ITU Secretary General - Teletimes
ITU Secretary General - Teletimes
ITU Secretary General - Teletimes
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<strong>ITU</strong> <strong>Secretary</strong> <strong>General</strong><br />
Dr. Hamadoun Toure<br />
speaks on ITRs & Future of ICTs<br />
December 2012<br />
www.teletimesinternational.com
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A PROJECT OF PPA PUBLICATIONS
In this edition<br />
Interviews<br />
13<br />
<strong>ITU</strong> <strong>Secretary</strong> <strong>General</strong> speaks on ITRs<br />
& Future of ICTs<br />
Khalid Athar<br />
19<br />
29<br />
“We are ‘the mobile satellite operator’ used in<br />
most countries on the planet”<br />
Drew Brandy ,VP, Industry Enterprise - inmarsat<br />
Gulraiz Khalid<br />
The main purpose of State Foundation is<br />
Involvement of investments ...<br />
Dr. Ali Abbasov - Minister of Communications & IT,<br />
Republic of Azerbaijan<br />
Research & Analyses<br />
21<br />
23<br />
33<br />
41<br />
48<br />
Articles<br />
39<br />
61<br />
Purchase mobile computers wisely<br />
not to lose productivity<br />
Jerker Hellstrom<br />
Catching the Smart Home Opportunity<br />
Dr. Karim Taga, Didier Levy, Omar Saadoun<br />
and Lars Riegel (Arthur D. Little)<br />
The new reality of cyber war<br />
James P. Farwell & Rafal Rohozinski<br />
The Global ICT 50:<br />
The Supply Side of Digitization<br />
Olaf Acker, Florian Gröne, Germar Schröder<br />
Booz&Co.<br />
Europe should choose future-proof broadband<br />
NOW!<br />
Karin Ahl<br />
Special Reports<br />
09 WCIT - What happened for the revision of<br />
International Telecom Regulations?<br />
16<br />
International Conference on new approaches<br />
in Electronics communication and information<br />
technologies<br />
Yasemin Saygi<br />
Branding in ICT and telecom sector<br />
Hanan Rafique Dahar<br />
How technology can enable a Literate Pakistan<br />
in 24 months - A self experience<br />
Rehan Allahwala<br />
09 09<br />
58<br />
59<br />
04 December 2012<br />
www.teletimesinternational.com
In this edition<br />
16<br />
37<br />
Reports & News<br />
29<br />
19<br />
56<br />
28<br />
37<br />
49<br />
50<br />
51<br />
53<br />
54<br />
55<br />
56<br />
57<br />
57<br />
58<br />
59<br />
21st Convergence India 2013 Expo - Enriching a billion lives<br />
Pawan Dixit<br />
Mobilink to invest USD 1 billion to enhance nationwide mobile network<br />
du launches in-house contest at the UAE’s 41st National Day<br />
Frost & Sulivan: Regulatory compliance to be one of the key drivers ...<br />
Deepshri Iyer<br />
Huawei: Customer experience -<br />
The future benchmarking in Telecom innovation<br />
Comguard unveils irresistible bundle offer<br />
Gulraiz Khalid<br />
Etisalat accompanies media representatives to visit Huawei in China<br />
Nawras installs high speed enterprise connectivity at GUtech campus in Halban<br />
Julie Amann<br />
PCCW Teleservices receives 5 contact center awards<br />
Ivan Ho<br />
Thuraya recognized as the Satellite Communications Player of the Year award<br />
Mini Sree Narayanan<br />
Making copies of data – Better media options<br />
Khawar Nehal<br />
PTCL celebrates 41st National Day of UAE<br />
Aqeel Shigri<br />
ZONG and Huawei establish state-of-the-art GSM laboratory at NUST<br />
and much more ....<br />
December 2012<br />
www.teletimesinternational.com<br />
05
Media partner:<br />
Online partner:
Letter to readers<br />
Khalid Athar<br />
Chief Editor<br />
Dear Reader,<br />
Welcome to the December edition of<br />
<strong>Teletimes</strong> International.<br />
The Emirate of Dubai, UAE hosted one of<br />
the most significant telecommunication<br />
events connected with future shape of the<br />
International telecommunication regulations.<br />
World Conference on International<br />
Telecommunications (WCIT) conveyed<br />
by <strong>ITU</strong> in Dubai hosted some intense two<br />
weeks of late night deliberations between<br />
Governments of <strong>ITU</strong>’s member states.<br />
<strong>Teletimes</strong> International was covering<br />
this important conference over the<br />
past four months in the form of articles,<br />
news and available information of the<br />
proposed amendments and revisions in<br />
the ITR (International Telecommunication<br />
Regulations) document. In this edition, we<br />
are also featuring an exclusive Interview of<br />
Dr. Hamadoun I. Touré, <strong>Secretary</strong> <strong>General</strong><br />
of the <strong>ITU</strong> arranged just before the start of<br />
WCIT. A detailed conference summary is<br />
also available with this edition narrating the<br />
proceedings and outcomes of WCIT.<br />
It may be kept in mind that International<br />
Telecommunication Regulations have not<br />
been updated since 1988. Some of the most<br />
significant happenings at the WCIT were the<br />
presence of ICANN’s President and the CEO<br />
Fadi Chehadé, approval of a resolution aimed<br />
at fast-tracking connectivity for Land Locked<br />
Developing Countries (LLDCs) and Small<br />
Island Developing States (SIDSs) and global<br />
agreement on the need for the next phase of<br />
ICT development to prioritize environmental<br />
sustainability.<br />
The second week of the event brought<br />
some high observance of uncertainty<br />
and disagreement on the issue of<br />
including ‘Internet’ as a part of revised<br />
International regulations. Most countries<br />
at the conference agreed that a United<br />
Nations agency should play an active but<br />
not dominant role in Internet governance.<br />
Delegates from United States, United<br />
Kingdom, Canada and Australia refused to<br />
sign the document.<br />
This month we are also featuring interview<br />
of his Excellency, Prof. Dr. Ali Abbasov,<br />
Minister of Communications and Information<br />
Technologies, Republic of Azerbaijan. Mr.<br />
Drew Brandy, Vice President - Industry<br />
Enterprise at inmarsat is also presented in<br />
this edition in an exclusive interview held<br />
recently.<br />
Our research and analyses section for this<br />
month brings ‘The Global 50: the supply side<br />
of digitization’ ,‘Purchase mobile computers<br />
wisely’, ‘Branding in ICT & Telecom’, ‘Europe<br />
should choose future proof broadband<br />
now’ and a post conference summary<br />
on ‘International conference on new<br />
approaches in electronic communication’<br />
by our correspondent at Istanbul. We are<br />
also brining a conclusive report model for<br />
telecom operators to catch the smart home<br />
opportunities prepared by Arthur D. Little.<br />
This month’s online survey inquired the<br />
respondents to tell us If they believe that<br />
‘Government control inhibit the growth of<br />
Internet innovation?’ results show that 45%<br />
of the respondent were of the view that<br />
Government control does restrict innovation<br />
over the Internet while the rest said it<br />
doesn’t. Readers will also enjoy latest news<br />
and reports from Thuraya, Nokia, PTCL,<br />
Comguard, PCCW, Huawei, Etisalat, Nawras,<br />
Zong and VimpelCom. As a regular feature,<br />
the edition also present “Teletoons” and<br />
upcoming events calendar for Global ICT and<br />
Telecom events.<br />
We would look forward to receive your<br />
comments and suggestions to assist<br />
us in bringing more value to <strong>Teletimes</strong><br />
International.<br />
Wish you a very happy and prosperous 2013!<br />
Enjoy Your Reading.<br />
December 2012<br />
www.teletimesinternational.com<br />
07
WCIT –<br />
What happened for the revision of International<br />
Telecommunication Regulations?<br />
<strong>Teletimes</strong> Special Report<br />
The last month of the year<br />
2012 brought together decision<br />
makers from around the world<br />
in Dubai for the World Conference<br />
on International Telecommunications,<br />
or WCIT. The<br />
conference held an inimitable<br />
importance to renegotiate the<br />
International Telecommunication<br />
Regulations (ITRs) that was<br />
agreed upon in 1988 to promote<br />
global interconnectivity and<br />
interoperability of telecommunication<br />
facilities and availability<br />
of services to the public. WCIT<br />
2012 welcomed almost 1600 delegates<br />
from 151 Member States,<br />
including almost 70 ministers,<br />
deputy ministers and ambassadors.<br />
<strong>ITU</strong>’s member states<br />
were invited to revise and set a<br />
future treaty for International<br />
Telecommunications, a total of<br />
1275 proposals were submitted<br />
by Member States during the<br />
proceedings. The event hosted 2<br />
weeks of intense, long and late<br />
night deliberations between<br />
Government representatives,<br />
concluded with 89 of the<br />
participating states signing the<br />
updated international telecommunications<br />
treaty. 55 of the<br />
144 participating economies<br />
reserved their rights to sign at<br />
a later stage or refused to sign<br />
the treaty.<br />
A number of high ranking officials<br />
and dignitaries attended<br />
the conference, including<br />
Mohamed Nasser Al-Ghanim,<br />
Director-<strong>General</strong> of the UAE<br />
Dr. Hamadoun Touré<br />
Telecommunications Regulatory<br />
Authority and Chairman of<br />
the Conference; Fadi Chehadé,<br />
President and CEO of the Internet<br />
Corporation for Assigned<br />
Muhamed Nasser Al-Ghanim<br />
Names and Numbers (ICANN);<br />
and <strong>ITU</strong> <strong>Secretary</strong>-<strong>General</strong>, Dr.<br />
Hamadoun I. Touré. UN <strong>Secretary</strong>-<strong>General</strong><br />
Ban Ki-moon in his<br />
opening remarks thanked UAE<br />
December 2012<br />
www.teletimesinternational.com<br />
09
for hosting WCIT and stressed<br />
that the conference is focused<br />
to facilitate in providing a multilateral,<br />
bottom-up stakeholder<br />
approach while reviewing the<br />
agreements.<br />
Over the past several months,<br />
the babble surrounding WCIT<br />
had been nothing short of fear.<br />
Public advocacy groups like the<br />
Electronic Frontier Foundation<br />
and other organizations issued<br />
several warnings that WCIT<br />
could be the end of the Internet<br />
world as we know it. The largest<br />
scaremongering came by<br />
Google through campaigns<br />
organized; Google had been the<br />
leader of a conspiracy theory<br />
posted before WCIT stating that<br />
ITR process is primarily focused<br />
to take over governance of the<br />
Internet and supply to member<br />
states a power to censor and<br />
filter Internet content. Though<br />
at the later part of these campaigns,<br />
some analyst concluded<br />
them to be ill-informed and selfserving.<br />
An analysis posted in<br />
the Huffington Post argued that<br />
Google’s real motivation behind<br />
its WCIT campaign revolved<br />
around shared payment system<br />
among service providers, it may<br />
be noted that presently the<br />
requesting operator pays the<br />
sending operator for requested<br />
content. Mr. Nothias in his post<br />
concluded that, under such a<br />
system, Google “would be unable<br />
to continue using freely the<br />
worldwide infrastructure network<br />
for which it did not spend<br />
a penny.” As recognition to calls<br />
for greater transparency, <strong>ITU</strong><br />
kept the sessions of the review<br />
committee and plenary meetings<br />
opened to the public.<br />
It was heartening and appropriate<br />
that the first Resolution to<br />
be approved during the WCIT-12<br />
was all about connecting those<br />
who are still not connected.<br />
It was a Resolution aimed at<br />
fast-tracking connectivity for<br />
Landlocked Developing Countries<br />
(LLDCs) and Small Island<br />
Developing States (SIDSS). The<br />
agreed resolution reaffirms<br />
the right of access for landlocked<br />
countries to the sea and<br />
freedom of passage through<br />
the territory of transit countries<br />
by all means of transport, in accordance<br />
with applicable rules<br />
of international law.<br />
During the first week, <strong>ITU</strong> member<br />
states also approved a new<br />
<strong>ITU</strong> standard on Deep Packet<br />
Inspection (DPI) that will enable<br />
Internet Service Providers (ISPs)<br />
to manage network traffic more<br />
efficiently and thereby ensuring<br />
users’ quality of service<br />
and experience. The standard<br />
‘<strong>ITU</strong>-T Y.2770, Requirements for<br />
Deep Packet Inspection in Next<br />
Generation Networks’, is an<br />
outcome of <strong>ITU</strong>-T Study Group<br />
13 approved by WTSA.<br />
The first week of WCIT did had<br />
few grim moments but a very<br />
little indication as what the final<br />
document will actually look like<br />
and who will sign the new treaty<br />
on the last day.<br />
A major difference was<br />
observed among the member<br />
states on the buzz word of<br />
the ‘Internet’. For example,<br />
the proposed revisions asked<br />
the Members States to ensure<br />
that administrations/operating<br />
agencies cooperate within<br />
the framework of ITRs to<br />
provide by mutual agreement,<br />
a wide range of international<br />
telecommunication services<br />
including services for carrying<br />
Internet traffic and data<br />
transmission. They also asked<br />
Members States shall ensure<br />
As recognition to calls for greater<br />
transparency, <strong>ITU</strong> kept the sessions<br />
of the review committee and plenary<br />
meetings opened to the public.<br />
that operating agencies provide<br />
and maintain a minimum<br />
an agreed quality of service<br />
with respect to access to the<br />
international network by users<br />
using terminals which are<br />
permitted to be connected<br />
to the network and which do<br />
not cause harm to technical<br />
facilities and personnel; harm<br />
to technical facilities and<br />
personnel shall be construed<br />
to include spam, malware, etc.<br />
as defined in relevant <strong>ITU</strong>-T<br />
Recommendations (as the case<br />
may be), as well as malicious<br />
code transmitted by any<br />
telecommunication facility or<br />
technology, including Internet<br />
and Internet Protocol. Draft<br />
Article 4 also asked Member<br />
States to take measures to<br />
ensure Internet stability and<br />
security, to fight [cybercrime]<br />
and to counter spam, while<br />
protecting and respecting<br />
the provisions for privacy and<br />
freedom of expression as<br />
contained in the relevant parts<br />
of the Universal Declaration of<br />
Human Rights.<br />
During initial deliberations, United<br />
States and some countries<br />
from European region called for<br />
keeping ‘Internet’ and its governance<br />
out of revised treaty,<br />
while others—like Russia, China,<br />
and Saudi Arabia pushed to<br />
include clauses addressing Internet.<br />
However, a far more conciliatory<br />
approach was adopted by<br />
majority of the delegates by the<br />
end of first week.<br />
Week two started with an<br />
agreement to adopt three new<br />
proposed Regulations in Article<br />
5 of the ITR’s recognizing the<br />
absolute priority for safety<br />
of life telecommunications,<br />
including distress telecommunications,<br />
emergency telecommunications<br />
services and telecommunications<br />
for disaster relief.<br />
A new provision was also approved<br />
on “Energy Efficiency/<br />
e-Waste” encouraging Member<br />
States to adopt energy efficiency<br />
and e-waste best practices,<br />
taking into account relevant<br />
<strong>ITU</strong>-T recommendations. A new<br />
provision on “Accessibility” was<br />
also approved calling on Member<br />
States to promote access<br />
for persons with disabilities to<br />
international telecommunication<br />
services taking into account<br />
relevant <strong>ITU</strong>-T recommendations.<br />
During the mid time of week<br />
two proceedings, WCIT ap-<br />
10 December 2012<br />
www.teletimesinternational.com
proved new provisions on mobile<br />
“roaming” that intended to<br />
ensure transparency of end-user<br />
prices for international mobile<br />
services, allowing users to receive<br />
full information promptly<br />
whenever they cross a border.<br />
Another resolution passed<br />
during this time recognizing the<br />
Internet as a central element of<br />
the infrastructure of the information<br />
society, saying that it<br />
has evolved from a research and<br />
academic facility into a global<br />
facility available to the public.<br />
The resolution also recognizes<br />
the importance of broadband<br />
capacity to facilitate the delivery<br />
of a broader range of services<br />
and applications, promote investment<br />
and provide Internet<br />
access at affordable prices to<br />
both existing and new users.<br />
As the conference entered into<br />
its last two days, the key issue<br />
of whether the new treaty text<br />
will include the Internet was<br />
yet to be resolved. The United<br />
States and a number of allies opposition<br />
expanded on, whereas<br />
Russia and others supported it.<br />
The conference also witnessed<br />
locked clauses number 3.7 and<br />
3.8, and coffee wasn’t helping<br />
the opposing sides reach any<br />
kind of consensus.<br />
U.S. Ambassador Terry Kramer<br />
tweeted that work would<br />
continue around the clock, but<br />
added: “The U.S. remains committed<br />
to keeping the Internet<br />
out of the ITRs (treaty).”<br />
The later part of the day claimed<br />
some consensus on these issues<br />
but it seemed clear that even<br />
a compromise is not possible<br />
from US, Canada, and the UK<br />
side. The day ended with<br />
representatives from countries<br />
from Denmark to New Zealand<br />
consulting home offices to determine<br />
their signing status.<br />
The last day of WCIT brought<br />
approval of provision addressing<br />
security and robustness of<br />
networks, the approved provision<br />
states: “Member States<br />
shall individually and collectively<br />
endeavor to ensure the security<br />
and robustness of international<br />
telecommunication networks in<br />
order to achieve effective use<br />
thereof and avoidance of technical<br />
harm thereto, as well as the<br />
harmonious development of international<br />
telecommunication<br />
services offered to the public.”<br />
The hot debated issue of<br />
recognized operating agencies<br />
(ROAs) versus operating agencies<br />
(OAs) was also resolved on<br />
the last day under Article 1 dealing<br />
with the purpose and scope<br />
of the treaty. In this article, “authorized<br />
operating agencies”<br />
now refer to those operating<br />
agencies, authorized or recognized<br />
by a Member State, to<br />
establish, operate and engage<br />
in international telecommunication<br />
services to the public.<br />
The last few hours of WCIT<br />
brought more uncertainty; the<br />
puzzle word of ‘Internet’ made<br />
Australia to join the US, Canada<br />
and the UK in refusing to sign<br />
the proposed international telecommunications<br />
treaty.<br />
The United States ambassador<br />
to WCIT, Terry Kramer, said<br />
The hot debated issue of<br />
recognized operating agencies<br />
(ROAs) versus operating agencies<br />
(OAs) was resolved on the last day.<br />
“The US cannot sign revised<br />
telecommunications regulations<br />
in their current form,” he said.<br />
“ITRs should be a high-level<br />
document, and the scope of<br />
treaty does not extend to the<br />
internet.”<br />
Negotiators from Denmark, Italy,<br />
the Czech Republic, Sweden,<br />
Greece, Portugal, Finland, Chile,<br />
the Netherlands, New Zealand,<br />
Costa Rica and Kenya also said<br />
that they would need to consult<br />
with their national governments<br />
