing is fiercely competitive. While creative advertisement might be entertaining, comparative advertisement, one of the aggressive forms of marketing, is a whole new ballgame altogether. We’ve all come across advertisements when brands talk on one another, and openly mock the rival brand through print, digital or broadcast media. Indian ICT industry is radically transforming the business landscape in various sectors and is the integral part to the success of the Digital India mission covering mobile broadband, broadcasting, digital wallets, big data & cloud, and IoT. Brand book also provides an extremely compact presentation of several brands, which are most useful branding concepts and best practices followed by the corporates on the essential principles of branding like their brand strategy, brand portfolioes, and brand building in various spaces and verticals. This exposition of branding principles featured by the corporates would be useful for the rest of the companies and help those who lack a background in branding and would like to get up to speed quickly. This will also throw light on how a brand is successfully leveraged into the new markets and so on. Disruptive technologies also involve disruptive business models, which can undermine the advantages of incumbents. Indian ICT marketplace is going to experiencie very rapid diffusion of technologies and technology applications in the coming decade. The most potent of these, the mobile Internet, will likely reach 700 million to 900 million Indians by 2025. Along with cloud-based services, the automation of knowledge work, Cyber security, digital payments, and verifiable digital identity, the mobile Internet can provide the foundation for remote health care, adaptive learning, mobile agricultural extension services, and other innovative services. This Brand book will also help you envision how the Indian technology start-up companies are evolving and will serve as a guide for implementing technology solutions in your organizations. This eco-system has seen a tremendous growth towards creation of innovation start-ups. India has become a home to a new breed of young start-ups and has clearly evolved to become the third largest base of technology start-ups in the world. As a result, customers have access to consistent information and receive delightful experiences along each step of the customer lifecycle and serves as a ready-reference tool on the leading players in the ICT sector. Secondly, strong brands build customer loyality as they trust the brand and it’ quality. In Brand book we have tried to feature rightful recognition of companies which have made the efforts to expand their business and services across the country and overseas. Indeed, a strong brand presents a proof of competence for the customers. It suggests quality and bestows image and prestige to its buyers. As we see branding is a process involving strategic thinking which is a key to the considerable financial success for your organization. I would like to take this opportunity to thank you for all the support you have provided us so far. It is heartening that the entire corporate world is committed to support the vision of our Prime Minister to translate Digital India mission into reality. I’m grateful to you for the support, encouragement and the glimmer of hope you all gave us, thank you again for taking the time for the voting and valuable feedback on the survey. The listing in the Brand Book is considered on the parameters that are based on the brand awareness, brand image and customer experience and brand performance. The survey and related data modelling quantify consumer perceptions of product and services, preference and trust in after sales services, and the future of their connected lifestyles. This is in consonance with the priorities laid out in its previous editions, to address the growing audiences for the brands participated in the Brand Book, by using the newer approach which will truly reflect today’s multi-media landscape and enable us to better monetize our digital audience, and report larger reach to the customers in the country to capture significant economies of scale. A big thank-you to all the corporates who have participated. In this issue, we are bringing the Indian marketscape (providing in-depth quantitative and qualitative assessments of technology vendors for a wide range of technology markets) that speaks about the comprehensive assessment of market competitors, delivered in a full length research report and provides you with the critical information necessary to make your most important technology investment decisions on Hardware, Software, e-Commerce, after-sales support and Mobility/Telecom sector in India. With respect to the section on “Startups”, India has truly become a start-up Nation. We have seen the composition of winners shift from generic software services providers to developers of niche technologies, software products, digital marketing and edu-tech. Most critically, it is built on a set of recommendations that do not just reaffirm what we already know, but open the doors to ideas we are yet to encounter. We look forward to receiving your valuable feedback and opinion on the Brand book for continuous improvement .The book is also available online through mybrandbook.co.in. As always, please remember to post your regular brand communication messages to us. Deepak Kumar Sahu Publisher & Editor-in-Chief

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Categories ANTIVIRUS BIT DEFENDER ESET ESCAN F-SECURE KASPERSKY LAB K7 COMPUTING MCAFEE NORTON QUICKHEAL REVE SYMANTEC SOPHOS TREND MICRO

DATA CENTER AIRTEL AMAZON (AWS) AZURE CTRLS CYQUATOR TECHNOLOGIES DATAFIRST DATAGALAXY DIMENSION DATA ESDS SOFTWARE GOOGLE GPX INDIA HCL TECHNOLOGIES INFOSYS NETMAGIC NETCON TECHNOLOGIES NTT NXTGEN NXTRA PI DATACENTER RELIANCE RACKSPACE RICOH INDIA SOFTLAYER SIFY TCS VODAFONE WIPRO

DESKTOP / ALL-IN-ONE ACER APPLE ASUS DELL HP LENOVO

DIGITAL CAMERA CANON FUJIFILM KODAK NIKON SONY

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SAMSUNG

EDUCATION SOLUTIONS CARRIER LAUNCHERS CLASSMATE CORE EDUCOMP EDURITE EDUTECH EDUVISORS EVERONN HCL NIIT NEXT EDUCATION PEARSON SMART

FLASH DRIVES ADATA AMKETTE HP KINGSTON MOSER BAER SANDISK SAMSUNG SONY STRONTIUM TOSHIBA TRANSCEND

GRAPHIC CARDS AMD NVIDIA

HARD DISK(HDD) A DATA SEAGATE TRANSCEND TOSHIBA WESTERN DIGITAL

LAPTOP ACER ASUS DELL HP LENOVO LG

MANAGED PRINT SERVICES CANON HCL HP

KONICA MINOLTA KYOCERA PANASONIC RICOH WEP PERIPHERALS XEROX

MOTHER BOARD ASUS ASROCK BIOSTAR CORSAIR DIGILITE ECS GIGABYTE MSI ZEBRONICS

MONITOR AOC ACER BENQ DELL HP LG SAMSUNG VIEWSONIC

NETWORKING & WIRELESS ATI AVAYA BROCADE CAMBIUM NETWORKS CISCO DELL-FORCE 10 DIGISOL D-LINK

EXTREME NETWORKS HPE-ARUBA HUAWEI JUNIPER MATRIX NETGEAR RADWARE PRONTO TP-LINK TRENDNET RIVERBED UBIQUITI ZYXEL ZTE

OPERATING SYSTEM ANDROID

LINUX CHROME MAC WINDOWS NETWARE UBUNTU

PASSIVE NETWORKING ADVA OPTICAL BELDEN C DOT CIENA CITADEL DIGISOL DLINK HUAWEI INFINERA JUNIPER SCHNEIDER TEJAS TE CONNECTIVITY ZTE

PERIPHERALS AMKETTE DELL ENVENT IBALL FRONTECH HP INTEX LG LOGITECH MOSERBAER TVS-E ZEBRONICS

POWER SUPPLY (UPS) APC BPE CYBER POWER DELTA EMERSON INTEX LUMINOUS MICROTEK NUMERIC SOCOMEC SU-KAM UNILINE

PRINTER BROTHER CANON HP EPSON KONICA MINOLTA


KYOCERA LEXMARK LIPI PANASONIC RICOH SAMSUNG TVS-E XEROX

PROCESSOR AMD INTEL TEGRA QUALCOMM VIA

PROJECTORS ACER BENQ CANON CASIO DELL DELTA EPSON HITACHI LG NEC PANASONIC SAMSUNG SONY TOSHIBA VIEWSONIC

SMART PHONES APPLE BLACKBERRY BPL GIONEE I BALL INTEX LAVA PHILIPS HP HTC HUAWEI KARBONN LENOVO LG LYF MICROMAX MICROSOFT MOTOROLA NOKIA OPPO ONE PLUS PANASONIC SAMSUNG SPICE SONY VIDEOCON VIVO XIAOMI

SERVER DELL HPE IBM INSPUR LENOVO NETGEAR

ORACLE HUAWEI

SECURITY A 10 NETWORKS ALGOSEC ALLOT ARRAY NETWORKS BLUECOAT BMC CHECKPOINT CISCO DARKTRACE SONICWALL DHRUVA EXINDA F5 FIRE EYE FORCEPOINT FORESCOUT FORTINET F-SECURE GEMALTO GFI HID HPE HUAWEI IMPERVA JUNIPER KASPERSKY NETSCOUT NIKSUN PALO ALTO PING IDENTITY

POSITIVE TECHNOLOGIES RADWARE RIVERBED RSA SANOVI SECLORE SOPHOS TENABLE THALES TIPPING POINT TRENDMICRO TRUSTWAVE WATCHDOG WINMAGIC

SERVICE SUPPORT ACCEL FRONTLINE AFORESERVE BRIGHT POINT DIGI-CARE HCL INTARVO IQOR MICROCLINIC NEOTERIC- F 1 REDINGTON SALORA TVS-E WIPRO

SOFTWARE- ERP ADOBE BMC BUSY CA

CLOUDERA COMMVAULT QUEST DESKERA HPE IBM INFOR INTU IT MICROSOFT NEWGEN ORACLE PEGA SYSTEMS RAMCO SALESFORCE SAP SECLORE SIFY TALLY VEEAM VERITAS ZOHO

STORAGE AMI CISCO DELL EMC FUJITSU HITACHI DATA SYSTEMS HPE HUAWEI IBM INFINIDAT LENOVO NETAPP NETGEAR ORACLE QNAP TP-LINK TINTRI ZTE

SURVEILLANCE AXIS BOSCH CANON CP PLUS DIGISOL DLINK GE GODREJ GUNNEBO HIK VISION IMPULSE HONEYWELL LG NEC PELCO SAMSUNG SPARSH TYCO UTC ZICOM

TABLETS/PHABLETS ASUS APPLE BLACKBERRY COOLPAD DATAWIND DELL GOOGLE NEXUS IBALL

INTEX KARBONN JIO LAVA LENOVO MICROMAX MOTOROLA OPPO SWIPE SAMSUNG VIDEOCON XIOMI

TELCO AIRTEL AIRCEL IDEA BSNL JIO MTNL RELIANCE SIFY VIDEOCON VODAFONE

TELECOM ADVA OPTICAL ALCATEL LUCENT BT C-DOT CIENA ERICSSON FIBCOM HUAWEI MATRIX NSN RAD RADWIN SIFY STERLITE TATA TELE SERVICES TEJAS UT STARCOM VIOM NETWORKS VERIZON ZTE

THIN CLIENT CITRIX HCL WINBEE HP IBM NCOMPUTING RDP VMWARE DELL-WYSE

VIDEO CONFERENCE AVAYA BUSINESS OCTANE CISCO CLEARONE HUAWEI LIFESIZE PANASONIC POLYCOM PEOPLELINK VIDYO

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Foreword

Technology has changed the face of buying behaviour with the demand of customer experience. Customer’s needs are different and we need to think from the customer’s point of view. On this backdrop the need of the hour is to understand on how to transform Customer Experience with digital approach. The Brand Book is positioned as the ultimate vehicle for corporates to position their brand identity, not only in terms of products and services they offer but also the essence of what the company stands for in terms of service and other emotional, non-tangible consumer concerns. The sixth edition of the Brand Book is focussed on the thought leadership in the ICT industry, and the positioning of the brand in the end-consumer segment. With the pace of disruption now quickening, technology is a new battle ground for CIO’s. Digital transformation is imperative for all businesses, from the smallest to largest enterprise. Digitalization is one of the most fundamental drivers of transformation ever and, at the same time, a unique chance to shape our future. The Brand Book has been designed with a special focus on how to improve the client’s top-line business including promotion optimization and innovation-driven new product developments. With a strong belief in the customer experience framework that balances business objectives and customer needs, the Brand Book is the right evidence to suggest on how consumers want “relationships” with brands and commitments from the brand owners to reach out to customers on continued ways as well as for creating the brand loyalty. The digital version of the Brand Book will reach out to the potential segments including the enterprise and SMEs in the country. Brand strategy, data and customer experience are the marketer’s new priorities in the industry and your brand is the experience customers have when doing business with you. This includes the benefits you deliver, the promises you make, and how you follow up after delivering upon those promises. The brand of your organization goes beyond actual strategy and principles; it’s the persona of your organization and the emotions that customers have based on interactions with your organization. Secondly, our strong observation on the growth of SMEs and registering of a rising graph in the number of start-ups which claim to be doing so out of necessity in the space of disruption technology. It is an absolute fact that India is a veritable powerhouse and is fast emerging as a increasingly attractive potential market. As a matter of fact, it is also one of the fastest-growing economies in the world. Going forward, digital transformation is leading to real-world business results with a strong momentum in India that will make the crucial difference to business development. The government’s constructive initiatives on GST and ‘Make in India’, together with the increasing consumer demand for electronics, will provide attractive growth opportunities for technology companies. Finally, new technologies such as big data, the internet of things and augmented reality will create greater opportunities to improve in radical new business and use cases in the technology sector. Thank you for your very thorough and thoughtful analysis on your questions, suggestions and comments, Thank you again for your valued inputs for the Brand Book. We look forward to continue working with you. S. Mohini Ratna Editor

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An amalgamation of about 36,000 Indian cooperatives, IFFCO is the largest manufacturer and distributor of processed fertilisers in India today. In half a century of its existence IFFCO has reaped considerable benefits for its farmer shareholders who also happen to be its consumers. Today, IFFCO has grown to be counted amongst the biggest fertiliser manufacturers in the world as also one of the largest cooperatives in the world. and . A household name in rural India, IFFCO reaches nearly 50 million farmers in India and has interests in fertilisers, general insurance, agrochemicals, rural retail, international trading amongst others and investment across the world.

Market IFFCO is a key player commanding over 22% market share in nitrogen and 30% market share in the complex fertiliser business in India. Through its five state-of-the-art plants, IFFCO produced 8.65 million metric tonnes in 2015/16 reaching its produce to every corner of the country.

Achievements As an organisation that started with just 57 farmer cooperatives 50 years ago the membership of IFFCO has, today, crossed 36,000 supported by aid from theGovernment of India and the

Cooperative League of the US. The feasibility studies were conducted and the first plant came up in Kalol in Gujarat followed with another one in Kandla in the same state. This giant organisation now encompasses over 36,000 Indian cooperatives and reaches 55 million Indian farmers – figures the founding fathers might have only hoped for when they conceptualised the project to feed India.

Product IFFCO produces Urea (46% Nitrogen), N-P-K (Nitrogen-Phosphorus-Potassium), N-P (NitrogenPhosphorus), DAP (Di-Ammonium Phosphate), water soluble fertilisers, Zinc Sulphate and several grades of bio fertilisers.

Recent Developments Besides fertilisers, IFFCOs associate company IFFCO Tokio General Insurance Company Limited provides unique farmer-centric products like sankat haram bima yojana and baarish bima yojana to farmers along with general insurance needs of urban dwellers. IFFCO also provides free insurance to its consumers with every bag they purchase with the receipt acting as the policy cover.

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Its other associate, IFFCO Sanchar Limited, provides five free voice-based messages that educate farmers about the best practices in farming and weather-related information amongst others and also runs the Kisan Call Centre on behalf of the Government of India. IFFCO MC Crop Science Private Limited was launched recently in partnership with Mitsubishi Corporation of Japan to provide top quality agro chemicals to Indian farmers. Another notable effort is the IFFCO bazaar, which is working to bring the benefits of modern retail to rural India and expects to become a one-stop-shop for all the needs of the Indian farmer. Apart from this, we have recently launched the Indian Cooperative Digital Platform (ICDP) through which we aim to not only sell our products online but also connect the farmer directly with the buyers.


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TOP 25 BRANDS IN INDIAN ICT INDUSTRY 2017 1

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This year’s Brand Book speaks as to how technology companies have performed in comparison to the previous year. It is time for reviewing, about the list of the Top 25 brands in the Indian ICT industry, which provides a thorough understanding on how the leading brands have performed with their cutting-edge technologies, their innovative ways to reach out to and connect with the consumers and organizations and how they have enhanced their operational performance and increased their competitive advantage over competitors. These are the Most Trusted Brands that reach to consumer’s doorstep and enhanced its performance by the best use of IT. 17


POWER OF BRANDS 1.Google is an American multinational technology company specializing in Internetrelated services and products. These include online advertising technologies, search, cloud computing, software, and hardware. Google was founded in 1996 by Larry Page and Sergey Brin who were Ph.D. students at Stanford University, in California. Rapid growth since incorporation has triggered a chain of products, acquisitions, and partnerships beyond Google’s core search engine (Google Search). It offers services designed for work and productivity (Google Doc, Sheets and Slides), email (Gmail/Inbox), scheduling and time management (Google Calendar), cloud storage (Google Drive), social networking (Google+), instant messaging and video chat (Google All/Duo/Hangouts), language translation (Google Translate), mapping and turn-by-turn navigation (Google Maps), video sharing (YouTube), notetaking (Google Keep), and photo organizing and editing (Google Photos). The company leads the development of the Android mobile operating system, the Google Chrome web browser, and Chrome OS, a lightweight operating system based on the Chrome browser. Google has moved increasingly into hardware; from 2010 to 2015, it partnered with major electronics manufacturers in the production of its Nexus devices, and in October 2016, it released multiple hardware products. Google has also experimented with becoming an Internet carrier. 2. Apple:Brand Apple is all about Quality, Signature and Loyalty to its niche premium clientele. Apple was founded by Steve Jobs, Steve Wozniak, and Ronald Wayne in April 1976 to develop and sell personal computers. It was incorporated as Apple Computer, Inc. in January 1977, and was renamed as Apple Inc. in January 2007 to reflect its shifted focus toward consumer electronics. Apple (NASDAQ: AAPL) joined the Dow Jones Industrial Average in

March 2015. Apple is the world’s largest information technology company by revenue, the world’s largest technology company by total assets, and the world’s second-largest mobile phone manufacturer, by volume, after Samsung. In November 2014, Apple became the first U.S. company to be valued at over US$ 700 billion in addition to being the largest publicly traded corporation in the world by market capitalization. The company employs 115,000 fulltime employees as of July 2015and maintains 478 retail stores in seventeen countries as of March 2016. It operates the online Apple Store and iTunes Store, the latter of which is the world’s largest music retailer. Consumers use more than one billion Apple products worldwide as of March 2016. 3. Samsung: Samsung has proven itself in electronics as a global leader in technology and innovation. The companyengages in the manufacturing and selling of electronics and computer peripherals. The company operates its business through following business divisions: Consumer Electronics, Information Technology & Mobile Communications and Device Solutions. India is an important market for Samsung, and the brand has been committed to the market for the past 21 years. Samsung announced its ‘Make for India’ commitment in alignment with the ‘Make in India’ initiative launched by the Indian government. Under this campaign Samsung conducts India oriented R&D, design, manufacturing and customer service to benefit and bring about a change in the lives of Indian consumers. In other words, Samsung will ‘Make for India’ and ‘Make in India’. Samsung comprises around 80 companies. It is highly diversified, with activities spanning a wide spectrum of areas like construction, consumer electronics, financial services, shipbuilding and medical services.Over the years, Samsung has leveraged its legacy of innovation to explore newer possibilities for people. Through its corporate citizenship platform, Samsung places significant focus in areas of education, employability, sports, community welfare, healthcare and environment. In addition to introducing 535 service vans, which are equipped with multi-skilled engineers, key components, DG sets and key jigs/fixtures for providing quick response and on-spot resolution, Samsung has also added over 250 service points and over 250 resident engineers, ramping up its service network. The Spirit of

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BRAND POWER R

Our commitment to driving the industry with innovative, best in class research tec consider Brand is an image that is unique and one must identify with its uniqueness and product. With the volume of competition that businesses face in most industries, it’s neve through strategic branding. The fact of the life is a new set of consumers is going to be ve out to them is going to be different too. Absolutely there is no doubt as the Brand is the perception someone holds in their he skillful application of effort to create a desired perception in someone else’s mind.Bran Trusted Brands. (Our awards are the industry benchmarks and honours given purely on to inspire the business and corporate community of India about the significance of globa staff and contributors spread all around the Industry; we are able to gather vital and the m important feedback from the opinion leaders from across the vertical. Being a part of the “Brand Book ” is a great brand-strengthening proposition: Companies that have carved a niche’ for themselves in their respective industries thro as the Most admired brands. Our Methodology

Our innovative methodologies continuously evolve with our clients’ research need traditional to the cutting-edge. Our qualitative and quantitative methodologies capture always be customized to reach your business goals. Powered by teams of specialists wh Panels brings a unique perspective on the list of Most Trusted Companies Where Brand INDIA, including : Quality of Products

• • • •

Product Uniqueness Recent Developments Brand values Post- sales Support

* Innovation *

Customer Satisfaction

Branding Management • Marketing Strategies • Training and certification Market Competition • USP & Core strength • Promotion & Achievments Brands have meaning. Brands have personality. Brands have attitude. And because identify with, relate to, and define themselves by them, brands have influence and Bran valuation methodology seeks to provide a rich and insightful analysis of your brand (Building knowledge, increasing brand awareness, after sales support, R& D and loya through increased exposure, recognition and prestige),providing a clear picture of how contributing to business growth today, together with a road map of activities to ensure tha even further growth tomorrow. The recipients of the Most Trusted Company are acknowledged for their ach recognised as the elite of their industry earning and the benchmark for the top performer A place amongst a distinguished group by having their products, projects, initiatives, co achievements recognised on a prominent and far-reaching scale.This establishes a valuab can be used extensively to create opportunities for publicity, positive organisational pro and internationally. We would like to thank all who choose share their thoughts by making nominations r


RECOGNIZATION

chniques that are meaningful in today’s connected society is our primary goal and we d exceptional quality. Great brands are much more than a slogan, a logo, a campaign or a er been more important to stand out and develop a unique identity and value proposition ery different from the old set that we as marketers have been used to; and hence reaching

ead about you, a product, a service, an organization. Brand building is the deliberate and nd Book recognizes those who are building and leading successful, growing asthe Most the basis of voter participation) . The motive behind organizing this gigantic activity is al phenomena of brand empowerment. With the help of our highly experienced editorial most recent information from the CIO/CTO community on their product acceptance and

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ds. We employ every avenue available to truly connect with your audiences—from the e insight from every angle: online and offline, in-person and interactive—and they can ho have expert understanding, Supported by the team of VARINDIAand SPO INDIA the d Study reveals key dimensions that define and determine the most influential brands in

people so often nd Book’s brand d, that includes alty programme w your brand is at it is delivering

hievements and rs in the country. ontributions and ble resource that ofiling and heightened brand awareness within the respective industries both nationally

related to performance and the best practices they have experienced first-hand.

