Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
V 1.0
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Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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There are
and
Daily via mobile networks in Thailand Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Year Subscribers
Growth rate
Subscribers
Growth rate
Subscribers
Growth rate
2009
65,952,313
1.98%
7,050,943
1.24%
58,901,370
2.07%
2010
71,726,300
2.92%
7,256,473
2.01%
64,469,827
3.03%
2011
77,449,466
1.65%
7,938,934
3.70%
69,510,532
1.42%
2012
84,001,947
3.47%
9,782,683
6.60%
75,229,728
3.07%
2013
93,848,536
3.03%
11,591,587
5.55%
82,256,949
2.38%
Q3 2014
100,225,548
5.41%
12,603,332
5.34%
87,622,216
5.42%
Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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120.000.000
www.yozzo.com
100.000.000
80.000.000 60.000.000 40.000.000 20.000.000 0
Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
www.yozzo.com www.yozzo.com
Year 2009
98.58%
10.54%
88.04%
2010
106.56%
10.78%
95.78%
2011
114.58%
11.74%
102.83%
2012
127.85%
14.71%
113.14%
2013
140.59%
17.36%
123.22%
Q3 2014
149.58%
18.81%
130.77%
Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
www.yozzo.com
Average Revenue Per User (Excluded Interconnection Charge) 1.00 THB = $0.0304220 www.yozzo.com
245
205
204
200
194
211
197
195
693
586
582
582
580
621
606
594
197
164
162
160
158
158
140
138
Average Revenue Per User (Including Interconnection Charge) 1.00 THB = $0.0304220 www.yozzo.com
311
263
256
254
190
194
187
746
643
639
648
484
454
459
254
214
210
210
157
161
151
Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
www.yozzo.com
Mobile MOU (Minute/Month) 2007 – Q3 2014 1.00 THB = $0.0304220 www.yozzo.com
319
251
253
257
236
240
267
254
648
539
486
477
400
375
461
364
277
217
226
233
217
220
240
239
Revenue per/minute Q3 2013 – Q3 2014
0.50
0.48
0.45
0.49
0.47
0.47
0.45
0.44
0.45
0.55
0.31
0.33
0.31
0.29
0.29
Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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In 2013 Thailand set the world record in migrating 2G subscribers to 3G, with migration taking even less time than in Japan. 30% of Thailand’s existing 95 million 2G customers shifted to 3G in only five months. Today AIS has 40.8 million 3G users out of 44.3 million total subscribers. DTAC has 20.2 million 3G users out of 28 million total subscribers.
True Move claims 24 million 3G users out of 26 million total subscribers.
Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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0,15%
0,57%
24,26%
46,52% 28,50%
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Estimated information for Q4 Year 2014 Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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92% of total subscribers 22m using 3G devices
77 provinces 97% coverage
Non-voice grew 5% QoQ Non-voice grew 34% YoY www.yozzo.com
Subscribers Q4 2014
4,940,700
39,360,600
44,301,300
Subscribers Q3 2014
4,786,700
39,008,500
43,795,200
Net additions Q4 2014
154,000
352,100
506,100
Net additions Q3 2014
125,600
791,400
917,000
ARPU Q4 2014
608 THB
170 THB
Blended 216 THB
MOU Q4 2014
373
256
Blended 269 Min 1.00 THB = $0.0304220
Source: AIS 2014 Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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16,500 3G sites. 3G & 4G LTE network
72% of sub base ported to 3G Mobile internet grew 35%YoY
Smartphone penetration 48% Mobile data users 14.1 million. www.yozzo.com
Total as of Q4 2014
3,850,000
24,159,000
28,008,000
Total as of Q3 2014
3,746,000
24,033,000
27,780,000
Net Additions Q4 2014
347,000
-281,000
66,000
Net Additions Q3 2014
88,000
-347,000
-259,000
ARPU Q4 2014 ex. IC.
586 THB
147 THB
Blended ex. IC. 202 THB
MOU Q4 2014 ex. IC.