about how to proceed and<br />
would also not be able to sign<br />
the treaty at present.<br />
WCIT concluded in Dubai with<br />
89 countries having signed the<br />
updated International Telecommunication<br />
Regulations. Those<br />
who signed include China,<br />
Oman, Bahrain, Qatar, Singapore,<br />
Malaysia, Egypt, Kuwait,<br />
Saudi Arabia, UAE, South Africa,<br />
Brazil and Turkey.<br />
In a post conference, the <strong>ITU</strong><br />
noted that while one of the<br />
treaty’s appendices does say<br />
that “all governments should<br />
have an equal role and responsibility<br />
for international internet<br />
governance,” this text was<br />
non-binding and should not be<br />
viewed as part of the agreement’s<br />
formal regulations. Another<br />
provision states that the<br />
ITRs do not address contentrelated<br />
telecommunications.<br />
<strong>ITU</strong> <strong>Secretary</strong>-<strong>General</strong>, Dr.<br />
Hamadoun I. Touré said that<br />
the drafting of the text for the<br />
newly revised International<br />
Telecommunication Regulations<br />
treaty contains many gains and<br />
achievements including increased<br />
transparency in international<br />
mobile roaming charges<br />
and competition, an extremely<br />
important win for consumers.<br />
He further said that this conference<br />
was not about governing<br />
the Internet. I repeat that the<br />
conference did not include<br />
provisions on the Internet in<br />
the treaty text. Annexed to the<br />
treaty is a non-binding Resolution<br />
which aims at fostering the<br />
development and growth of the<br />
Internet – a task that <strong>ITU</strong> has<br />
contributed significantly to since<br />
the beginning of the Internet<br />
era, and a task that is central to<br />
the <strong>ITU</strong>’s mandate to connect<br />
the world, a world that today<br />
still has two thirds of its population<br />
without Internet access.<br />
History will show that WCIT has<br />
achieved something extremely<br />
important. It has succeeded in<br />
bringing unprecedented public<br />
attention to the different and<br />
important perspectives that<br />
govern global communications.<br />
There is not one single<br />
world view but several,<br />
and these views need to be<br />
accommodated and engaged.<br />
December 2012<br />
www.teletimesinternational.com<br />
11
Interview: Khalid Athar<br />
<strong>ITU</strong> secretary <strong>General</strong> speaks to <strong>Teletimes</strong><br />
on ITRs & Future of ICTs<br />
December 2012<br />
Dr. Hamadoun Touré<br />
www.teletimesinternational.com<br />
13
<strong>Teletimes</strong> - How has been your<br />
experience as <strong>Secretary</strong>-<strong>General</strong><br />
of <strong>ITU</strong>, given the vast set of<br />
responsibilities and challenges<br />
in supporting the Union and its<br />
members?<br />
Dr. Hamadoun Touré - It is six<br />
years since I was first elected as<br />
<strong>ITU</strong> <strong>Secretary</strong>-<strong>General</strong>. In that<br />
short space of time, the landscape<br />
of telecommunications<br />
and information and communication<br />
technologies (ICTs) has<br />
continued to change dramatically.<br />
Every shift and new advance<br />
brings new challenges for <strong>ITU</strong>’s<br />
membership, and for the world<br />
as a whole. But I am pleased to<br />
say that <strong>ITU</strong>’s dedicated staff<br />
has been more than able to<br />
meet these challenges, offering<br />
an expert, neutral space where<br />
crucial issues can be examined,<br />
while dealing with the core matters<br />
that are the responsibility<br />
of <strong>ITU</strong>.<br />
With my re-election as <strong>Secretary</strong>-<br />
<strong>General</strong> in 2010, I renewed my<br />
determination to lead the organization<br />
forward in engaging our<br />
membership and providing what<br />
they need, using <strong>ITU</strong>’s central<br />
position in the area of telecommunications<br />
and ICTs to give a<br />
timely response to emerging<br />
issues.<br />
TT - How would you rate the<br />
success of recently concluded<br />
<strong>ITU</strong> World Telecom 2012 conference<br />
with the theme of shaping<br />
the global ICT future?<br />
HT - <strong>ITU</strong> Telecom World is going<br />
from strength to strength as<br />
a venue for high-level leaders<br />
of industry and government to<br />
network and share their knowledge.<br />
I am delighted to say that<br />
our 2012 event, held in Dubai,<br />
UAE, 14-18 October, was a great<br />
success.<br />
We heard visionary keynote addresses<br />
from such figures as Eugene<br />
Kaspersky, CEO of Kaspersky<br />
Lab, and, with the BBC and<br />
Telecom TV, we took part in<br />
what were called ‘Big Conversations’<br />
on the central topics of<br />
online privacy and the role of socalled<br />
‘OTT’ players. Participants<br />
joined in from all parts of world,<br />
online and through social media.<br />
In Dubai itself, we welcomed<br />
delegates from across the globe<br />
and examined a wide range of<br />
themes. Such bringing together<br />
of diversity is, I believe, the great<br />
strength of <strong>ITU</strong> Telecom World.<br />
Through coming together we<br />
become a powerful force in<br />
shaping the future of ICTs.<br />
“We need<br />
to focus on<br />
communicating<br />
<strong>ITU</strong>’s message to<br />
the wider world.”<br />
TT - The event hosted debates<br />
on the role of ICTs in emergency<br />
services as well as on nextgeneration<br />
mobile broadband<br />
networks. How do you see this<br />
transformative technology being<br />
used in future?<br />
HT - From my experience not<br />
only as <strong>ITU</strong> <strong>Secretary</strong>-<strong>General</strong>,<br />
but also previously as Director<br />
of <strong>ITU</strong>’s Telecommunications<br />
Development Bureau, I know<br />
that nothing is more important<br />
than harnessing ICTs to protect<br />
people’s lives and livelihoods,<br />
particularly as we enter a period<br />
of global climate change. This<br />
was the focus of the ‘Saving<br />
Lives Platform’ at <strong>ITU</strong> Telecom<br />
World 2012, where we launched<br />
two new initiatives that tap<br />
into the immense potential<br />
of mobile broadband. The ‘M-<br />
Powering Development’ project<br />
will be a catalyst to achieve<br />
sustainability while boosting<br />
economic growth. And <strong>ITU</strong>’s<br />
‘Smart Sustainable Development<br />
Model’ will show how linking ICT<br />
for Development (ICT4D) with<br />
ICT for Disaster Management<br />
(ICT4DM) can make best use of<br />
resources.<br />
It is clear that smart ICT solutions<br />
can create affordable<br />
models for the expansion of<br />
infrastructure and mitigation of<br />
climate-change effects, as well<br />
as for strengthening emergency<br />
telecommunications and disaster<br />
preparedness. I believe that<br />
these solutions are the answer<br />
to bringing vital services – and<br />
economic opportunities – to<br />
people everywhere. We must<br />
seize the chance to promote<br />
them, now that there are more<br />
than six billion mobile subscriptions<br />
worldwide, including a<br />
fast-rising number that are<br />
broadband. Mobile broadband is<br />
truly M-powering!<br />
TT - What is the most important<br />
and immediate undertaking for<br />
<strong>ITU</strong>’s management team?<br />
HT - There are so many important<br />
tasks it is difficult to specify<br />
just one! But I would say that, in<br />
addition to our core work, we<br />
need to focus on communicating<br />
<strong>ITU</strong>’s message to the wider<br />
world, while also continuing to<br />
encourage the engagement of<br />
diverse players in <strong>ITU</strong> activities.<br />
We are an innovative organization<br />
at the cutting edge of<br />
technological issues and developments,<br />
and that is something<br />
that the public needs to know<br />
better.<br />
Of course, the management<br />
team is also focused on the<br />
proceedings of the next big<br />
event on the horizon: the World<br />
Conference on International<br />
Telecommunications, or WCIT-<br />
12, taking place in Dubai 3-14<br />
December 2012.<br />
TT - How do you envisage revision<br />
of International Telecommunication<br />
Regulations (ITRs)?<br />
HT - WCIT-12 has the job of<br />
examining the International<br />
Telecommunication Regulations<br />
(ITRs), which were last defined<br />
way back in 1988. That’s almost<br />
ancient history, as far as the<br />
world of technology goes! Mobile<br />
phones were the size and<br />
weight of bricks at that time,<br />
and few people had them. The<br />
Internet was in its infancy.<br />
So what should be done with<br />
the ITRs that underpin international<br />
connectivity, including the<br />
networks that deliver Internet<br />
access? Stakeholders representing<br />
various interests have been<br />
suggesting a number of possibilities,<br />
from leaving the ITRs<br />
as they are, to rewriting them<br />
completely. We have consulted<br />
very widely on the issues, and<br />
received many contributions. All<br />
our Member States (and industry<br />
and civil society representatives<br />
among their delegations)<br />
will have an equal chance to participate<br />
in the debate at WCIT-12.<br />
It will then be for the conference<br />
to decide what happens.<br />
As the neutral convener of<br />
WCIT-12, we at <strong>ITU</strong> can only<br />
reiterate that we fully support<br />
the basic purpose of the ITRs: to<br />
facilitate international interconnection<br />
and interoperability so<br />
as to ensure the free flow of<br />
communications worldwide,<br />
accessible to all. WCIT-12 is a key<br />
opportunity to help countries<br />
reach new levels of economic<br />
and social development through<br />
efficient telecommunication<br />
services. It is vital that we grasp<br />
that opportunity.<br />
TT - With reference to revising<br />
the ITRs, there have been<br />
certain suggestions that <strong>ITU</strong> is<br />
seeking to take over the Internet.<br />
How do you respond?<br />
HT - I respond with disappointment<br />
and a degree of frustration!<br />
<strong>ITU</strong> has made great efforts<br />
to put out full and correct information<br />
about the issues that<br />
concern WCIT-12 and the ITRs.<br />
All that information is freely<br />
available at the <strong>ITU</strong> website<br />
(http://www.itu.int/en/wcit-12/<br />
Pages/default.aspx), where<br />
there is also a space for anyone<br />
to comment.<br />
<strong>ITU</strong> pioneered the multi-stake-<br />
14 December 2012<br />
www.teletimesinternational.com
holder approach to ICTs with the<br />
holding of the World Summit on<br />
the Information Society in 2003<br />
and 2005. That approach has<br />
not changed; in fact, it is more<br />
important than ever. I think that<br />
even the lobbyists behind suggestions<br />
about <strong>ITU</strong> managing<br />
the Internet have now admitted<br />
that the notion is nonsense. <strong>ITU</strong><br />
has neither the mandate nor the<br />
resources nor the desire to ‘take<br />
over’ the Internet.<br />
TT - <strong>ITU</strong> is giving a specific focus<br />
on ICTs and climate change.<br />
What are the key highlights of<br />
this initiative?<br />
HT - Climate change is perhaps<br />
the biggest challenge the world<br />
faces today, so of course we<br />
give it prominence at <strong>ITU</strong>. We<br />
know that ICTs are among the<br />
most powerful tools we have for<br />
mitigating the effects of climate<br />
change and reducing carbon<br />
emissions. They can save a lot<br />
more energy than they themselves<br />
consume, and communications<br />
are literally vital in the<br />
midst of natural disasters resulting<br />
from extreme weather.<br />
Many <strong>ITU</strong> activities are carried<br />
out within our focus on<br />
climate change. For example,<br />
we organize symposia and other<br />
events that gather together key<br />
specialists in the field, from top<br />
decision-makers to engineers,<br />
and from regulators to standards<br />
experts. The promotion of<br />
a ‘green’ ICT sector is our target,<br />
and already practical steps have<br />
resulted, such as the new Universal<br />
Power Adapter standard<br />
– meaning that only one adapter<br />
is needed for whole host of<br />
electronic devices. Not only will<br />
this help do away with some of<br />
the clutter we all experience, it<br />
has been estimated that it will<br />
save 300,000 tonnes of e-waste<br />
annually.<br />
<strong>ITU</strong>’s work concerning satellites<br />
plays an important part in monitoring<br />
the environment. In the<br />
sphere of telecommunication<br />
development we create toolkits<br />
and training programmes that<br />
can help countries most at risk<br />
of the results of climate change.<br />
As I mentioned before, this is<br />
all part of sustainable development,<br />
and I am very pleased that<br />
Rio+20 (the UN Conference on<br />
Sustainable Development) recognized<br />
in its output document<br />
that ICTs have a critical role in<br />
achieving this.<br />
TT - What are the key concerns<br />
at <strong>ITU</strong> with regards to global<br />
management of the radio-frequency<br />
spectrum and satellite<br />
orbits?<br />
HT - The hundreds of satellites<br />
that now circle Earth must be<br />
kept in safe orbits and at safe<br />
distances from each other; the<br />
limited natural resource of radiofrequency<br />
spectrum must be<br />
distributed fairly and efficiently.<br />
Helping to achieve these tasks<br />
is a fundamental role of <strong>ITU</strong>.<br />
Of course, there is competition<br />
among players that want to use<br />
these resources, especially given<br />
the very dramatic growth in mobile<br />
communications. This need<br />
must be met alongside those<br />
of broadcasting, other space<br />
services, and so on.<br />
Our job at <strong>ITU</strong> is to provide<br />
the place where issues can be<br />
resolved. We held our latest<br />
Radiocommunication Assembly<br />
and World Radiocommunication<br />
Conference in January and February<br />
this year. Together, they<br />
were a massive event, attended<br />
by hundreds of experts from<br />
around the globe. International<br />
agreements forged at these and<br />
other gatherings are the cooperative<br />
– and effective -- way to<br />
make progress.<br />
TT- What do you rate as the top<br />
ICT opportunity for policy makers,<br />
regulators and the industry?<br />
HT - As you know, <strong>ITU</strong> brings<br />
together governments and<br />
industry in its membership.<br />
Together they can form partnerships<br />
to generate the increased<br />
investment that is needed in<br />
the expansion of telecommunications<br />
and ICTs. As well as<br />
fair competition, cooperation<br />
among players that provide and<br />
use infrastructure will lead to a<br />
win-win situation for all. Quite<br />
simply, the demand is out there:<br />
we encourage all players to fulfill<br />
it, and further extend affordable<br />
access to all.<br />
TT - You have a focused<br />
audience among our readers,<br />
belonging in the telecommunications<br />
value chain. What would<br />
be your message to them?<br />
HT - For most people on the<br />
planet, telecommunications and<br />
ICTs are now an essential part of<br />
life. They are not just a means<br />
of communication, but also a<br />
source of information, entertainment,<br />
education and employment.<br />
But we are only just at the<br />
very beginning of this new era of<br />
unlimited possibilities.<br />
Everywhere I go I come across<br />
new – usually young – entrepreneurs<br />
who are creating new<br />
careers for themselves in ICTs,<br />
while serving their wider communities.<br />
Connectivity is key.<br />
We still must work hard to bring<br />
everyone into the information<br />
society, wherever they live and<br />
whatever their level of income,<br />
their gender or their abilities. By<br />
putting the power of ICTs into<br />
people’s hands, we will move<br />
forward to a brighter future. Social<br />
and economic development<br />
can germinate and flourish from<br />
the grassroots level, rather than<br />
relying on outside assistance.<br />
That is the special power of ICTs,<br />
and that is where I believe we<br />
all – and <strong>ITU</strong> in particular -- can<br />
make a difference.<br />
December 2012<br />
www.teletimesinternational.com<br />
15
International Conference<br />
on new approaches in Electronics<br />
communication and information technologies<br />
Yasemin Saygi<br />
<strong>Teletimes</strong> Correspondent<br />
at Istanbul<br />
The President and the<br />
Commission Members of the<br />
Information Technologies and<br />
Communication Authority<br />
and the representatives of<br />
the industry, Dr. Hamadoun<br />
Toure, the <strong>Secretary</strong><br />
<strong>General</strong> of International<br />
Telecommunication Union<br />
(<strong>ITU</strong>) met in the international<br />
conference arranged in<br />
Sarajevo University.<br />
An international conference<br />
titled “New Approaches in<br />
Electronics Communication and<br />
Information Technologies” was<br />
arranged in International Sarajevo<br />
University (IUS), founded<br />
by Turkish entrepreneurs. The<br />
event, sponsored essentially<br />
by Türksat, was attended by Information<br />
and Communication<br />
Technologies Authority’s (BTK)<br />
President Dr. Tayfun Acarer<br />
together with a delegation<br />
composing of the Authority<br />
members, civil society organizations,<br />
academicians and a lot<br />
of business representatives.<br />
The guests of the conference<br />
were including the <strong>Secretary</strong><br />
<strong>General</strong> of (International Telecommunication<br />
Union) <strong>ITU</strong>, Dr.<br />
Hamadoun Toure, the Turkish<br />
Ambassador of Sarajevo, Mr.<br />
Ahmet Yıldız, Bosnia-Herzegovina<br />
State Communication<br />
Authority (CRA) Director Dr.<br />
Kemal Huseynovich, IUS Rector<br />
Prof. Dr. Özer Çınar, Georgia<br />
(USA) Technology Institute<br />
President Prof. Dr. İlhan Fuat<br />
Akyıldız. Dr. Tayfun Acarer explained<br />
their aim for arranging<br />
such a conference as increasing<br />
the activity of Sarajevo<br />
University (founded by Turkish<br />
entrepreneurs) and other Turkish<br />
universities and emphasized<br />
that the conference also holds<br />
a great importance for the<br />
local academicians as well. Dr.<br />
Acarer, as pointing out the<br />
valuable profile composed by<br />
the participants, spoke as such:<br />
“The <strong>Secretary</strong> <strong>General</strong> of<br />
International Telecom Union<br />
(<strong>ITU</strong>) Hamadoun Toure was<br />
also one of the attenders of<br />
the conference. In our previous<br />
talk with him he had said<br />
that he wanted to attend and<br />
support this event in Sarajevo<br />
if he could find time. Although<br />
he was hardly having time to<br />
breath, he attended to this<br />
conference. This is a favorable<br />
indication of our recogni-<br />
Dr. Hamadoun Toure<br />
tion and his sensitivity about<br />
Bosnia-Herzegovina. Actually,<br />
this is a clear indication of the<br />
value given to Turkey. Similarly,<br />
Prof. Dr. İlhan Fuat Akyıldız,<br />
President of Georgia (USA)<br />
Technology Institute came here<br />
from America for this conference.<br />
Mr. Akyıldız is a Turkish<br />
academician with considerably<br />
successful and popular works,<br />
by the way. He has a lot of<br />
academic personnel trained by<br />
him. He is rather popular and<br />
well known in the informatics<br />
environment.<br />