innovation from SAMSUNG continues to push the boundaries of technology to create new possibilities for consumers. 4. JIO: Brand Jio is flying a brand new flag – of Youth and Widest Fastest Cheapest Connectivity. Reliance Jio Infocomm Limited, or Jio, is a LTE mobile network operator in India. It is a wholly owned subsidiary of Reliance Industries headquartered in Navi Mumbai, Maharashtra that provides wireless 4G LTE service network (without 2G/3G based services) and is the only ‘VoLTE-only’ (Voice over LTE) operator in the country which lacks legacy network support of 2G and 3G, with coverage across all 22 telecom circles in India. The services were first beta-launched to Jio’s partners and employees on 27 December 2015 on the eve of 83rd birth anniversary of late Dhirubhai Ambani, founder of Reliance Industries, and later services were commercially launched on 5 September 2016. The company commercially launched its services on 5 September 2016. Within the first month of commercial operations, Jio announced that it had acquired 16 million subscribers. This is the fastest ramp-up by any mobile network operator anywhere in the world.Jio crossed 50 million subscriber mark in 83 days since its launch.Jio crossed 100 million subscribers on 22 February 2017. 5. Microsoft is an American multinational technology company headquartered in Redmond, Washington, that develops, manufactures, licenses, supports and sells computer software, consumer electronics and personal computers and services. Its best known software products are the Microsoft Windows line of operating systems, Microsoft Office office suite, and Internet Explorer and Edge web browsers. Its flagship hardware products are the Xbox video game consoles and the Microsoft Surface tablet lineup. As of 2016, it is the world’s largest software maker by revenue, and one of the world’s most valuable companies. Microsoft was founded by Paul Allen and Bill Gates on April 4, 1975, Microsoft launched commercial cloud services from local Data Centres in India to fuel India’s inclusive growth, spur Innovation and accelerate digital transformation. It also extended complete suite of Microsoft’s cloud Services, encompassing Office 365,Azure and CRM online. Launched Cyber security Engagement center in India and since the 1990s, it has increasingly diversified from the operating system market and has made a number of corporate acquisitions. In May 2011, Microsoft acquired Skype Technologies for $8.5 billion, and in December 2016 bought LinkedIn for $26.2 billion. 6. Airtel : Brand Airtel reminds one of communication and connectivity for all. Bharti Airtel Limited is a leading global telecommunications company with operations in 20 countries across Asia and Africa. Headquartered in New Delhi, India, the company ranks amongst the top 4 mobile service providers globally in terms of subscribers. In India, the company’s product offerings include 2G, 3G and 4G wireless services, mobile commerce, fixed line services, high speed DSL broadband, IPTV, DTH, enterprise services including national & international long distance services to carriers. In one of the largest network rollouts globally deploys 180,000 mobile sites in the last two years, which is same as total sites deployed in the first 20 years of operations deployment to leverage its robust spectrum portfolio and create capacity to lead India’s data growth story. AIRTEL extends 4G footprints to over 400 towns across the two states and adds fresh 4G capacity in the 1800 MHz (FD LTE) band to the existing 2300 MHz (TD LTE) network Enhanced capacity to translate into superior 4G experience for customers – faster data speeds, better coverage.Airtel had always adopted various cutting edge strategies to be one step ahead of competition. From acquiring regional operators in its early years, rebranding entire operations under one umbrella to outsourcing activities to various corporations. Airtel recently also launched the new version of its MyAirtel App – the one app for all apps.Bharti Airtel had over 369 million customers across its operations at the end of February 2017. 7.TCS: Brand TCS is possibly about India going global. Tata Consultancy Services (TCS), a leading global IT services, consulting and business solutions organization, has broken into the list of the Top 3 most valuable brands in the IT Services industry and TCS operates in a large, growing global market for IT and IT-enabled

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POWER OF BRANDS services. TCS remained the most profitable company in the Indian IT services industry. Globally, organizations are spending more on IT as new technologies emerge, offering unique opportunities to gain a competitive advantage. The core business has performed well in all key segments includes BFSI,Retail, manufacturing and Life Science. TCS’s strong belief in smart technology plans do more than enable new process, they enhance business results, through sustained growth in their brand value, and with their strong strategy for long term growth is to continually extend the core IT services business by expanding its geographic reach, industry coverage and service capabilities and deepening existing client relationships, building or acquiring emerging businesses and adopting or creating new business models and business solutions through continuous innovation. TCS and its 67 subsidiaries provide a wide range of information technology-related products and services including application development, business process outsourcing, capacity planning, consulting, enterprise software, hardware sizing, payment processing, software management and technology education services. TCS is working with the world’s largest companies to help them reimagine their business models, products and services,and workplaces in all industries.With morethan one-third of the workforce trained in over 400 digital platforms and technologies. TCS is guiding companies of today on the path to tomorrow. 8. Infosys: Brand Infosys stands for Best Client Service for Widest range of Verticals. Infosys is a global leader in technology services and consulting. Infosys enables clients in more than 50 countries to create and execute strategies for their digital transformation. From engineering to application development, knowledge management and business process management, we help our clients find the right problems to solve, and to solve these effectively. The team of 200,000+ innovators, across the globe, is differentiated by the imagination, knowledge and experience, across industries and technologies that we bring to every project we undertake. Implementation dual strategy ‘Renew and New’ has worked well for Infosys by leveraging the power of automation and AI to the existing service lines. Secondly, initiatives like Zero distance program focused innovation in every project done for a every single client. This initiative has helped the company move from five layer organizational structure to a two tiered one. Infosys has bagged a Rs 1,380-crore contract from the Centre to build technology infrastructure for Goods and Services Tax Network (GSTN), a new single indirect tax structure across the country, which is expected to be rolled out in this year. Besides this latest win, the other major government contracts bagged by Infosys include the Department of Post, ministry of corporate affairs, Income-Tax Department etc. 9. Wipro: Brand Wipro reminds one of India’s prowess in superior technology. Wipro Limited is an Indian Information Technology Services corporation headquartered in Bangalore, India. Wipro Ltd is a global information technology, consulting and outsourcing company with services spanning financial services, retail, transportation, manufacturing, healthcare services, energy and utilities, technology, telecom and media. Serving clients in 175+ cities across 6 continents, they help customers do business better by leveraging our industry-wide experience, deep technology expertise, comprehensive portfolio of services and vertically aligned business model. Our 55+ dedicated emerging technologies ‘Centers of Excellence’ enable us to harness the latest technology for delivering business capability to our clients. Wipro also champions optimised utilization of natural resources, capital and talent. Wipro is one of the most recognised companies in the IT space. Wipro champions optimized utilization of natural resources, capital and talent. The recent announcement of atarget of $15 billion in revenues by 2020, with an operating margin of 23%.Hyper-automation and artificial intelligence are outlined as key pillars of the new growth strategy. 10. Tech Mahindra: Brand TM is again one of the National Heroes going International. Tech Mahindra has a leading presence in the fast-paced information technology (IT) industry. With global expertise and seamless cross-platform functionality, the company creates IT solutions that empower companies to focus on, and enhances their core businesses. Tech Mahindra, Bristlecone and Mahindra Comviva, with each of these companies being a leader in their respective areas. At the macro level, the indicators are going in the right direction. There

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has been a sharp rise in public spending on infrastructure, Consumer demand is rising. The It services major reported a 17% growth in revenue, as against 20% in the previous year . The company strengthened its presence in France with the launch of a development facility in Toulouse which is dedicated to projects in the aerospace industry. Mahindra is investing in the future of mobility by combining our innovative manufacturing capabilities with our investments in downstream platforms. After acquiring UK based target group for 120 million pounds Tech Mahindra has strengthen its presence in the BFSI space. 11. IBM: International Business Machines provides integrated solutions that leverage information technology and knowledge of business processes. The company operates its business through five segments: Global Technology Services, Global Business Services, Software, Systems & Technology and Global Financing. The Global Technology Services segment primarily provides Information Technology infrastructure and business process services, creating business value for clients through unique technology and IP integrated services within its global delivery model. The Strategic Outsourcing Services delivers comprehensive IT outsourcing services dedicated to transforming clients existing infrastructures to consistently deliver improved quality, flexibility, risk management and financial value. Its capabilities include WebSphere Software, Information Management Software, Watson Solutions, Tivoli Software, Social Workforce Solutions, Rational Software and Mobile Software. The Cloud Services delivers a comprehensive set of cloud services ranging from assisting clients with building their own private clouds, to building customized dedicated managed clouds and IBM is bullish about the Indian market and pitched over the year for large multi-million –multi-year transformation deals. IBM gives the leverage to address the current disruptions and helping it to transform into a cognitive solution and cloud platform vendor. With the launch of its first cloud data center in Chennai. In 2015 able to provide infrastructure as a service. 12. HP INC: Hewlett Packard an American technology company, after the corporate spin-off divided into two different entity such as Hewlett-Packard INC and Hewlett Packard Enterprise on November 11, 2015 and listed as two different listed companies. Inspite of larger realignment of the orgainisation, HP retained it’s own position as the no.1 across all product categories. Reason of success could be Vision is to Keep reinventing with a vision is to create technology that makes life better for everyone and every where. every person, every organization, and every community around the globe. This motivates us — inspires us — to do what we do. To make what we make. To invent, and to reinvent. HP develops personal computers (PCs), laptop as well as portfolio of printers,PCs, mobile devices, solutions, services and related supplies. HPI is known for the strong channel eco-system the global leader in printing, with it’s new A3 multifunction printers (MFPs) are shipping to more than 80 countries in all major markets worldwide. This next generation portfolio includes 54 SKUs and is designed to provide qualified channel partners the ability to offer higher levels of customization that meet a wider range of customers’ printing needs.HP Inc. Inspires creativity with Inking and modern designs for today’s students and tomorrow’s reinventors. 13. Dell EMC (EMC Corporation until 2016) is positioned as complete end-to-end enterprise solutions, DELL underwent a transformation as well as became an agent of transformation for its clients. With the completion of storage giant EMC,it is the largest acquisition in the technology history of the IT industry. Performance in India is very much solid and showed a positive growth with double digit across all segments- PCs,servers, storage and networking. Now Dell EMC sells data storage, information security, virtualization, analytics, cloud computing and other products and services that enable organizations to store, manage, protect, and analyze data. By adding hyper-converged and software defined solutions to its portfolio by bringing innovation is storage and networking space. Dell EMC’s target markets include large companies and small- and medium-sized businesses across various vertical markets. In 2013 Dell announced the completion of its acquisition by Michael Dell, Dell’s founder and CEO, and Silver Lake Partners, a leading global technology firm.Dell enters a new chapter, continuing the execution of


its long-term strategy and focusing on delivering best-in-class solutions to customers as a private enterprise. Dell Inc. announced that it would acquire EMC in a cash-and-stock deal valued at $67 billion—the largestever acquisition in the technology industry. The merger closed on September 7, 2016. DELL becomes stronger with recognising as Dell Technologies is Dell, Dell EMC,Pivotal,RSA, Secure Works,Virtustream and VMware. The company’s go- to- market strategy that saw a major revamp post privatization. Dell EMC provides the foundation to help modernize, automate and transform your data center with industry-leading servers, storage, cloud computing solutions, and converged infrastructure technology. 14. Hewlett Packard Enterprise: HP is globally bifurcated into two entity as HPI and HPE for giving more focus and bigger market traction. HPE is powerful entity in the mission critical enterprise computing space. Three critical components in HPE such as Server, Storage and Networking (It services being sold to CSC for $8.5bn) . Being the market leader in overall server and X86 server. The Hyper Converged solutions combine intuitive software with the reliability of a world class platform. HPE provides technology solutions to help businesses innovate and drive value in today’s rapidly evolving digital landscape. HPE enhanced its entire flash-optimized 3PAR storage portfolio to help enterprises capture the benefits of an all-flash data center. HPE(Aruba) continues to maintain #2 position in Enterprise Switching and Enterprise WLAN markets based on revenue in India. With the vision is to be the industry’s leading provider of hybrid IT with a vision to create it’s leadership position in the enterprise mobility space. To simplify that even further, customers need to run their data centers today. What they have today, they want to bridge to the cloud, and they’ve got different ways of doing that. Eventually, the industry is going to IoT, to the edge, to the new iterations. 75 percent of the revenue comes through our partner relationships. HP is a partner-driven business. Mantra of success of HPE is rely heavily on partners to lead customers to the New Style of Business . 15. Capgemini: Cap Gemini S.A., branded as Capgemini, is a French multinational, headquartered in Paris, France. It provides IT services and is one of the world’s largest IT consulting, outsourcing and professional services companies with almost 190,000 employees in over 40 countries. Capgemini expanded its reach across geographics and service lines with the IGATE acquisations. The company also witnessed a significiant growth in its cloud and digital offerings. Application services account is the major source of revenue for Capgemini. With more than 200K employees in 40 countries, Capgemini works with major companies around the world. Strong believe on India as the delivery backbone and epicentre of execution underscores the importance of India in the overall game plan. Recent inauguration of new campus in 50 acres of space in Mumbai could seat about 30,000 plus employees. The will deliver various services includes application, digital and infrastructure services. In an effort to build brand awareness and reach business and IT leaders who would contract their services. The Capgemini team updates the site frequently using curated, licensed content from publications like Fast Company, Mashable, Forbes, and Business Insider. The site covers topics ranging from data and analytics, to cybersecurity, to leadership. 16. Oracle: Oracle Database (commonly referred to as Oracle RDBMS or simply as Oracle) is an objectrelational database management system produced and marketed by Oracle Corporation. Oracle in India is aiming to become the number one player in the cloud market through its SaaS and PaaS offerings. Oracle sees newer opportunities in India that includes smart cities, Digital India and Make-inIndia etc. CEO Safra Catz Unveils Plans for Largest Oracle Campus Outside of the U.S. in Bengaluru, India; Launches 9 Regional Software and Technology Incubation Centers; Announces Initiative to Train More Than 500,000 Local Students Each Year. Spread over 2.8-million-square-feet, the cuttingedge campus will be Oracle’s largest outside of its iconic headquarters in Redwood Shores, California. Expected to be the epicenter of its operations throughout India, more than 11,000 employees from diverse fields, including

engineering, sales and marketing, global support, finance and consulting, will converge at the high-tech site.Oracle provides enterprise software and computer hardware products and services. To contribute to India’s “Start-up India” and “Make in India” initiatives, Oracle is opening nine incubation centers throughout the country. These centers will support entrepreneurship and development of innovative start-ups by providing software, tools, and training to new software and technology companies utilizing Java and the Oracle platform. These centers will be located in Bengaluru, Chennai, Gurgaon, Hyderabad, Mumbai, Noida, Pune, Trivandrum and Vijayawada. 17. Intel: Intel Corporation headquartered in Santa Clara, California . It is the world’s largest and highest valued semiconductor chip makers based on revenue, and is the inventor of the x86 series of microprocessors: Global strategy of Intel is transforming Intel from a PC company to a company that powers the cloud and billions of smart, connected computing devices. The processors found in most personal computers (PCs). Intel supplies processors for computer system manufacturers such as Apple, Lenovo and HP, and Dell. Intel also manufactures motherboard chipsets, network interface controllers and integrated circuits, flash memory, graphics chips, embedded processors and other devices related to communications and computing. With all this Intel is able to make only single digit growth in India. Intel designs, manufactures and sells computer components and related products. Intel develops advanced integrated digital technology products, primarily integrated circuits, for industries such as computing and communications. The company operates its business through following segments: Client computing Group, Data Center Group, Internet of Things Group, Software & Services and All Other. With growth of data center shows more significiant , data centers use servers powered by Intels X86 chips. 18. SAP: SAP, the German ERP software company, has successfully made inroads into cloud computing and digital solutions. SAP SE provides enterprise application software and software-related services worldwide. It operates through the On-Premise and Cloud segments. SAP India introduced many best practices from the implementations it had done in countries such as Brazil and Latin America. We created some packages for micro-verticals (small, specialized industry segments) and created an ecosystem of implementation partners that did not exist earlier. SAP launched its High-performance Analytic Appliance (HANA) software platform, which enables data processing in real or near-real time for “quick business insights and improved decision-making”. HANA can be deployed on premise or on the cloud, a model whereby firms do not spend upfront on licensing and equipment but pay on a per-use basis. SAP feels Digital is not just about the front end; it’s also about integrating different elements and factors in a holistic and empowering pattern. It’s about the experience, which SAP will provide. SAP has spent billions of dollars on acquiring firms whose solutions are cloud-centric. Some examples include Hybris, Success Factors, Ariba, Concur and Fieldglass. The Ariba division markets and sells cloud software offerings developed by Ariba. The company also supports enterprises in various industries in consumer, discrete manufacturing, energy and natural resources, financial services, public services, and services industry sectors. 19. CISCO: Cisco designs, manufactures, and sells Internet Protocol based networking products and services related to the communications and information technology industry. The US-based networking company Cisco continues to be a dominant player in the Indian networking markets with 65.74% pie. Cisco has established itself as the leading provider of enhanced TV viewing experiences to more than 30 million Indian homes. Using the industry estimated average of five people per household, Cisco is now enabling a rich and advanced TV experience for over 150 million viewers, a milestone that reinforces the company’s leadership in the digital pay-TV solution market in India.Strong conviction on digital transformation is the key to success. With various opportunities in India is coming up includes Smart cities, digital initiatives and IoT seems CISCO also preparing for digital ready networks. Focus increases towards security with the acquisition of Pawaa( IT Security company), cisco Jasper Introduces Automated Mobility

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LG

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LG

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POWER OF BRANDS Management Platform, with this extension of Cisco Jasper’s IoT Platform Enables Enterprises to Automate the Connectivity and Management of Corporate Mobile Devices. The company plans to make Pune its global export hub.Cisco has also invested in 25-26 start-ups in India and is actively looking for more companies that are working in the Internet of Things (IoT), smart cities and security space. 20. Lenovo designs, develops, manufactures and sells personal computers, tablet computers, smartphones, workstations, servers, electronic storage devices and IT management software since 2013, Lenovo is the world’s largest personal computer vendor by unit sales. It markets the ThinkPad line of notebook computers, IdeaPad and Yoga lines of notebook laptops, and the Idea Centre and Think Centre lines of desktops. Lenovo has operations in more than 60 countries and sells its products in around 160 countries. The robust growth of LENOVO been witnessed by winning the largest PC deals about 640K units that bagged from Tamilnadu (ELCOT) . Lenovo going aggressive with its retail expansion plans, with increasing number of Lenovo Exclusive Stores ( LES) and the company also expanded its presence to over 50 new locations. The partnership with Nutanix mark an important step in this direction. The Lenovo ThinkServer is an excellent entry-server for growing businesses. Featuring powerful Intel processors and enterprise-class storage and networking, it is really value for money proposition. This business seems very much promising with various new opportunities are coming as the Governments commitment for Supercomputing mission, make in India and Digital India initiatives. 21. LG electronics: LG Electronics is a South Korean multinational electronics company headquartered in Seoul and employing 82,000 people working in 119 local subsidiaries worldwide.LG comprises four business units: Home Entertainment, Mobile Communications, Home Appliance & Air Solution, and Vehicle Components, LG Electronics was one of the world’s second-largest television manufacturer. LG Electronics plays a large role in the global consumer electronics industry. In 2016, exclusively to India, Indian arm of South Korea’s LG Electronics Inc started selling a TV that would reject mosquitoes and LG Electronics continued to develop various electronic products,It uses ultrasonic waves that are silent to humans but cause mosquitoes to fly away. It uses ultrasonic waves that are silent to humans but cause mosquitoes to fly away. The technology was also used in air conditioners and washing machines. LG Electronics’ products include televisions, home theater systems, refrigerators, washing machines, computer monitors, wearable devices, smart appliances, and smartphones. LG Electronics India has been the most attractive brand in consumer durables. In 2017 LG is completing its 20-year long journey in the country. 22. APC by Schneider Electric India : Now APC is known as Schneider Electric IT Business India , a global leader in power and cooling services, provides industry leading hardware, software, and services designed to ensure availability and higher energy efficiency across the residential, business network, data center, and manufacturing environments. Backed by the strength, experience, and wide network of Schneider Electric, APC has done impressive double digit growth in India. The IT Business has been consistently moving in a positive growth track with the company on expansion drive to offer end-to-end IT solutions and delivers well planned, flawlessly installed and maintained solutions throughout their lifecycle. Schneider Electric is the global specialist in energy management and automation. With revenues of ~€27 billion in FY2015, the 160,000+ employees serve customers in over 100 countries, helping them to manage their energy and process in ways that are safe, reliable, efficient and sustainable. From the simplest of switches to complex operational systems, the technology, software and services improve the way the customers manage and automate their operations. The new lithium-ion battery solution for three-phase uninterruptible power supplies (UPSs), brings compact, lightweight, longlasting and sophisticated energy storage protection to data centers, industrial process, or critical infrastructure. APC has been the industry-standard for reliable power and physical IT infrastructure.

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23. CANON: Canon is a Japanese multinational corporation. Canon was the tenth largest public company in Japan when measured by market capitalization. Canon manufactures consumer imaging products including printers, scanners, binoculars, compact digital cameras, film SLR and digital SLR cameras, lenses, video camcorders, and digital visual solutions. Canon, the world imaging leader, marked its 20th anniversary in India with a steadfast plan for the country across its enterprise, commercial, consumer and social initiatives. The company, celebrating two glorious decades in the country, reaffirmed its commitment to India with the announcement of its Vision 2020. Canon India’s Vision 2020 charts its next phase of growth in India. The company in the next three years, aims to penetrate further in the country with its offerings, augment the photography culture in India and introduce technological advancements across business and consumer products. Vision 2020 sets a growth target of INR 3500 crore for Canon India, to be achieved by consistently attaining a year on year double digit growth.Driving innovation in every aspect of its business. Canon invested a total of US$3,946 million in research and development in 2011, equivalent to 8.7% of sales. In 2011, Canon was granted 2,813 patents in the United States, the third-highest number of any company (after IBM and Samsung Electronics). 24. Adobe Systems Incorporated is an American multinational computer software company, headquartered in San Jose, USA. Adobe has historically focused upon the creation of multimedia and creativity software products, with a more recent foray towards rich Internet application software development. It is best known for Photoshop, an image editing software, Acrobat Reader, the Portable Document Format (PDF) and Adobe Creative Suite, as well as its successor Adobe Creative Cloud.For Adobe India is an important innovation hub for Adobe and over time a lot of the company’s products have been developed in its Indian R&D centres located in Noida and Bengaluru and is the largest market for enterprises business, and the largest on the SME side lead by its digital marketing focus. Adobe was catering to designers and developers on desktop.Company claims it is the first country in the world to shut down our perpetual licencing business and move the model to the cloud. With the lauch of the creative cloud the company finally did so globally in June 2014. India as a centre owns 26 products end-to-end. India has become the largest site for patents with 300 filed. Adobe has two big focus when it comes to India—government and education. In government Adobe can play an important role like government to citizen engagement, two citizen portal’s and third is empowering education. Reason being Every interaction with government starts and ends with forms. Digital marketing is a high growth business for Adobe and a significant part of R&D activities for Adobe Marketing Cloud are driven out of Adobe’s India R&D labs. 25. ACER is a Taiwanese multinational hardware and electronics is headquartered in Taiwan. Acer is one of the renowned PC brands around the world and holds a prominent place in India as well. The company completed 40 years in the PC business and has seen all shades of life through its journey. Acer’s products include desktop PCs, laptop PCs, tablets, Smartphones, Monitots, Projector Servers and gaming . Acer implemented a new business model, shifting from a manufacturer to a designer, marketer and distributor of products, while performing production processes via contract manufacturers. In 2015, Acer was the sixth-largest personal computer vendor in the world. Currently, in addition to its core IT products business. Acer aim to understand the customer at a deeper level. Acer has started to manufacture Acer products in India and export to Thailand, Indonesia, Philippines and Malaysia. Looking forward to develop the base here and export as much as we can from India. Acer India is now venturing into high-power computing (HPC) with the support from the government of India.Acer’s relentless pursuit for design excellence across the entire product spectrum and the overall user experience, gives the brand an upper hand when compared to its competitors. Acer India owns 10 per cent of India’s personal computer (PC) market.