267
183
Blended ex. IC. 194 1.00 THB = $0.0304220
Source: dtac 2014 Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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4G LTE 2100MHz Trial 3G on 850, 2100 MHz 2G 1800 MHz
Voice revenue grew 4.9% QoQ especially in Northeast. Non-voice revenue grew 6.4% QoQ
85% of total subscribers are on 3G or 4G
True www.yozzo.com
Total as of Q3 2014
3,672,000
19,767,000
23,440,000
Total as of Q2 2014
3,452,000
19,743,000
23,195,000
N/A
N/A
N/A
514 THB
61 THB
139 THB
Net Additions Q3 2014 ARPU Q3 2014
1.00 THB = $0.0304220
Source: True Corporation Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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3,040,483 1
2,763,535 2
19.75% 1
Source: Operators | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
5.35% 2
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Internet Users: 26,140,473, Internet Penetration: 39.06% Internet Broadband: 5,336,194 Subscribers
Broadband Penetration Per Population: 7.96% Price/Kbps = 0.09 THB
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Source: Thai Network Information Foundation | National Statistical Office of Thailand | NBTC | NECTEC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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6.000.000
5.000.000
4.000.000
3.000.000
2.000.000
1.000.000
0 Source: ISP | NBTC Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Dial-up modem, ISDN
Wireless Mobile 2G, 2.5G CDMA, GPRS
ADSL, VDSL, satellite, FTTH, Cable
Wireless 3G mobile Eg. WCDMA, EVDO
-
7,126,400
3,4%
8.9%
45%
40.3%
2.4%
1,502,900
3.0%
3.4%
56%
35.6%
2%
2,458,000
3.4%
8.5%
42.7%
42.7%
2.7%
1,064,800
2.6%
9.3%
49.4%
37.9%
0.8%
1,253,100
4.1%
13%
37%
43.4%
2.6%
847.500
3.6%
13.4%
38.8%
40.1%
4.1%
Source: National Statistical Office of Thailand Survey 2014 Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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The average user in thailand consumes 7.4 hours of media per day Tablet
Mobile Excl. SMS/Calls minutes
#1 MOBILE minutes www.yozzo.com
minutes
Television minutes
Laptop Source: Millward-Brown AdReaction-2014 Presentation by Yozzo Co.,Ltd.  www.yozzo.com  February 2014
Thai consumers spends 3.1 hours of his/her daily media routine via their mobile device. (Excl. SMS/Voice)
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We ARE SOCIAL 1011010101101 0101101111011 10011011011000 Top 5 Social Network usage • Facebook 93% • Line 87% • Google+ 34.5% • Instagram 34% • Twitter 16.1%
Thailand has the 3rd. largest Facebook population in the world with 30 million users and Bangkok has more Facebook users than any other city in the world. 93% of Thai Internet users access Facebook every week, compared to 47% globally, and 19 million, access Facebook through their mobile device.
4.5 million Twitter accounts and 1.7 million Instagrammers.
81% of smartphone users in Thailand have downloaded and use mobile chat apps for daily communication.
LINE users in Thailand (Oct. 2014)
Source: ETDA/MICT | LINE | Facebook | 2014 Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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400MB In 2013 Thai users consumed an average of
of mobile data per month
While their European peers consumed less than 200 MB per month
Source: Nokia Solutions and Networks (Thailand). Presentation by Yozzo Co.,Ltd.  www.yozzo.com  February 2014
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1GB
End of 2014 Thai users consumed about
of mobile data per month
Source: Nokia Solutions and Networks (Thailand). Presentation by Yozzo Co.,Ltd.  www.yozzo.com  February 2014
www.yozzo.com
Average video consumption for mobile video users is 3 GB per/month
3GB
1011010101101 0101101111011 10011011011000
Thailand's smartphones users are avid video watchers with 53% watching video at least once a day
Presentation by Yozzo Co.,Ltd.  www.yozzo.com  February 2014
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Traffic via mobile device
50% of Thailand’s YouTube viewers browse the internet while watching TV, with 22:00 (10pm) as the peak viewing time.