The <strong>Secretary</strong> <strong>General</strong> of <strong>ITU</strong>,<br />
Hamadoun Toure, although<br />
he was hardly having time to<br />
breath, attended to this conference.<br />
This is a favorable indication<br />
of our recognition and<br />
his sensitivity about Bosnia-<br />
Herzegovina.<br />
Dr. Acarer also points out<br />
that another important<br />
benefit of such meetings is<br />
that they provide a base for<br />
coming together to discuss<br />
the macro problems, bringing<br />
the international and national<br />
industry authorities together.<br />
BTK President Dr. Acarer also<br />
said that Turkish companies are<br />
willing to find solution to the<br />
Dr. Tayfun Acarer<br />
training course problems of the<br />
university students of Bosnia-<br />
Herzegovina.<br />
International struggle on cyber<br />
security<br />
At the meeting, Dr. Acarer added<br />
that <strong>ITU</strong> <strong>Secretary</strong> <strong>General</strong><br />
Hamadoun Toure emphasizes<br />
that cyber security requires<br />
serious efforts especially in the<br />
near future, and the subject<br />
should be considered together<br />
internationally. He said that, in<br />
the special session of information<br />
technologies for the<br />
Turkish participants composing<br />
of civil society organizations<br />
and business representatives,<br />
they exchanged information<br />
and experience with Sarajevo<br />
telecommunication authorities,<br />
and added: “BTK already has<br />
a policy of arranging common<br />
works and cooperation about<br />
the regulation issues with<br />
either Balkan, or Turkish Republics<br />
and African countries.<br />
To provide the base for moving<br />
together with the international<br />
organizations is a part of our<br />
present policy and these meetings.<br />
In this context, we plan<br />
to continue these meetings in<br />
case of a need in the forthcoming<br />
period.”<br />
16 December 2012<br />
www.teletimesinternational.com
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Exclusive Interview: Gulraiz Khalid<br />
“We are ‘the mobile satellite operator’<br />
used in most countries on the planet”<br />
Drew Brandy<br />
Vice President, Industry Enterprise - inmarsat<br />
speaks to <strong>Teletimes</strong><br />
Gulraiz Khalid: How was the<br />
GITEX 2012 experience for<br />
inmarsat?<br />
Drew Brandy: It’s been good.<br />
We exhibit here every year.<br />
We’ve been here for certainly<br />
over the last 7 years because<br />
it’s an important show. It’s<br />
important for us to be present<br />
in the region because so many<br />
of our partners are based<br />
here, also because a lot of the<br />
purchase decisions and the<br />
product is sold from this region<br />
going out into other regions<br />
around the world, typically<br />
serving North African Market<br />
and the Middle East markets.<br />
GK: Is it financially profitable<br />
to participate in such events<br />
for you?<br />
DB: Well, for us it’s about<br />
supporting our partners in<br />
region.<br />
December 2012<br />
www.teletimesinternational.com<br />
19
GK: So it is about presence?<br />
DB: It is absolutely about<br />
presence. Reinforcing and<br />
reestablishing our brand<br />
and also making sure that<br />
customers and partners who<br />
want to have interaction with<br />
us have visibility of us here.<br />
GK: There are a lot of satellite<br />
companies at GITEX, how<br />
would you differentiate<br />
inmarsat from the other ones?<br />
DB: Firstly, we are a global<br />
satellite operator. So what<br />
that means for organizations<br />
is whether you’re delivering<br />
your service in North America<br />
or South East Asia and you’re<br />
getting the same quality and<br />
the same service from us.<br />
We’ve been at the forefront<br />
of the satellite industry for<br />
over 30 years. And we are ‘the<br />
mobile satellite operator’.<br />
We’re used by customers<br />
across most sectors around<br />
the globe. Our services are<br />
used in most countries on the<br />
planet.<br />
GK: Globally, what are the<br />
most profitable markets?<br />
Firstly which regions are you<br />
operating in?<br />
DB: When I say global, I<br />
truly mean global with the<br />
exception of just some areas<br />
and when we launched<br />
our new service in 2005, it<br />
was used in almost every<br />
country around the world.<br />
We launched our I-Sat phone<br />
service two years ago, we<br />
sold more than a hundred<br />
thousand handsets and we’ve<br />
seen the service used in<br />
every licensed country on the<br />
planet. But then you asked<br />
about sectors.<br />
We operate across land,<br />
air and sea so we’ve got a<br />
maritime business that is the<br />
mainstay of the inmarsat<br />
business. We provide<br />
aeronautical services for<br />
commercial airlines and for<br />
business jets and also for<br />
military and government use<br />
as well. And the land business<br />
is which I’m responsible for.<br />
We provide services to the<br />
majority of broadcasters<br />
around the world; the BBCs,<br />
the Aljazeeras, organizations<br />
like that but also oil and gas<br />
and other multinationals.<br />
GK: That would make things<br />
different for you as compared<br />
to other companies in the<br />
ICT center because normally<br />
people are making more<br />
profits from the emerging<br />
markets.<br />
DB: Yes. But it’s not just that,<br />
I mean though if I look at the<br />
majority where our services<br />
are used extensively is in parts<br />
of the Middle East and North<br />
Africa and those are regions to<br />
a large extent where there’s<br />
a lot of investment coming<br />
from outside of those regions<br />
to help develop some of those<br />
markets for various education<br />
initiatives, for healthcare<br />
obligations and for social<br />
aspects.<br />
GK: When you talk about<br />
satellite, how do you see the<br />
future of just the Middle East<br />
market? And how do you see<br />
inmarsat as a player in the<br />
market in the Middle East?<br />
DB: There always is<br />
competition in every market.<br />
I think completion makes you<br />
better or makes you sharper<br />
in terms of the services and<br />
solutions you bring to market<br />
because it focuses you on<br />
how to better address your<br />
customer’s requirements.<br />
So the competition, I think<br />
is healthy in the market. The<br />
Middle East market has been<br />
an important market for us<br />
and hence we have presence<br />
“The key piece in all this is that<br />
we’re not rusting on our laurels.<br />
We as an organization continue to<br />
innovate and our portfolio continues<br />
to grow. We have the broadest<br />
portfolio in the satellite industry”<br />
in this region, we have an<br />
office here which continues<br />
to grow, our channel in this<br />
region continues to grow<br />
and it’s just support, not<br />
just the UAE but the region<br />
surrounding it where the<br />
services are used extensively.<br />
GK: Are you planning on<br />
introducing any new services?<br />
DB: We’ve introduced a<br />
few new services this year<br />
but in 2013 we’ll increase<br />
our streaming capability<br />
on our BIGAM portfolio.<br />
But later in 2013 we’ll also<br />
launch our global express<br />
program which is a brand<br />
new service, launched on<br />
three new satellites call the<br />
I-5’s, deploying cave end<br />
technology and offers much<br />
greater throughout to Ng’s.<br />
GK: How are you planning to<br />
increase capacity?<br />
DB: We will increase our<br />
capacity through I-4 satellite in<br />
2013 and that’s a joint initiative<br />
for the European Space<br />
Agency called Alphasat.<br />
GK: How are you adding<br />
value to or making better the<br />
communication experience<br />
for the customers?<br />
DB: We are continuing to<br />
evolve our portfolio in line<br />
with customer’s expectations.<br />
We’re increasing the<br />
throughput available to<br />
them on our existing services<br />
and we’re moving beyond<br />
the mobile satellite into<br />
the broader satellite space<br />
to deliver unparalleled<br />
throughout in the fixed space<br />
with our new offerings in 2013.<br />
GK: Is there anything else you<br />
would like to add on?<br />
DB: I think for me, the key<br />
piece in all this is that we’re<br />
not rusting on our laurels. We<br />
as an organization continue<br />
to innovate and our portfolio<br />
continues to grow. We have<br />
the broadest portfolio in the<br />
satellite industry.<br />
20 December 2012<br />
www.teletimesinternational.com
Purchase mobile computers wisely<br />
not to lose productivity<br />
Jerker Hellström<br />
CEO, Handheld Group<br />
Higher productivity, increased<br />
labor costs and a strong trends<br />
towards true mobility in the<br />
work place are all factors that<br />
have put the spotlight firmly<br />
on ‘total costs of ownership’<br />
for computers and devices.<br />
Organizations will have to start<br />
spending more on durable and<br />
reliable mobile computers rather<br />
than looking for bargains, if<br />
they want to avoid losing valuable<br />
productive time.<br />
20 years ago, a laptop<br />
could cost the equivalent<br />
of a month’s salary for the<br />
employee who was supposed<br />
to use it. Since then, prices of<br />
mobile computers have been<br />
slashed. Great news, isn’t it?!<br />
Let us just continue to buy the<br />
cheapest computers available.<br />
They are so cheap to replace!<br />
Not so fast. Yes, mobile<br />
computers have become much<br />
more inexpensive, and much<br />
more advanced, in the last<br />
decade or two. But there has<br />
also been other major changes<br />
in the workplace.<br />
One such is the trend towards<br />
true mobility. Smaller and better<br />
devices, better software<br />
solutions for mobile work,<br />
and increasing availability<br />
and affordability of wireless<br />
broadband have made people<br />
less confined to the traditional<br />
office environment. Traditional<br />
field workers and many white<br />
collar workers now spend<br />
much of their time out of<br />
the office and on the go. But<br />
consumer, or commercial,<br />
computers are simply too<br />
fragile to withstand mobile<br />
work even in moderately tough<br />
environments. They might last<br />
one year, or two at the most.<br />
Rugged computers, on the<br />
other hand, are more expensive<br />
but they are built for tough<br />
environments and can last five<br />
years or more. They also have<br />
much lower failure rates, simply<br />
because they are rugged.<br />
Another strong development<br />
has been the steady rise in<br />
wages and productivity for<br />
e.g. professional field workers.<br />
A tablet or a smartphone<br />
now costs the equivalent<br />
of maybe only a few hours’<br />
salary for an employee. In the<br />
old days it was important to<br />
get the best possible price<br />
for mobile devices. Today it<br />
is more important to not lose<br />
productivity. A field worker<br />
who sits idly for four hours<br />
because his or her computer<br />
is malfunctioning, has wasted<br />
the entire cost of the computer<br />
in lost productivity. Also,<br />
everything is connected these<br />
days – one broken computer<br />
can affect the work of many<br />
people.<br />
It all boils down to the magic of<br />
Total Cost of Ownership TCO.<br />
The total cost of ownership<br />
includes all direct and indirect<br />
costs associated with the<br />
purchase of an asset over its<br />
entire lifecycle. A TCO analysis<br />
includes the total cost of acquisition<br />
and the subsequent operating<br />
costs. Acquisition costs<br />
are quite straightforward: they<br />
include the costs for computer<br />
hardware and programs, Installation<br />
and integration, and<br />
migration expenses.<br />
Ofter overlooked are the<br />
subsequent operating<br />
expenses during the lifespan<br />
of the computers. They are<br />
usually much higher than the<br />
purchase costs and include<br />
downtime, outage and failure<br />
expenses, backup and recovery<br />
process, and replacement<br />
costs. Downtime is the most<br />
serious, and costly, of these<br />
expenses.<br />
Independent research firm<br />
VDC estimates that mobile<br />
workers lose an average of 75<br />
minutes each time their mobile<br />
devices fail. In a study focused<br />
on rugged computers, VDC has<br />
performed TCO computations<br />
across four levels of computers,<br />
from non-rugged to fully<br />
rugged, across a number of<br />
common mobile applications.<br />
The total cost for each type of<br />
computer has been calculated<br />
over a five-year lifespan. The<br />
results show that using a commercial<br />
or non-rugged device<br />
will cost you about 65 per cent<br />
more per year than using a fully<br />
rugged device.<br />
<strong>General</strong>ly speaking TCO studies<br />
show that over a 3-5 year<br />
period of use, the more rugged<br />
devices will carry a lower total<br />
cost of ownership, meaning<br />
that over that period they are<br />
actually cheaper than the less<br />
rugged devices, even though<br />
they are usually more expensive<br />
to purchase.<br />
With the complexity of today’s<br />
technology configurations,<br />
the cost of deployment and<br />
downtime is high if something<br />
breaks down. The upfront cost<br />
of a piece of mobile technology<br />
pales in comparison to the<br />
potential cost of downtime and<br />
redeployment. Organizations<br />
would be well advised to start<br />
increasing the costs for their<br />
mobile devices, in the name of<br />
productivity.<br />
December 2012<br />
www.teletimesinternational.com<br />
21
Tech titans go to war<br />
Just in time for the holidays,<br />
Microsoft and Google have<br />
become embroiled in a bitter<br />
dispute over who is the fairest<br />
of them all for online shopping,<br />
stepping up the battle between<br />
the tech giants.<br />
Microsoft threw the first punch<br />
when it launched a campaign<br />
for its Bing search engine “to<br />
highlight Bing’s commitment to<br />
honest search results.”<br />
The campaign also seeks “to<br />
help explain to consumers the<br />
risks of Google Shopping’s<br />
newly announced ‘pay-to-rank’<br />
practice,” a Microsoft statement<br />
said. Microsoft created a Web<br />
page called “Scroogled,” which<br />
points out that its rival has<br />
reversed course on its pledge<br />
at the time of the Google<br />
stock offering to avoid paid ad<br />
inclusion for search results.<br />
“Google Shopping is nothing<br />
more than a list of targeted ads<br />
that unsuspecting customers<br />
assume are search results,”<br />
Microsoft claims.<br />
Google announced earlier this<br />
year it would revamp its product<br />
search to become a shopping<br />
service with paid listings. This<br />
eliminated merchants which<br />
opted not to pay, including<br />
some notable ones like Amazon.<br />
Google said it completed the<br />
transition in October in the US,<br />
and will be rolling out the same<br />
model in Britain, Germany,<br />
France, Japan, Italy, Spain,<br />
Netherlands, Brazil, Australia<br />
and Switzerland.<br />
“We think this will bring the<br />
same high-quality shopping<br />
experience to people — and<br />
positive results to merchants<br />
— around the world,” a Google<br />
blog posting said.<br />
Microsoft is promoting its<br />
campaign online and offline<br />
with ads “demonstrating why<br />
consumers should be concerned<br />
and helping them take action”<br />
on the Google shift, a Microsoft<br />
statement said. “We’re also<br />
calling on Google to stop this<br />
‘pay-to-rank’ system for their<br />
shopping results and give<br />
shoppers what they expect<br />
— an honest search.” Google<br />
maintains that merchants<br />
cannot improve their rank<br />
simply by paying more, and<br />
that sellers who have a financial<br />
stake in the results will keep<br />
their information up to date.<br />
“Google Shopping makes it<br />
easier for shoppers to quickly<br />
find what they’re looking for,<br />
compare different products<br />
and connect with merchants to<br />
make a purchase,” said an email<br />
from a Google spokeswoman.<br />
But some analysts say both<br />
companies are less than<br />
transparent about how their<br />
shopping engines work, and<br />
that Microsoft is not without<br />
blame. Danny Sullivan, analyst<br />
with the website Search Engine<br />
Land, said of the Microsoft<br />
effort: “Great campaign, if it<br />
were true. It’s not. Bing itself<br />
does the same things it accuses<br />
Google of.” Sullivan said that “at<br />
least Google has the fine print<br />
that you can read; Microsoft<br />
doesn’t have it at all.”<br />
Microsoft, according to Sullivan,<br />
excludes new merchants from<br />
Bing search results if they<br />
don’t pay for inclusion with<br />
its partner, Shopping.com,<br />
even though this is not fully<br />
transparent to consumers.<br />
“Payment is a factor for<br />
ranking,” in Bing, said Sullivan,<br />
who maintains that Microsoft’s<br />
campaign is misleading.<br />
Microsoft said its own shopping<br />
results through Bing are not<br />
influenced by payment.<br />
“Bing includes millions of free<br />
listings from merchants and<br />
rankings are determined entirely<br />
by which products are most<br />
relevant to your query,” said<br />
Stefan Weitz, senior director at<br />
Bing, in an emailed statement.<br />
“While merchants can pay fees<br />
for inclusion on our third party<br />
shopping sites and subsequently<br />
may appear in Bing Shopping<br />
through partnerships we have,<br />
we do not rank merchants<br />
higher based on who pays us,<br />
nor do we let merchants pay to<br />
have their product offers placed<br />
higher in Bing Shopping’s search<br />
results.”<br />
Sullivan argues that Google,<br />
ironically, may have moved to<br />
paid listings to deflect attention<br />
from regulators and others who<br />
complain it had been skewing its<br />
search results.<br />
“If you have people complaining<br />
you search results are unfair,<br />
you can turn them into ads,”<br />
he said. But Sullivan noted that<br />
Google merely adopted the<br />
same policies of most shopping<br />
sites, which use paid listings<br />
even if they appear to be an<br />
impartial search.<br />
The overall message from the<br />
latest row, according to Sullivan:<br />
“You need to shop around. Use<br />
multiple search engines. All of<br />
them that suggest that they<br />
are gathering stuff from across<br />
the Web but may not be doing<br />
that.”<br />
22 December 2012<br />
www.teletimesinternational.com
Catching the Smart Home<br />
Opportunity<br />
Room for Growth for Telecom Operators<br />
Dr. Karim Taga<br />
Didier Levy<br />
Omar Saadoun<br />
Lars Riegel<br />
Smart Home services are<br />
poised for strong growth<br />
and represent an attractive<br />
opportunity for telecom<br />
operators to expand their<br />
services and revenue<br />
streams. Telcos have several<br />
competitive advantages,<br />
including their internet<br />
gateways, strong customer<br />
relationships, and sales and<br />
support networks. However,<br />
partnerships are essential and<br />
timing is critical.<br />
In this report, Arthur D.<br />
Little reviews the key trends<br />
driving the potential for Smart<br />
Home solutions, presents<br />
an overview of four main<br />
segments and provides<br />
December 2012<br />
www.teletimesinternational.com<br />
23
ecommendations for telecom<br />
operators in the launch of<br />
Smart Home services.<br />
A Smart Home is a home or<br />
building that is equipped with<br />