India’s Most Admired Brands The Most admired Brands in the Indian ICT industry reflect and articulate the contribution of those brands that have displayed strong leadership in their respective areas. With global competition becoming tougher and many competitive advantages such as technology become more short-lived, Most Admired Brands are one of the few business assets that can provide long-term competitive advantage with the capability of digital transformation and best practices with strong campaign management. They also ensure at the same time that CMOs initiatives are strategic and transformational with smooth operationally efficiency and remain focused on revenue and cost. Lastly, they try to continuously innovate the brand which is not only recognized by customers, but there is also an in-depth knowledge and understanding of its distinctive qualities and characteristics like brand dependability. The survey also found that the ICT industry is the key input to productivity and growth performance in the business sector by having made good progress in modernizing the country’s economy. Our strong belief is that a strong brand, regardless of the market in which it operates, drives improved business performance. In 2017, AMD has reached a milestone and reconfirmed its position as an innovator in datacenter with the introduction of Naples which delivers the unique high-performance features required to address highly virtualized environments, massive data sets and new, emerging workloads. Besides this, following the success of Ryzen 7 desktop processors, the company has also announced Ryzen 5 desktop processors, designed to achieve new levels of compute performance for millions of PC users. AMD believes that the introduction of Ryzen will bring innovation and competition to virtually every segment of the PC market. BT (British Telecom) uses the power of communication to make a better world. It helps its customers with Network Services, Unified Communications, IT Services, Security & Risk Management, Mobility Services, CRM, Professional Services, Digital Consumer, and Supply Chain solutions. In 2017, BT and MediaTek have joined hands to offer complete wireless connectivity for the home. MediaTek will power BT’s Whole Home Wi-Fi solution with its Adoptive Network technology so that it can offer full-coverage wireless connectivity. The acquisition of EE by BT in January 2016 has widened the business opportunities for the company with six customer-facing lines of business – BT Global Services, BT Business, BT Consumer, EE, BT Wholesale and Openreach.

Google Cloud Platform.

From pioneering FireWall-1 and its patented stateful inspection technology to offering a complete security architecture defending enterprises’ networks to mobile devices, Check Point has, indeed, come a long way. Check Point has come up with the Mobile Capsule integrated solution that can provide seamless security to protect business data from threats, establish a secure business environment on mobile devices, and secure business documents, devices and networks. It has also introduced vSEC for Google Cloud Platform. It delivers advanced security integrated with CommScope helps its customers to design, build and manage their wired and wireless networks. The solutions by CommScope provide customers increase bandwidth; maximize existing capacity; improve network performance and availability; increase energy efficiency; and simplify technology migration. CP Plus is a leading brand in Advanced Surveillance & Security Solution. Its vision and commitment is to make Surveillance Security Solution simpler and affordable. It offers a wide array of products for industries and residential complex needs, including surveillance products, time & attendance products, residential/ home security products, and plug and play security cameras. It also offers Smart Tech products like Safes, Ezykam and video door phone. Establish in 2007, with a focus on keeping customer’s applications online and to keep data secure. The commitment of taking total ownership of projects has earned the company some renowned brands of Indian industry. CtrlS has two state-of-the-art facilities, one in Hyderabad and the other in Mumbai. It is also planning to launch facilities in New Delhi and Bangalore. The company has been the frontrunners in innovation and ushering in a paradigm shift in technologies and infrastructure.

With an experience of over 30 years, D-Link is a well known name in Home & SMB/SME networking space. This year with a renewed strategy, the company is focusing on enterprise business segment. It is also looking forward to intensify its engagement with System Integrators through D-Link partner portal. D-Link implements and supports unified network solutions that integrate capabilities in switching, wireless, broadband, storage, IP surveillance, cloud-based network management, and structured cabling. In past 30 years D-Link has strengthened its position within the wireless industry. The company today has 17 branch offices with state-of-the-art D-Link Service Centre (DSC) in 11 cities and is further supported by 38 D-Link Service Partners (DSPs) present pan India. Since its incorporation in India, Epson has gained grounds and strengthened its position in the market. In 2011 it introduced its Ink Tank printers with unique technology called Micro Piezo and with this breakthrough Epson emerged as one of the leading brand in printing segment. Recently the company has extended its InkTank portfolio with four new launches- L361, L380, L385. Apart from InkTank printers, the company also markets and supports Inkjet All-in-Ones, Point of Sale Printers, 3LCD Projectors, Scanners, Large Format Printers, Robots and Dot-Matrix Printers. eScan is a distinct name in the security landscape providing protection anti-virus and content security solutions for desktops, smartphones and servers. A products company with wide-ranging solutions for businesses, both medium and large, eScan provides measures to prevent attacks and also, in many cases, detects the same. The company has recently received the coveted ISO Certifications for compliance under the standards of ISO 9001, ISO 14001 and ISO 27001, by Euro Veritas. These standards represent Integrated Quality Control, Uniform Environmental Standards and Information Security Controls and best practices organizations needs to adhere to receive the certification.

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POWER OF BRANDS Dedicated to deliver security without compromise, Fortinet provides security to network and content as well as secure access products that share intelligence and work together to form a cooperative fabric. The company has evolved itself from a UTM player and now offers multiple entry point solutions in the next-gen firewall space, WAN optimization, secured wireless routers, WAF, DDOS, and APT (Advanced Persistent Threat). Fortinet’s flagship product, FortiGate is available in various sizes and form factors to fit any environment. F5 offers cloud and security solutions that help organizations adopt application infrastructure they choose without sacrificing speed and control. It makes apps faster, smarter, and safer for businesses, service providers, governments, and consumer brands. Of late, F5 has introduced application security aimed to digital economy. With a customer base in over 180 countries, Gemalto offers digital security solutions. Its solutions are at the heart of modern life, from payment to enterprise security and the internet of things. Gemalto enables business and governments to authenticate identities and protect data so they stay safe. It also provides its services in personal devices, connected objects, the cloud and in between. Gemalto has recently partnered with Microsoft to provide On Demand Connectivity and eSIM technology for Windows 10 devices. Both Gemalto’s OnDemand Connectivity subscription management solution and Windows 10 native eSIM support together helps consumers to seamlessly manage the connectivity of their devices.

serve each facet of the digital life in the home and office.

Committed to “upgrade your life” and focused on consumer needs, Gigabyte has strengthened its position in India motherboard and graphics card markets. In the year 1986, Gigabyte was founded and it started as a research and development team. It has further expanded its product portfolio and included PC Components, PC Peripherals, Laptops, Desktop PCs, Servers to

HCL Technologies Limited is an Indian multinational IT services company, headquartered in Noida, Uttar Pradesh, India. It is a subsidiary of HCL Enterprise. HCL offers services including IT consulting, enterprise transformation, remote infrastructure management, engineering and R&D, and business process outsourcing (BPO). The company has offices in 34 countries worldwide and it operates across a number of sectors including aerospace and defense, automotive, consumer electronics, energy and utilities, financial services, government, industrial manufacturing, life sciences and healthcare, media and entertainment, mining and natural resources, public services, retail and consumer, semiconductor, server and storage, telecom, and travel, transportation, logistics, and hospitality. HCL technologies managed to secure a single digit growth, at time when growth has faltered with technology disruptions, weak overseas demand and dearth of M&A opportunities. Modern application and digitisation actually driving the growth where the package implementation services continuing to be subdued due to entire shift towards on-premises to as a service business models. Focused on customer value, HID Global is counted among the leaders in secure identity solutions. It provides innovative products, services and solutions for creation, management and use of secure identities. The company serves to a variety of markets like physical access control; IT security, including strong authentication/credential management; card personalization; visitor management; government ID; and identification technologies for a range of applications. Since its inception in 2001, Hikvision is known for its video surveillance products and solutions and also for designing and manufacturing a range of CCTV and video surveillance products. The product line ranges from cameras and DVRs to video management software. Due to its large R&D team and state-of-art manufacturing facilities, the company is able to deliver its customers superior products with cutting-edge technology. As a part of its R&D globalization strategy and the commitment to providing innovative products, Hikvision is also planning to setup an R&D Centre in Montreal, Canada and a Research Institute in Silicon Valley, California, USA. Expected to open in 2017, the R&D Centre will focus on engineering development and Research Institute on broad technology research. Hitachi Data Systems (HDS) helps its customers to digitally transform the business through enhanced data management, governance, mobility and analytics. It brings an integrated portfolio of services and solutions. HDS helps organizations open new revenue streams, increase efficiencies, improve customer experience and ensure rapid time to market in the digital age. Honeywell is a diversified technological and manufacturing company. It creates solutions to improve the quality of people’s life across the world. It offers solutions for energy efficiency, clean energy generation, safety and security and globalization. For Honeywell, India is an important market as it has a major role in the growth of the company. Honeywell employs close to 15,000 people across 50 locations including Bangalore, Chennai, Delhi, Gurgaon, Hyderabad, Madurai, Pune and Vadodara. Moreover, the company has recently inaugurated state-of-the-art refrigerant laboratory at the Honeywell India Technology Center (HITC) in Gurgaon. The new facility will help local and regional OEM partners in designing, incubating and testing new refrigerants, while helping them transition to low-global-warming-potential (LGWP) alternatives.

At the 14th annual Huawei Global Analyst Summit (HAS) Huawei has declared that the company will focus on public cloud services. It will invest majorly in building an open and trusted public cloud platform, which will act as a foundation of Huawei Cloud Family. The Cloud Family will include public clouds developed by Huawei and other operators and also public clouds that are operated by the company on its own. The company is also betting big on Digital Transformation as Huawei feels that it opens up immense new potential for value-driven growth in traditional industries. Ingram Micro is a distributor of IT products and services. Its headquarter remains in Irvine, California despite the fact the company has been acquired by the Chinese group HNA in 2016. The decision has not impacted India operations, it is belived that with the help of Ingram Micro, HNA Group would have access to business opportunities in emerging markets,which have higher growths and better profitability. World’s largest technology distributor, providing sales, marketing and logistics services for the IT industry worldwide. Ranked at number 62 in the 2015 Fortune 500, the company operates in 160

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countries with approximately 200,000 customer worldwide, including retailers and IT resellers.With sales over 43 billion USD in 2015, it is the world’s largest distributor in technology products and services. It sells (only to IT resellers) products and services from manufacturers such as Acer Inc., Apple, Cisco, Brocade Communications Systems, Veeam Software, Google, Hewlett-Packard (“HP”), IBM, Lenovo, Microsoft, Samsung... The company ranks 64th in the 2016 Fortune 500. In February 2016, a definitive merger agreement was announced under which the HNA Group will acquire Ingram Micro in an all-cash transaction with an equity value of approximately $6 billion. Juniper Networks has always been the frontrunner when it comes to innovative products, solutions and services that transform the economics of networking. It tries to set a new bar for performance, capacity and automation with new products and technologies that it launches. It works along with the customers and partners to deliver automated, scalable and secure networks with agility, performance and value.

help 270,000 corporate clients.

Founded in 1997, the global cybersecurity company, Kaspersky Lab’s in-depth threat intelligence and security skills is constantly transforming into security solutions and services to protect businesses, critical infrastructure, governments and consumers around the globe. The security offerings of the company include endpoint protection and a number of specialized security solutions and services to fight evolving digital threats. Kaspersky Lab has more than 400 million users and it also

With an experience of 30 years, Kingston has evolved itself in terms of offering memory products. It has grown into one of the world’s largest independent manufacturer of memory products. It designs, manufactures and distributes memory products for desktops, laptops, servers, printers, and Flash memory products for computers, digital cameras and mobile devices. A per the research firm, Forward Insights, Kingston holds 16 percent of the global channel SSD unit market share for 2016. 63 million SSDs that were shipped worldwide in the channel in 2016 of which Kingston SSDs accounted to nearly 10.1 million units. It is the second highest shipper of SSDs globally. Larsen & Toubro Infotech is a global IT services and solutions provider with presence in 22 countries. We solve complex business challenges at the convergence of digital and physical with our real-world expertise and client centricity. We help clients create captivating customer experiences, enhance processes and build innovative business models. L&T Infotech has developed an integrated framework that caters to the various elements of a Smart City. L&T Group is uniquely positioned to deliver and execute the Smart City initiatives in the India and Middle-East Markets. L&T Infotech has entered as a Master Systems Integrator (MSI) leveraging its expertise in project management of large infrastructure projects and systems integration. L&T Infotech provides the state-of-the-art Technology solutions and IT capabilities necessary for Smart Cities. This is backed by a strong collaboration with L&T Technology Services for Communication & Embedded solutions and Electrical Business Group for robotic automation offering a full-spectrum of solutions to execute turnkey projects for Smart Cities. New McAfee logo: Earlier known as Intel Security, McAfee, now- McAfee has started operating as a standalone company. It is one of the major cybersecurity firms. Based on the belief, “Together is Power”, the company will enhance its security solutions platform to better enable customers to effectively identify and orchestrate responses to cyber-threats. McAfee has chalked out its strategic vision focusing on innovation, trust and collaboration. Micromax is known as a major handset player in the telecom industry. It has a wide array of products including, feature rich, dualSIM phones, 3G Android smartphones, tablets, LED televisions and data cards, Air Conditioners and Laptops. Micromax operates across India, Russia and other SAARC markets. Micromax has sales of over 3 million mobility devices every month. To take the positioning of the company to the step level, Micromax has forayed into accessories segment. It will introduce products including Sound Bars, Bluetooth speakers, Earphones and Power banks, which will enhance the consumer experience of its core products.

the largest R&D teams.

NetApp is known for software, systems and services to manage and store data. It enables customers to value their data in the hybrid cloud through our Data Fabric strategy, data management expertise, portfolio and ecosystem. To server better to its customers in a changing technology landscape, NetApp has setup its Global Center of Excellence in Bengaluru, to further innovate in data management for the hybrid cloud era. The new facility will house the one of

Netgear, a networking company that turns ideas into innovative networking products that connect people, power businesses and enhance the quality of life we live. It delivers innovative products to consumers, businesses and service providers. The product portfolio includes both wired and wireless devices that enable networking, broadband access and network connectivity. The company built its products on proven technologies like wireless (WiFi and LTE), Ethernet and powerline, with a focus on reliability and ease-of-use. In a recent announcement the company revealed that it will shift purely into solution based selling across networking products. To deliver better customer connect, the company has plans to open 50 partner managed Netgear Retail outlet across India. With 9 carrier-neutral, state-of-the-art data centers, Netmagic, an NTT Communications company, is among the leading Managed Hosting and Cloud service providers. It serves more than 2000 enterprises globally and offers Remote Infrastructure Management (RIM) services to various Enterprise customers. It was the first to launch services such as Cloud Computing, Managed Security, Disaster Recovery-as-a-Service and Software-Defined Storage. The company has joined hands with Microsoft and Cisco for Virtual Private Cloud, it leverages Hybrid IT strategy to scale, optimize and manage the technology environment real-time. With a belief that flash and big data analytics will be the upcoming technological breakthrough in storage market, Nimble Storage was founded in the year 2008. These technological advancements created an opportunity to deliver unprecedented application performance and availability, while radically simplifying IT operations.

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Nutanix, an enterprise cloud computing company which makes infrastructure invisible, elevating IT to focus on the applications and services that power their business. The solution offered by the company leverages web-scale engineering and consumer-grade design to natively converge compute, virtualization and storage into a resilient, software-defined solution with rich machine intelligence. It results into predictable performance, cloud-like infrastructure consumption, robust security, and seamless application mobility for a broad range of enterprise applications. In 1999, the invention of GPU by NVIDIA acted as a catalyst in the growth of PC gaming market. It gave a new definition to the modern computer graphics and revolutionized parallel computing. But now with GPU deep learning, the next era of computing i.e, Artificial Intelligence (AI) is again changing the dynamics of computing. Now, NVIDIA is better known as AI computing company.

A global electronic and technology service provider, Oppo offers the latest and beautifully crafted mobile electronic devices in over 20 countries, including the United States, China, Australia and many countries throughout Europe, Southeast Asia, South Asia, the Middle East and Africa. OPPO is dedicated to deliver customers with the most extraordinary mobile experience through meticulous designs and smart technology. Oppo forays into Indian market in early 2014 and has commercial presence in major cities and regions of India. With its growing presence, OPPO aims to provide beautifully designed phones and a flawless camera experience to the young consumers. With a new R&D (Research & Development) facility in India, Panasonic is aiming to strengthen its Appliances portfolio. The aim of Design Division and Offshore Development Division of the R&D Centre is to expand the current organization gradually by local product manufacturing and technological innovations like artificial intelligence and robotics from India for a global platform. Committed for a better life and a better world, Panasonic offers a wide range of products in Consumer Electronics, Home Appliances, System products and Business solutions. In India & South Asia, the company has a workforce of around 13,000. With the improving network infrastructure in Tier II cities across India, the unified communication and collaboration company Polycom has witnessed a surge in demand in Kerala. Companies based in Tier 2 cities are exploring newer geographies to substantial impact for their services or products. Polycom helps organizations to leverage its secure video, voice and content solutions to overcome the challenge of distance and stay connected. Over 400,000 companies and institutions use Polycom solutions which help to increase productivity, speed time to market, provide better customer service, expand education and save lives. Qualcomm is committed to invest USD 8.5 Mn for expansion of their design initiatives in India called Qualcomm Design in India Program. The program has two key initiatives. Thr program will support companies in areas of Rural technology, Biometric Devices, Payment Terminals, Agri Technology, Medical Technology and Smart Infrastructure. The initiatives also aims to empower India mobile and IoT vendors by providing advanced Camera,

Audio, and RF design in India. With the purpose of creating “quality communications” Qualcomm came into existence. However, the idea remains the same after many years but the company has spread across the globe and provided easy and improved communication. Qualcomm comes up with a wide array of technologies that are invented to make communication better. Red Hat is a company with a vision to develop software differently. By using a community powered approach, it has become one of the leading open source software solution company. It offers reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. As the connective hub in a global network of enterprises, partners and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Red Hat has recently collaborated with IBM to help enterprises benefit from the OpenStack platform’s speed and economics. Redington group comprises Redington (India) Limited and its Fifty Four Indian and Overseas subsidiaries. Indian Subsidiaries are directly held by the Company. Redington provides end-to-end supply chain solutions for all categories of Information Technology products (PCs, PC building blocks, networking, software and enterprise solution products) and Consumer and Lifestyle products (Telecom, Digital Lifestyle products, Entertainment products and Digital Printing Machines) to over 200 international brands and relationship with major brands have been for years. With its corporate office in Chennai, it has 48 Sales locations across India. In addition, through its subsidiaries both in India and overseas, Redington has 81 Sales offices, 147 warehouses and 77 own service centers and 266 partner centers. Ricoh is a global technology company that has been transforming the way people work for more than 80 years. Under its corporate tagline – imagine. change. – Ricoh continues to empower companies and individuals with services and technologies that inspire innovation, enhance sustainability and boost business growth. These include document management systems( Printer,Wide format,projector) IT services, production print solutions, visual communications systems, digital cameras, and industrial system. Headquartered in Tokyo, Ricoh Group operates in approximately 200 countries and regions. In the financial year ending March 2016, Ricoh Group had worldwide sales of 2,209 billion yen (approx. 19.6 billion USD). Ricoh is a leader in Managed Document Services, and can provide a unique combination of Document and IT-related services, addressing business practices surrounding the management of both print and electronic information and communication. Ricoh also produces award-winning digital cameras and specialized industrial products. With operations in more than 100 countries, Schneider Electric is among the global specialists in energy management and operations. Across multiple market segments which includes Non-residential & Residential Buildings, Industries & Machines Manufacturers, Utilities & Infrastructure and Data Centers & Networks the company offers integrated solutions. It has developed connected technologies and solutions to manage energy and process in ways that are safe, reliable, efficient and sustainable. The Group invests in R&D in order to sustain innovation and differentiation, with a strong commitment to sustainable development. Enabling people people and business across the globe to create, preserve and share their memories and business data, Seagate is one of the leading storage companies. Seagate is building on its heritage of storage leadership to solve the challenge of getting more out of the living information that’s produced everyday. The company delivers its wide array of solutions to business -

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personal, OEM and integrator segments. Seagate has recently launched its IronWolf Pro for NAS applications to help small-to-midsize enterprises better manage the massive amounts of data they create and consume. Seclore with its Enterprise Digital Rights Management solution empowers organizations to control the usage of files on the move, both within and outside of organizations’ boundaries. Seclore automates the protection of documents as they are downloaded, discovered, and shared to accelerate adoption. The company focuses on security which ensures that any type of document remains protected. Working closely with customers, the company combines industry expertise and open and scalable persistent data-centric technology to offer seamless and extended security infrastructure beyond the organization. Sify Technologies: With a successful foray into North America and its recent expansion in Europe, Sify Technologies is among the largest integrated ICT Solutions and Services companies. It has a reach of 1400 cities and towns in India and offers an end-to-end solutions with a wide array of products delivered over a common telecom data network infrastructure. The company connects 43 Data Centers across India which includes Sify’s 6 Tier 3 Data Centers across the cities of Chennai, Mumbai, Delhi and Bengaluru. The company earns a major chunk of its revenue from Enterprise Services, comprising of Telecom services, Data Center services, Cloud and Managed services, Applications Integration services and Technology Integration services. It also caters to the demands of Enterprise Services, comprising of Telecom services, Data Center services, Cloud and Managed services, Applications Integration services and Technology Integration services. With an experience of around 30 years, Sophos helps secure networks of 100 million people in 150 countries and 100,000 businesses. The company focuses on keeping IT security simple and reliable. Sophos products secure every endpoint of a network from laptops to virtual desktops and servers, to web and email traffic and mobile devices. To further strengthen its product portfolio, the company has signed an agreement to acquire Invincea, a provider of next-generation malware protection. Symantec is known for strategic, integrated solutions to defend against sophisticated attacks across endpoints, cloud and infrastructure. It helps businesses, governments and people secure their indispensible data wherever it lies. Likewise, a global community of more than 50 million people and families rely on Symantec’s Norton suite of products for protection at home and across all of their devices.