Traffic via mobile device
11% 43%
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Traffic on YouTube via mobile devices has jumped more than six-fold over the past two years.
Source: YouTube/Google Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
Thailand has the 2nd highest amount of YouTube views in Asia 1. 2. 3.
Japan Thailand India
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Source: IDC Thailand Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Source: Nokia Solutions and Networks (Thailand). Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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After March 1, 2015 - all airtime call packages must be billed on per-second basis. The average charge for 2G service must not exceed 0.99/per minute. For 3G on the 2.1 GHz spectrum, the price must not exceed 0.84/per minute,
In compliance with regulators mandates • Customer gets minimum 30 days balance for every prepaid top‐up value. • The value can be accumulated for 365 days.
NBTC announced the mandate for network infrastructure sharing among operators i.e. tower, land, site facilities, etc. in April 2013. The action is subjected to availability of network capacity. 1.00 THB = $0.0304220
Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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2G
3G
2.5
3.5
2.7
3.9
LTE
www.yozzo.com Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
www.yozzo.com License ends 2015
900 MHz
BTO contract ends 2015
17.5MHz‐Bandwidth MVNO Wholesale contracts License ends 2025
AIS 17.5MHz
MVNO 15MHz
2100 MHz 15MHz‐Bandwidth
Auctioned license
AIS 15MHz
2100 MHz License ends 2027
Auctioned license
45MHz‐Bandwidth
DTAC 15MHz
Auctioned license
True 15MHz
NBTC Regulator
Ended 2013
DPC 12.5MHz
1800 MHz License
BTO contract
Ended 2013
True 12.5MHz
75MHz‐Bandwidth Ends 2018
DTAC 50MHz
BTO contract ends 2018 License ends 2025
850 MHz 25MHz‐Bandwidth
DTAC 10MHz
Wholesale - Resell
True 15MHz www.yozzo.com
Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
Ends 2018
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TOT/CAT
NBTC
Till 2013-2018
15-years
TOT/CAT
Operator
20-30% revenue share
5.25% of revenue (Type 3 License)
*BTO is Build Transfer Operate contract. Note: Operators have to pay a numbering fee at Bt2/number/month to the regulator
Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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BTO contract regulatory fee = Revenue share + Access charge Ceased since 2007
5.25%
=
1.5% Paid to Regulator
+
3.75% Paid to Regulator
Upfront license bidding cost THB 13.5 - 14.6 Billion for 2x15 MHz. 1.00 THB = $0.0304220
Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Interconnection charge (IC) or termination charge is a bilateral agreement charge levied by network operators on other service providers to recover the costs of the interconnection facilities provided by the network operators.
AIS, DTAC and TRUE agree to pay IC rate at THB 1.00/min.
The new IC rate of THB 0.45 per minute is applied from 1 July 2013. TOT‐3G does not enter into IC agreement with any operators
The regulator has pledged to introduce a lower mobile termination rate than the current 0.45 baht ($0.014) per minute to help operators comply with the per-second billing new policy. 1.00 THB = $0.0304220 Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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National roaming happens when one operator allow its customers to originate/receive traffic using network of other operators. National Roaming ensures that customers have seamless connection experience.
• •
Subscriber uses 2G handsets. Subscriber makes/receives a call outside of 3G coverage
Provide roaming service
Pay roaming charge
• •
Provide network capacity to support traffic originated/received from customer of 3G Operator. Subjected to 30% revenue sharing to TOT/CAT Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
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Yozzo is a Telecom Consulting firm, specializing in Information and Communications Technology (ICT).
We assist public and private sector clients in their decision making through market insights, experience and technical skills. Our clients includes: Governments, Telecom Regulators, Telecom operators, MVNO’s, Mobile device manufacturers, Retailers, Software & Service providers, Media and Broadcasting companies.
We approach consultancy engagements from a commercial perspective, with the aim of adding significant value to your business by identifying and pursuing: growth opportunities, create products, services, and businesses that improve the efficiency, productivity, and profitability of your business.
Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014
www.yozzo.com Presentation by Yozzo Co.,Ltd. www.yozzo.com February 2014