a special connected platform<br />
enabling its occupants to<br />
remotely control and program<br />
an array of automated home<br />
electronic devices. The Smart<br />
Home becomes “intelligent”<br />
as it offers a wide array of<br />
new applications from home<br />
automation (home security,<br />
comfort and entertainment),<br />
home cloud (management of<br />
content, productivity, sensors<br />
data used or produced at<br />
home), and e-Health services.<br />
Major electronics and software<br />
companies have offered Smart<br />
Home products since the first<br />
home automation products<br />
in the 1980s. These were<br />
followed by integrated media<br />
systems, such as Microsoft’s<br />
Home Media Center in the<br />
1990s, and then with the first<br />
connected appliances, such as<br />
the Electrolux Screenfridge,<br />
in the 2000s. These solutions<br />
initially met with limited<br />
success, so why is the Smart<br />
Home a hot topic again today?<br />
And how should telecom<br />
operators position themselves<br />
in this growing market?<br />
Key Trends are Creating<br />
Opportunities for Smart Home<br />
Services<br />
Homes, and the way we live<br />
and behave in them, have<br />
changed dramatically in<br />
the past ten years. Today,<br />
fundamental trends have<br />
emerged to drive the take-up<br />
of Smart Homes:<br />
● Societal trends – Society is<br />
ageing; in 2020, a fifth of the<br />
European population will be<br />
over 65 years old and single<br />
parent families are expected<br />
to represent 21 percent of<br />
total families, increasing<br />
demand for new services in<br />
the home.<br />
● Digital addiction – Forecasts<br />
predict there will be on average<br />
3.6 screens per person<br />
in Europe in 2015 (including<br />
smartphones and tablets)<br />
versus 1.7 in 2000. This<br />
develop¬ment is a strong<br />
enabler for Smart Home<br />
applications as portable<br />
devices are the perfect<br />
counterparts (as controllers)<br />
for smart applications in the<br />
home.<br />
● Strong push by large<br />
players positioning homes<br />
at the center of the digital<br />
ecosystem – A wide range<br />
of leading players are<br />
entering the Smart Home<br />
market, including Over-thetop<br />
players (such as Google<br />
and Microsoft) offering<br />
applications and operating<br />
systems, telecom and utility<br />
service providers (such<br />
as Telefonica, E.ON and<br />
GDF Suez) managing the<br />
customer relationship, and<br />
appliance manufacturers<br />
(such as Philips, and LG with<br />
the LG Homnet) providing<br />
Smart Home devices (see<br />
Figure 1).<br />
There is a window of<br />
opportunity today, as these<br />
trends are developed enough<br />
to make Smart Home a<br />
potential business. Based on<br />
various projects, Arthur D.<br />
Little estimates that Smart<br />
Home revenues will grow by<br />
12 percent a year until 2020 in<br />
Europe. This revenue sizing<br />
includes both direct revenues,<br />
such as home automation<br />
services/products, and<br />
indirect revenues, such as<br />
the maintenance of the new<br />
devices/services.<br />
It should be recognized that<br />
Smart Home markets are still<br />
in an embryonic phase and<br />
24 December 2012<br />
www.teletimesinternational.com
many players are entering<br />
the market. Telcos are one<br />
of them, and should act now<br />
in order to capitalize on the<br />
opportunity.<br />
The Smart Home market<br />
is composed of four major<br />
segments, which we will<br />
explore in the following<br />
sections:<br />
● Home automation/security<br />
● Home assistance<br />
● Home cloud<br />
● e-Health<br />
Home Automation – When the<br />
House Becomes Smarter<br />
Home automation refers to<br />
the centralization on a unique<br />
user interface of five main<br />
home systems: home security,<br />
home energy and utility<br />
management (smart meters),<br />
home motorization (remote<br />
control of devices such as<br />
alarm systems or thermostats),<br />
lighting and entertainment.<br />
The main drivers of this<br />
segment are comfort,<br />
modularity and peace of mind,<br />
especially when it comes<br />
to security, while energy<br />
management emphasizes cost<br />
savings. Security and energy<br />
management are the more<br />
advanced systems in terms<br />
of integration, while home<br />
automation is still at the early<br />
stages of development. Arthur<br />
D. Little forecasts a 6 percent<br />
annual growth rate for these<br />
services to 2020.<br />
The primary challenge<br />
for home automation is<br />
the existing disparity of<br />
technologies (e.g. power line<br />
versus wireless networks,<br />
diversity of protocols and<br />
platforms). Players are<br />
developing alliances and<br />
partnerships along the value<br />
chain to promote and develop<br />
their platform. Telecom<br />
operators’ main entry points<br />
are their primary assets,<br />
namely the home network<br />
(broadband access, set-top<br />
boxes, cloud storage and<br />
other connectivity layers)<br />
and related services, such as<br />
field service staff and network<br />
management capabilities<br />
(i.e. field staff capable of<br />
supporting a home network).<br />
They could also extend to<br />
home security and alerting,<br />
often with the objective of<br />
developing a presence in home<br />
control and automation (see<br />
Figure 2).<br />
Smart Home Assistance –<br />
Required by the Increasing<br />
Complexity of the Ecosystem<br />
Home assistance refers to<br />
configuration, maintenance,<br />
repair and support services<br />
available for digital home<br />
devices, such as PCs, TVs,<br />
audio sets, video players, game<br />
consoles and networks. Home<br />
assistance can be divided into<br />
two sub-segments: in-home<br />
assistance, through the<br />
physical presence of support<br />
staff, and remote assistance,<br />
which is managed through the<br />
remote control of the device<br />
by a off-site technician. This<br />
market is expected to grow<br />
at a pace of 5 percent per<br />
year to 2020. Despite strong<br />
market drivers, such as home<br />
digitization, tele¬working<br />
and “home shoring” (homebased<br />
employees), there<br />
are still barriers to further<br />
development, such as privacy<br />
concerns, poor offers and few<br />
successful business models<br />
(Figure 3).<br />
The Home assistance<br />
ecosystem is very fragmented<br />
with a wealth of solutions<br />
offered. Successful players are<br />
primarily making partnerships,<br />
with each one focusing on<br />
specific aspects of the value<br />
chain, such as personnel<br />
qualification, sales, service<br />
delivery, billing and CRM. For<br />
example, in the United States,<br />
OnForce works as a technician<br />
network aggregator and open<br />
marketplace. In North America<br />
and Europe, the Geek Squad<br />
December 2012<br />
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25
generates more than $1.5<br />
billion in revenues, and other<br />
players are emerging such as<br />
iYogi or Virgin Digital Help.<br />
The main success factor in the<br />
Smart Home Assistance market<br />
is the legitimacy perceived by<br />
customers, mainly retained<br />
today by manufacturers, but<br />
telecom operators are also<br />
well positioned among trusted<br />
companies for technical<br />
support.<br />
Home Cloud – High Growth<br />
Perspectives<br />
Home cloud covers three main<br />
types of digital data: content<br />
(video, music, and pictures),<br />
productivity (email, documents<br />
and contacts) and sensors<br />
(data collected through Smart<br />
Home devices, such as smart<br />
meters and e-Health devices)<br />
(Figure 4).<br />
Home cloud solutions<br />
allow new ubiquitous and<br />
collaborative usages, but<br />
raise concerns about the<br />
management of data. This<br />
market is driven by the<br />
increasing amount of data,<br />
mainly video, leading to a<br />
strong demand for remote<br />
storage and access. Despite<br />
some inhibitors, such as<br />
privacy and trust, the market is<br />
expected to grow at a strong<br />
pace of 50 percent per year.<br />
There is a vast array of offers<br />
pushing interactivity, service<br />
personalization and multiscreen<br />
usage, such as Hulu<br />
Plus and Spotify, which up-sell<br />
their viewers to multi-screen<br />
services for a monthly fee, or<br />
Boxee, which is integrating<br />
all kinds of locally-stored<br />
and online content, such as<br />
video, music, and photos, and<br />
allowing users to share their<br />
preferences and content with<br />
friends using social network<br />
integration. Over-The-Top<br />
players, such as Apple or<br />
Google, also offer multidevice,<br />
cloud-based solutions<br />
for Personal Information<br />
Management.<br />
e-Health – Long-term<br />
Opportunity for Telecom<br />
Operators<br />
Health expenditures of<br />
most developed countries<br />
are growing steadily due<br />
to the aging of societies<br />
and developments in<br />
medical technology.<br />
e-Health, the application<br />
of telecommunication<br />
technologies in the health<br />
sector, offers a unique<br />
cost control lever for<br />
health stakeholders by<br />
dematerializing some<br />
healthcare components.<br />
Switzerland, for example,<br />
launched the e-Health Strategy<br />
Switzerland program, with<br />
potential cost savings of 5<br />
percent of total expenditures,<br />
thanks to telemedicine. New<br />
companies are also emerging,<br />
with innovative e-Health<br />
solutions, such as Cardiocom,<br />
which provides a complete<br />
solution for telemedicine,<br />
including connected sensors.<br />
A wide variety of actors,<br />
such as telecom operators,<br />
device manufacturers and big<br />
pharmaceutical companies, are<br />
playing in the e-Health market<br />
with two market strategies:<br />
a mass market approach,<br />
such as Wii Fit or Withings – a<br />
WiFi body scale, addressing<br />
mainly B2C markets, and a<br />
niche market strategy, such as<br />
electronic patient records and<br />
patient remote monitoring, as<br />
a B2B (or B2B2C) market.<br />
While market players are<br />
entering e-Health according<br />
to their natural position in<br />
the consumer electronics<br />
or medical device industry,<br />
several telecom operators are<br />
addressing both (Figure 5).<br />
However, the value sharing<br />
mechanism among actors<br />
is uncertain, as it is highly<br />
26 December 2012<br />
www.teletimesinternational.com
dependent on standardization<br />
scenarios, making the<br />
market potential for telecom<br />
operators uncertain<br />
Telecom Operators Have Key<br />
Assets to Capture a Significant<br />
Part of the Smart Home<br />
Value…<br />
Thanks to their broadband<br />
Internet gateways, telecom<br />
operators are the leading<br />
players by several hundred<br />
percentage points in terms<br />
of penetration of households<br />
with Smart Home solutions.<br />
The broadband box has<br />
evolved from a mere internet<br />
connection device to a<br />
highly innovative platform<br />
connecting various devices.<br />
As shown on Figure 5, the<br />
Freebox Revolution broadband<br />
box or the Bbox Sensation<br />
by Bouygues Telecom offers<br />
a wide range of multi-media<br />
applications, such as Internet,<br />
TV, music and gaming,<br />
combined with innovative<br />
remote storage services.<br />
In addition, telecom operators<br />
offer interoperable solutions<br />
based on open models that<br />
can allow heterogeneous<br />
Smart Home solutions to<br />
interconnect, contrary to<br />
closed OTT ecosystems.<br />
Good examples are the<br />
“beywatch.eu” and “Energy@<br />
home” initiatives, the home<br />
automation alliances of<br />
Telefonica and Telecom Italia,<br />
respectively, with a large<br />
number of partners, such as<br />
utilities or household appliance<br />
manufacturers. However, this<br />
openness could also be seen<br />
as a threat since it allows other<br />
players to bypass operators<br />
(Figure 6).<br />
Another significant asset of<br />
telecom operators in the Smart<br />
Home environment is the<br />
central role they play in the<br />
customer relationship. Unlike<br />
home appliance manufacturers<br />
or some OTT players, operators<br />
are continuously in contact<br />
with their customers, and<br />
can thus capture great value<br />
by promoting, distributing<br />
and managing future Smart<br />
Home services. They also<br />
have a secure, regular billing<br />
relationship with customers<br />
that can be leveraged.<br />
Other key assets that telcos<br />
could leverage include their<br />
sales force, shop networks<br />
and support capacity, as well<br />
as network management<br />
capabilities. In any case,<br />
telecom operators will need<br />
a strong emphasis on staff<br />
training in order to correctly<br />
address Smart Home’s specific<br />
needs.<br />
… and Need to Place Their<br />
Bets Now and Promote Open<br />
Platforms<br />
As the Smart Home market is<br />
still emerging, players need<br />
to consider and prepare for<br />
various scenarios. Arthur D.<br />
Little anticipates two possible<br />
market configurations:<br />
Market configuration 1: The<br />
Smart Home market is captured<br />
and aggregated into<br />
large ecosystems driven by<br />
global players<br />
This model is clearly favored<br />
by OTT players, which have<br />
already developed solutions<br />
that can bypass the operators.<br />
For example, Google has<br />
explored various solutions,<br />
such as Google Health, Google<br />
Powermeter and Google docs,<br />
some of which have nevertheless<br />
been discontinued.<br />
Dedicated Smart Home<br />
players have also emerged,<br />
such as Control4 or iControl,<br />
in the United States. With a<br />
revenue growth of more than<br />
45 percent a year, Control4 is<br />
building an ecosystem with<br />
leading vendors, such as Black<br />
& Decker or LG Electronics, to<br />
ensure the interoperability of<br />
its platform with the largest<br />
number of home devices.<br />
In this concentrated model,<br />
telecom operators will face<br />
the risk of being circumvented<br />
as in the case of smartphone<br />
application store. Operators<br />
are actually amplifying this risk,<br />
as most still favor proprietary<br />
solutions in order to capture a<br />
maximum share of revenues,<br />
but with limited success so far.<br />
Indeed such models imply long<br />
development cycles and a limited<br />
number of applications, as<br />
operators fail to find developers<br />
to build the ecosystem on<br />
verticals.<br />
On the contrary, Arthur D.<br />
Little believes that to mitigate<br />
this risk telecom operators<br />
should participate in alliances<br />
when available and should also<br />
promote hybrid Smart Home<br />
platforms with applications<br />
close to their core business<br />
but also other services offered<br />
by external providers. An<br />
example is PCCW in Hong<br />
Kong, which has built its digital<br />
home solutions around open<br />
models enabling a whole range<br />
of innovative functions from<br />
other players, such as MOOV,<br />
Android, etc.<br />
Market configuration 2: The<br />
Smart Home market grows<br />
strongly, but with a patchwork<br />
of solutions and standards<br />
In this second scenario with a<br />
patchwork of standards, the<br />
ecosystem will remain highly<br />
fragmented with numerous<br />
heterogeneous competitors<br />
trying to capture value from<br />
the Smart Home market. In this<br />
case, which we see actually as<br />
an opportunity, operators will<br />
be in a position to leverage<br />
not only their assets to offer<br />
their own solutions, but also<br />
to integrate external solutions<br />
and facilitate the digital life<br />
of their customers. By doing<br />
so, they would generate new<br />
revenue streams and also<br />
improve the stickiness of<br />
customers to their existing<br />
services.<br />
Conclusion<br />
The Smart Home is a significant<br />
growth opportunity for many<br />
players including telecom<br />
operators, thanks to favorable<br />
societal trends, growing<br />
demand and the acceleration<br />
of the innovation.<br />
Thanks to strategic assets,<br />
such as the internet gateway,<br />
control of the customer relationship,<br />
and sales and support<br />
capability, telecom operators<br />
are well positioned to capture<br />
value from Smart Home<br />
services. Despite the fact that<br />
payback will materialize in the<br />
medium term, they should act<br />
now and establish footholds or<br />
they will face a similar fate as<br />
what happened in the smartphone<br />
application market.<br />
To benefit from this coming<br />
growth, telecom operators<br />
should promote hybrid platforms<br />
where they can offer<br />
their own solutions as well as<br />
a myriad of external solutions<br />
and position themselves as<br />
digital life facilitators.<br />
Finally, the future Smart<br />
Home needs also to be seen<br />
in a broader context than<br />
just within the home space.<br />
Platforms will also connect<br />
the home to various other<br />
locations, such as school,<br />
office, shopping malls or cars.<br />
This will broaden the type<br />
of actors in the ecosystem,<br />
and will give the opportunity<br />
to telecom operators to<br />
strengthen their central<br />
position as the integrator of<br />
Smart Home services. It will be<br />
up to them to define to what<br />
extent.<br />
December 2012<br />
www.teletimesinternational.com<br />
27
21st Convergence India 2013 Expo<br />
The Information and Communication<br />
Technology sector has<br />
been recognized the world-over<br />
as an important tool for socio<br />
economic development for a<br />
nation. It enables the societies<br />
to produce and apply information<br />
in greater amounts, more<br />
rapidly and at reduced costs<br />
and offer enormous opportunities<br />
for enhancing business and<br />
economic viability. Being one of<br />
the prime support services, this<br />
industry helps in rapid growth<br />
and modernization of various<br />
sectors of the economy. Driven<br />
by various policy initiatives, the<br />
Indian ICT sector witnessed a<br />
complete transformation in the<br />
last decade and is poised to take<br />
a big leap in the future also.<br />
The Indian telecommunication<br />
industry is the second largest<br />
Enriching a billion lives<br />
series of Convergence India<br />
Expos have been recognized as<br />
South Asia’s largest Information<br />
and Communications Technology<br />
(ICT) event. The three day<br />
international exhibition and<br />
conference is the preferred<br />
B2B platform for companies<br />
to showcase cutting-edge<br />
technologies and interact with<br />
the policy-makers, key decision<br />
takers, research analysts, academia,<br />
media and industry peers<br />
to promote brand and generate<br />
business.<br />
With the support from the<br />
Government of India, Ministry of<br />
Communications and Information<br />
Technology, Department<br />
of Telecommunications (DoT)<br />
and Department of Information<br />
Technology (DiT), and Ministry<br />
of Information and Broadcast-<br />
inclusion and enrich the lives of<br />
people.<br />
Developed around the theme<br />
of “Enriching a billion lives”, the<br />
rich format of the event will feature<br />
a wide range of Information<br />
and Communications Technologies<br />
(ICT) including broadband,<br />
broadcasting, cable and satellite,<br />
data centre virtualization,<br />
digital money, Green ICT, IT &<br />
info security, mobility, security<br />
& surveillance, telecom, unified<br />