For over three decades, Tally is facilitating the businesses with its accounting software. It serves to million users in over 10 countries and across industries. Due to its strong R&D team, it strives to deliver unmatched innovations and continues unchallenged as the industry leader in enterprise resource planning software for medium and small businesses. It has a network of 20,000+ partners who delivers customer experience in sales, support and services. Tally aims to be the technology fabric that drives the economic growth of the world, by 2030. Trend Micro has always been recognized as one of the leaders in server security, cloud security, and small business content security. It innovate security solutions to make the world safe businesses and consumers to exchange digital information. Trend Micro security fits the needs of customers and partners. The solutions protect end users on any device, optimize security for the modern data center, and secure networks against breaches from targeted attacks. To better protect the networks and hybrid cloud environments, the company has recently launched XGen security, a unique blend of cross-generational threat defense techniques. VMware is enabling its customers to adopt digital transformation. It is considered to be a leader in cloud infrastructure and digital workspace technology. With VMware solutions, organizations are improving business agility by modernizing data centers and integrating public clouds, driving innovation with modern apps, creating exceptional experiences by empowering the digital workspace, and safeguarding customer trust by transforming security. It serves more than 500,000 customers and 75,000 partners. VMware is a member of the Dell Technologies family of businesses. VEEAM: Veeam provides powerful, easy-to-use and affordable backup and Availability for Microsoft Hyper-V environments.Veeam Backup & Replication delivers fast, flexible and reliable recovery of virtualized applications and data, bringing VM backup and replication together in a single solution with award-winning support for Microsoft Hyper-V and over 50,000 customers have switched to Veeam in the last 12 months, resulting in over 216,500 worldwide customers who have found something fundamentally different from Veeam — backup and Availability designed specifically for virtualized environments. Veeam recognizes the new challenges companies across the globe face in enabling the Always-On Enterprise, a business that must operate 24.7.365 by helping organizations meet recovery time and point objectives of less than 15 minutes for all applications and data. Lastly, Veeam saves time and money while reducing risk for your organization. Veritas Technologies helps its customers to leverage the power of their information with its information management solutions. All the solutions offered by Veritas from business continuity to back up and recovery to software defined storage and information governance are designed keeping the importance of information in mind. Veritas works with organizations of all sizes, including 86 percent of global Fortune 500 companies, improving data availability and revealing insights to drive competitive advantage. Rebranded as Vertiv, Emerson Network Power (formerly known), designs, builds and services critical infrastructure that enables vital applications for data centers, communication networks and commercial and industrial facilities. Platinum Equity has acquired the business from Emersonin a transaction valued in excess of $4 billion. Emerson also holds a minority interest in the company. Headquartered in Columbus, Ohio (USA), Vertiv has more than 20,000 employees and over 25 manufacturing and assembly facilities worldwide. Western Digital (WD) enables people to create, leverage, experience and preserve data through its storage technologies and solutions. The company provides a wide range of high-quality storage solutions with customerfocused innovation, high efficiency, flexibility and speed. WD has recently expanded its product portfolio with WD Purple 10TB HDD, the newest member of its high-capacity hard drive line for surveillance applications.

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TAIWAN

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TAIWAN

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Hot Topic

Telecom Operator:

Year of Consolidation Launch of Reliance Jio, led to large scale consolidation and faster growth of mobile broadband in India FY2016-17 was a remarkable year for telecom service providers in India. The year saw large scale mergers and acquisitions in the market leading to reducing Indian service providers to only eight operators which includes: Bharti Airtel (includes Telenor and Tikona), Vodafone and Idea Cellular, Reliance Jio, BSNL, MTNL, Reliance Communications (MTS and Aircel), Tata Teleservices, and Quadrant Televentures. The Indian operators will also see one more phase of consolidation between operators reducing Indian telecom players to 4-5 only. The year saw Bharti acquiring Telenor and Tikona for spectrum and subscribers. Reliance Communications merging with Aircel to form a merged entity with equal representation on the Board. The combined entity will enjoy substantial benefits of scale. The biggest of all consolidation was when Vodafone and Idea Cellular agreed to merge with joint control of the combined company. The implied enterprise value of Voda-Idea was $23.2 billion and the transaction is expected to close during 2018. The launch of Reliance Jio 4G (mobile broadband) services in FY2016-17 led to aggressive price war between operators. This resulted in per GB bandwidth cost reducing to its lowest level not only in India but also globally. The per GB cost of bandwidth is presently Rs. 10-15. There was a mad rush of customer acquisition in mobile broadband and Reliance Jio was the clear winner thanks to its 360 degree approach of content, network and device packed with aggressive marketing strategy. The incumbent operators were late to react and is trying to match or better the Reliance Jio offer but they were not able to apply brakes to 100 million subscribers of Reliance Jio in a record time of 170 days. Both consolidation and mobile broadband is presently benefiting Indian consumers in a big way but telecom operators are caught up in large debts thanks to increased investment in capex and drop in profitability due to aggressive pricing by Indian operators. It would be interesting to see how long will this continue before mobile broadband price stabilises in the country. 32

Wireless Subscriber Base (as on Feb 2017) Rank

Operator

Subscribers (Mn)

1.

Bharti Airtel

270.65

2.

Vodafone

207.23

3.

Idea Cellular

193.27

4.

Reliance Jio

102.8

5.

BSNL

98.91

6.

Aircel

91.05

7.

Reliance Communications

86.27

8.

Telenor

51.63

9.

Tata Teleservices

51.23

10.

MTS

5.25

11.

MTNL

3.63

12.

Quadrant

2.24

Total Wireless Subscribers

1,164.16 Source: TRAI

Top 5 Mobile Broadband Operators Rank

Operator

Subscribers (Mn)

1.

Reliance Jio (4G)

108.9

2.

Bharti Airtel (3G + 4G)

37.69

3.

Vodafone (3G + 4G)

35

4.

Idea Cellular (3G + 4G)

27.03

5.

Reliance Communications (3G + 4G) 23.4 Source: VARINDIA


Bharti Airtel

Bharti Airtel is the largest wireless operator in the country both in terms of customers and revenues. Airtel offers postpaid, pre-paid, roaming, internet, m-Commerce (Airtel Payments Bank) and other value added services. Airtel’s 3G services are spread across key cities in the country offering high-speed internet access and a host of innovative services like Mobile TV, video calls, live-streaming videos and gaming. Airtel’s 4G services have presence across the country except J&K, offer wireless services with buffer-less HD video streaming and multi-tasking capabilities to its customers. The national long distance infrastructure provides a pan-India reach with 223,607 Rkms of optical fiber. Airtel’s distribution channel is spread across 1.5 million outlets with network presence in 7,892 census and 784,769 non-census towns and villages in India covering approximately 95.3% of the country’s population. Airtel’s enterprise services provides diverse portfolio of services to enterprises, governments, carriers and small and medium business. For small and medium business, Airtel is a trusted solution provider for fixedline voice (PRIs), data and other connectivity solutions like MPLS, VoIP, SIP trunking. Additionally, the company offers solutions to businesses audio, video and web conferencing. Cloud portfolio is also an integral part of its office solutions suite, which offers storage, compute, Microsoft office 365, e-commerce package through shopify and CRM packages on a pay as you go model. Along with voice, data and video, Airtel services also include network integration, data centers, managed services, enterprise mobility applications and digital media. Airtel’s strategically located submarine cables and satellite network enable our customers to connect across the world including hard- to-reach areas. The global network runs across 230,000 Rkms, covering 50 countries and 5 continents. The company continued to invest on upgradation and expansion of network towers. The company had 160,199 network towers. Out of the total number of towers, 113,367 are mobile broadband towers i.e. those are either 3G or 4G equipped. The company has significantly stepped up its data investment in preparation of a future data world and now has 170,844 mobile broadband base stations (3G and 4G base stations across all technologies i.e. 900/2100/1800/2300), as compared to 99,297 mobile broadband base stations at the end of the corresponding quarter last year and 148,078 at the end of the previous quarter. Airtel has also doubled its overall transmission capacity and increased the mobile backhaul capacity by eight times to roll out high speed broadband network with 4G and 3G coverage in all 22 telecom circles. This deployment has been supported by addition of 14,500+ Km of fibre to Airtel’s national fibre backbone along with 3,666 new fibre PoP nodes. Airtel Payments Bank, a fully digital and paperless bank, aims to take banking services to the doorstep of every Indian by leveraging Airtel’s vast retail network with massive reach in rural pockets. Airtel Payments Bank currently has a network of over 250,000 neighbourhood Airtel retail stores, which also function as banking points. This is more than the total number of ATMs in the country. The bank aims to scale its network to 600,000 banking points across the country. Airtel Payments Bank has committed an investment of Rs. 3,000 crore across its national operations and plans to build a digital payments ecosystem with over 5 million merchants. Over one million merchants have already been onboarded across India.

Vodafone

Vodafone India is a 100 per cent fully owned subsidiary of the Vodafone Group with operations across the country serving over 207 million customers of which over 106 million is in rural areas. Building on its global experience and expertise and offering a comprehensive portfolio of technologies - 2G, 3G, and 4G, Vodafone is uniquely positioned to actualise the vision of Digital India. Vodafone’s mobile wallet, M-Pesa is a unique and innovative money transfer service from Vodafone that fosters financial inclusion. Vodafone SuperNet 4G services are available across 17 circles in India Kerala, Kolkata, Karnataka, Delhi, Mumbai, Gujarat, Uttar Pradesh (East), West Bengal, Haryana, Rajasthan, Punjab, Assam & North East, Odisha, Tamil Nadu, Maharashtra & Goa, Uttar Pradesh (West). These circles cover around 91% of our service revenues and 94% of our data revenues. On international roaming front, Vodafone India 4G customers will now be able to roam seamlessly on high speed 4G networks while travelling overseas in over 40 countries. With the combined strength of its own network and that of its network partners across the globe, Vodafone now has the world’s largest 4G footprint on international roaming. Combined with Vodafone’s best international roaming packs, that allow free

Airtel’s Acquisition Strategy

Airtel and Telenor

Bharti Airtel has entered into a definitive agreement with Telenor South Asia Investments to acquire Telenor (India) Communications. The acquisition is subject to requisite regulatory approvals. As part of the agreement, Airtel will acquire Telenor India’s running operations in seven circles - Andhra Pradesh, Bihar, Maharashtra, Gujarat, UP (East), UP (West) and Assam. These circles represent a high population concentration and therefore offer a high potential for growth. The proposed acquisition will include transfer of all of Telenor India’s assets and customers, further augmenting Airtel’s overall customer base and network. It will also enable Airtel to further bolster its strong spectrum foot-print in these seven circles, with the addition of 43.4 MHz spectrum in the 1800 MHz band. Airtel will ensure quality services to Telenor India’s customers, while offering them the added benefits of its innovative product portfolio, access to superior voice and data services, mobile banking, VAS and domestic/international roaming facilities. Telenor India’s operations and services will continue as normal until the completion of the transaction.

Airtel and Tikona

Bharti Airtel has entered into a definitive agreement with Tikona Digital Networks to acquire Tikona’s 4G Business including the Broadband Wireless Access spectrum and 350 sites, in five telecom circles. The acquisition is subject to requisite regulatory approvals. Tikona currently has 20 MHz spectrum in the 2300 MHz band in Gujarat, UP (East), UP (West), Rajasthan and Himachal Pradesh circles. Airtel plans to roll-out high speed 4G services on the newly acquired spectrum in the five circles immediately after the closure of the transaction. As per the agreement, the acquisition of the 4G business in Gujarat, UP (East), UP (West) and Himachal Pradesh will be undertaken by Airtel, while in the Rajasthan circle, it will be accomplished through Airtel’s subsidiary Bharti Hexacom. Post-acquisition, the combined spectrum holding of Airtel in these five circles will be within the spectrum caps prescribed by the Government. The proposed acquisition will enable Airtel to fill BWA spectrum gaps in the 2300 MHz band in Rajasthan, UP (East) and UP (West), thereby securing a pan India footprint in the band. The deal will significantly bolster Airtel’s spectrum position in Gujarat and Himachal Pradesh, taking its overall BWA spectrum holding to 30 MHz each in these circles. Post completion of the deal, Airtel will have 30 MHz in the 2300 MHz band in 13 circles giving it tremendous advantage to handle the surging data demand. incoming as well as calls & data browsing at home prices, Vodafone users can now enjoy worry free roaming in countries like: USA, UAE, UK, France, Germany, Italy, Ireland, Spain, Greece, Switzerland, Singapore, Australia, Hong Kong, Thailand, Malaysia, Turkey, Belgium, Netherlands, Norway, Denmark, Czech Republic, Portugal, Romania, Albania, Hungary, Luxembourg, Canada, Saudi Arabia, Oman, Qatar, Kuwait, Sri Lanka, New Zealand, Japan, Korea, Russia, Taiwan, Mauritius and Morocco. Vodafone Business Services (VBS), the enterprise arm of Vodafone, provides total telecommunications solutions across both mobility and fixed line platforms and enables global enterprises, corporates, SME’s and government segments to communicate, collaborate and connect. VBS specifically addresses the connectivity, Internet of Things (IoT), cloud and converged communications needs of its customers.

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Hot Topic Today with more than 7.5 million mobility corporate customers as on March 31, 2016, VBS is providing services to global and national businesses equipped with a robust network infrastructure and a 24x7 NOC. In India, Vodafone’s range of IoT solutions include Vodafone Location Tracker, Automotive Telematics, Remote Asset Management, Managed IoT Connectivity Platform, Wireless Payment solutions, Security & Surveillance solutions, Smart Metering solutions and Special SIMS designed for operating in harsh conditions. Vodafone M-Pesa is an innovative, safe and secure mobile wallet which enables complete suite of services like money transfer, bill payments, and recharge on the move from the mobile. It caters to all segments of the society, from the unbanked to the under banked and to the net-savvy and evolved customers. Today, with a pan-India distribution of over 130,000 agents and more than 4.5 million customers, Vodafone M-Pesa is the largest banking correspondent in the country and is playing a vital role in enabling

Vodafone and Idea Merger

Vodafone has agreed to combine its Indian subsidiary, Vodafone India (excluding its 42% stake in Indus Towers) with Idea Cellular, creating India’s largest telecom operator with country’s widest mobile network. This amalgamation will create the country’s biggest telecom services provider with a customer base of over 394 million. This is merger of equals with joint control of the combined company between Vodafone and the Aditya Birla Group, governed by a shareholders’ agreement. The merger ratio is consistent with recommendations from the joint independent valuers. The implied enterprise value of $12.4 billion for Vodafone India and $10.8 billion for Idea excluding its stake in Indus Towers. Voda-Idea will provide substantial cost and capex synergies with an estimated net present value of approximately $10 billion after integration costs and spectrum liberalisation payments, with estimated run-rate savings of $2.1 billion on an annual basis by the fourth full year post completion. Vodafone will own 45.1% of the combined company after transferring a stake of 4.9% to the Aditya Birla Group for $579 million in cash concurrent with completion of the merger. The Aditya Birla Group will then own 26% and has the right to acquire more shares from Vodafone under an agreed mechanism with a view to equalising the shareholdings over time. If Vodafone and the Aditya Birla Group’s shareholdings in the combined company are not equal after four years, Vodafone will sell down shares in the combined company to equalise its shareholding to that of the Aditya Birla Group over the following five-year period. Vodafone India will be deconsolidated by Vodafone on announcement and reported as a joint venture post-closing, reducing Vodafone Group net debt by approximately $8.2 billion and lowering Vodafone Group leverage by around 0.3x Net Debt/EBITDA. The transaction is expected to be accretive to Vodafone’s cash flow from the first full year postcompletion. The transaction is expected to close during calendar year 2018, subject to customary approvals. financial inclusion and m-commerce. These circles cover around 91% of our service revenues and 94% of our data revenues.

Idea Cellular

Idea Cellular is the sixth largest mobile operator in the world based on number of subscribers. Idea has around 186 million subscribers and carried around 2.28 billion minutes on a daily basis during quarter Q3 FY17.

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Idea provides pan India GSM mobile services in all 22 service areas, 3G services is available in 21 service areas of India (except Orissa), including through Intra-Circle Roaming (ICR) arrangements with other operators. In October 2016, Idea expanded its 4G spectrum ownership from 11 to 20 service areas, covering 9 new service areas of Gujarat, Uttar Pradesh (West), Uttar Pradesh (East), Bihar & Jharkhand, Rajasthan, Mumbai, West Bengal, Assam and Jammu & Kashmir. Idea holds 47 4G carriers across 20 service areas of India (ex Delhi & Kolkata). The 4G spectrum profile of the company covers around 94% of its own revenue and and around 90% of industry revenue in these 20 service areas. Post introduction of 4G service on December 23, 2015, Idea has moved fast, launching 4G services in nearly 2,900 towns and 15,700 villages in 11 service areas (Maharashtra & Goa, Andhra Pradesh, Madhya Pradesh & Chhattisgarh, Kerala, Haryana, Punjab, Karnataka, Orissa, NESA, Tamil Nadu & HP), now covering 211 million Indians, 37.6% of Indian population in these 11 circles. Idea is consistently investing in optical fibre cable (OFC) transmission network to tap the future potential of wireless broadband and currently has laid and energised over 133,800 km OFC. Idea has over 8,820 OFC PoPs (4G, 3G & 2G) in all circles. Idea has also introduced worlds’ latest high capacity 100G DWDM network technology to cater to rising data demand. Idea has around 24.5 million 3G data subscribers and 2.5 million 4G data subscribers. In December, Idea Cellular has launched two exciting monthly voice packs priced around Rs. 148 and Rs. 348, these packs provide the customers with unlimited voice calls to anywhere in India, along with data benefits. Upon recharging with Rs. 148, Idea customers will be able to make free Local and STD Idea-to-Idea calls across India and get 50 MB of data. Customers with 4G handsets will get 300 MB of data in addition to voice benefit. The company has also announced its arrival into the digital world with the launch of 3 new exciting Mobile Apps – Idea Music Lounge, Idea Movie Club, and Idea Game Spark – giving birth to a “Digital Idea”. These digital content applications will serve as a one-stop entertainment destination initially for Idea subscribers, providing access on the fingertips to a large collection of popular and premium content, including a rich assortment of Hindi, Vernacular and International content. Idea Music Lounge offers a rich library of nearly 2 million Indian and international music tracks initially, going up to nearly 20 million tracks soon and is available on Google Play Store and coming soon on iOS store. Idea Music Lounge hosts diverse content not only across 13 Indian languages, including Bollywood, South Indian Cinema etc, but also across International artists, albums and tracks from several major Music labels. Idea Movie Club caters to the ever-growing video content needs of consumers, offering thousands of blockbuster movies, Live TV, 7 days catch-up TV, along with a series of Original content and Short Videos across all genres and several languages. The rich content of videos and movies from Bollywood, South Indian & Regional Cinema will appeal to people across all age groups, including kids, for whom there is a host of animation and learning videos. Live and Catch up TV including premium channels, is offered in collaboration with Ditto TV. The app is available on Google Play Store and iOS store. Idea Game Spark is the ultimate gaming destination with a collection of over 1,500 games across all genres. Targeted at the gaming aficionado and the casual gamer, the games can be played both in the online and offline mode. A new company ‘Aditya Birla Idea Payments Bank Limited’ (ABIPBL) has been formed to setup the payments bank services with ABNL and Idea as shareholders. The senior management team of this company is in place. Post necessary regulatory approvals from RBI, ABIPBL is likely to commercially launch its services by first half of 2017. The company will acquire and service new Payments Bank customers both ‘Online’ leveraging the power of over 50 million digital customers of Idea and ABG’s as well as ‘Offline’ leveraging the strength of Idea’s 2 Million+ retail distribution channel across over 400,000 towns and villages. The Payments Bank intends to promote a wide range of banking products & services including current and savings bank account, domestic remittances, merchant payments etc. while partnering with ABG financial services, select universal banks & financial institutions for offering range of full banking products including Fixed Deposits, Micro Loan, Debt & Equity linked Mutual Funds, other related investment and Insurance products to its payments bank customer.


Reliance Jio

Reliance Jio Infocomm (Jio), a subsidiary of Reliance Industries has built next generation all-IP data network with latest 4G LTE technology. Reliance Jio is the only network built for mobile video network and also for providing Voice over LTE technology. The Jio network has 100,000 sites backed by state of the art all IP network and LTE spectrum across 800 MHz, 1800 MHz and 2300 MHz. In terms of coverage, Reliance Jio network provides 100 per cent urban coverage and is also present in 6,612 blocks/tehsils in India thereby providing a population coverage of 75 per cent. Jio’s plan is to cover 95 per cent population coverage by the end of this year. The company has around over a million retail partners for sale of mobile broadband services. Jio has created an eco-system comprising network, devices, applications and content, service experience and affordable tariffs for everyone to live a digital life. Since commencement of services on 5th September 2016,

recharge. The company also announced the Rs 509 ALL UNLIMITED PLAN for daily high data users offering Unlimited SMS, calling and data (2 GB per day at 4G speed) for 3 months on first recharge. In order to smoothen the migration from free to paid services, Jio has implemented simple, affordable and regulatory compliant plans in customer interest. Reliance Jio is offering FTTH (Fiber to the Home) beta trials both in Delhi and Mumbai and is planning to expand the scope of beta trials in the next few months. Average consumption is around 10 GB per month across all circles be it urban or rural.

BSNL

BSNL is the leading provider of mobile and wireline services in India with 98.91 million mobile subscribers and 13.88 million wireline customers. BSNL is committed to delivering exceptional customer service

Jio Services Bouquet • Jio TV - 432+ TV channels in 15 languages • Jio Cinema - 6,000+ movies, 1 Lakh+ episodes of TV, 60K+ music videos and 7,000+ short videos • Jio Music - 15 million HD songs spanning 20 Indian languages and international music • Jio Mags - 500+ magazines from 42 publishers

Jio has become the fastest growing start-up technology company in the world. It crossed 50 million subscribers in just 83 days, and 100 million in 170 days, adding at an average rate of 6 lakh subscribers per day. Jio continues its rapid ramp-up of subscriber base and as of 31st March 2017, there were 108.9 million subscribers on the network. Jio is witnessing the largest migration from free to paid services in history and is committed to provide its customers the world’s most affordable data and voice services. Reliance Jio has the best suite of applications with the most comprehensive library of content ensuring stickiness of customers (free upto March 2018 for Jio Prime customers). With more than 110 crore GB of data traffic per month and 220 crore voice and video minutes a day, Jio has become the largest network globally in terms of data carried and contributed to India becoming the leading country in the world for mobile data usage. Jio users are today consuming nearly as much data as on all the mobile networks in the USA and 50 per cent more data than mobile networks in China in a clear indication that India will adopt digitisation and digital life faster than anyone else in the world. Reliance Retail operates the largest consumer electronics store chain in India through a network of 1,996 Reliance Digital and Jio stores. Reliance Retail’s device distribution business sold 2.6 million LYF and JioFi devices during the quarter and nearly 10 million units in the financial year. LYF and JioFi devices continue to be available through over 500,000 retailers, Jio. com, AJIO.com and across all major e-commerce portals. The company has sold one million devices every month. Jio has the world’s largest greenfield 4G LTE wireless broadband network, with over 100,000 mobile towers. The company is planning to add another 100,000 towers to the network in the coming months. Jio is the only operator which has deployed pan-India LTE network across the 800 MHz, 1800 MHz and 2300 MHz bands, giving it tremendous capacity advantage. During the quarter, Jio announced industry redefining tariff plans as it embarked upon the world’s largest migration from free to paid services. It announced the Jio Prime Membership for its initial customers. Jio Prime members would enjoy ALL UNLIMITED benefits at tremendous value, along with host of other benefits for a nominal, one-time enrolment fee of Rs. 99. In addition to its offer of free voice (domestic) on its network – no local, STD, roaming charges, to any operator, anywhere in the country, Jio also provides the best data experience with the lowest price globally. Within a month of announcing the Jio Prime Offer, over 72 million Jio customers signed up for JIO PRIME, making it one of the most successful customer privilege programmes anywhere in the world. Jio further announced new ALL UNLIMITED plans with special benefits aimed at encouraging Jio subscribers to live the digital life without restrictions – Jio Dhan Dhana Dhan! The plans start with the most affordable Rs 309 ALL UNLIMITED PLAN, which provides Unlimited SMS, calling and data (1 GB per day at 4G speed) for 3 months on first

and innovative solutions in every corner of India. BSNL is continually evolving its mobile offering with services that deliver a high-quality mobile experience. BSNL is planning to deploy deploy around 40,000 Wi-Fi hotspots during current financial year i.e. FY2017-18. The Wi-Fi under this scheme will be provided in all states wherever services are techno-commercially viable. Under CAPEX based Wi-Fi service, BSNL has started Network Operating Center (NOC) and Network Management System (NMS) at Bangalore. Bharat Sanchar Nigam Limited (BSNL) is working with Nokia

Mergers and Acquisitions in FY2016-17 • Vodafone and Idea - Creating a large telecom operator with combined subscriber base of 394 million. The combined entity will provide an estimated savings of $2.1 billion on an annual basis by the fourth full year post completion. • RCOM and Aircel - RCOM and Maxis Communications Berhad (MCB) will each hold a 50 per cent stake in the merged entity with equal representation on the Board. MergedCo will have an asset base of over Rs 65,000 crore and net worth of Rs 35,000 crore. The compined entity will enjoy substantial savings. • Airtel and Telenor - Bharti Airtel has entered into a definitive agreement with Telenor South Asia Investments to acquire Telenor India. The proposed acquisition will include transfer all of Telenor India’s asset and customers. • Airtel and Tikona - Bharti Airtel has entered into a definitive agreement with Tikona Digital Networks to acquire Tikona’s 4G business including the BWA spectrum and 350 sites in five telecom circles. As per the agreement, the acquisition of 4G business in Gujarat, UP (E), UP (W), and Himachal Pradesh will be under taken by Airtel whereas Rajasthan circle will be undertaken by Bharti Hexacom.

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Hot Topic to accelerate the development of 5G ecosystem in the country. The 5G technology enables extreme high-speed broadband and ultra-low-latency, which allows service providers to support the future network demands of connected devices associated with Internet of Things (IoT) and Smart City. BSNL has plans to upgrade more than 32,000 TDM based telecom exchanges with IP Next Generation telecom exchanges. The company has already converted 15 lakh line capacity into Next Generation Network (NGN). NGN Based Telephone Exchanges provide both voice as well as broadband facility to the consumers. In addition to voice & data, several value added services which were not available in TDM technology are being offered to NGN customers. Value added services like “All India close user group” (wings CUG), fixed mobile conversion, multimedia video conferencing, and Prepaid telephone. These facilities are made available across India to customers who are migrated on NGN technology. BSNL has signed a tripartite Memorandum of Understanding (MoU) between BBNL, Department of Posts and BSNL for providing broadband

Rcom’s Acquisition Strategy

connectivity of BharatNet to post offices in rural areas. The tripartite agreement will provide broadband connectivity to about 1.3 lakh post offices in rural areas and 25,000 sub-post offices for high speed internet connectivity to the rural masses. BSNL is the service provider, that would provide broadband services, the cost of setting up of infrastructure and the operational expenses would be paid by the Department of Posts. The government will roll out free high-speed Wi-Fi in 2,500 cities and towns across the country in over three years. The programme involving an investment of up to Rs 7,000 crore is to be implemented by BSNL. The free ride will be only for a limited time, after which users will have to pay for further access, a model similar to what is being offered at airports and other places by private operators. Around 50,000-60,000 Wi-Fi hotspots will be set up as part of the programme. The cities where it will be rolled out include Kolkata, Chennai, Lucknow, Dehradun, Hyderabad, Varanasi, Bhopal, Jaipur, Patna, Indore, Chandigarh and Ludhiana. BSNL is hoping that a favourable tariff plan offered for Wi-Fi services will help it gain mobile subscribers. BSNL has signed an MoU with Essel Group for three things. First, acquiring and creating new broadband customers using BSNL through VNO route. Second, Essel Group is rich in content and would like to deliver these contents to broadband and mobile user of BSNL. In addition to this they would like to use BSNL broadband network to deliver their DTH customer base video on demand service. Third, Essel Group would like to partner with BSNL in new emerging area of smart cities where government of India has declared a plan throughout 100 cities across the country.

Aircel

Aircel is one of India’s leading innovative mobile service providers. The company is a pan-India 2G operator with 3G spectrum in 13 circles and is credited with the fastest 3G roll out ever in the Indian telecom space. As a young data led telecom player, Aircel has constantly been at the helm of introducing innovative and value for money products and services for its customers, be it the Aircel Pocket Internet, taking the first step in making 3G affordable for the masses or launching revolutionary Industry first data products aimed at fuelling Internet adoption. Aircel is one of India’s leading innovative mobile service providers. The company is a pan-India 2G operator with 3G spectrum in 13 circles, BWA spectrum in 8 circles. The company has around 91 million subscribers.

RCOM and Aircel

In September 2016, Reliance Communications (RCOM) and Maxis Communications Berhad (MCB), promoters of Aircel announced the signing of definitive documents for the merger of their Indian wireless businesses. RCOM and MCB will each hold a 50% stake in the merged entity (“MergedCo”), with equal representation on the Board of Directors and all Committees. The company will be managed by an independent professional team under the supervision of the Board. MergedCo will have spectrum holding aggregating 448 MHz across the 850, 900, 1800 and 2100 MHz bands, and will enjoy enhanced business continuity through extended validity of spectrum holdings till 2033-35. MergedCo will have an asset base of over Rs. 65,000 crore and net worth of Rs. 35,000 crore. The combined entity will enjoy substantial benefits of scale driving significant revenue growth, and capex and opex synergies with an NPV of around Rs. 20,000 crore (USD 3 billion). RCOM will continue to own and operate its high growth businesses in the domestic and global enterprise space, Data Centers, optic fibre and related telecom infrastructure, besides owning valuable real estate.

RCOM and MTS

In 2016, Sistema and Reliance Communications Ltd (“RCom”) continued to work towards the merger of SSTL’s telecommunications business with RCom. The transaction has been approved by India’s two main stock exchanges (NSE and BSE), the Securities and Exchange Board of India (SEBI), the Competition Commission of India (CCI), and the Bombay and Rajasthan High Courts. All necessary shareholder and creditor approvals have also been properly secured. As of close of business on 31 March 2017, Sistema and RCom were in discussions with the Department of Telecommunication of India (DoT) and other regulatory and judicial bodies regarding final conditions of the potential transaction. The decisions regarding the completion of the transaction are expected to be made based on the timing of the approval processes and substance of the final conditions to be approved. Presently MTS has 6.5 million customers. RCOM to acquire MTS operating business in circles like Kerala, Karnataka, Tamil Nadu, Gujarat, Rajasthan, Delhi, UP (W) and West Bengal.

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RCOM

RCOM is an integrated telecom operator with presence across wireless, enterprise, broadband, passive infrastructure and DTH. The company is leading global data communication business under GCX with subsea cable network of 68,698 Km. The company has 43,000 towers, 62,000 cell sites and 190,000 Km of OFC and 1.1 million square feet of datacenter. RCOM is playing a major part in the consolidation of the telecommunication sector in India by integrating SSTL’s wireless business into itself and merging the integrated wireless business with Aircel to create a large & strong pure-play telecommunication service provider. Post these transactions, RCOM will primarily have a strong and stable B2B portfolio comprising Data Center business, Enterprise products and solutions and fiber optic cable assets domestically and internationally. These businesses will benefit from the exponential growth in data consumption and would have annuity type revenue profile. Reliance Communications is India’s foremost and truly-integrated telecommunications service provider.The company has a base of 86.27 million wireless subscribers. Reliance Communications’ corporate clientele includes over 39,000 Indian and multinational corporations including small and medium enterprises and over 290 global, regional and domestic carriers. Reliance Communications has established a pan-India, Next-Generation, integrated (wireless and wireline), convergent (voice, data and video) digital network capable of supporting best-in-class services, spanning the entire communications value chain, covering over 21,000 cities and towns and over 400,000 villages. Reliance Communications owns and operates the world’s largest Next-Generation IP-enabled connectivity infrastructure, comprising over 280,000 kilometers of fiber optic cable systems in India, the United States, Europe, the Middle-East and the Asia-Pacific region. RCOM subsidiary, Global Cloud Xchange (GCX), is equipped to support businesses through the deployment of next generation Enterprise solutions across its Cloud Delivery Networks. As on December 31, 2016, we had a customer base of nearly 95 million including 32 million data subscribers. Our enterprise clientele includes over 39,000 Indian and multinational corporations, including SMEs and over 290 global, regional and domestic carriers. Our merger of SSTL‘s wireless operations with RCOM, marking the 1st


consolidation in the Indian Telecom Industry, is now in the final stages. The DoT approvals are expected shortly. Post that, we will begin to integrate SSTL‘s operations with RCOM and will migrate the customers to Reliance 4G services. RCOM & Jio have completed the execution of the spectrum sharing arrangements in the 850 MHz band covering 4G LTE services. RCOM customers will benefit from Jio‘s world class 4G LTE network under sharing and ICR arrangements. Operationally, the spectrum arrangements between RCOM & Jio will result in network synergies, enhanced network capacity and will optimize spectrum utilization and capex efficiencies. Financially, RCOM would achieve considerable savings in operating costs and future investments in networks which will bolster the bottom-line of the Company and help generate positive cash flows.

Telenor

Telenor (India) Communications is a mobile telecom operator offering most affordable and value for money prepaid voice and data services in India. It is a wholly owned company of the Norway-based Telenor Group. Telenor India has commercial operations in UP (West), UP (East), Bihar (including Jharkhand), Andhra Pradesh (including Telangana), Maharashtra (including Goa) and Gujarat. In the areas where it operates, Telenor is the fourth largest operator both in revenue and customer market share. Telenor has positioned itself as a ‘full paisa vasool’ operator and has over 52 million subscriptions from the six circles.

Tata Teleservices

Tata Teleservices (TTL) delivers mobile connectivity, content and services to consumers to 51 million across 19 telecom circles. TTL offers integrated telecom solutions to its customers under the unified brand name Tata Docomo and operates its wireless networks on GSM, CDMA and 3G technology platforms. TTL is a growing market leader in the enterprise space and provides end to end integrated voice, data and managed solutions to large and small medium enterprises through its wider network footprint, better operational structure and enhanced customer service support to deliver incremental value. TTL has a robust and largest fibre optic backbone backhaul network running across 100,000 Km and with a 25,000 Km access network covering key cities which is a huge differentiator in providing seamless data services. With 2,000 people TTL’s strong enterprise business is present in more than 60 cities across India, works with over 750 partners and over 1,600 channel teams. Tata Docomo Business Services (TDBS) focuses on enterprise space providing integrated voice, data and managed services to large, medium and small enterprises across India. The enterprise team comprises around 2,000 people who work through 1,200 odd channel partners to offer ICT solutions to customers in over 60 cities across India. The company has set up a robust infrastructure which includes the largest fibre optic backbone in the country covering over 125,000 km covering major cities in India along with 14,000 P2P, 60 P2MB and over 70,000 base stations, and is well equipped to serve connectivity needs through the length and breadth of the country. TDBS provides IoT connectivity services through Machine- toMachine (M2M) SIMs for smart metering, location-based tracking services across industry segments. It also provides a complete suite of IoT solution comprising devices, applications, and connectivity. The company has expanded its product portfolio with a recent launch of mobile device management (MDM) services. MDM is a telecom service provider agnostic service that addresses concerns of data security over mobile devices, workforce productivity and, Bring-Your-Own-Device (BYOD). TDBS offers core voice and data connectivity services as well as verticalised applications and solutions across several segments such as BFSI, Textile, Healthcare, E-Commerce, Transportation & Logistics, IT & ITeS, Pharmaceuticals, Manufacturing, Government, Services and Retail. The company has expertise in the digital connectivity space and enables companies to manage change effectively by taking end-to-end ownership of the entire solution, be it devices, applications or connectivity. Tata Docomo Business Services (TDBS) has announced successful deployment of ICT solutions for Shri Mahila Sewa Sahakari Bank, India’s first Micro-Finance Institution by poor self-employed women, in Ahmedabad. The company has successfully deployed data connectivity solutions for Suguna Foods in Coimbatore which helped the company in achieving operational efficiency across its offices in rural areas. TDBS has provided 31 Parallel, a BPO services provider based out of Shimla with secure and seamless connectivity solution, which helped the latter in achieving operational efficiency, cost reduction and improvement in customer experience. The company has announced successful deployment

of ICT solutions for McFadyen, a market leader of Oracle Commerce Solutions (ATG & Endeca) implementing large-scale digital commerce and digital marketing solutions globally.The solutions offered by TDBS help McFadyen in achieving greater employee satisfaction, enhanced team collaboration and infrastructure optimization. Dishman, a leading pharmaceutical conglomerate headquartered in Ahmedabad opted for TDBS solution to attain seamless connectivity and data security across multiple locations. TDBS offered Dishman with a Multi-Protocol Label Switching (MPLS) network to manage its internal communications ensuring data security across all offices. TDBS offered SIP Trunk solutions to BYJU’s for a highly scalable and reliable voice service.

MTS

In 2016, Sistema and Reliance Communications Ltd (“RCom”) continued to work towards the merger of SSTL’s telecommunications business with RCom. The transaction has been approved by India’s two main stock exchanges (NSE and BSE), the Securities and Exchange Board of India (SEBI), the Competition Commission of India (CCI), and the Bombay and Rajasthan High Courts. All necessary shareholder and creditor approvals have also been properly secured. As of close of business on 31 March 2017, Sistema and RCom were in discussions with the Department of Telecommunication of India (DoT) and other regulatory and judicial bodies regarding final conditions of the potential transaction. The decisions regarding the completion of the transaction are expected to be made based on the timing of the approval processes and substance of the final conditions to be approved. Presently MTS has 6.5 million customers. RCOM to acquire MTS operating business in circles like Kerala, Karnataka, Tamil Nadu, Gujarat, Rajasthan, Delhi, UP (W) and West Bengal.

MTNL

MTNL is the principal provider of fixed-line telecommunication service in the two Metropolitan Cities of Delhi and Mumbai. It offers mobile services in the city of Delhi including four peripheral towns Noida, Gurgaon, Faridabad, Ghaziabad and the Mumbai city along with the areas falling under the Mumbai Municipal Corporation, New Mumbai Corporation and Thane Municipal Corporation. Presently, MTNL is providing a host of telecom services that include fixed telephone service, GSM (including 3G services) & CDMA based Mobile service, Internet, Broadband, ISDN and Leased Line services., MTNL has been in the forefront of offering state of the art technology based telecommunications services to its customers at most affordable prices. MTNL has been the first to launch some of the latest telecom technologies in the country like ADSL2+ & VDSL2 in broadband, IPTV on MPEG4 technology, VOIP and 3G Mobile service. MTNL facilitates to provide wholesale bandwidth connectivity to other telecom operators, banks, corporate houses and various other govt agencies on lease or rental basis support. MTNL is providing telecommunications beyond boundaries through its Joint Ventures and Subsidiaries. MTNL is present in Nepal through its Joint Venture United Telecom Limited (UTL) and in Mauritius through its 100% subsidiary Mahanagar Telephone Mauritius Limited (MTML). MTNL also plans to provide 1 lakh high speed Broadband connection on optical fiber and install 100 Wi-Fi Hotspots. MTNL is also focusing on Telecom asset monetization by offering 30,000 Fiber km, 500 Route Km of duct and 700 prime location towers for sharing with other service providers. MTNL is in talk with BSNL to act as a Managed Service Partner for Mobile services of MTNL. As MTNL has huge idle network capacity and spectrum, it is also exploring the servicing tie up through MVNO, spectrum sharing and intra circle roaming.

Connect

CONNECT is a part of Videocon Group and is a pan India ISP licensee with market leadership in Punjab which consists of Punjab, the Union Territory of Chandigarh and Panchkula. The company also provides a full gamut of telecommunication services, which includes voice telephony, both wireline and fixed wireless, Internet services, broadband data services and a range of value added service viz., centrex, leased lines, voice mail and video conferencing. Connect has recently expanded its coverage footprint with launch of data services in Haryana and Himachal Pradesh. CONNECT also provides wireless broadband service across Punjab. Offering high speed internet through a wireless medium, CONNECT wireless broadband enables users to access internet through their laptops, PCs, tablets, Wi-Fi enabled phones in the wireless vicinity and FTTH. l Pravin Prashant pravin@varindia.com

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Indian Market Scape

After Market Services: Moving Up Launch of 4G services by Indian telecom operators has led to increased demand of smartphones leading to market expansion of after market services in India The total ICT market is around Rs 250,000 crore in 2016 and if we take even 6 per cent for after market services, the total market for after market services comes around Rs 15,000 crore in 2016 and this is bound to grow in 2017 by around 20 per cent. Let’s look at some of the market which has an impact on after market services. The India PC market for 2016 stood at 8.58 million units i.e. a year on year drop of 15.2 per cent over 2015. The total market for PC is around Rs. 12,800 crore. The external storage market in India is around 143,552 units in 2016. Enterprise initiative towards digital transformation, analytics, cloud, BI and datacenter consolidation are the key trend observed in Indian server market. The server market in India is around 143,552 units in 2016. Enterprise initiative towards digital transformation, analytics, cloud, BI and datacenter consolidation are the key trend observed in Indian server market. The HCP (printer) market in India is more than 30 lakh units in 2016. The mobile phone market in India is worth Rs. 101,430 crore in 2016. Smartphone contributed a total of Rs. 90,877 crore and feature phone contributed a total of Rs. 10,553 crore. The telecom equipment market is worth Rs. 135,000 crore in 2016 thanks to 4G expansion by telecom operators. All this gives a cumulative figure of Rs 250,000 crore and after market services market is estimated at Rs 15,000 crore.

After Market Services Players

There are many players in after market services - organised and unorganised. VARINDIA is documenting only the organised players. Even global manufacturers are increasingly looking upon after market functions as a strategic line of business aimed at delivering differentiated customer rather than as a function of the product support organization. Aftermarket services also lead to revenue increases with enhanced service capability, which accordingly translates to greater asset utilization. Better part availability and fill rates means increased parts or service sales in competitive situations. Studies have also shown that good service generates more customer loyalty than even product quality can.

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HCL claims to have world class customer service and support services which cover warranty, complaints and returns management as well as depot repair from return order to billing adjustment. The company also has solutions that help in tracking customer install base information to enable improved field service effectiveness and forecast and plan for service parts usage. Access Frontline (AFL) service covers printing and imaging segments such as printers, scanners, point of sale (PoS) products, all-in-one printers and high end scanners. The company provides repair and service solutions for all popular brands of printers – right from entry level printers to premium segment integrated printers and scanners. AFL also handles bulk installations of printers and imaging equipment, across India and provides consumables support for both warranty and out of warranty cases. AFL supports multiple product lines of more than 20+ principals or Original Equipment Manufacturers. OEMs face continuous challenges in the management of returns which adds to increased operational costs and customer dissatisfaction. AFL provides complete lifecycle services in the area of managing product returns – right from general Return Material Authorization (RMA), to comprehensive International RMA services. AFL has premium centers for advanced component level repairs and Equal-to-New (ETN) refurbishment of whole unit and/or sub-assemblies of mobile devices. Over the years, we have developed expertise, trained requisite people, and streamlined processes that are needed to specialize in product repair/refurbishment for the Mobile handset industry. AFL’s warranty management services are delivered through our network of offices covering more than 600 locations within India. AFL’s long standing relationship with consumer electronics vendors such as Seagate, Buffalo and KYE Genius, enables us to provide sophisticated services to end-customers. On the telecommunications front, AFL provides end to end support for mobile devices that includes mobile phones for principals such as Sony, InFocus, Zync, Viaan and Hyundai. Redington (Ensure Services) has set up hardware support service centres, spanning the length and breadth of India. Today, through 77


After Market Services Snapshot The India PC market for 2016 stood at 8.58 million units i.e. a year on year drop of 15.2 per cent over 2015. The total market for PC is around Rs. 12,800 crore The external storage market in India is around 143,552 units in 2016 The server market in India is around 143,552 units in 2016 The HCP (printer) market in India is more than 30 lakh units in 2016 The mobile phone market in India is worth Rs. 101,430 crore in 2016. Smartphone contributed a total of Rs. 90,877 crore and feature phone contributed a total of Rs. 10,553 crore The telecom equipment market is worth Rs. 135,000 crore in 2016 thanks to 4G expansion by telecom operators All this gives a cumulative figure of Rs 250,000 crore and after market services market is estimated at Rs. 15,000 crore owned service centres, supported by a certified franchisee network of 266 service partners, Redington provides the full spectrum of warranty and post-warranty services on behalf of vendors – covering solution design and consulting, technical helpdesk, field engineering support, parts warehousing, forward and reverse logistics, imports and re-exports, and asset recovery. Redington is authorized partners for leading brands like Hewlett Packard, Toshiba, Lenovo, Fujitsu, Apple, Motorola, Huawei, Microsoft, Ricoh, Logitech, Konica among others – several of them for a decade or more. iQor is a global provider of customer contact solutions and product support services. In Nov 2005, the company had announced plans to invest $200 million in building an expanded, pan- India service network to deliver world-class end-to-end aftermarket services. Currently the company, the largest aftermarket services provider in the world, operates depot repair/ refurbishment services at state-of-the-art facilities in Manesar (Gurgaon), Mumbai, Kolkata and Bangalore, and 104 company owned-company operated premium customer-branded walk-in centers and on-site services in 139 cities. iQor also operates a 1,000-seat contact center in the Delhi National Capital Region (NCR). The expansion will create 20,000 new jobs in all of India’s 29 states. Part of the growth will come from the opening of two new repair depot hubs in Chennai and Hyderabad as well as new walk-in service centers along with on-site services for some of the world’s foremost manufacturers of smartphones, tablets, desktop computers, notebooks, digital players and consumer products. iQor provides global customer interaction and product support solutions in 18 countries. Our 40,000 employees solve our client’s most strategic problems. The company partners with many of the world’s best-known brands to deliver product and customer support solutions that span the consumer value chain, from customer care and receivables management to product diagnostics and repair services. Aforeserve is an integrated service management and support company offering comprehensive and standardized life cycle services for the full spectrum of Information, Communication and Technology (ICT) products including notebooks, desktops and servers, computer peripherals, surge protection and power conditioning units and mobility devices as well as

for a range of non IT automated systems such as self-service kiosks, point of sale terminals, ATMs and satellite communication systems. Established in the year 2000, Aforeserve operates primarily as an after sales service and support partner for Original Equipment Manufacturers (OEMs) and Original Design Manufacturers (ODMs) and system integrators, providing functional and technological repair and maintenance services for their products. From installation, field and warranty support to on going help desk, carry-in repair and reverse logistics, Aforeserve delivers ISO 9001 standard, ‘end to end’ service solutions, designed to fulfill and enhance service level commitments, enabling partners to better serve their customers in an efficient and cost effective manner. Aforeserve has successfully established itself as a service partner for HP Inc., Acer, Toshiba, Inventec, Micro Star International (MSi), NCR and Hughes India. Headquartered at Noida, the company works closely with customers to implement tailored service solutions through an extensive, pan India support network of service centers in 45 major cities and resident engineers across 182 regional towns. Supported by a team of over 2,600 engineers, technicians and service executives, Aforeserve handles more than 55,000 service calls every month. Reliance resQ is multi-product, multi-brand electronics and home appliances service provide. Reliance resQ service centres are authorized service centres for leading brands, Apple products are only serviced by Apple Certified resQ service engineers available at select resQ service centres. TVS Electronics has built an infrastructure and laid the groundwork for effective and efficient service delivery. The company manages network of exclusive and multi brand outlets and repair factories ensures service touchpoint. The company services IT, telecom and security devices. Over the last 18 years, inTarvo has developed the expertise, processes and people required to efficiently manage technology assets for companies across India. inTarvo Service Excellence Centers for advanced component level repairs & Equal-to-New (ETN) refurbishing whole unit and subassemblies of electronic products are located in 200 cities pan India. l Pravin Prashant pravin@varindia.com