communications, VAS, WiMAX,<br />
etc. A host of leading domestic<br />
and international associations<br />
and media have extended their<br />
support for promotion and success<br />
of the forthcoming event.<br />
The forthcoming expo will<br />
showcase leading devices<br />
and innovations to enhance<br />
e-Development at all levels and<br />
Pawan Dixit<br />
Fulfilling its long-standing mandate<br />
as a premier knowledge<br />
sharing forum, the milestone<br />
edition of Convergence India<br />
Expo will play a key role in<br />
facilitating trade & commerce,<br />
technology transfers, collaborations<br />
and new launches that will<br />
provide further impetus to the<br />
growth of the sector.<br />
Spread over a gross area of<br />
12000sqm, the event has received<br />
a robust response from<br />
the domestic and international<br />
industry. Over 375 exhibitors,<br />
100 speakers, 2,000 delegates<br />
and 15,000 trade visitors from<br />
over 25 countries will participate<br />
at the 3 day-expo.<br />
Some of the key services like<br />
business matching and interactive<br />
Client Presentations allow<br />
the participants at the Expo to<br />
telecommunication network in<br />
the world in terms of number<br />
of wireless connections after<br />
China. According to Centre for<br />
Monitoring Indian Economy<br />
(CMIE), an economic research<br />
agency, the total subscriber<br />
base is expected to reach 1,042<br />
million by March 2013.<br />
Held every year, and organized<br />
by the Exhibitions India Group,<br />
one of India’s finest trade<br />
promotion organization, the<br />
ing, Government of India, 20<br />
editions of Convergence India<br />
Expos have been successfully<br />
hosted at New Delhi.<br />
As we move towards a world<br />
of connected economies, the<br />
milestone 21st edition of Convergence<br />
India 2013 Expo is being<br />
held from 16-18 January, 2013<br />
at Pragati Maidan, New Delhi.<br />
The event will focus on new-age<br />
technologies and merging business<br />
solutions, which will enable<br />
drive the growth of urban usage.<br />
Focused business-matching<br />
will provide the perfect opportunity<br />
to network with industry<br />
executives and establish new<br />
partnerships.<br />
Attracting global leaders, the<br />
concurrent conferences will<br />
serve as an ideal platform for<br />
knowledge-experts to share<br />
industry insights and successful<br />
case studies from across the<br />
globe.<br />
extract maximum benefit from<br />
the proceedings and harness<br />
the full potential of global wireless<br />
technologies. A continuous<br />
flow of high profile trade visitors<br />
include government officials,<br />
trade associations, regulatory<br />
bodies and media, the 21st Convergence<br />
India 2013 promises to<br />
be an exciting event for the ICT<br />
industry, buzzing with entrepreneurship,<br />
innovation and<br />
expansion.<br />
28 December 2012<br />
www.teletimesinternational.com
The main purpose of State Foundation is<br />
Involvement of investments and new financial<br />
resources to the perspective and rapidly<br />
developing ICT companies<br />
Interview with<br />
Dr. Ali Abbasov,<br />
Minister of Communications & IT, Azerbaijan<br />
Q: ICT has 2.5-3 times revenue<br />
growth during 2004-2011. At<br />
the same time, share of private<br />
companies in the market<br />
reached 80%. How did the state<br />
policy contribute to obtaining<br />
these achievements?<br />
A: Development of ICT<br />
sector in the country has<br />
been fulfilling in accordance<br />
with the “National Strategy<br />
on information and<br />
Communication Technologies<br />
for the Development of the<br />
Republic of Azerbaijan in the<br />
years of 2003-2012” and State<br />
Programs of “E-Azerbaijan”<br />
covering the years of 2005-<br />
2008 and 2010-2012, which was<br />
accepted for implementation<br />
of the National Strategy.<br />
Activities considered for wide<br />
application of ICT in different<br />
fields are also underway within<br />
the framework of about 20<br />
State Programs.<br />
In the recent years ICT sector<br />
has been developed and<br />
supported, and it has been<br />
achieved due to the state<br />
care. In order to stimulate<br />
development of this sector,<br />
important documents have<br />
been signed by H.E. President<br />
llham Aliyev in 2012. “State<br />
Foundation of Information<br />
Technologies Development”<br />
has been established and new<br />
tasks have been put forward<br />
before the Government.<br />
The main purpose of State<br />
Foundation is involvement of<br />
investments and new financial<br />
resources to the perspective<br />
and rapidly developing ICT<br />
companies. Facilitating<br />
implementation of public<br />
policy in the field of ICT,<br />
December 2012<br />
www.teletimesinternational.com<br />
29
supporting ownership activity,<br />
stimulating innovation and<br />
scientific-research projects and<br />
development of state-of-theart<br />
infrastructure, providing<br />
financial assistance for small<br />
and medium-size entrepreneurs<br />
and involving local and foreign<br />
investments to this field<br />
are also listed among main<br />
purposes of the Foundation.<br />
Due to the measures,<br />
undertaken by the State<br />
Foundation, it will be possible<br />
to develop production-oriented<br />
activity in the field of ICT.<br />
As a result of future activity<br />
of State Foundation and<br />
Regional Innovation Zone<br />
(RIZ), which is underway to be<br />
established, ICT sector will be<br />
diversified, new companies will<br />
be emerged and revenues of<br />
the companies, operating in<br />
this field, will be increased for<br />
several folds.<br />
Another event, as important<br />
as establishment of the State<br />
Foundation, will be creation<br />
of techno-park for ICT field. It<br />
is planned to realize creation<br />
of new techno-park within<br />
the framework of RIZ project.<br />
Successful implementation<br />
of the mentioned activities<br />
will stimulate intellectual<br />
business and innovative<br />
entrepreneurship. As a result<br />
of joint activity of State<br />
Foundation and technopart<br />
in the field of ICT, it<br />
will be possible to bring<br />
high quality ICT sector in a<br />
new arena. The documents<br />
that have been adopted<br />
so far set forth provisions<br />
on main development<br />
trends of ICT: liberalization<br />
and creation of effective<br />
regulation mechanisms in<br />
the, modernization of ICT<br />
infrastructure on e basis of new<br />
technologies; development of<br />
e-government and e-services,<br />
as well as, provisions state<br />
policy has been formed and<br />
canned out in the country<br />
according to these directions.<br />
Main purpose of public policy<br />
in the field of ICT is to provide<br />
transition to the information<br />
society, create and develop<br />
information and knowledgebased,<br />
competitive economy<br />
and arrange participation of<br />
citizens and social institutions<br />
in the management process.<br />
At the same time, creation of<br />
RIZ and special regime for this<br />
field and implementation of<br />
regional projects are the main<br />
components of ICT policy.<br />
The measures undertaken<br />
are yielding results according<br />
to the above-mentioned<br />
directions. Thus, ICT sector of<br />
the country is expanding for<br />
two times in every three year,<br />
average growth rate is 25-30%.<br />
Volume of the incomes in the<br />
sector has been increased 13%<br />
in 2011 and was approximately<br />
1,7 billion USD. 65 % of<br />
the population is internet<br />
users and more than 30% is<br />
broadband internet users.<br />
The number of computers per<br />
100 in habitants is 20 units.<br />
Mobile sector has been rapidly<br />
developing; application of new<br />
technologies, as well as 3G and<br />
4G services are expanding.<br />
Currently there are 110 mobile<br />
subscribers per 100 inhabitants.<br />
Special weight of the private<br />
sector in development of ICT<br />
sector has been increasing year<br />
by year. As you noted, now the<br />
share of the private sec tor in<br />
development of ICT is equal to<br />
80%.<br />
Naturally, great public support,<br />
properly defined long-term<br />
strategy and well-grounded<br />
public policy play important<br />
role in achievement of these<br />
successions.<br />
Q: In the last 10 years 2.3 billion<br />
USD was invested to ICT sector.<br />
21% of it belongs to foreign<br />
investments. Why is Azerbaijan<br />
market so attractive for<br />
foreign investors?<br />
A: Today I can say with<br />
certainty that a legal base<br />
regarding protection of foreign<br />
investments is existing in<br />
Azerbaijan, favorable business<br />
environment has been created<br />
in all spheres of the economy.<br />
State registration of the<br />
entrepreneurs began to be<br />
Implemented by “one stop<br />
shop” system and the period<br />
of state registration of the<br />
business enterprises was<br />
reduced to 20 times by this<br />
application and it is provided<br />
during 3 business days. As<br />
well as, number of registration<br />
procedures of the legal<br />
entities has been reduced 13<br />
to 5. Currently, this process<br />
takes up to 15-20 minutes with<br />
application of e-services. It is<br />
an example of special care,<br />
shown to the development of<br />
business. There is mature bank,<br />
transport and other service<br />
infrastructure for foreign<br />
investors’ and companies flies’<br />
activities in the country.<br />
Certainly, application of<br />
innovations, state-of-theart<br />
technologies advanced<br />
experienced and effective<br />
business models, created in<br />
the European countries are<br />
important for us; because<br />
application of innovations<br />
will fully meet the interests of<br />
consumers by rendering high<br />
quality services.<br />
Azerbaijan’s forcing its way<br />
through integration into<br />
Europe in the policy and<br />
measures are undertaken<br />
in this regard as performing<br />
institutional reforms in this<br />
direction, conformance of<br />
legislation and expedient<br />
events, performed in<br />
application of modern<br />
standards under legislation,<br />
application of European<br />
standards in the field of ICT<br />
and involvement of European<br />
companies and investments to<br />
this sector. Thus, information<br />
is provided in the world arena<br />
and request of proposals is<br />
submitted to the advanced<br />
companies in order to<br />
create transparency about<br />
procurement procedures<br />
concerning implementation<br />
of projects and support<br />
participation of foreign<br />
companies.<br />
Today, 10 ICT high rating<br />
companies of the world’s<br />
top 20 companies such as<br />
Microsoft, Cisco Systems,<br />
Hewlett Packard, IBM, Apple<br />
Computer, Intel, Oracle,<br />
Google, Nokia-Siemens<br />
Networks and Ericsson are<br />
operating in Azerbaijan and<br />
this process stimulates direct<br />
foreign investment stream<br />
to the country. As a result,<br />
Azerbaijan holds 39th place<br />
among 144 countries for<br />
the rating of “Capacity for<br />
innovation” according to<br />
the estimations of the “ICT<br />
Development Index” report of<br />
Davos World Economic Forum.<br />
Also according to the “Global<br />
Competitiveness Index” our<br />
country has improved 9 point<br />
and reached to the 46th place<br />
and preserved its leadership<br />
among CIS countries.<br />
It is the result of activities,<br />
performed in propagation of<br />
investments in the country<br />
that investment in the amount<br />
of 525.5 million USD has been<br />
put to this sector in 2011 alone<br />
for the first time during last 10<br />
years and this figure is 2 folds<br />
more than the previous year,<br />
and share of investments in the<br />
total investment, put to the<br />
economy of the country, varies<br />
approximately 3-3, 5%.<br />
Q: What will be the<br />
contribution of Azerbaijan’s<br />
joining to the projects<br />
30 December 2012<br />
www.teletimesinternational.com
“Trans-Eurasia Super In<br />
formation Highway” (TASIM)<br />
and “Europe-Persia Express<br />
Gateway”? How do you assess<br />
the potential of Azerbaijan as a<br />
“technological hub”?<br />
A: The project of “Trans-Asia<br />
Super Information Highway”<br />
(TASIM) is an important<br />
regional initiative and its<br />
purpose is to lay transnational<br />
fiber-optic cable line covering<br />
the Eurasian countries mainly<br />
from the Western Europe till<br />
the Eastern Asia.<br />
Implementation of the TASIM<br />
project from the strategic<br />
point of view will consist of<br />
two stages. In the first stage<br />
the leading regional countries<br />
and operators will create<br />
the main internet transit<br />
infrastructure connecting the<br />
West and the East. This transit<br />
infrastructure will enable<br />
TASIM to be the project which<br />
will meet the requirements of<br />
the commercially beneficial and<br />
highly growing international<br />
IP internet transit market. It is<br />
considered to complete this<br />
process by the end of 2013.<br />
In the second stage the TASIM<br />
will provide connection at a<br />
suitable price to the Central<br />
Asian countries, as well as the<br />
Eurasian as that have no access<br />
to the sea, by using transit<br />
infrastructure. There will be<br />
established new fiber-optic<br />
cable lines according to the<br />
plans for development of the<br />
national telecom infrastructure.<br />
However, existing lines<br />
will be improved from the<br />
technological f of view and<br />
connected to the TASIM n In<br />
the second stage the TASIM<br />
project will be realized in<br />
accordance with the mandate<br />
of the UN.<br />
The project takes into account<br />
laying of the main transit line<br />
routed from Frankfurt to Hong<br />
Kong. This line will connect the<br />
biggest information exchange<br />
centers of Europe and Asia. The<br />
transit line pass to Germany via<br />
China, Kazakhstan, Azerbaijan,<br />
Georgia and Turkey. Reserve No<br />
Transit Line will pass through<br />
Russia, Ukraine and Poland.<br />
The Ministry of<br />
Communications and In<br />
formation Technologies of<br />
the Republic of Azerbaijan<br />
initiated the TASIM project du<br />
ring the ministerial meeting<br />
held in Baku on November 14,<br />
2008 within the framework<br />
of the 14th International<br />
Telecommunication and<br />
Information Technologies<br />
Exhibition and Conference.<br />
On December21, 2009 there<br />
was adopted Resolution on<br />
the TASIM project at the<br />
64th session of the <strong>General</strong><br />
Assembly of the UN. Special<br />
role of the Republic of<br />
Azerbaijan is highly appreciated<br />
in coordination of project in<br />
the Resolution which was<br />
supported and adopted by<br />
consensus of 30 countries. It<br />
is planned to adopt the new<br />
Resolution at the end of 2012.<br />
On July, 2011 there was held<br />
the 1st International Seminar<br />
on TASTM in Azerbaijan<br />
with the participation of the<br />
leading telecom companies<br />
like China Telecom (China),<br />
Kaztranscom (Kazakhstan),<br />
Rostelecom (Russia), Turk<br />
Telecom (Turkey) and Pantel<br />
(European Union). As a result<br />
of event the <strong>Secretary</strong> of<br />
project has been established<br />
and operators have agreed<br />
to work out Memorandum<br />
of understanding which gave<br />
detailed information about<br />
the establishment of TASIM<br />
Consortium.<br />
The participation of Azerbaijan<br />
in “Europe-Persia Express<br />
Gateway” (EPEG) project<br />
enables to use Azerbaijan<br />
for establishment of transit<br />
route as a part of the strategy<br />
to evolve our country into a<br />
techno logical hub. We suppose<br />
that participation of Azerbaijan<br />
in this project will improve<br />
connection of our country with<br />
international internet. The<br />
participation in this project<br />
indicates the high technological<br />
level of Delta Telecom operator<br />
of Azerbaijan.<br />
<strong>General</strong>ly, Azerbaijan has great<br />
geographical and commercial<br />
potential which increases<br />
evolving the potential of our<br />
country into technological hub.<br />
TASIM, EPEG, Azercosmos and<br />
Regional Innovation Zones will<br />
sup port the implementation<br />
of these plans Projects,<br />
implemented all together, will<br />
connect vast territories with<br />
reliable, high-speed Internet<br />
and all other communications<br />
Q: Azerbaijan will launch its<br />
first communications satellite<br />
at the end of 2012. What does<br />
this achievement represent<br />
for the development of the<br />
country?<br />
A: One of the strategic projects<br />
carried out by the government<br />
of Azerbaijan, as a part of<br />
a wider plan of economic<br />
diversification and introduction<br />
to new industry fields, is the<br />
launch of a telecommunications<br />
satellite into upcoming years.<br />
Information and<br />
communications technologies<br />
have been declared to be the<br />
second priority area in the<br />
national economy after the<br />
oil industry. Consequently<br />
the share of this field in the<br />
economy is growing at an<br />
increasing rate, arid satellitebased<br />
communications are<br />
coming to play an ever-greater<br />
role in this respect. As such, it<br />
can confidently be stated that<br />
the current and forthcoming<br />
satellite projects cannot<br />
be regarded as having only<br />
political or purely commercial<br />
aspirations, but they are<br />
also sustainable and viable<br />
projects aimed at the longterm<br />
economic and social<br />
development of the country.<br />
Therefore, Azerbaijan has<br />
decided to ad dress these<br />
challenges by harnessing space<br />
tools since it possesses huge<br />
economic and intellectual potential<br />
for sustainable viability<br />
of space industry. By integrating<br />
the advantages of space<br />
capabilities to the national<br />
development program, the<br />
government of Azerbaijan aims<br />
to bring the country into new<br />
heights in terms of its economic<br />
power, intellectual capacity and<br />
information security. Economic<br />
benefits and information security<br />
brought about by utilization<br />
of satellite-based technologies<br />
will further enhance Azerbaijan’s<br />
contribution to regional<br />
development.<br />
The development and use<br />
of satellite communication<br />
services in the country has<br />
been promoted an accelerated<br />
through various legal and<br />
implementation measures.<br />
The State Program for the<br />
creation and development<br />
of the space industry, signed<br />
by the President in 2009,<br />
laid the foundation for<br />
the commencement and<br />
development of activities in<br />
this sphere. To materialize this<br />
political aspiration, Azercosmos<br />
was incorporated for<br />
commercialization of the space<br />
projects. Azercosmos is the<br />
first satellite operator in both<br />
Azerbaijan and Caucasus. It<br />
will provide satellite-delivered<br />
communication services<br />
and highly reliable satellite<br />
platforms to broadcasting,<br />
broadband, and government<br />
customers after the launch of<br />
Azerspace-1.<br />
Azerspace-1 which is planned<br />
to he launched in early 2013<br />
December 2012<br />
www.teletimesinternational.com<br />
31
and is expected to stay in<br />
orbit for 1 5 years, is being<br />
manufactured by the Orbital<br />
Sciences Corporation of the<br />
U.S. on a flight-proven Star-2<br />
platform. The launch vehicle<br />
for the satellite is the highly<br />
reliable Arien-5 of the French<br />
Arianespace. Azerspace-1 will<br />
be placed in the orbital slot,<br />
at 46 degrees east longitude<br />
and will have a wide coverage<br />
area including Europe, Africa,<br />
Central Asia, Caucasian<br />
countries and the Middle East.<br />
The loan agreement for<br />
the funding of the launch<br />
ofAzerspace-1 was included<br />
in the list of Best Financial<br />
Deals for 2011” by the<br />
magazine ‘Global Trade<br />
Review”. Azercosmos was<br />
also able to secure a robust<br />
insurance coverage and highly<br />
competitive premium rate<br />
for Azerspace-1, at the lowest<br />
rate in the satellite insurance<br />
market since 1999.<br />
Azerconsmos also pays close<br />
attention to introducing<br />
remote-sensing programs and<br />
launching Earth-observation<br />
satellites, which carry great<br />
importance and value for<br />
national security and economic<br />
infrastructure. As a low Earthorbiting<br />
satellite, the application<br />
fields of remote-sensing<br />
satellites in Azerbaijan have<br />
been studied in detail based on<br />
both local and foreign market<br />
research. Consequently, the<br />
relevant work has commenced<br />
on building the satellite based<br />
on the existent demand and<br />
within the required technical<br />
parameters.<br />
Azercosmos has embarked<br />
upon a variety of space-related<br />
activities which will boost<br />
the innovation and scientific<br />
research cape city in the<br />
country, but also lead to the<br />
development of manufacturing<br />
capacity in space technologies,<br />
and expand international<br />
integration.<br />
Q: Development of broad band<br />
internet is the one of main tar<br />
gets of several governments.<br />
Which achievements does<br />
Azerbaijan want to reach in<br />
this field by 2015?<br />
A: In the recent years internet<br />
services have also been<br />
dynamically developing<br />
according to the process in<br />
the ICT sector. Now, license<br />
for internet services is not<br />
required and this condition<br />
for development of small and<br />
medium-size entrepreneurship.<br />
With a view to provide high<br />
qualified fixed network<br />
services for population and<br />
organizations, reconstruction<br />
of Automatic Switching<br />
Centre has been done and full<br />
digitalization of fixed network<br />
in the country has successfully<br />
been completed. “AzData<br />
corn”, “Deltatelecom” and<br />
“Azertelecom” networks were<br />
linked to all regional centres of<br />
the country and approximately<br />
35% of rural areas with highspeed<br />
internet, and this<br />
opens wide opportunities<br />
for increasing the coverage<br />
level of ICT in the society and<br />
application of e-services in the<br />
regions.<br />
More than 40 ISPs operate<br />
Azerbaijan in severe market<br />
competition condition.<br />
Substantially, broadband<br />
internet services are provided<br />
by “Aztelecornnet” and<br />
“AzDataCom” state providers<br />
and several other private<br />
providers in other cities and<br />
regional centers of country.<br />
Currently, the number of<br />
internet users, computers and<br />
broadband internet subscribers<br />
per 100 inhabitants is 65, 20 and<br />
30 respectively. In the resent<br />
years, prices of broadband<br />
ADSL internet services have<br />
been decreased in multiple<br />
times and monthly payment for<br />
unlimited internet services with<br />
1 Mb/s speed by connecting to<br />
ADSL techno logy is less than 5<br />
AZN (around 5 Euros).<br />
Based on international<br />
institutions in the field,<br />
development directions<br />
and the recommendation<br />
of European Commission,<br />
Broad band Commission on<br />
Digital Development of UN<br />
about broadband internet<br />
services for 2015 on the basis<br />
of international practice, the<br />
development target has been<br />
chosen in this field. With a view<br />
to avoid the existing problems,<br />
as well as reach mentioned<br />
targets the main activity<br />
directions have been generally<br />
defined.<br />
Currently MC&IT and Azerbaijan<br />
State Oil Fund are preparing<br />
development of broadband<br />
inter in Azerbaijan. Under the<br />
strategy it is planned to reach<br />
broadband internet subs 20<br />
per 100 inhabitants in 2015. The<br />
strategy also plans to reach<br />
internet access speed to 30<br />
Mb/s, 10 Mb/s and 5 Mb in Baku<br />
city, the regional centers and<br />
rural areas respectively. 90% of<br />
households, in this strategy, are<br />
planned to get internet access<br />
too.<br />
Q: Azerbaijan re presented<br />
with the great number of staffs<br />
and overwhelming majority<br />
of private companies in Dubai<br />
at the event of International<br />
Telecommunication Union.<br />
How do you think, why the<br />
event was significant?<br />
A: You are right that Azerbaijan<br />
represented with 30 leading<br />
companies of country in the<br />
“<strong>ITU</strong> Telecom 2012”. They are<br />
the companies gained great<br />
achievements on e-government,<br />
program provision, mobile<br />
and fixed communication,<br />
computer production, space<br />
industry and other directions<br />
of ICT. L am delighted to note<br />
that additional program provision<br />
in ICT field and export to<br />
local computers produced are<br />
fulfilled. Simultaneously, the<br />
representatives of Cybernetic<br />
Institute of National Scientific<br />
Academy determined the scientifically-technical<br />
perspectives<br />
of this field, Information Technologies<br />
Institute and Research<br />
Centre on High Technologies of<br />
our Ministry participated in this<br />
event besides the mentioned<br />
companies. The increasing<br />
political-economic reputation<br />
and investment involvement,<br />
as well as reports of reliable<br />
international centers of Azerbaijan<br />
to the region is the great<br />
example.<br />
An official Baku has been added<br />
to the list of countries implementing<br />
the most reforms of<br />
the world in the “Doing Business-2009”<br />
re port of World<br />
Bank. Simultaneously, our<br />
country has shown the best<br />
result in “Global Competitiveness<br />
Index” of World Economic<br />
Forum formed for the period<br />
of 2010-2011 years in CIS region.<br />
Azerbaijan could keep its position<br />
in 2012-2013.<br />
<strong>General</strong>ly, ICT sector of country<br />
is being speedily developed<br />
during the last 7 years (2004-<br />
2011), noted field was increased<br />
6 folds, average annual growth<br />
race is 25-30%.<br />
Deliberate long-termed<br />
development strategy,<br />
adopted state programs, and<br />
implemented projects, suitable<br />
competitive-investment<br />
environment established in<br />
the sector and mainly state<br />
support play the great role<br />
in this increase. The number<br />
of Azerbaijani companies<br />
participated in “<strong>ITU</strong> Telecom<br />
2012” this year and the space of<br />
Azerbaijan’s national pavilion<br />
was 2 times larger than they<br />
were last year.<br />
32 December 2012<br />
www.teletimesinternational.com
James P. Farwell & Rafal Rohozinski<br />
The new reality of cyber war<br />
The June 2012 report by New<br />
York Times chief Washington<br />
correspondent David Sanger that<br />
the Stuxnet cyber worm was<br />
only part of a broader operation,<br />
Olympic Games, launched<br />
against Iran by the United States<br />
and Israel affirmed what many<br />
suspected: cyber attack is not a<br />
distant theoretical probability.<br />
Stuxnet was the first alleged<br />
identified instance of weaponised<br />
computer code or<br />
malware employed as a ‘use of<br />
force’. But it was not alone. Two<br />
other targeted computer viruses<br />
for espionage have surfaced:<br />
Duqu in September 2011, followed<br />
by Flame in May 2012.<br />
Media reports allege that both<br />
also targeted Iran.<br />
As tools of espionage, use of<br />
neither would qualify as a use of<br />
force, but reflect new emphasis<br />
on cyber tools. Of the two, Flame<br />
drew wider attention. Apparently<br />
20 times more complex than<br />
Stuxnet, Flame affected computers<br />
in Lebanon, the United Arab<br />
Emirates, the West Bank and<br />
Iran. It is said to have gathered<br />
intelligence by logging keyboard<br />
strokes, recording conversations<br />
by activating microphones, and<br />
taking screen shots. At Iran’s oil<br />
ministry and oil-export terminal,<br />
the virus also erased information<br />
on hard discs while gathering<br />
information.<br />
Many attribute it to the United<br />
States and Israel. These allegations<br />
remained unconfirmed by<br />
either government.<br />
A new era<br />
These developments put the<br />
spotlight on a new era of international<br />
engagement. Israeli<br />
sources have long boasted about<br />
Israel’s involvement in Stuxnet.<br />
The US/Israeli use of Stuxnet as<br />
reported in detail by Sanger has<br />
arguably created a new de facto<br />
norm for the conduct of cyber<br />
engagements other nations can<br />
follow or imitate. Previously, a<br />
key constraint on the use of software<br />
as a weapon has been the<br />
potential for legal liability arising<br />
out of collateral damage inflicted<br />
upon innocent parties not targeted.<br />
In practice, software can be<br />
narrowly targeted to surmount<br />
that challenge.<br />
What Stuxnet shows is that it<br />
is possible to have the specific<br />
intended effect while avoiding<br />
or minimising unplanned side<br />
effects by clearly differentiating<br />
between the propagator, or<br />
boost-phase code that disseminates<br />
the program, and the<br />
actual payload code that creates<br />
the physical effect on a target<br />
(the distinction between the<br />
gift wrapping and the gift). The<br />
reported operation did apparently<br />
limit the scope of damage.<br />
Stuxnet shows that one can<br />
surmount concerns that malware<br />
would take down the global network,<br />
not just a specific target.<br />
The lesson is that cyber weapons<br />
are in a different category from<br />
nuclear devices, which have<br />
little practical use except as a<br />
deterrent.<br />
The rules of conduct for the use<br />
of code are evolving. As parties<br />
develop more sophisticated capabilities<br />
and acquire experience<br />
in their use, the picture will grow<br />
more complicated and nuanced.<br />
The strategic situation contains<br />
echoes of the period between<br />
the two world wars, when rapid<br />
developments in new technologies<br />
and domains of war-fighting<br />
preceded an understanding of<br />
how effectively to employ them<br />
operationally. Tanks changed the<br />
way armies engaged in battle.<br />
But despite British and German<br />
experimentation with armour in<br />
the inter-war period, armoured<br />
December 2012<br />
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33
tactics could only be proven and<br />
fully developed on the battlefield<br />
from 1939 onwards. There are,<br />
moreover, significant differences<br />
of view about whether<br />
the Germans, renowned for<br />
their blitzkrieg tactics, properly<br />
understood the strategic use of<br />
armour for manoeuvre warfare.<br />
Reports that two states have<br />
employed code against another<br />
state against which war has not<br />
been declared undercuts the<br />
common view that risks of escalation<br />
render state-to-state cyber<br />
war implausible. Sanger reported<br />
that President George W. Bush,<br />
under whom Olympic Games was<br />
apparently initiated, desired that<br />
use of Stuxnet not violate the<br />
rules of armed conflict.<br />
The Law of Armed Conflict does<br />
not prohibit damage to such<br />
critical infrastructure. But a<br />
strength of using code is that the<br />
targeting process can manage<br />
the risks.<br />
Stuxnet may appear as embryonic<br />
as the British Mk.1 tanks<br />
that made their debut at the<br />
Battle of the Somme in 1916.<br />
But technology moves quickly.<br />
Modern states rightly fear cyber<br />
war. Evolving technology is accelerating<br />
the flow of information,<br />
placing unique pressures on<br />
decision-making. Responding to<br />
cyber attack may require making<br />
decisions at network speed using<br />
systems that are themselves<br />
targeted. The potential for cascading<br />
effects is amplified by the<br />
interconnectedness of cyberspace.<br />
Stuxnet worked leisurely.<br />
Future combat in cyberspace<br />
may be more akin to the global<br />
trading system than existing<br />
forms of kinetic engagement,<br />
and present a different strategic<br />
calculus.<br />
Active defence versus first strike<br />
As described by Sanger, Olympic<br />
Games puts into question the<br />
existing discourse over US doctrines<br />
of active defence versus<br />
offensive use of malware and<br />
the strategic communication<br />
employed to explain US actions.<br />
Nations have been rightfully unwilling<br />
to disclose their doctrines<br />
for the offensive use of cyber<br />
weapons. Open-source discourse<br />
has centred on delineating<br />
passive and active defence.<br />
No nation has been willing to<br />
declare its intent to use cyber<br />
weapons offensively for a first<br />
strike. But Stuxnet blurs the lines<br />
between what might constitute<br />
active defence and offense. It<br />
also moves the impact from the<br />
strictly cyber realm to one that<br />
may entail mechanical or physical<br />
damage.<br />
Passive cyber defence is easiest<br />
to grasp. The notion includes<br />
firewalls, cyber ‘hygiene’ that<br />
trains an educated workforce to<br />
guard against errors or transgressions<br />
that can lead to cyber<br />
intrusion, detection technology,<br />
‘honey pots ‘ or decoys that<br />
serve as diversions, and managing<br />
cyberspace risk through<br />
collective defence, smart partnerships,<br />
information training,<br />
greater situation awareness,<br />
and establishing secure, resilient<br />
network environments.<br />
Active cyber defence is a more<br />
elusive notion. Industry operates<br />
under different legal constraints<br />
than the military and they view<br />
the notion of active defence differently.<br />
For industry, the notion<br />
includes working actively with<br />
private-sector partners to identify<br />
and interdict cyber intrusions.<br />
Action beyond that raises real<br />
concerns. Under US law causing<br />
more than $5,000 of damage to<br />
another computer is a felony.<br />
US anti-trust and privacy laws<br />
raise other concerns. Yet private<br />
industry owns and operates 90%<br />
of US civilian critical infrastructure.<br />
Its concerns will grow as<br />
future malware come into play,<br />
for current laws and operational<br />
capabilities provide inadequate<br />
defences.<br />
The public sector operates<br />
under different rules. While<br />
private parties can take action<br />
unless prohibited by law, the<br />
military can act only within its<br />
prescribed authority. As a result,<br />
the military’s notion of active<br />
defence remains unformed: no<br />
one is certain what it means or<br />
how to apply it. The Pentagon<br />
has made clear it would employ<br />
force to defend against cyber<br />
attacks. But who has the authority<br />
to launch what actions, and<br />
under what circumstances? If<br />
a hostile force targets a naval<br />
cruiser for imminent attack, does<br />
the captain hold the authority to<br />
launch a preemptive attack? If he<br />
doesn’t, who does? Should he try<br />
to move his vessel out of danger?<br />
What if he cannot? How can he<br />
‘actively’ mount a defence?<br />
US Cyber Command Chief <strong>General</strong><br />
Keith Alexander has declared<br />
that ‘a Commander’s right to<br />
self-defence is clearly established<br />
in both U.S. and international<br />
law’. He did not define what<br />
that entails. Would it include hot<br />
pursuit? Former US Air Force<br />
<strong>Secretary</strong> Michael Wynne has<br />
stated that<br />
US law allows ‘hot pursuit’ of<br />
criminals, enabling law enforcement<br />
to track and address cyber<br />
crime through the digital world.<br />
That doctrine is well accepted in<br />
crime fighting, but where it applies<br />
may hang on the status of<br />
an attacker. What rules govern<br />
may depend upon the status<br />
of an event as criminal activity,<br />
a military attack or a terrorist<br />
action.<br />
Hot pursuit may well apply in<br />
cyberspace. Many concur that<br />
the law of the sea sanctions the<br />
use of the doctrine in the maritime<br />
domain, which along with<br />
air, land, and space is viewed as<br />
a global commons. President<br />
Barack Obama has declared that<br />
cyberspace is also a ‘recognized<br />
strategic commons’.<br />
A use of force?<br />
For the most part the US discussion<br />
on cyber war has revolved<br />
around these notions of defence.<br />
But Olympic Games has apparently<br />
shown that the United<br />
States and Israel will use cyber<br />
weapons offensively.<br />
The United States has previously<br />
said that its cyber strategies<br />
would respect international law.<br />
The key normative standards<br />
nest in United Nations Charter<br />
articles 2(4) and 51. Article 2(4)<br />
prohibits the ‘threat or use of<br />
force against the territorial<br />
integrity or independence of any<br />
state’. Article 51 states that nothing<br />
‘in the present Charter shall<br />
impair the inherent right of individual<br />
or collective self-defense if<br />
an armed attack occurs against a<br />
Member of the United Nations’.<br />
But ‘force’ is not defined. There<br />
is no international convention<br />
that defines whether the use<br />
of software code should be<br />
deemed equivalent to the use of<br />
force. Cyber expert Herbert Lin<br />
has argued that the term almost<br />
certainly covers conventionalweapon<br />
attacks that injuring<br />
persons or irreparably damage<br />
property, but excludes economic<br />
or political acts (such as sanctions)<br />
that do not. In that view,<br />
Stuxnet would have constituted<br />
a use of force only if it had<br />
inflicted damage comparable<br />
to a kinetic attack, but it injured<br />
no one and the Iranians make<br />
no claim of irreparable physical<br />
damage.<br />
But the US government apparently<br />
did view Olympic Games<br />
as a use of force. The strategic<br />
objective was not only to retard<br />
Iran’s progress in developing nuclear<br />
weapons but to persuade<br />
Israel that using cyber weapons<br />
34 December 2012<br />
www.teletimesinternational.com
mooted the need for a kinetic<br />
attack on Tehran’s nuclear institutions.<br />
Both the G.W. Bush and<br />
Obama administrations strongly<br />
believed that Iran’s nuclearweapons<br />
programme had to be<br />
stopped. The United States has<br />
clearly felt a need to communicate<br />
that it would not tolerate<br />
Iranian intransigence. Former<br />
CIA Director Michael Hayden<br />
stated that:<br />
This is the first attack of a major<br />
nature in which a cyberattack<br />
was used to effect physical<br />
destruction. And no matter what<br />
you think of the effects – and I<br />
think destroying a cascade of<br />
Iranian centrifuges is an unalloyed<br />
good – you can’t help but<br />
describe it as an attack on critical<br />
infrastructure.<br />
This implies that the Obama<br />
administration was willing in<br />
this case to affirm G.W. Bush’s<br />
policy of pre-emption to deal<br />