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Hot Topic

Cyber Security:

Needs Complete Transformation India’s digital economy would grow exponentially if we are able to minimize cyber threats in the country The global cyber security market is expected to reach approximately $190 billion by 2025 from $85 billion today and will be primarily driven by increasing digitisation wave and smartphone penetration. The cyber security market is expected to grow at a CAGR of 8.2 per cent from 2015-2025. According to NASSCOM & DSCI Cyber Security Roadmap, the Indian IT industry has charted out a vision 2025 to “Grow the Indian cyber security products and services industry to $35 billion, create one million cyber security jobs and 1,000 cyber security startups by 2025.” India is ranked fourth in the world in terms of large scale cyber attacks in 2016 and it is all the more important to have increased cyber security professionals and cyber security startups. The evolving nature of cyber attacks pose not only to national programs such as smart cities, e-governance, digital payment and digital public identity management but also to enterprises and customers. In India, government, banks and private sector are the most favoured for cyber attacks so awareness, education, training, technology and intellectual knowledge is all needed to succeed in detecting or delaying cyber threats. Promotion of a digital economy is an integral part of government’s strategy to weed out corruption and black money. India is now on the cusp of a massive digital revolution and a shift to digital payments has huge benefits for the common man. Already there is evidence of increased digital transactions as India’s demonetisation drive has paid a lot of emphasis on less cash economy. The volume of all digital transactions has increased by about 23 times with 63,80,000 digital transactions for a value of Rs. 2,425 crore in March 2017 as compared to 2,80,000 digital transactions worth Rs. 101 crore till November 2016. In order to achieve the target of 2,500 crore digital transactions during the current financial year, the prime minister announced about 75 townships spread all over India as ‘less-cash townships’. Even the BCG-Google Digital Payment Report 2020 forecasts total payments conducted via digital payment instruments in India to be in the range of $500 billion by 2020, which is approximately 10x of the current levels i.e $50 billion and presently majority comes through banking transactions. As per reports received from public sector banks, regional rural banks (RRB) and 13 private sector banks, there are 110.03 crore individual, operative savings bank accounts (including Pradhan Mantri Jan Dhan Yojana accounts) with Aadhaar number seeded in 52.95 crore accounts. During the last two and half years, Aadhaar has helped in direct delivery of benefits to crores of people through the Direct Benefit Transfer (DBT) in schemes such as LPG subsidy under Pahal, Scholarships, MNREGA, and Pensions. In the Public Distribution System, Aadhaar is also ensuring that the food grains are received only by the genuine beneficiaries and not diverted by any middle man or unscrupulous elements. The total savings because of plugging of leakages due to Aadhaar during the last two and half years in just a few schemes where Aadhaar has been implemented amount to more than Rs 49,000 Crore. To make the system full proof, be it the banking system or Aadhaar system, one has to opt for cutting edge technology along with Computer Emergency

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Response Team so that attacks can be identified, analysed and rectified as cyber security is critical for safeguarding the integrity and stability of our financial sector. The government is planning Computer Emergency Response Team for different sectors. A Computer Emergency Response Team for our Financial Sector (CERT-Fin) is planned to be established. The CERT-Fin will also work in close coordination with all financial sector regulators and other stakeholders to provide more stability to banking and financial sector. Different CERTs have been formed for the power sector. Power Sector Computer Emergency Response Teams in the areas of Thermal (CERTThermal), Hydro (CERT-Hydro), Transmission (CERT-Trans) and Distribution (CERT-D) have been set up. CERT-Thermal has circulated sectoral Crisis Management Plan (CMP) to Thermal Utilities. CERT- Hydro has submitted Sectoral CMP for Hydro to CERT-In for review. PSLF Division of CEA has prepared Sectoral CMP for Disaster Management which includes Generation, Transmission & Distribution sectors. All utilities of the state/UTs and Independent Power Producers (IPPs) have been asked to identify a senior executive as its chief information security officer (CISO) to lead the process of strengthening organizational systems with respect to cyber security and implement an Information Security Management System (ISMS) and prepare Crisis Management Plan (CMP) as recommended by rules framed under the Information Technology (IT) Act 2008. Even for all critical infrastructure in the country, the government should for the same approach as done by the power sector. Coordination between government and local authorities will play an important role in making smart cities secure. The civic authorities need to be extra watchful in term of processes and new technologies to make government establishments like railway stations, banks, airports, shopping malls, residential areas, and educational institutes. The solution for smart cities is to secure data and to overcome vulnerabilities in all sophisticated devices. Not only this even a clearer, simpler and clearer data protection framework is the need of the hour. Getting trained workforce in cyber security space is not an easy task. Government needs to increase the number of institutes which provide specialised cyber security courses with practical training. Even the government and enterprise customers should provide hackers the opportunity to hack their system. Not only this the government should also provide training to citizens on cyber awareness so that they are aware about do’s and don’ts of working in the cyber world. The global nature of cyber threats prove a point that cyber security cannot work in isolation so there is a need for coordination and collaboration for achieving an effective and holistic approach to cyber security. The government can also focus on public private partnership where private can bring best practices whereas public sector can focus on making the police framework more robust so that India’s digital economy can flourish. l Pravin Prashant pravin@varindia.com


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Hot Topic

Make In India:

Marching Ahead

In the last 18 months, India has established 40 new mobile manufacturing units and 12 new component/accessory manufacturing units The Indian ESDM sector is projected to grow at a CAGR of 24% from $70 billion in 2014 to $400 billion by 2020. With a target of Net Zero Imports by 2020, the government has embarked on several initiatives to promote manufacturing in the country. In the last 18 months, India has established 40 new mobile manufacturing units and 12 new component/ accessory manufacturing units. The mobile phones itself have potential to create electronic manufacturing to the tune of over $250 billion industry.

Make in India Snapshot • The government has received 192 M-SIPS (Modified Special Incentive Package Scheme) applications worth Rs 1.1 Lakh crore between April 2014 to September 2016 from global OEMs/ODMs and component manufacturers • MeitY has approved 67 proposals worth Rs 16,845 crore from Tata Power SED, Continental Automotive, Samsung, Bosch, Nidec, Tejas Networks, Motherson Sumi Systems, Nippon Audiotronix, GE BE, Philips, Jail Flextronics, Sterlite, Giesecke & Deverient, LG, Lava, Haier, Mitsubishi, Delphi, Schneider Electric and WiproGE Healthcare • India’s mobile manufacturing industry is expected to produce mobile phones worth Rs 94,000 crore in FY2016-17 vis-a-vis Rs 54,000 crore in FY2015-16 • India has set an ambitious target of manufacturing 500 million mobile phones by 2019 • The contribution of domestically manufactured mobile phones in India has reached 67 per cent in 2016 and is forecast to reach 96 per cent by 2020 • The local value addition is presently only six per cent with most of the OEMs still importing Semi Knocked Down components (SKDs) kits • In phase 1, the local value addition will be 6 to 17 per cent by 2018 • In phase 2, the local value addition will be 18 to 32 per cent by 2020 • In phase 3, the local value addition will be beyond 33 per cent

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The new mobile manufacturing units in India aims to produce around 20 million mobile phones per month and in terms of employment has deployed more than 40,000 people. In value terms, India’s mobile manufacturing industry is expected to produce mobile phones worth Rs 94,000 crore in FY2016-17 vis-a-vis Rs 54,000 crore in FY2015-16. India manufactured 110 million mobile phones in FY2015-16 as compared to 60 million in FY2014-15 showing a growth of over 90%.


Mobile handset manufacturing units established in India (Sep 2015 - till date) Brand/Company/Ems Company No. of Units Location of Units Manufacturing Capacity (Mn Units/month) Foxconn (Rising Star Mobiles India 5 1. Sri City 2.5 2. Sri City 3. Sri City 4. Sri City 5. Maharashtra Micromax (Bhagwati Products) 1 Hyderabad, Telangana 0.3 MCM (Million Club Manufacturing) 1 Noida, UP 1 Lava International 2 1. Noida, UP 2 2. Noida, UP Intex Technologies 4 1. Noida, UP 3 2. Noida, UP 3. Jammu 4. Baddi, HP Celkon Mobiles 1 Medchal, Telangana 0.5 Dixon Technologies (India) 1 Noida, UP 1 GDN 1 Greater Noida, UP 1 Vivo Mobile 1 Greater Noida, UP 0.3 Videocon 2 1. Aurangabad, Maharashtra 1 2. Kasipur, Uttarakhand Flextronics 1 Sriperumbudur, TN 1.3 SEPL 1 Haridwar, Uttarakhand 0.5 TMB Electronics 1 Kundli, Haryana 0.4 Innovative Industries 1 Delhi 0.4 Labanyo Electronics 1 Noida, UP 0.2 KMC Electronics 1 Kotdwar, UP 0.7 Champion Computers 1 Delhi 0.3 BGM Electronics 1 Shahibabad, UP 0.4 SST Electronics 1 Kundli, Haryana 0.4 Hyve Mobiles 1 Delhi 0.3 Bingo Mobiles Tech 1 Noida, UP 0.2 Delhi Phone Battery 1 Haridwar, Uttarakhand 0.5 ADCOM 1 Delhi (Kirti Nagar) 0.1 VSUN 1 Bawal, Haryana 1.7 Hi-Tech 1 Kolkata, WB 0.2 Higher Industries (India) 1 Mundka, Delhi 0.5 Runsheng Technologies 1 Faridabad, UP –– Compal (Manufacturing for LeEco) 1 Greater Noida, UP –– Penguine Electronics 1 Daman ––

Total

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20.7

Employment (In Nos.) 8,000

600 1,500 5,000 5,000

1,200 900 1,200 500 2,000 2,500 1,000 800 700 500 1,000 500 500 500 300 300 800 300 1,800 600 300 –– –– ––

38,300 Source: MeitY

The contribution of domestically manufactured mobile phones in India has reached 67 per cent in 2016 and is forecast to reach 96 per cent by 2020. In terms of local value addition, the 67 per cent of the handsets manufactured in India contribute only six per cent with most of the OEMs still importing Semi Knocked Down components (SKDs) kits to be assembled with mobile phones. With respect to components, the government is looking at a three phase plan. In the first phase (2016-2018), the focus is on battery, chargers, cables, housing, packaging and others, thus driving local value addition from six per cent to 17 per cent by 2018. In the second phase (2018-2020), the focus is on components like display, camera and their sub components, thus driving local value addition from 18 per cent to 32 per cent by 2020. In the third phase, the focus is on localising the semiconductor components which includes setting up semiconductor fab and finally driving local value addition beyond 33 per cent. A recent study conducted jointly by IIM Bangalore and Counterpoint highlighted that the value addition in India is approximately 6 per cent under the current state of manufacturing in India. This can be increased up to 32 per cent by 2020 wherein the most of the manufacturing processes in India. Thus, providing incentives can be a start to build the eco-system for mobile handset manufacturing and bringing value addition to India. As per IIM Bangalore and Counterpoint Research study, the Indian mobile phone industry will source $15 billion components locally under Make in India over the next five years (2016-2020). In this five-year period, close to a billion smartphones, together with almost half a billion feature phones, that will be sold in India and will consume more than $80

billion worth of components. “With this study, we have identified and analyzed more than 60 components and sub-components going into a phone and the possibilities to drive localization of these components over the next five years. To begin with this involves greater investment in industrial design, PCBA design and surface-mount-technology (SMT) level assembly although many of the major silicon components will continue to be sourced from overseas. However, we believe manufacturing of major sub-components of chargers, batteries and cameras can be accomplished locally. Sourcing and assembling these key high-value components and sub-components from local manufacturers will drive greater value addition. This will drive the true local value addition to more than 30 per cent by 2020 and potentially to as much as 50 per cent thereafter,” said Neil Shah, research director, Counterpoint Research. As per the IIM Bangalore and Counterpoint Research study, the government’s role will be in driving effective duties on key components along with attractive incentive structures, can drive key suppliers to India. In addition, funding engineering institutions and corporations to develop future research (e.g. 5G, automated manufacturing robotics, software, etc.) to build domestic intellectual property (IP) and a strong pool of highly skilled professionals. Broadband India Forum (BIF) in association with Ernst & Young (EY) has also released a research paper which highlights the need to incentivize domestic handset manufacturing in India under GST regime. Bipin Sapra, partner, EY, said, “It is expected that the adoption of smartphone in India will go up to 688 million by 2020 as compared to 238

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Hot Topic

million in 2015. With the introduction of GST, most of the current centre and state taxes/duties will be subsumed under GST. The excise duty on smartphone manufacturing which was a single point tax and the basis for all incentives would also be subsumed. Thus, it is expected that the incentives available to domestic manufacturers under the current regime would decrease and there is need to continue the incentives under the GST regime to meet the increasing demand through domestic production.” While GST alone is not the driver for incentivizing manufacturing in a country, some of absolutely essential factors for a sustained manufacturing environment in the country are infrastructure, a robust manufacturing ecosystem, skilled manpower, technology and R&D facilities etc. For the other factors to develop, it becomes important to grant incentives to the domestic manufacturing in order to set off the local disabilities. The actual incentive amount can be enhanced with a multiplier (‘N’) to grant a benefit that is at least equivalent to the incentive available under the current regime (i.e., approximately 8%—10%) with similar value addition, and higher incentives that can be granted when the local value addition in India is more. The factor N can be in the range of 1.5 to 2 so that those smartphone manufacturers who does more value addition will benefit in the log run. Government may go one step further and extend similar benefits to the component manufacturers, which would encourage more investment in India and give a boost to the handset manufacturing ecosystem. Once the ecosystem is created, the prices of parts and components may also become more competitive, which, in turn, will reduce the cost of mobile handsets and make Indian handset manufacturers more competitive globally. The government has also received 192 M-SIPS (Modified Special Incentive Package Scheme) applications worth Rs 1.1 Lakh crore between April 2014 to September 2016 from global OEMs/ODMs and component manufacturers in various segments of electronics like IT & telecom, strategic, energy conservation. consumer, automotive, industrial, medical and EMS etc. MeitY has approved 67 proposals worth Rs 16,845 crore from Tata Power SED, Continental Automotive, Samsung, Bosch, Nidec, Tejas Networks, Motherson Sumi Systems, Nippon Audiotronix, GE BE, Philips, Jail Flextronics, Sterlite, Giesecke & Deverient, LG, Lava, Haier, Mitsubishi, Delphi, Schneider Electric and WiproGE Healthcare. The government has also launched Electronics Development Fund (EDF) in February 2016 with the objective of promoting companies in developing new technologies in the areas of electronics, nano electronics and information technology. 4 Venture funds worth Rs 179 crore have been approved and 12 venture funds approved for in-principle commitment of Rs 510 crore.

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To develop electronics manufacturing in India, the Government is supporting electronics manufacturing clusters in different parts of the country under the EMC Scheme by providing financial incentives for infrastructure development. The Bhiwadi Cluster has an important role to play in the Government of India’s ‘Make-in-India’ and ‘Digital India’ initiatives. Finding potential in this Scheme, the Bhiwadi ELCINA Cluster was conceived by the association members with a view to overcome cost disabilities and provide an ecosystem which would enable manufacturers in India to compete with global suppliers. ELCINA has created a SPV (Special Purpose Vehicle) – ELCINA Electronics Manufacturing Cluster Pvt. Ltd, a company formed solely with a purpose to develop and maintain the infrastructure in the cluster, as per the guidelines laid down by the Ministry of Electronics & IT, Government of India, under the Electronics Manufacturing Cluster Scheme. ELCINA Electronics Manufacturing Cluster in Bhiwadi just 71 km from the IGI Airport in Delhi is the first cluster as a cooperative project. Spread across 100 acres is the ELCINA Electronics Manufacturing Cluster, the project is to be implemented in two phases of 50 acres each in Bhiwadi, Rajasthan. Around 19 companies have already invested in the Bhiwadi cluster. The proposed Dedicated Freight Corridor (DFC) runs alongside the cluster plot. The central government Incentives (M-SIPS) include capital subsidy up to 25% of capital expenditure of the project. In addition, there is provision for refund of Indirect Taxes paid on Capital Equipment. The Cluster would create direct employment opportunity for 5,000 - 6,000 and the indirect employment potential is 10,000 - 12,000. The Grant-in-Aid for Phase I of Rs. 20.24 crore from MeitY under the EMC Scheme would be used to develop the basic infrastructure and common facilities mentioned above. There is provision for expanding the Manufacturing Support Services in Phase II of the project which includes Tool Room, CAD/CAM Design House, Testing facility, Plastic Molding and Sheet Metal Stamping facility. The notable ESDM products proposed to be manufactured in the cluster are: Electronic components; consumer appliances; EMS Services; mobile phone accessories; UPS & stabilisers; solar products; electromechanical components and more. India has set an ambitious target of manufacturing 500 million mobile phones by 2019. The country is also working to speed up setting up of mobile component eco-system in order to increase local value addition in mobile phone. l Pravin Prashant pravin@varindia.com


Indian Market Scape

Telecom Services:

Broadband Boom India has seen a great jump in broadband subscribers thanks to aggressive marketing by Reliance Jio for 4G services The total number of telephone subscribers in India is 1,188.55 million as on February 2017. India has 692.15 million urban subscribers and 496.39 rural subscribers. The overall tele-density stands at 92.59 at the end of February 2017. The urban tele-density is 171.86 whereas rural tele-density is 56.35. The share of urban subscribers and rural subscribers versus total number of telephone subscribers was 58.24% and 41.76% respectively. India’s wireless subscribers (GSM, CDMA and LTE) is 1,164.20 million at the end of February 2017. Wireless subscribers have grown by 12.6 percent vis-a-vis FY 2016-17. The wireless subscription in urban areas is 671.63 million and in rural areas it is 492.57 million. The wireless tele-density in India increased to 90.70. The urban wireless tele-density is at 166.77 whereas rural tele-density is at 55.92. The share of urban and rural wireless subscribers in total number of wireless subscribers was 57.69% and 42.31% respectively. The private access service providers held 91.2% market share of the wireless subscribers whereas BSNL and MTNL, the two PSUs had a market share of 8.8%. The cumulative MNP (Mobile Number Portability) requests is at 266.73 million at the end of February 2017, since the implementation of MNP. In MNP Zone-I (Northern and Western India), the highest number of requests till date have been received in Rajasthan (22.49 million) followed by Gujarat (19.17 million). In MNP Zone-II (Southern and Eastern India), the highest number of requests till date have been received in Karnataka (29.42 million) followed by Andhra Pradesh (24.18 million). Wireline subscribers was 24.35 million at the end of February 2017. The share of urban and rural subscribers in total wireline subscribers were 84.29% and 15.71% respectively. The overall wireline tele-density(%) remained at 1.90. Urban and rural wireline tele-density were 5.10 and 0.43 respectively during the same period. The number of broadband subscribers is 261.31 million with a growth rate of 74.5 per cent vis-a-vis FY2016-17. Top five service providers constituted 86.76% market share of the total broadband subscribers. Reliance Jio is No. 1 at 102.84 million, followed by Bharti Airtel at 46.69 million, Vodafone at 32.06 million, Idea Cellular at 24.31 million and BSNL at 20.81 million. On Internet subscribers front, India has a base of 484.21 million subscribers another was a growth of 41.3 per cent. Bharti Airtel is the largest wireless operator in the country both in terms of customers and revenues. Airtel’s 3G services are spread across key cities in the country offering high-speed internet access and a host of innovative services like Mobile TV, video calls, live-streaming videos and gaming. Airtel’s 4G services have presence across the country except J&K, offer wireless services with buffer-less HD video streaming and multi-tasking capabilities to its customers. The company has around 270.65 million mobile subscribers and 37.69 million mobile broadband (3G and 4G) subscribers. Airtel’s 3G services are spread across key cities in the country offering high-speed internet access and a host of innovative services like Mobile TV, video calls, live-streaming videos and gaming. Airtel’s 4G services have presence across the country except J&K, offer wireless services with bufferless HD video streaming and multi-tasking capabilities to its customers. The total MBs on the network has increased to 171.8 Bn MBs and mobile data usage per customer is 972 MBs. Vodafone India is serving over 207 million customers of which over 106 million is in rural areas. Building on its global experience and expertise and offering a comprehensive portfolio of technologies - 2G, 3G, and 4G services. Vodafone SuperNet 4G services are available across 17 circles in India Kerala, Kolkata, Karnataka, Delhi, Mumbai, Gujarat, Uttar Pradesh (East), West Bengal, Haryana, Rajasthan, Punjab, Assam & North East, Odisha, Tamil Nadu, Maharashtra & Goa, Uttar Pradesh (West). These circles cover around 91% of service revenues and 94% of Vodafone data revenues. Idea Cellular is the sixth largest mobile operator in the world based on number of subscribers. Idea has around 186 million subscribers and carried around 2.28 billion minutes on a daily basis during quarter Q3 FY17.

Idea has around 24.5 million 3G data subscribers and 2.5 million 4G data subscribers. Post introduction of 4G service on December 23, 2015, Idea has moved fast, launching 4G services in nearly 2,900 towns and 15,700 villages in 11 service areas (Maharashtra & Goa, Andhra Pradesh, Madhya Pradesh & Chhattisgarh, Kerala, Haryana, Punjab, Karnataka, Orissa, NESA, Tamil Nadu & HP), now covering 211 million Indians, 37.6% of Indian population in these 11 circles. The company has also launched 3 new exciting Mobile Apps – Idea Music Lounge, Idea Movie Club, and Idea Game Spark – giving birth to a “Digital Idea”. These digital content applications will serve as a one-stop entertainment destination initially for Idea subscribers, providing access on the fingertips to a large collection of popular and premium content, including a rich assortment of Hindi, Vernacular and International content. Idea Music Lounge offers a rich library of nearly 2 million Indian and international music tracks initially, going up to nearly 20 million tracks soon and is available on Google Play Store and coming soon on iOS store. Idea Music Lounge hosts diverse content not only across 13 Indian languages, including Bollywood, South Indian Cinema etc, but also across International artists, albums and tracks from several major Music labels. Idea Movie Club caters to the ever-growing video content needs of consumers, offering thousands of blockbuster movies, Live TV, 7 days catchup TV, along with a series of Original content and Short Videos across all genres and several languages. The rich content of videos and movies from Bollywood, South Indian & Regional Cinema will appeal to people across all age groups, including kids, for whom there is a host of animation and learning videos. Idea Game Spark is the ultimate gaming destination with a collection of over 1,500 games across all genres. Targeted at the gaming aficionado and the casual gamer, the games can be played both in the online and offline mode. Reliance Jio has created a mobile broadband eco-system comprising of network, devices, applications and content, service experience and affordable tariffs for everyone to live a digital life. Since commencement of services on 5th September 2016, Jio has become the fastest growing start-up technology company in the world. It crossed 50 million subscribers in just 83 days, and 100 million in 170 days, adding at an average rate of 6 lakh subscribers per day. Jio continues its rapid ramp-up of subscriber base and as of 31st March 2017, there were 108.9 million subscribers on the network. Jio is witnessing the largest migration from free to paid services in history and is committed to provide its customers the world’s most affordable data and voice services.