with a threat deemed vital to<br />
national security interests, was<br />
willing to act in concert with a<br />
‘coalition of the willing’ (even<br />
if the United States and Israel<br />
were the sole partners) to keep<br />
weapons of mass destruction<br />
out of the hands of rogue states,<br />
and that this concern trumps<br />
commitments – including those<br />
expressed in the US 2011 Cyber<br />
Strategy, to embrace multilateralism<br />
and partnership for cyber<br />
strategy.<br />
It seems evident that the<br />
intent of Olympic Games was<br />
to irreparably damage critical<br />
infrastructure. The tenor of the<br />
operation and strategic intent –<br />
and Hayden’s words – strongly<br />
imply that White House and<br />
Department of Defense lawyers<br />
considered the operation a<br />
use of force. The issue must<br />
have been considered. One can<br />
presume the answer the lawyers<br />
provided was affirmative.<br />
Legally, did the White House exceed<br />
its jurisdiction either under<br />
the Constitution, which reserves<br />
to Congress the right to declare<br />
war, or under the War Powers<br />
Resolution of 1973? It is hard to<br />
qualify Olympic Games as an act<br />
of war. US statute defines that as<br />
armed conflict, whether or not<br />
war has been declared, between<br />
two more nations or between<br />
military forces of any origin. It<br />
is significant that Iran has not<br />
suggested the use of Stuxnet<br />
constituted an act of war.<br />
The War Powers Resolution<br />
offers a more nuanced issue.<br />
The resolution applies to the<br />
introduction of ‘United States<br />
Armed Forces into hostilities or<br />
into situations where imminent<br />
involvement in hostilities is<br />
clearly indicated by the circumstances’.<br />
How does a nation use force<br />
except through military means?<br />
One can debate whether nonuniformed<br />
Stuxnet operations<br />
personnel qualify under the<br />
notion of distinction as combatants,<br />
but one can make a strong<br />
argument that Olympic Games<br />
fell under the ambit of the resolution.<br />
Presumably the response<br />
is that it constituted a covert<br />
action that did not trigger the<br />
operation of the law.<br />
Given that the objective was to<br />
destroy an enemy’s critical warfighting<br />
capacity, though, one<br />
might wonder whether the logic<br />
in avoiding the jurisdiction of the<br />
resolution – or Congress’s power<br />
to declare war – would apply to a<br />
modern Pearl Harbor. The air war<br />
in Libya may offer a clue to policy<br />
mindsets. Denying any obligation<br />
to ask Congress for authorisation<br />
to act, the Obama administration<br />
argued that ‘U.S. operations do<br />
not involve sustained fighting<br />
or active exchanges of fire<br />
with hostile forces, nor do they<br />
involve ground troops’.<br />
Similarly, Stuxnet did not involve<br />
armed fighting or exchanges of<br />
fire with hostile forces, although<br />
future engagements may focus<br />
debate on what constitutes<br />
armed forces. That cyber weapons<br />
often do not entail uniformed<br />
individuals firing rockets,<br />
dropping bombs, or firing guns<br />
does not, looking over the horizon,<br />
inherently render its users<br />
non-combatants.<br />
What if Iran decided to respond<br />
kinetically? How does that alter<br />
the authority of the White House<br />
to continue a programme?<br />
Stuxnet was a fire-and-forget<br />
weapon. Although code can be<br />
designed to hit a specific target,<br />
in practice, once launched, there<br />
was no control over the consequences<br />
it inflicted – or upon<br />
whom. Indeed, Sanger reported<br />
that American officials were<br />
quite unhappy when Stuxnet<br />
got loose on the Internet. The<br />
operational environment in war<br />
is random. The collateral effects<br />
of a cyber weapon add a new<br />
dimension to that challenge.<br />
One must think beyond the Iranian<br />
situation. What if Congress<br />
wanted a president to cease<br />
an operation that could not be<br />
terminated? Olympic Games sidestepped<br />
the problem, but hardly<br />
obscures the need for future<br />
strategic thinking.<br />
Whether there was use of force<br />
raises other issues. Olympic<br />
Games involved a pattern of engagements.<br />
One must consider<br />
the larger implications of an<br />
individual event. Does a pattern<br />
convert employment of cyber<br />
weapons into a use of force? The<br />
answer isn’t clear. The unpredictable<br />
nature of damage that cyber<br />
attack can inflict may require<br />
a new definition of war.<br />
Intent may also matter in determining<br />
whether an engagement<br />
constituted a use of force.<br />
Open-source reporting indicates<br />
that any damage inflicted on the<br />
Natanz uranium-enrichment facility<br />
was temporary and reparable.<br />
But that was not the intent.<br />
What if someone dropped a<br />
bomb on London or New York<br />
that failed to detonate? Isn’t<br />
that a use of force – or possibly,<br />
depending on the facts, an act<br />
of war? Deciphering intent may<br />
pose a challenge, but in law it<br />
may be objectively inferred. The<br />
case of unexploded ordinance<br />
seems easier to grasp, but how<br />
deep is the distinction between<br />
that and a cyber worm that fails?<br />
This issue needs debate and<br />
should enter future strategic<br />
calculations.<br />
Finally, did Article 51 of the UN<br />
Charter justify Olympic Games?<br />
Like ‘force’, ‘armed attack’<br />
remains undefined, even where<br />
force is clearly employed. Certainly<br />
the implications of new<br />
technologies for Article 51 or<br />
other international conventions<br />
remain unclear. This consideration<br />
matters enormously to<br />
December 2012<br />
www.teletimesinternational.com<br />
35
Israel, which contends that a<br />
nuclear first strike would destroy<br />
the nation, preventing or mooting<br />
a response. Washington worries<br />
about Israeli security, but<br />
also a potential and de-stabilising<br />
Middle East arms race should<br />
Iran acquire a nuclear weapon.<br />
Strategic implications<br />
The use of malware by state<br />
actors has altered the realities<br />
of cyber attack. History teaches<br />
that once weapons technology<br />
becomes feasible, states deploy<br />
it. Today the world may confront<br />
a dangerous technology race<br />
characterised by rapidly evolving<br />
and lethal weapons.<br />
Clausewitz believed that in<br />
warfare, the advantage rested<br />
with the defence. Cyber reverses<br />
that equation. It also offers the<br />
potential to build the fog of<br />
war through the ability to effect<br />
disruption, deception, confusion<br />
and surprise. We are only beginning<br />
to envisage the potential<br />
for different forms of malware,<br />
or the strategies or tactics employed<br />
to use it.<br />
A cyber-security tool may<br />
require millions of lines of code<br />
and a complex system to track<br />
and identify events. Malware<br />
requires a lot less. Computer<br />
code can be designed to evolve<br />
rapidly, mutating faster than<br />
defences can be mustered. Code<br />
can be highly targeted. It can<br />
leverage social and technological<br />
vectors. It can render a cyber<br />
defence obsolete within seconds.<br />
It can overwhelm a system<br />
that may have taken years to<br />
construct. Clausewitz believed<br />
that the advantages enjoyed by<br />
defence required that an offense<br />
employ greater resources. Cyber<br />
reverses that equation. Nations<br />
may now shift away from a<br />
refusal to use cyber weapons for<br />
first strike. That in and of itself<br />
complicates both offensive and<br />
defensive strategies.<br />
Although some have argued<br />
that Olympic Games lowered the<br />
threshold for the use of cyber<br />
weapons, it may in fact actually<br />
raise it. States may recognise a<br />
higher responsibility to design<br />
weapons that offer strong<br />
assurance of striking only the<br />
intended targets. That was the<br />
intent of Stuxnet’s planners and<br />
designers. But matters could<br />
have worked out much differently.<br />
Robert Burns was right:<br />
the best laid plans of mice and<br />
men often go awry.<br />
Stuxnet shows that creating effective<br />
malware turns on imagination,<br />
technical expertise and<br />
ingenuity. But to deliver code as<br />
a warhead also requires highly<br />
specific domain experience and<br />
superior intelligence capabilities<br />
that often only states possess.<br />
Our view is that malware is not a<br />
wide-area weapon. As it evolves,<br />
it will be used narrowly to attack<br />
particular targets and to generate<br />
specific shaping effects.<br />
Olympic Games raises the veil<br />
on key strategic implications.<br />
Stuxnet aimed to destroy a specific<br />
capability. But it importantly<br />
illustrates the political nature of<br />
war. Achieving a strategic political<br />
objective does not necessarily<br />
require destroying an enemy.<br />
Olympic Games was devised<br />
when G.W. Bush pushed for an<br />
alternative to the unpleasant<br />
choice between allowing Iran to<br />
develop a nuclear-weapons capability<br />
or halting the programme<br />
through kinetic attack. The cyber<br />
programme bought time in<br />
which to employ punishing sanctions<br />
and to signal to Iran that<br />
other nations would not tolerate<br />
an Iranian nuclear-arms programme.<br />
The lesson is that cyber<br />
weapons may offer non-kinetic<br />
ways to disrupt an operational<br />
capability of an adversary.<br />
Future cyber weapons will similarly<br />
aim to constrain the ability<br />
of an adversary to manoeuvre,<br />
coordinate or synchronise, and<br />
to divert enemy commanders<br />
from focusing on the achievement<br />
of their own objectives.<br />
Stuxnet succeeded splendidly<br />
in creating confusion. Sanger<br />
reports that Iranians came to distrust<br />
their own instruments. The<br />
idea, he quotes one source, ‘was<br />
to mess with Iran’s best scientific<br />
minds’ and ‘make them feel they<br />
were stupid’.<br />
Conceptually, unsettling the<br />
consciousness of an adversarial<br />
commander, or a CEO or government<br />
official, causing a loss of<br />
belief in his ability to control<br />
events and depriving him of control,<br />
helps disrupt an adversary’s<br />
ability to fulfil its objectives.<br />
Stuxnet’s creators merit high<br />
marks for recognising the value<br />
of that goal. While the final result<br />
fell short, open-source reporting<br />
indicates that Stuxnet did retard<br />
Iranian progress.<br />
As reported in open sources,<br />
Olympic Games exemplified an<br />
operation intended to reduce<br />
the resistance of a rival system<br />
and to inflict attrition upon<br />
its resources. Destruction<br />
of an asset is one of many<br />
potential objectives that cyber<br />
weapons can achieve. Future<br />
cyber weapons may disrupt<br />
communications systems or<br />
the ability of adversaries to<br />
cohesively operate air, naval<br />
or ground forces. They could<br />
slow the speed at which an<br />
adversary is able to mass forces<br />
or deploy assets, destroying<br />
precious momentum vital for<br />
an adversary’s offense.Indeed,<br />
smart strategy is often less<br />
about destroying an enemy<br />
than paralysing command and<br />
control, and neutralising an<br />
adversary’s operational ability.<br />
One unfortunate development<br />
has been the leaks from<br />
Washington and Israel (where<br />
sources have long claimed<br />
credit for Stuxnet) about<br />
Olympic Games. These present a<br />
strategic challenge. An obstacle<br />
confronting any nation that<br />
wishes to retaliate against a<br />
cyber intrusion is the need<br />
to identify the intruder. The<br />
leaks solved that problem for<br />
Iran, and opened the United<br />
States and Israel to potential<br />
counterpunches that would<br />
entail far less stigma for Tehran<br />
than action against a putative<br />
attacker whose guilt could not<br />
be confirmed.<br />
Finally, it is worth noting that<br />
the weapons employed by<br />
Olympic Games are largely<br />
indistinguishable from the<br />
technology that cyber criminals<br />
employ. That will make<br />
international treaties and<br />
conventions aimed at limiting<br />
cyber crime more difficult<br />
to secure. The utility and<br />
effectiveness of these weapons<br />
for national-security interests<br />
may trump policy considerations<br />
that favour better global policing<br />
of cyber crime.<br />
There has been a widespread<br />
view that criminal entrepreneurs<br />
or state-sponsored proxies,<br />
acting at arm’s length to insulate<br />
states from culpability for their<br />
policies, would emerge as the<br />
real challenges in a cyber era in<br />
which one individual can change<br />
the way the world does business.<br />
But now it seems that state-tostate<br />
engagement, whether or<br />
not it meets the conventional<br />
definitions of the use of force or<br />
an act of war, will define a new<br />
reality and require new strategic<br />
calculations. The discourse<br />
arising out of reports about<br />
Olympic Games underscores<br />
why the United States and<br />
other countries should engage<br />
in a transparent debate over<br />
whether or how cyber weapons<br />
should be employed. Every nation<br />
– including civilian as well as<br />
government institutions – must<br />
develop strategies to address<br />
these new realities.<br />
36 December 2012<br />
www.teletimesinternational.com
Mobilink to invest USD 1 billion<br />
to enhance nationwide mobile network<br />
Jo Lunder, Group CEO, VimpelCom briefs PM on preparations for 3G services<br />
PM Raja Pervez Ashraf in a meeting with Mr. Jo Lunder, Group CEO of VimpelCom. Mr. Ahmed Abou Doma, Group CEO of Orascom Telecom,<br />
Mr. Robert Conway, Chief International Affairs Officer, VimpelCom and Mr. Rashid Khan, President & CEO of Mobilink are also seen.<br />
A delegation comprising senior<br />
management from VimpelCom,<br />
the parent company of<br />
Mobilink, called on Prime<br />
Minister Raja Pervez Ashraf at<br />
Prime Minister House recently.<br />
The delegation was headed<br />
by Jo Lunder, Group CEO,<br />
VimpelCom who apprised the<br />
Prime Minister on VimpelCom’s<br />
global operations and the<br />
significance of the Pakistani<br />
market for VimpelCom’s<br />
growth strategy.<br />
Mobilink will be investing<br />
over USD 1 billion towards<br />
the enhancement of its voice<br />
and data services, paving the<br />
way towards introducing 3G<br />
services as soon as it is licensed<br />
in Pakistan. This was shared<br />
with the Honorable Raja Pervez<br />
Ashraf, Prime Minister of<br />
Pakistan by Jo Lunder, Group<br />
CEO, VimpelCom, during the<br />
meeting.<br />
VimpelCom continues to have<br />
a positive outlook on its operations<br />
in Pakistan, with Mobilink<br />
already having invested over<br />
USD 3.9 billion till date as part<br />
of its vision to reshape lives<br />
through connectivity. The<br />
additional investment of USD<br />
1 billion is part of VimpelCom’s<br />
aggressive plans to further consolidate<br />
its leadership position<br />
in Pakistan with the deployment<br />
of state-of-the-art nextgeneration<br />
mobile network<br />
equipment.<br />
Jo Lunder, Group CEO of<br />
Vimpelcom, highlighted, “The<br />
investment on our mobile<br />
network is a continuation of<br />
Mobilink’s promise made at<br />
the start of 2012 to create a<br />
paradigm shift in Pakistan’s cellular<br />
environment. Mobilink will<br />
sustain its focus on infrastructure<br />
investment, increased<br />
coverage and great customer<br />
relationship management to<br />
provide our valued customers<br />
with the best cellular experience<br />
in Pakistan!”<br />
Ahmed Abou Doma, Group<br />
Chief Executive Officer of<br />
Orascom Telecom, added, “This<br />
strategic investment is part of<br />
our commitment to provide<br />
leading-edge, high-quality<br />
mobile broadband and voice<br />
services to our customers in<br />
Pakistan.”<br />
Mobilink has announced<br />
the signing of a five year<br />
agreement with Huawei and<br />
Alcatel-Lucent for the design,<br />
purchase, deployment, and<br />
maintenance of state-of-the-art<br />
next-generation mobile network<br />
equipment. In addition<br />
to a superior network performance,<br />
Mobilink also expects<br />
that the improved capabilities<br />
will allow the company to<br />
significantly increase network<br />
efficiency to enhance customer<br />
experience.<br />
The year 2012 has been another<br />
landmark year for Mobilink,<br />
with the investment on the<br />
mobile network upgrade being<br />
a continuation of Mobilink’s<br />
focus on the enhancement<br />
of infrastructure and<br />
coverage footprint as well<br />
as on developing superior<br />
customer relationships. The<br />
investment plans follows the<br />
implementation of Mobilink’s<br />
Intelligent Network (IN), which<br />
has enabled subscribers more<br />
control and freedom over<br />
their services, and provided a<br />
consumer experience that is<br />
the best in business.<br />
Mobilink has witnessed<br />
unparalleled growth over the<br />
last few years as a result of a<br />
continued focus on investing in<br />
cutting edge technology, which<br />
has brought uninterrupted<br />
connectivity to over 36 million<br />
customers of Mobilink in<br />
20,000 cities, towns and<br />
villages across Pakistan.<br />
December 2012<br />
www.teletimesinternational.com<br />
37
Samsung demands<br />
Apple retrial<br />
Apple and Samsung will once<br />
again square up over rounded<br />
corners and other elements<br />
of smartphone design, as a<br />
US judge considers whether<br />
to overturn or enlarge the<br />
$1bn verdict against the South<br />
Korean group.<br />
Judge Lucy Koh and legal teams<br />
from the two leading smartphone<br />
makers will meet in San<br />
Jose, California on Thursday<br />
to consider arguments, in the<br />
most vigorously fought case in<br />
the long-running global patent<br />
battle.<br />
After a jury found that most<br />
of its asserted patents<br />
and that its trade dress,<br />
or product characteristics,<br />
had been infringed, Apple is<br />
seeking to ban eight Samsung<br />
smartphones from sale in the<br />
US, ahead of the Christmas<br />
trading season. It is also<br />
looking for an additional $707m<br />
in damages from Samsung<br />
for patent infringement and<br />
dilution, on top of the $1.05bn it<br />
was awarded by the jury.<br />
Samsung, however, has alleged<br />
jury misconduct and demanded<br />
a retrial. It maintains that<br />
Velvin Hogan, the San Jose<br />
jury foreman, failed to disclose<br />
his involvement in a 1990s<br />
court battle with Seagate, an<br />
IT company in which Samsung<br />
owns a significant stake, raising<br />
questions of potential bias.<br />
The Korean technology group<br />
has also argued that the jury’s<br />
verdict was inconsistent and<br />
its methodology for awarding<br />
damages “unclear”.<br />
In its response, Apple’s filings<br />
characterised Samsung’s<br />
position as an “attack<br />
on the jury and the jury<br />
process . . . waged in the<br />
press worldwide”, which it<br />
described as “baseless” and<br />
“unwarranted”.<br />
Despite August’s landmark<br />
verdict in California, Apple has<br />
not found the same degree of<br />
success in its patent cases in<br />
other markets, with an ugly<br />
argument in the UK over its<br />
fumbled “apology” to Samsung<br />
after a court in London ruled<br />