Telecom Services Snapshot Total Wireless Subscribers 1,164.20 mn Urban Teledensity 166.77 Rural Teledensity 55.92 Total Wireline Subscribers 24.35 mn Urban Teledensity 5.10 Rural Teledensity 0.43 Total Broadband Subscribers 261.36 mn Wireless Broadband Subscribers 243.18 mn Wireline Broadband Subscribers 18.18 mn Source: TRAI

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Reliance Jio has the best suite of applications with the most Wireline Market Share (Subscriber) comprehensive library of content ensuring stickiness of customers (free upto March 2018 for Jio Prime customers). The content

packaging be it Jio TV, Jio Cinema, Jio Music and Jio Mags, along with aggressive go to market strategy and attractive pricing was

perceived to be an attractive proposition for consumers to go for 4G services of Reliance Jio in a big way. Jio TV provides 432+ TV channels in 15 languages; Jio Cinema has 6,000+ movies, 1 Lakh+ episodes of TV, 60K+ music videos and 7,000+ short videos; Jio Music possesses 15 million HD songs spanning 20 Indian languages and international music; and Jio Mags has a collection of 500+ magazines from 42 publishers. With more than 110 crore GB of data traffic per month and 220 crore voice and video minutes a day, Jio has become the largest network globally in terms of data carried and contributed

to India becoming the leading country in the world for mobile data usage. Jio users are today consuming nearly as much data as on all

the mobile networks in the USA and 50 per cent more data than mobile networks in China in a clear indication that India will adopt digitisation and digital life faster than anyone else in the world.

Reliance Jio announced the Jio Prime Membership for its initial

customers. Jio Prime members would enjoy unlimited benefits at tremendous value, along with host of other benefits for a nominal, Source: TRAI one-time enrolment fee of Rs. 99. In addition to its offer of free voice Telenor (India) Communications is a mobile telecom operator offering (domestic) on its network – no local, STD, roaming charges, to any most affordable and value for money prepaid voice and data services in India. operator, anywhere in the country, Jio also provides the best data experience It is a wholly owned company of the Norway-based Telenor Group. Telenor India has commercial operations in UP (West), UP (East), Bihar (including Jharkhand), Andhra Pradesh (including Telangana), Wireless Market Share (Subscriber) Maharashtra (including Goa) and Gujarat. In the areas where it operates, Telenor is the fourth largest operator both in revenue and customer market share. Telenor has positioned itself as a ‘full paisa vasool’ operator and has over 52 million subscriptions from the six circles. In 2016, MTS and Reliance Communications (RCOM) continued to work towards the merger of SSTL’s telecommunications business with RCOM. The transaction has

been approved by India’s two main stock exchanges (NSE and

BSE), the Securities and Exchange Board of India (SEBI), the Competition Commission of India (CCI), and the Bombay and Rajasthan High Courts. All necessary shareholder and creditor approvals have also been properly secured. As of close of business

on 31 March 2017, Sistema and RCom were in discussions with the Department of Telecommunication of India (DoT) and other

regulatory and judicial bodies regarding final conditions of the potential transaction. The decisions regarding the completion of

the transaction are expected to be made based on the timing of the approval processes and substance of the final conditions to be Source: TRAI approved. Presently MTS has 6.5 million customers. Tata Teleservices (TTL) delivers mobile connectivity, content and services to consumers to 51 million across 19 telecom circles. with the lowest price globally. Within a month of announcing the Jio Prime TTL offers integrated telecom solutions to its customers under the unified Offer, over 72 million Jio customers signed up for Jio Prime, making it one of brand name Tata Docomo and operates its wireless networks on GSM, CDMA and 3G technology platforms. the most successful customer privilege programmes anywhere in the world. MTNL is in talks with BSNL to act as a managed service partner for Jio Dhan Dhana Dhan offer starts with the most affordable Rs 309 Unlimited Plan, which provides Unlimited SMS, calling and data (1 GB per day at 4G speed) for 3 months on first recharge. The company also announced the Rs 509 Unlimited Plan for daily high data users offering Unlimited SMS, calling and data (2 GB per day at 4G speed) for 3 months on first recharge. In order to smoothen the migration from free to paid services, Jio has implemented simple, affordable and regulatory compliant plans in customer interest. Average consumption is around 10 GB per month across all circles be it urban or rural. BSNL is the leading provider of mobile and wireline services in India with 98.91 million mobile subscribers and 13.88 million wireline customers. Aircel is one of India’s leading innovative mobile service providers. The company is a pan-India 2G operator with 3G spectrum in 13 circles, BWA spectrum in 8 circles. The company has around 91 million subscribers. Reliance Communications is India’s foremost and trulyintegrated telecommunications service provider. The company has a base of 86.27 million wireless subscribers. Reliance Communications’ corporate clientele includes over 39,000 Indian and multinational corporations including small and medium enterprises and over 290 global, regional and domestic carriers.

46

Broadband (Wired + Wireless) Market Share (Subscriber)

* stands for subscriber base as on end February, 2017

Source: TRAI, VARINDIA


Indian Market Scape Wireline Subscribers (in mn)

Broadband Subscribers (in mn)

Source: TRAI, VARINDIA

Source: TRAI, VARINDIA

mobile services of MTNL. As MTNL has huge idle network capacity and spectrum, it is also exploring the servicing tie up through MVNO, spectrum sharing and intra circle roaming.

Move Towards Mobile Commerce

To compensate for falling voice revenues, majority of the operators have opted for mobile commerce through Payments Bank license. Airtel Payments Bank currently has a network of over 250,000 neighbourhood Airtel retail stores, which also function as banking points. This is more than the total number of ATMs in the country. The bank aims

Wireless Subscribers (in mn)

(East), UP (West) and Assam. The proposed acquisition will include transfer of all of Telenor India’s assets and customers, further augmenting Airtel’s overall customer base and network. Bharti Airtel has entered into a definitive agreement with Tikona Digital Networks to acquire Tikona’s 4G Business including the Broadband Wireless Access spectrum and 350 sites, in five telecom circles. As per the agreement, the acquisition of the 4G business in Gujarat, UP (East), UP (West) and Himachal Pradesh will be undertaken by Airtel, while in the Rajasthan circle, it will be accomplished through Airtel’s subsidiary Bharti Hexacom. Postacquisition, the combined spectrum holding of Airtel in these five circles will be within the spectrum caps prescribed by the Government. Vodafone has agreed to combine its Indian subsidiary, Vodafone India (excluding its 42% stake in Indus Towers) with Idea Cellular, creating India’s largest telecom operator with country’s widest mobile network. This is merger of equals with joint control of the combined company between Vodafone and the Aditya Birla Group, governed by a shareholders’ agreement. The merger ratio is consistent with recommendations from the joint independent valuers. The implied enterprise value of $12.4 billion for Vodafone India and $10.8 billion for Idea excluding its stake in Indus Towers. Voda-Idea will provide substantial cost and capex synergies with an estimated net present value of approximately $10 billion after integration costs and spectrum liberalisation payments, with estimated run-rate savings of $2.1 billion on an annual basis by the fourth full year post completion. In September 2016, Reliance Communications (RCOM) and Maxis

Internet Subscribers (in mn)

Source: TRAI, VARINDIA

to scale its network to 600,000 banking points across the country. Airtel Payments Bank has committed an investment of Rs. 3,000 crore across its national operations and plans to build a digital payments ecosystem with over 5 million merchants. Over one million merchants have already been onboarded across India. A new company ‘Aditya Birla Idea Payments Bank Limited’ (ABIPBL) has been formed to setup the payments bank services with ABNL and Idea as shareholders. The senior management team of this company is in place. Post necessary regulatory approvals from RBI, ABIPBL is likely to commercially launch its services by first half of 2017. The company will acquire and service new Payments Bank customers both ‘Online’ leveraging the power of over 50 million digital customers of Idea and ABG’s as well as ‘Offline’ leveraging the strength of Idea’s 2 million+ retail distribution channel across over 400,000 towns and villages. The payments bank intends to promote a wide range of banking products and services including current and savings bank account, domestic remittances, merchant payments etc. while partnering with ABG financial services, select universal banks and financial institutions for offering range of full banking products including fixed deposits, micro loan, debt & equity linked mutual funds, other related investment and insurance products to its payments bank customer.

Shift Towards Consolidation

To bring economies of scale, the Indian telecom industry witnessed large scale consolidation FY 016-17. Bharti Airtel has entered into a definitive agreement with Telenor South Asia Investments to acquire Telenor (India) Communications. As part of the agreement, Airtel will acquire Telenor India’s running operations in seven circles - Andhra Pradesh, Bihar, Maharashtra, Gujarat, UP

Source: TRAI, VARINDIA

Communications Berhad (MCB), promoters of Aircel announced the signing of definitive documents for the merger of their Indian wireless businesses. RCOM and MCB will each hold a 50% stake in the merged entity (“MergedCo�), with equal representation on the board. The company will be managed by an independent professional team under the supervision of the board. MergedCo will have an asset base of over Rs. 65,000 crore and net worth of Rs. 35,000 crore. The combined entity will enjoy substantial benefits of scale driving significant revenue growth, and capex and opex synergies with an NPV of around Rs. 20,000 crore. l Pravin Prashant pravin@varindia.com

47


Indian Market Scape

Mobile Phone:

Breaking the Barrier India’s mobile phone industry has crossed Rs 1 lakh crore for the first time, thanks to large scale 4G launch by Indian operators India’s mobile phone market crossed Rs 1 lakh crore for the first time to register Rs. 101,430 crore in 2016. Smartphone contributed a total of Rs. 90,877 crore and feature phones contributed a total of Rs. 10,553 crore. The smartphone shipments in India in terms of volume was 118 million in 2016 and is forecast to reach 140 million in 2017. The featurephone market in terms of volume was 149 million in 2016 and forecast to witness a downward trend to reach 130 million in 2017. In terms of revenue market share and volume market share, Samsung leads India market with 30.8% and 23.3% respectively. In value share, Apple is at second position with 8%, Lenovo + Motorola is at third position with 7.4%, followed by Micromax at 6.7% and Oppo at 5.6%. Micromax is the only Indian brand in the Top 5 club. In volume terms, Samsung leads the market with 23.3%, followed by Micromax at 11%, Intex at 9.5%, Lava at 8.4% and Karbonn at 5.6%. China’s Transsion Group which entered the Indian featurephone market in Q2 2016 with their “itel” brand and has done well. Transsion is also expected to launch few more brands in the later half the year within the same price bands where homegrown vendors are competing. Reliance Retail’s device distribution business sold 10 million units LYF and JioFi devices during the financial year. LYF and JioFi devices continue to be available through over 500,000 retailers, Jio.com, AJIO. com and across all major e-commerce portals. India’s smartphone shipments grew a healthy 23% annually in Q1 2016 compared to the global growth, which stalled for the first time

ever since smartphones first begun to sell. India also surpassed USA to become the second largest smartphone market in terms of users. The advent of advanced 4G LTE network infrastructure will also be a key catalyst in the country’s smartphone adoption and one can see important role of service providers such as Reliance Jio, Bharti Airtel, Idea Cellular and Vodafone. The demand for LTE smartphones remained strong as two out of three smartphone shipped was LTE capable. With 4G LTE capability, 5-inch and above screen size is becoming important for Indian consumers as more than 60% of the smartphones shipped were phablets. The biggest surprise in quarter 1 was the rise of upcoming LTE operator Jio’s smartphone brand LYF. In the first quarter of its inception, LYF instantly climbed to become one of the top five smartphone brands in India in terms of shipment volumes. Jio with its massive LTE network and scale could be the key player to watch out in coming quarters. More than 45% of the mobile phones shipped were smartphones; two out of every three smartphones shipped in India were LTE capable; Samsung led the “Make in India” traction followed by Intex, Micromax and others; more than 60% of the smartphones shipped sported a 5” or larger display; and one in Three smartphones shipped was powered by a MediaTek processor, while almost 39% of LTE smartphones were integrated with a Qualcomm processor. Samsung, led the mobile phone and smartphone market capturing more than a fourth holding its position during the quarter of launch of its flagship Galaxy S7/S7 Edge and refresh for its popular J series of smartphones. Domestic brands such as Micromax, Intex and Lava continued to perform well in the local market to compete with onslaught

India’s Mobile Phone Market 2016 (in mn)

India’s Mobile Phone Market 2016 (in Rs Crore)

Quarter 1

Category

2016

2017*

Category

Revenue (in Rs Crore)

Featurephone

149

130

Featurephone

10,553

Smartphone

118

140

Smartphone

90,877

Total Handset Market

268

Total Mobile Phone Market

101,430

48

270 Source: Counterpoint *Forecast

Source: Counterpoint


of Chinese brands such as Lenovo, Xiaomi, Oppo and Vivo.

Quarter 2

Top Mobile Handset Brands 2016 (as per value)

The smartphone shipments in India grew a healthy 15% in Q2 2016 compared to the global smartphone market which grew modest 3%. Commenting on the findings, Karn Chauhan, Research Analyst, ! " Counterpoint Research said, “LTE smartphones (+264% YoY), Chinese ! " brands (+80% YoY) and the $100$150 price band (+48% YoY) were the key major growth drivers for the smartphone market. Chinese brands’ capture almost 27% combined share of the total smartphone market driven by brands such Lenovo, Vivo, Oppo, Xiaomi and LeEco.� The second quarter was great for “Make in India� program as number of manufacturing/assembling domestically jumped from 10 to 35 brands and contributed to almost 70% of the total smartphones production volume. In second quarter, smartphones contributed 44% to total shipped mobile phones, Android controls 97% share of the total smartphone shipments, Android’s old versions like KitKat and Lollipop contribute 89% of the total Android shipments, deeper customized Android variants are gaining ground especially in need for regional languages support, more than 60% of the smartphones shipped sported a 5� or larger display. Mediatek was the leading smartphone chipset supplier with 32% share, Qualcomm dominated the LTE based smartphone sub segment with 45% share. Almost a third of the total smartphones are being sold through online channels.

!

Samsung led the mobile phone and smartphone market due to strong distribution channel, refreshed portfolio with strong promotional campaigns (Make in India). Micromax maintained the second position in both overall mobile phone market and the smartphone segment with a market share of 13.2% and 14.1% respectively. Intex maintained its position to third in mobile phone and smartphone segment as its

Source: Counterpoint presence in sub$100 category still remains strong. Lava maintained the fourth spot in the overall mobile phone market with 8.6% market share. Lenovo (including Motorola) maintained fourth spot with a market share of 8.3%. Reliance Jio continue to maintain fifth spot but brands sell-through has been not upto the expectations. Vivo raced to join million club by surpassing million smartphone units for the first time in quarter on account of aggressive marketing campaigns driven by IPL sponsorship. Other Chinese brands which grew sequentially during the quarter were Lenovo (+23%), Xiaomi (+23%), Oppo (+42%), Vivo (+201%), Gionee (+99%) along with other players like LeEco and Oneplus.

Quarter 3

The smartphone shipments in India grew a healthy 23% annually in Q3 2016 compared to the global smartphone market which grew modest 5%. Out of all the smartphones being sold, almost seventy percent of them are now LTE capable with eighty percent of those LTE smartphones sporting VoLTE (Voice over LTE) capabilities. The bulk of the first-time smartphone users were mostly using Indian or Samsung branded smartphone but the aggressive entry and growth of Chinese brands have prompted most of these users to upgrade to affordable but better spec smartphones. Chinese brands expanded to multiple e-commerce platforms as well as offline channels backed with strong promotions and a refreshed portfolio. Chinese

brands contribute to almost one Source: Counterpoint in three smartphones sold during the quarter. Further 8 out of every 10 LTE capable smartphones were VoLTE ready which is becoming a key feature from marketing perspective for OEMs and carriers. Number of brands shipping more than one million+ smartphones in a quarter almost doubled compared to a year ago from six brand in Q3 2015. Samsung still dominates the feature phone and smartphone market

Top Mobile Handset Brands 2016 (as per volume)

!

49


Future Trends in Mobile Phone Connecting the Next Billion: An intense fight to “Connect the Next Billion” will be seen in 2017 with all eyes on India. This will potentially lead to start-ups or apps, striving to become platforms in themselves, locking horns with tech giants. The fight is going to be more intense than ever as we believe it’s just not about “connecting the next billion” but also “making the next billion dollars”. New disruptive startups will emerge aiming to challenge the incumbents. Regional know-how and strength in developing vernacular apps to entice first time users in India will be the key. Refurbished Market to Grow: The replacement volumes of smartphones is growing and with the new launches happening more frequently, the Indian market will also see refurbished and handed down smartphone market growth in 2017. Refurbished is a key battleground in developed markets such as the US and the UK in which Apple and Samsung dominate. This feeds back to new handset sales for both brands. Digital India: Demonetization has given strong momentum to the adoption of digital payments, a trend which is likely to be more significant in 2017. 10K-20K Price Band: Rs 10K - 20K smartphone was the fastest growing smartphone price segment with 86% yearon-year in 2016 and is likely to be the fastest growing again in 2017 due to users upgrading from sub-10k category to mid-end segment. VoLTE is going to the killer feature in sub Rs 3,000 mobile phone segment to attract first time users to experience LTE technology. Domestic Manufacturing: India handset manufacturing will continue to evolve from assembly on its way towards end-to-end manufacturing. As per Counterpoint Research – IIM Bangalore, the local value addition in India during 2016 was 6%. This is expected to grow to 10% in 2017 and will continue to increase in phases. Market Consolidation: 2017 is testing time for many vendors as they struggle to survive in this extremely competitive smartphone market, possibly leading to consolidation in the Indian market.

but its overall market share declined sequentially by 4 percentage points. Micromax maintained the second spot in smartphone space though closely followed by Lenovo. Intex slipped to fourth spot in mobile phone market and in smartphone segment, Intex was surpassed by LYF and Xiaomi, thus being pushed out of the top five rankings. Much of the growth was driven due to robust distribution structure and effective service network with emphasis on product quality from marketing perspective. Reliance Jio’s LYF brand climbed up to number four spot benefitting from the commercial launch and attractive trial period offer to consumers. Xiaomi entered in the top five smartphone rankings due to stronger demand for its Redmi Note 3 device which was the second most best-selling smartphone during the quarter. Oppo and Vivo, the star performers in their domestic market continue to exercise their strategy of expanding offline distribution.

Quarter 4

In Q4 2016, there were some significant changes in smartphone rankings with Chinese brands contributing to 46% of the total smartphone market. For the first time no Indian brand figured among the top 5 smartphone rankings. While the demonetization had its impact on the local players, it will be unfair to take credit from Chinese players that continue to expand their presence throughout India, riding on aggressive

50

portfolio strategies and substantial marketing spends. The Mobile phone shipments declined 17% QoQ during Q4 2016. Feature Phone shipments grew 4% YoY as the feature phone to smartphone transition slowed in the second half of 2016 due to the strength of ultra-low cost brands, such as iTel. More than 83 million smartphones in 2016 were “Made in India”. In Q4 2016, 3 out of 4 smartphones were manufactured domestically. Apple achieved a landmark, crossing 2.5 million units in a calendar year, with a 1/3 of its total shipment coming alone from the record fourth quarter driven by seasonality and the launch of iPhone 7. Apple captured 10th position in the smartphone rankings during Q4 2016 but led the premium segment (above US$450) with 62% market share. Chinese brands raced to capture a combined 46% of the total smartphone shipment in Q4 2016. Chinese brands OPPO, vivo, Lenovo and Xiaomi continued to grow at the expense of Samsung and Indian brands. Their success was attributable to a variety of factors including strong marketing and channel push, as well as better access to components that were in limited supply. As a result Chinese brands captured close to 50% market share. One in three smartphones sold during the quarter were through e-commerce channels, a segment which grew 24% in 2016. l Pravin Prashant pravin@varindia.com


Indian Market Scape

Software:

Moderate Growth The Indian enterprise software market is $5.16 billion and has shown a growth of 12.5 per cent The India software revenue is expected to reach $5.8 billion in 2017, a 12.8 percent increase from 2016 estimates of $5.2 billion, according to Gartner. This is in comparison to Gartner’s forecast for 2017 global spending for enterprise software will be $357 billion in constant U.S. dollars, with growth of 7.2 percent over 2016. Infrastructure software spending in India is expected to surpass $3.4 billion in 2017, a 10.2 percent increase from 2016. Enterprise application software spending is expected to grow 16.8 percent in 2017. The Software-as-a-Service (SaaS) market in India is expected to triple to about $1 billion by 2020, according to a research report by NASSCOM. The market for SaaS, a pay-as-you-go software distribution model is expected to be worth $407 million. There are over 150 firms offering solutions in the SaaS segment, with start-ups driving the segment. About 40-45 per cent of the companies in the segment are start-ups. Indian enterprise software market is dominated by global multinationals such as Microsoft, Oracle, SAP, IBM, SAS, Salesforce, and others. The well known players like Microsoft, SAP, Oracle continue to dominate the market but new upcoming players like Qlikview, Infor, Epicor and Salesforce are slowly making inroads into the enterprise space.

Business Intelligence and Analytics Software

Indian business intelligence (BI) software revenue is expected to reach $213.8 million in 2016, a 18.6 percent increase over 2015 revenue of $180.2 million, according to Gartner. This forecast includes revenue for BI platforms, advanced analytics platforms, analytic applications and corporate performance management (CPM) software. BI platforms contribute $213.8 million. Analytic Applications and Performance Management accounted for $25.1 million in revenues, while CPM Suites and Advanced Analytics Platforms contributed $33.3 million and $18.6 million, respectively. “The BI and analytics market is undergoing significant change. Adoption of machine learning techniques, and the emergence of smart data discovery solutions are fueling next round of investments,” said Bhavish Sood, research director, Gartner. The BI platforms segment continues to lead the BI software market in India, as BI platforms revenue is forecast to reach $136.8 million in 2016 All segments of the BI software market in India are expected to experience double-digit growth in the next two years. “There is an increased emphasis on metrics management and the growing use of performance management. Big data use cases are maturing and have executive visibility. This is leading to more investments in BI and information management,” added Sood. Purchasing decisions continue to move from IT leaders to line-of-business executives and users who want more agility and more flexible personalized options — making the land-and-expand model the new norm. This is in stark contrast to the large, enterprise-scale deals that fueled double-digit growth at a time when IT had larger budgets and wielded much more influence in buying decisions. The primary drivers of new growth in this rapidly evolving market are being influenced by the following dynamics: The increased need for governance will serve as the catalyst for renewed IT engagement as business-user-led deployments expand.

Indian BI Software Revenue Market Segment

2016 ($mn)

Growth (%)

Analytic Application and Performance Management

25.1

18.94

CPM Suites

33.3

16.76

Advanced Analytics Platform

18.6

23.59

BI Platforms

136.8

18.33

Total Revenue

213.8 18.59 Source: Gartner

Indian Enterprise Software Spending

Segment Infrastructure Software Enterprise Application Software

Total Growth

2016 2017 (in $bn) (in $bn) 3.11 3.4 2.05 2.4 5.16 5.8 12.5% 12.8% Source: Gartner

Market awareness and adoption of smart data discovery will extend data discovery to a wider range of users, increasing the reach and impact of analytics. Indian enterprises adopting BI have the advantage of benefiting from earlier adopters in developed markets, rather than needing to build their approaches from the ground up. They are increasing BI adoption through data discovery, geospatial and mobile based approaches.

Future Projections

Migration to Windows 10 is expected to be faster than previous operating system (OS) adoption, according to a survey by Gartner. The survey showed that 85 percent of enterprises will have started Windows 10 deployments by the end of 2017. Ranjit Atwal, research director, Gartner, said, “Large businesses are either already engaged in Windows 10 upgrades or have delayed upgrading until 2018. This likely reflects the transition of legacy applications to Windows 10 or replacing those legacy applications before Windows 10 migration takes place.” Gartner’s global survey of CIOs have indicated that the average IT budgets in India are expected to grow 10.7 per cent in 2017, nearly five times faster than the overall global average of a 2.2 per cent increase. The government (local, state and national) in India is forecast to spend $7.8 billion on IT spending in 2017, an increase of 9.5 per cent over 2016 according to Gartner. The forecast includes spending on internal services, software, IT services, data centre systems, devices and telecom services. The IT spending by banking and securities firms in India will reach $8.9 billion in 2017, an increase of 9.7 per cent from 2016, according to Gartner. The public cloud services market in India is expected to reach $1.3 billion in 2016. The public cloud services market in India is projected to grow 38 percent in 2017 to total $1.81 billion according to Gartner. The software segment includes enterprise resource planning (ERP), supply chain management (SCM), customer resource management (CRM), desktop, infrastructure, vertical specific software and other application tools. The software segment is expected to grow 14.6 per cent in 2017 to reach $2 billion, making it the largest segment within IT. The worldwide application integration and middleware (AIM) software market continues to grow faster than the overall infrastructure software market, with revenue on pace to surpass $27 billion in 2017, an increase of 7 percent from 2016, according to Gartner. “Growth in mobile, big data, analytics, in-memory computing, cloud and Internet of Things initiatives is associated with digital business and requires application and integration professionals to invest in new AIM technologies,” said Biscotti. “This in turn drives fresh integration approaches with new AIM technologies at their core, such as application programmable interface management and integration platform as a service,” added Biscotti. All these projections are very encouraging for Indian enterprise software market in days to come. l Pravin Prashant pravin@varindia.com

51


Indian Market Scape

Hardware:

Embracing Digital Digitization is the prime mover for PC, external storage, server and printer market in India India is moving towards digital economy swiftly thanks to Prime Minister Narendra Modi’s Digital India and Demonetization drive in 2016. Both Digitization and Demonetization has driven India’s hardware market in a big way.

Indian Hardware Market Snapshot PC

PC Market

According to International Data Corporation (IDC), the overall India PC market for 2016 stood at 8.58 million units i.e. a year on year drop of 15.2 percent over 2015. However, outside special projects the overall India PC market witnessed a year on year drop of 7.5 percent in 2016. The overall market declined initially owing to reduced consumer demand and high inventory in H1 2016. However, PC sales recovered starting June owing to strong consumer sentiment backed by seasonality and increase festive demand. The consumer PC market recorded 4.22 million units in 2016, with a year on year decline of 12.9 percent over 2015. According to Manish Yadav, Associate Research Manager, Client Devices, IDC India, “With high inflation and ongoing fiscal consolidation, consumer sentiment remained frail until H1 2016. However, with subsiding inflation and benefit from the Pay Commission, continued low commodity prices and measures announced in the Union Budget to transform the rural sector created just the right buzz for PC purchase in 2016.” The overall commercial PC market recorded 4.35 million units in 2016, with a year on year drop of 17.4 percent over 2015. “Barring fulfilment of limited large education projects, the year witnessed muted investment and delayed spending from government segment in H2 of 2016. Enterprises consumption had been the mainstay in holding up the aggregate demand during the same period,” said Yadav. HP Inc. was the leader and the company recorded a market share of 28.4 percent in the overall India PC market in 2016. HP Inc. took the top spot with 3 percentage point growth over 2015. The vendor continues to dominate the consumer PC business with 26.8 percent market share for the third year in a row. HP Inc. has recreated its brand in India

52

External Storage

Server

Printer

The India PC market for 2016 stood at 8.58 million units i.e. a year on year drop of 15.2 percent over 2015. The overall market declined initially owing to reduced consumer demand and high inventory in H1 2016 Banking, professional services, manufacturing and government continued to be the key contributors for India external storage market in 2016 The server market in India is around 143,552 units in 2016. Enterprise initiative towards digital transformation, analytics, cloud, BI and datacenter consolidation are the key trend observed in Indian server market The HCP market in India has shipped more than 30 lakh units in 2016 Source: VARINDIA

PC market with strong product placement and aggressive marketing campaigns supported by new innovative products like Spectre. The vendor also led the commercial category with the execution of special projects and strong hold in enterprise vertical as well. Dell has recorded an overall market share of 23.3 percent in overall India PC market in 2016 and took the second spot. The vendor continues its investment in expanding channel strength and remained focused on addressing new opportunities in segments like government and education. Owing to which Dell gained around 4.9 percentage point growth year on year to record 24.5 percent market share in 2016 in the overall commercial category against 2015. Lenovo held on to the third spot, with an overall market share of


PC Market Share 2015 (Shipment)

PC Market Share 2016 (Shipment)

Source: IDC

Source: IDC

traditional mid-range storage business in the near future. High-end storage segment witnessed a significant quarter on quarter growth as compared to other segments due to large refresh deals from banking and telecom verticals. The adoption of cloud storage/cloud back-up/DR as a service, etc. are adversely impacting the traditional storage business. This trend has created a new buyer segment – third party datacenters that is expected to grow. Third party datacenter organizations have a better negotiation power than SMB units and hence a significant price based competition is due in future. India PC Market Share 2016 (By Shipment) Availability of enterprise class features in midrange storage systems is propelling the growth for midrange storage ď€…ď€ arrays. Also due to increased cloud adoption, the entry level storage market from SMB units is getting shifted to third party  datacenters. However, third party datacenters are preferring midrange storage over entry level systems to serve the SMB ď€„ď€ customers as well due to increased capacities and features. Witnessed significant year on year growth of All Flash Arrays (AFA) due to uptake from banking, IT/ITeS and ď€ƒď€‚ manufacturing verticals. Organizations are willing to pay a little extra to avail best in class performance, so opting ď€ƒď€ flash storage technologies like never before. All Flash arrays have gained momentum for workloads like OLTP (online  transaction processing), business intelligence, billing, virtual desktop infrastructure, database etc. The demand for both ď€ capacity and performance with a single box is addressed by  ď€ˆď€‰ď€Šď€Š ď€Šď€‰ď€‹ď€Œď€?ď€Œ ď€?ď€?ď€?ď€Œď€“ď€‡ ď€Œď€”ď€†ď€‰ď€? Hybrid Flash arrays. 2015 | 2016 Increased demand for optimization technologies like virtualization, de-duplication, automatic tiering, compression Source: IDC and thin provisioning across organizations is being seen. There are several proof of concepts running around software PC Market Forecast: On short term, positive consumer spending defined storage and hyper converged infrastructure as well. This is leading to healthy sell out and expected to build a strong base for clearly indicates the demand for new optimization technologies in the H1 2017; unlike 2016 which was badly hit owing to sluggish consumer market. With the increased acceptance of SMAC technologies across demand from start of the year. The increased adoption of digital transaction and affordable PCs; organizations, storage demands from end-customers are changing to consumer PC market is setting up for a revival in 2017. Further the accommodate these new age workloads. Increasing demand for cloud commercial market is anticipated to observe execution of state owned storage as a service is clearly visible in the market. This trend would education projects across different states in 2017 and the incremental spending from BFSI and government verticals will further strengthen India External Storage Market 2016 the overall category growth. 17.6 percent in 2016. The vendor declined by 5.8 percentage point in 2016 over 2015 in the overall India PC market. With changes around GTM strategies and internal structure, the vendor’s consumer business did observe a drop of 2.5 percentage points year on year in 2016, further the drop was aided owing to lack of special project execution against 2015. However, market believes Lenovo will bounce back in 2017 by leveraging its improved marketing strategies and channel strength backed by innovative product line-up.

External Storage Market

Banking, professional services, manufacturing and government continued to be the key contributors for India external storage market in 2016. Large banking refresh deals drove the storage market and expecting increased spending from banking on analytics and UPI platforms. In addition to the major verticals, significant growth is witnessed in verticals such as securities, transportation, education and insurance which drove incremental storage revenues. Telecommunication vertical witnessed a sharp decline but this market is expected to grow in 2017 due to expansion projects pertaining to 4G rollouts by all major Indian operators like Reliance Jio, Bharti Airtel, Vodafone and Idea Cellular. Midrange external storage segment continued to lead the market with more than 50% market share. Increased market acceptance of new technologies such as hyper converged infrastructure might cannibalize

Source: IDC India, VARINDIA

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Indian Market Scape drive additional storage demand from 3rd party datacenter players and cloud providers however these players started considering component manufactures or white-box players. EMC continued to lead the market with market share of 27% followed by HPE with market share of 19%. IBM was at No. 3 with market share of 10 per cent, followed by Dell and NetApp at 10 per cent each and HDS at 9 per cent. The external enterprise storage systems market is expected to grow in single digit in terms of CAGR for 2015–2021 time-period. Banking and government sectors are expected to drive huge storage demand in the coming quarters. Government initiatives around digitalization, smart cities, make in India, e-governance projects are expected to drive the storage demand in the near future. Technologies like Software-Defined Storage and Hyper Converged Infrastructure are expected to cannibalize traditional external storage market and is expected to have a large impact in the next couple of years. Surveillance is expected to be the key contributor for the storage market growth as this is bound to increase in years to come due to smart cities as well as safe city concept to be driven by state governments.

Server Market

India X86 Server Market Share 2016 (in units)

Source: IDC India, VARINDIA

the key driving factor. Multiple ongoing smart cities initiatives and surveillance projects further propelled compute demand nationwide. In India x86 market, HPE maintained its leading position with 36 per cent market share in terms of unit shipment, followed by Dell with a market share of 25 per cent. Lenovo was at third position with 11 per cent followed by Cisco at 6 per cent. The government led digitization initiatives are expected to pick pace and would continue in 2017. SAP HANA opportunities, investments in HPC and DR implementations would pull the market further in 2017. Investments from global cloud service providers and a few e-commerce players is expected to drive notable compute demand. Digital India projects across multiple states remain in the pipeline, with further investments expected in the near future.

Printer Market

The HCP market in India has shipped more than 30 lakh units in 2016. In 2016, HP Inc. managed to achieve 44 percent shipment share,

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India HCP Market Share 2016 (in units)

The server market in India is around 143,552 units in 2016. Enterprise initiative towards digital transformation, analytics, cloud, BI and datacenter consolidation are the key trend observed in Indian server market. Pricing and tailor made solutions has become crucial for the vendors as they are frequently challenged by ODM’s and white box players. Amidst of all these industry concerns, ERP upgradation in manufacturing and tech refreshes in banking were the major contributors for server market demand. Banking, manufacturing, e-commerce and telecommunication verticals were the major contributors to the non-x86 market. Banking and Communications & Media verticals were the major contributors due to several bank refreshes and continued investments from telecom providers. Continued investments from telecom service providers towards 4G deployments, piece-meal investments from local hosting providers and periodic banking refreshes primarily contributed to the demand. The onset of digitization drives across multiple verticals and cities is

followed by Epson at 21 percent, Canon at 19 per cent, Samsung and Brother at 4 per cent each. Inkjet HCP Market: Inkjet HCP market witnessed a sequential decline of 13.7 percent in Q1 2016 due to low consumer demand and high inventory. In Q4, HCP inkjet market was impacted by demonetization. All the vendors faced inventory issues during the start of the quarter but the second half witnessed new campaigns and marketing activities that are expected to pave the recovery path in the coming quarters. The inkjet market is expected to be dominated by ink tank printers as vendors push their printers with aggressive marketing campaigns. Laser HCP (Printer-Based) Market: In the Laser segment, printerbased Laser HCP market grew by 5 percent in terms of unit shipments in Q1 2016 as compared to Q4 2015. Financial year ending pushed many

Source: IDC corporates and enterprises to exhaust their budget which supported the Laser market growth. The surge in Medium and Large Enterprises business was the prime reason for the growth and it was also supported by the stable channel business. Market declined by 14.5 percent quarter-on-quarter in terms of unit shipments in Q2 2016. After a good Q1, the market was soft in Q2 2016 due to low government and corporate buying. Market declined by 11.6 percent quarter-on-quarter in terms of unit shipments in Q4 2016. HP Inc. continued to be the market leader followed by Canon and Samsung at the second and third position respectively. Laser HCP (Copier-Based) Market: In the copier-based Laser HCP, the market witnessed sequential growth of 31.5 percent in Q1 2016. Q1 traditionally remains strong for Copier market and the trend continued this year as well. This was primarily due to strong Enterprise buying but demand from the government segment was weak this time. Q2 is usually a soft quarter for copier market, but it did perform well due to some deals in the government sector. There was a sequential dip of 33.3 per cent but the market performed better than expected. There was a sequential dip of 16.1 percent and Q4 2016 was soft due to demonetization affecting the jobbers segment and low government spending. Canon managed to hold on to No.1 spot followed by Konica Minolta at 2nd position, followed by Ricoh and Kyocera Document Solutions. Ink tank printers are being preferred over laser sometimes and is considered as a better option than an entry level laser printer. The laser copier market is expected to do well in the coming quarters, due to the digitization initiatives by the government originating the demand for copiers. Tier 3 and 4 cities are the next target areas for the print vendors. The MPS business is gaining momentum as the offering is able to attract the large enterprises. In the Inkjet market, there is a shift towards the CISS (Continuous Ink Supply System) printers, which are more efficient and offer lower per page printing cost to the end users. In the laser segment, demand for the higher speed products is increasing as Medium and Large Enterprises are looking not just for the hardware but the overall solution. Due to demonetization consumer purchase was affected in Q4 while deals from government and corporates were also put on hold because of which, the overall HCP market witnessed low numbers. However, the consumer sentiment remains good and going forward the demand is expected to pick up in coming quarters with impact of demonetization subsiding in India. l Pravin Prashant pravin@varindia.com


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IT Services:

Modest Growth IT-BPM services market has shown modest growth due to technology disruption, Brexit Referendum and Amercian Presidential election The global IT-BPM market stood at $1.2 trillion in 2016 (excluding hardware). The year also saw a modest growth of 4 per cent , after a couple of years of flat growth. Growth was experienced in IT services thanks to cloud, BPM due to adoption of BPaaS and RPA, packaged software and global R&D. In 2016, global sourcing grew 1.7 times to reach $173-178 billion and India was the No 1 sourcing destination with a market share of 55 per cent. The Indian IT-BPM industry has touched revenue of $143 billion in FY 2016 and is projected to grow at at the rate of 8 percent in FY2017 to reach $154 billion. In addition, eCommerce will fetch $33 billion. The Indian IT-BPM sector contributes around 49 per cent of total services export and contributes 7.7 per cent to India’s GDP. Overall, the Indian ITBPM industry is estimated to employ nearly 3.9 million people an addition of 170,000 people over FY2016. India’s IT-BPM industry is feeling the impact of the global slowdown and global political uncertainties as clients go slow on decision making and investment processes. The industry comprises of 16,000+firms and over 4,750 start ups, making India the 3rd largest eco-system in the world. TCS has seen broad-based growth across markets with all industry verticals in FY2016-17 except BFSI, retail and hi-tech growing in double digits. Among major markets, Europe grew in double digits (13.6%) and crossed $2 billion milestone in revenues followed by North America (7.6%) and UK (6.1%). Among growth markets, MEA (14.8%) and Latin America (14.1%) led the way while India grew at 10.1% and APAC at 5.7%. In terms of division, Enterprise Solutions and Consulting crossed the $3 billion and Business Process Services crossed the $2 billion revenue milestones respectively. Driven by IoT and Industrial Internet solutions, Engineering services led the way with 17.4% growth during the year while Infrastructure Services grew at 16% followed by Assurance services with 12.5% growth and BPS with 10.4%. In FY2016-17 digital revenues grew 29% due to accelerating adoption across industries as customers looked to transform their enterprises. TCS captured significant opportunities in cloud, automation, analytics and IoT with 16.7% of total revenues ($3 billion) coming from digital services. One key Digital India initiative that was launched during the year was the Aadhaar Merchants Digital Payments platform to enable UID-biometric based transactions in retail outlets to help drive financial inclusion and bring digital payments at the bottom of the pyramid using an Aadhaar number and an Aadhaar-linked bank account. Cognizant recorded revenue of $13.84 billion, up 8.6% from 2015. The company has included Digital for the first time and includes projects that help clients create more engaging experiences by applying artificial intelligence

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and advanced analytics to build loyalty and drive revenue growth; automate and modernize core business processes through bots that augment human capabilities and simplify how business is conducted; and deploy secure, cloud-as-a-service models that enhance operational efficiencies. Revenue associated with digital-oriented activities accounted for 23% of total Cognizant’s revenue in 2016 — growing well above the company average — and we are rapidly accelerating our digital initiatives moving ahead. The company is making good progress in accelerating Cognizant’s shift to digital services and solutions to create value for clients and shareholders, positioning us well to achieve both our revenue and margin targets for this year. In FY2016-17, Infosys focused on deepening its partnerships, investing in technology and expertise, and participating with clients and partners in the technical communities that drive value for clients. Together with Salesforce, Infosys recently announced plans to create a new practice focused on building and providing implementation services for Salesforce’s Analytics Cloud applications. Infosys continued to help clients drive automation and innovation into the core of their businesses, through renewed services, new software and services, and culture of learning and education. Wipro has announced its partnership with Harte Hanks to offer marketing technology services. As part of the multi-year engagement, Wipro will upgrade Harte Hank’s data analytics and applications platform, create a scalable operating model and simplify IT related processes for the company. Wipro has announced a new IoT-based solution for wind parks and wind turbine manufacturers, that leverages the Hewlett Packard Enterprise (HPE) Windpark Manager 4.0. Wipro is delivering analytics-based insights for specific industries with the Data Discovery Platform, its newest big data analytics-as-a-service solution. Built with IBM BigInsights and IBM dashDB and developed on Bluemix, IBM’s cloud platform, the solution accelerates insight-driven decision making through pre-built applications for specific industries, such as banking and financial services, retail, energy, education and manufacturing. Wipro has recently unveiled a new logo. The new logo represents the way the company “connects the dots” for its clients: integrating deep technology and domain expertise, applying insights from across industries, and consistently delivering world-class integrated, end-to-end capabilities and services. The logo also highlights Wipro’s strong technology heritage and reflects its capabilities for the future. The styling of the brand mark gives it a sense of fluidity, resourcefulness, optimism and a connected world. The individual elements in the logo represent


ideas, insights, technologies, industries and geographies. The expanding pattern symbolizes a boundless Wipro. The four circles represent the Wipro Values, Employees, Clients & partners, and Communities. The blue of the word mark creates a sense of reliability and authority. HCL Technologies has won broad–based business wins in next–generation integrated offerings – Next–Gen ITO, BEYONDigital and IoT WoRKS, reflecting investments in Internet of Things, digital technologies, cloud, automation and artificial intelligence. HCL has also solidifies its leadership in Internet of Things with best–in–class IoT frameworks, solutions and offerings as well as strengthening its IoT ecosystem play with the right partnerships. In terms of verticals, public services leads growth followed by retail & CPG, life sciences & healthcare, manufacturing, telecommunications, media, publishing & entertainment and financial services. HCL Technologies has extended its IP partnership with IBM to define the future roadmaps for additional products in the areas of application security, B2B data transformation, testing automation and API/web service enablement for mainframes. In FY2017, IT-BPM exports from India is expected to reach $117 billion, a 7.6 per cent growth over the previous year and an addition of $8.2 billion. On an average, all regions expected to see growth of 7.5 per cent. USA and Europe (including UK) account for 90 per cent share of exports. Emerging verticals including retail, healthcare, travel & transportation etc are expected to grow at nearly 8 per cent fastest than industry average. BFSI/hi-tech/ telecom continue to be the mainstay with over 58 per cent share. In FY2017, India’s domestic IT-BPM market is likely to grow 8.5 per cent year to year reach $38 billion (excluding eCommerce). IT services is the largest with close to 40.5 share, followed by hardware (around 37 per cent), software products (12.5 per cent) and BPM with 10 per cent share. IT services is to record the fastest growth of 11.4 per cent; demand for mobile apps, website development and consulting services (around customer experience, IoT, and analytics) are the key growth drivers. Software products is forecast to grow 10.4 per cent to $4.8 billion due to the ever growing demand for cloud based solutions, particularly from SMBs. Rapid digitisation and GST is expected to further catalyse growth. BPM is expected to $4 billion market with a 6 per cent y-o-y growth. The growing eCommerce market and demand from BFSI, retail, telecom industries as well as government’s Digital India’s initiatives are the key growth factors. The Indian IT-BPM firms are focusing significant resources towards

Top 5 IT-BPM Company in India

Company

Revenue Growth Manpower Digital Revenue (Rs. Cr) (%) (%)

TCS

117,966

8.6

387,223

29

Cognizant 88,576

8.6

261,200

23

Infosys

68,484

9.7

200,364

NA

Wipro

54,400

7.4

175,000

22

-

111,092

NA

HCL Tech 46,225*

1$ = Rs. 64, NA stands for Not Available Source: VARINDIA developing their digital capability by reorganising themselves to catch the digital opportunity. Adoption of digital technologies at the enterprise level is still at a nascent stage which will pick up in years to come. Once the digital revenue picks up we will see investment in social media, security and analytics. By 2020 it is expected that India’s IT-BPM sector total revenue is projected to reach $200-225 billion and between $350-400 billion by 2025. Digital technologies will drive the sector and the revenue from these is likely to be 23 percent by 2020 and around 38 percent by 2025 so Indian providers should get ready for this opportunity by offering new digital solutions to clients. l Pravin Prashant pravin@varindia.com

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