that the Galaxy Tab did not<br />
infringe the iPad’s designs.<br />
Last month, Apple struck a<br />
surprise patent settlement with<br />
HTC, a smaller smartphone<br />
maker. Despite protests<br />
from HTC, Samsung’s legal<br />
team has been allowed to<br />
see the financial terms of the<br />
agreement with Apple.<br />
Although hostilities continue<br />
against Samsung, some<br />
intellectual-property observers<br />
see Apple’s HTC agreement as<br />
a sign that peace across the<br />
industry is possible.<br />
Professor Michael Meurer of<br />
the Boston University School<br />
of Law says that patents no<br />
longer provide “predictable<br />
property rights” and predicts<br />
settlements among “all the<br />
players”.<br />
“This holy war that [Apple<br />
co-founder] Steve Jobs wanted<br />
to start was a strategically<br />
bad choice for Apple,” Prof<br />
Meurer said. “I think that<br />
Apple under [CEO] Tim Cook is<br />
recognising that . . . I think Jobs<br />
overestimated what IP could do<br />
for him.”<br />
Even if Apple wins injunctions<br />
against several Samsung<br />
smartphones, analysts say it is<br />
unlikely to have a major effect<br />
on Christmas sales.<br />
Sobia Pervaz<br />
Korek–<br />
A subsidiary of France Telecom<br />
opted for Genesys Call Center<br />
Solution<br />
With a vision to become stateof-the<br />
art multi-channel contact<br />
center, Korek Telecom,<br />
Iraq awarded their Call Center<br />
implementation to C Square<br />
Consulting. Korekaimsto<br />
have quick implementation<br />
of world’s number one call<br />
center software that is fully<br />
supported by C Square. The<br />
solution delivery is unique as<br />
it includes End to End Genesys<br />
with High Availability, IVR,<br />
Workforce Management, Call<br />
Recording, Screen Capture and<br />
Agent Desktop.<br />
As C Square Consulting<br />
focuses on delivering the<br />
highest quality solutions to<br />
its customers tailored to their<br />
needs, this has become the<br />
most trustable and dominant<br />
solution provider globally with<br />
special recommendation from<br />
Genesys itself.<br />
Korek offers the largest and<br />
most reliable mobile network<br />
and dominates in the country<br />
with its cutting edge technology.<br />
Providing customers<br />
with best quality network and<br />
services with best value is<br />
the main aspiration of Korek<br />
Telecom. To further strengthen<br />
and expand its network and<br />
to improve the quality of its<br />
services in all 18 provinces, the<br />
implementation of Genesysbased<br />
contact centre and<br />
solutions is a good step.<br />
Korek already possesses GSM<br />
and with the implementation<br />
and integration of Multisite<br />
Contact Centre in Erbil<br />
and Baghdad, Korek will<br />
be able to provide an<br />
enhanced, continuous, and<br />
speedy communication to<br />
its customers. Thus, the<br />
solutions provided by C<br />
Square Consulting will help<br />
Korekto reinforce customer<br />
relationship by facilitating<br />
improved communication and<br />
by providing quality services.<br />
Although, it is a challenge<br />
for C Square Consulting, but<br />
the implementation of so<br />
many solutions at the same<br />
time explains the reliability<br />
and strength of C Square<br />
Consulting. Also, this is<br />
another big venture of C<br />
Square Consulting in the<br />
Middle-Easter Region. Having<br />
Genesys-based solutions<br />
enables Korek to enhance<br />
interaction internally as well as<br />
externally.<br />
“We know Genesys is the leading<br />
software solution, we just<br />
need a company like C Square<br />
to implement it, which will<br />
enable us to provide best in<br />
class customer service to our<br />
subscribers. We also plan to<br />
launchMulti Channels like Chat,<br />
SMS and Social Media in next<br />
phase,” says Francis Nassif,<br />
Project Manager CIS Commenting<br />
on the achievement,<br />
Ahsan Mashkoor, Co-Founder<br />
of C Square Consulting noted,<br />
“While we continue to expand<br />
our presence in the Middle<br />
Eastern region, it is equally<br />
important for us to be mindful<br />
of our client’s priorities and<br />
to work with each, on the company’s<br />
individual needs. The<br />
technology solutions we offer<br />
are then mapped onto the<br />
company’s business blueprint<br />
which differs for each client.<br />
38 December 2012<br />
www.teletimesinternational.com
Tools to manage large<br />
file transfers<br />
The managed file transfer<br />
(MFT) industry has a players<br />
ranging from big-name tech<br />
titans to up-and-coming<br />
next-generation cloud-based<br />
vendors. Below is a list of<br />
some, but not all, players in this<br />
industry and a brief description.<br />
Axway<br />
A leading competitor in the<br />
managed file transfer industry,<br />
Axway says it specializes in not<br />
only B2B (business to business)<br />
MFT, but also A2A (application<br />
to application), and ad hoc<br />
transfers. Axway is a French<br />
company that is popular in the<br />
U.S. enterprise market, priding<br />
itself on baked-in visibility and<br />
monitoring tools that provide<br />
both technical and businessoriented<br />
dashboards to track<br />
which data is being transferred.<br />
Axway recently beefed up its<br />
security policies too with its<br />
acquisition of Vordel, which<br />
specializes in API security<br />
compatibility for mobile and<br />
cloud services. This could fit<br />
in with Axway’s Communities<br />
service, in which businesses<br />
can set up policies for different<br />
groups within an enterprise. <br />
Citrix ShareFile<br />
Citrix, a trusted name in IT<br />
management tools, has its own<br />
line of file transfer products,<br />
headlined by ShareFile, which<br />
is what the company calls<br />
a “follow-me data” tool.<br />
ShareFile allows users to<br />
store and synchronize files<br />
across multiple devices and<br />
platforms, from mobile, tablet<br />
and desktop, with optional<br />
integration with Microsoft<br />
Outlook and centralized<br />
management, such as running<br />
audit reports, conducting<br />
remote wipes and linking<br />
in with an existing active<br />
directory. It supports transfers<br />
of files up to 100GB and also<br />
features Storage Zones, which<br />
is basically a fancy way of Citrix<br />
saying data can be stored<br />
on a customer’s premise, or<br />
in a Citrix cloud. Last week,<br />
the company announced a<br />
partnership with NetApp<br />
where that company’s storage<br />
operating system, NetApp Data<br />
OnTap 8, will be optimized to<br />
run as the on-premise platform<br />
in ShareFile environments.<br />
IBM<br />
Seen by some as the market<br />
leader in this category for<br />
enterprise MFT, IBM’s product<br />
is based on the Sterling<br />
Managed File platform.<br />
Optimized for high-volume<br />
traffic within and between<br />
enterprises, IBM’s MFT is<br />
a portfolio that includes<br />
additional bolt-on features.<br />
WebSphere MQ, for example,<br />
is an optional file transfer<br />
automation software, while File<br />
Gateway allows for integration<br />
with enterprise resource<br />
planning (ERP) and business<br />
process management (BPM)<br />
platforms. IBM also has a series<br />
of customizable Web-based<br />
interfaces, and a control center<br />
for IT management of the<br />
system.<br />
Ipswitch File Transfer<br />
Perhaps no company better<br />
epitomizes the transitions<br />
occurring in this broader<br />
industry better than Ipswitch.<br />
The company has a history of<br />
competing in the MFT space,<br />
but has recently launched a<br />
new, completely cloud-based<br />
version of its file transfer tool<br />
named MOVEit. It supports<br />
system-to-system, person-toperson<br />
file transfers, all with<br />
fast on-boarding and the ability<br />
to dynamically scale resources<br />
as needed through the cloud.<br />
Ipswitch has complementary<br />
tools such as MessageWay,<br />
which integrates with existing<br />
message platforms, and for<br />
customers that want an onpremise<br />
tool instead, Ipswitch<br />
sells its WS_FTP file transfer<br />
server.<br />
Tibco<br />
Tibco’s file transfer system is<br />
part of the company’s broader<br />
strategy around information<br />
management. Its MFT line<br />
includes both platform and<br />
Internet servers, for onpremise<br />
or public Internetfacing<br />
MFT applications<br />
respectively, plus it includes<br />
Command Center, a centralized<br />
dashboard with reporting<br />
and auditing features. Tibco’s<br />
Slingshot product is also used<br />
Brandon Butler<br />
on-premise as an integration<br />
tool with Microsoft Outlook<br />
and other messaging platforms<br />
that provides compression and<br />
encryption for files that will be<br />
transferred. <br />
YouSendIt<br />
YouSendIt represents the<br />
up-and-coming crop of startup<br />
competitors looking to take<br />
on the legacy names in this<br />
business. A cloud-based<br />
service, YouSendIt emphasizes<br />
easy onboarding, including a<br />
free 14-day trial, and access<br />
to YouSendIt services from<br />
desktops, tablets and mobile<br />
devices. File transfers are<br />
capped at 2MB, but the service<br />
provides for synchronization<br />
of files across devices. An<br />
enterprise-geared product<br />
named Workstream starts at<br />
$12.99 per month for up to 50<br />
users, while a premium version<br />
of that with customized<br />
pricing includes active directly<br />
integration, single sign-on and<br />
monitoring and management<br />
tools.<br />
40 December 2012<br />
www.teletimesinternational.com
The Global ICT 50:<br />
The Supply Side of Digitization<br />
Olaf Acker<br />
Florian Gröne<br />
Germar Schröder<br />
The top 50 companies providing IT and telecom hardware, software, and<br />
services are facing dramatic change and convergence. Their response will<br />
transform life for the rest of us.<br />
Driven by a combination of<br />
consumer demand and the development<br />
of new information<br />
and communications technology<br />
(ICT), the world is rapidly transforming.<br />
This process, called<br />
digitization, has been happening<br />
since the arrival of the computer<br />
60 years ago, but in the past few<br />
years it has accelerated, altering<br />
everyday life in unprecedented<br />
ways. Technological developments<br />
such as handheld devices,<br />
pervasive sensors, “big data”<br />
analytics, digital supply chains,<br />
search engines, social networks,<br />
satellite-based geographic tracking,<br />
interconnected real-time<br />
digital infrastructure, and massive<br />
server farms have fundamentally<br />
altered our society. The<br />
2010s are arguably as different<br />
from, say, the 1980s as 1950,<br />
with ubiquitous electricity, automobiles,<br />
and broadcast radio,<br />
was from 1850.<br />
Digitization is being driven in<br />
part by the companies that make<br />
use of digital infrastructure and<br />
in part by consumers around the<br />
world. The enterprise market<br />
for online IT and digital telecom<br />
is booming — corporate sales<br />
worldwide grew 6 percent annually<br />
in 2010 and 2011 — while the<br />
market for consumer-oriented<br />
devices and services (including<br />
cloud-based online IT services)<br />
grew even more rapidly. At the<br />
forefront of change is Generation<br />
C, people born after 1990<br />
who expect to be connected to<br />
everyone, everywhere, at home<br />
and at work. As members of<br />
this group come of age, moving<br />
into managerial ranks or starting<br />
their own businesses, the tools<br />
and habits of digitization will<br />
become second nature.<br />
One might expect that because<br />
society is increasingly dependent<br />
on digital products and services,<br />
the producers of digitization<br />
would be affluent, assured of<br />
success, and complacent. But<br />
their industry is undergoing a<br />
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41
parallel transformation, and it is<br />
not clear how many companies<br />
will last in their current form.<br />
The traditional sectors of the<br />
ICT ecosystem — a multi-trilliondollar<br />
industry whose members<br />
include enterprise service<br />
providers, hardware producers,<br />
telecom companies, and software<br />
developers (including the<br />
purveyors of Internet services<br />
and social media) — are blurring<br />
and converging. For example,<br />
telecom, hardware, and software<br />
companies are moving into<br />
IT services. Offshore IT service<br />
providers are developing enterprise<br />
software, often in the form<br />
of low-cost, highly standardized<br />
systems delivered via the<br />
Internet, designed to take over<br />
large portions of the work of<br />
traditional corporate IT departments.<br />
The industry is also being<br />
invaded by a host of hungry<br />
new Internet players, who offer<br />
innovative Web-based solutions<br />
that bypass the systems of the<br />
past. In this context, even the<br />
wealthiest, most successful ICT<br />
providers, like Microsoft in the<br />
1990s, Google in the 2000s, and<br />
Apple today, cannot be certain<br />
of sustaining their success. The<br />
title of the first book by former<br />
Intel CEO Andrew Grove — Only<br />
the Paranoid Survive — has<br />
never seemed so telling a comment<br />
on this industry.<br />
How will the process of digitization<br />
play out? How will it affect<br />
the companies vying to supply<br />
these technologies, particularly<br />
in the business-to-business domain?<br />
The answers are essential<br />
for decision makers in any company,<br />
no matter its industry. The<br />
choice of ICT goods and services<br />
is a critical strategic factor: It<br />
deeply influences the quality and<br />
distinctiveness of a company’s<br />
capabilities. That choice, in turn,<br />
depends on a clear assessment<br />
of the future of these providers.<br />
It is all too easy to get locked<br />
into a technology system that<br />
will not be sustained in the<br />
marketplace.<br />
At a more exalted level, the<br />
leading digitization providers<br />
are among the most influential<br />
companies of our time, and their<br />
influence is increasing. Their<br />
digital channels shape behavior<br />
for all other businesses and, indeed,<br />
for a great deal of human<br />
interaction.<br />
Finally, these companies are a<br />
fascinating group in their own<br />
right. Some, like Hewlett-Packard<br />
(HP) and IBM, have existed<br />
for many decades, continually<br />
reinventing themselves; others<br />
are relative newcomers. Each, in<br />
its own way, has mastered innovation<br />
and struggled with disruption.<br />
Their story is our story.<br />
Anatomy of the ICT 50<br />
In early 2012, a group of Booz &<br />
Company researchers evaluated<br />
the 50 largest publicly traded<br />
global suppliers of information<br />
and communications technology<br />
products and services to<br />
enterprise: the “Global ICT 50.”<br />
We assessed how well they are<br />
doing now and how prepared<br />
they are for the changes that<br />
lie ahead, and then we ranked<br />
them according to their enterprise<br />
relevance: their potential<br />
importance to company value<br />
chains, in the present and the<br />
near future. Four qualities come<br />
together to make up this score:<br />
● Financial performance: Which<br />
companies can best sustain<br />
the profitability needed to<br />
make the investments that<br />
will help them win the digitization<br />
race?<br />
● Portfolio strength: Which<br />
companies possess the best<br />
mix of business-to-business<br />
products and services, given<br />
the demands of digitization?<br />
● Go-to-market footprint:<br />
Which companies have<br />
established sales and delivery<br />
capabilities in the top markets<br />
for ICT?<br />
● Growth potential: Which companies<br />
have the three factors<br />
needed today for expansion in<br />
this industry: prowess in innovation,<br />
presence in emerging<br />
economies, and the ability to<br />
attract new customers?<br />
With assessments of these<br />
four qualities based on publicly<br />
available information, we ranked<br />
the trajectory of performance<br />
for the leading companies in<br />
the four main sectors in this<br />
industry.<br />
1. Hardware and infrastructure<br />
companies. This sector, which<br />
includes Apple, Hewlett-<br />
Packard, Dell, Cisco Systems,<br />
and Xerox, has traditionally<br />
been the core of the technology<br />
industry. Although their<br />
hardware systems have<br />
often been complementary<br />
(Cisco produces the routers<br />
that connect HP’s printers<br />
to Apple’s tablets and Dell’s<br />
computers), these companies<br />
have long been perceived as<br />
being in the same business.<br />
Now they are striving to build<br />
more differentiated businesses,<br />
branching out into<br />
software and services, while<br />
retaining core businesses<br />
built around ever more powerful<br />
and affordable equipment.<br />
2. Software and Internet companies.<br />
This sector includes<br />
Microsoft, Google, Oracle,<br />
and SAP, and it is positioned<br />
to do well in a highly digitized<br />
world. Some of these<br />
companies are very large,<br />
giving them the strength to<br />
compete successfully in digitization<br />
(and in many cases, as<br />
with Microsoft and Google,<br />
to branch out into hardware).<br />
Others are smaller, but focused<br />
and capitalized enough<br />
to lead the industry. The<br />
small players’ products tend<br />
to be specialized or distinctive,<br />
giving them relatively<br />
protected platforms from<br />
which to expand.<br />
3. IT service providers. Having<br />
established themselves over<br />
the past 30 years as technology<br />
concierges to large- and<br />
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medium-scale enterprises,<br />
these companies offer a<br />
variety of services: hosting<br />
computers and networks,<br />
managing computer applications<br />
such as databases, and<br />
integrating hardware and<br />
software. This sector has<br />
three subgroups, each with<br />
its own business dynamic.<br />
The first is global companies,<br />
such as IBM, Accenture, and<br />
CSC. They have parlayed their<br />
scale into industry leadership<br />
positions. Second is<br />
regional service providers,<br />
such as Atos in France, Logica<br />
in the U.K., and Unisys in<br />
the U.S., which face a more<br />
challenging future. Some<br />
are using M&A to increase<br />
their scale and market share;<br />
for example, Atos bought<br />
Siemens IT Solutions and Services<br />
in 2011, to create what<br />
the announcement called a<br />
“European IT champion.” The<br />
third subgroup consists of<br />
offshore IT service providers<br />
based in India, including HCL,<br />
Infosys, and Wipro. Starting<br />
from a relatively low base,<br />
these companies have shown<br />
the strongest growth of all<br />
the ICT 50 in recent years —<br />
more than 15 percent annually,<br />
even through the global<br />
economic downturn.<br />
4. Telecom operators. Hundreds<br />
of companies bring telecommunications<br />
— a combination<br />
of mobile, landline, Internet,<br />
and television — to homes<br />
and offices around the world.<br />
The most prominent include<br />
NTT, Telefónica/O2, and<br />
Verizon. This sector faces the<br />
largest challenge of the four:<br />
Many companies still have<br />
significant amounts of cash<br />
on hand, but much of it is<br />
being consumed by ongoing<br />
investments in network<br />
infrastructure and in dividend<br />
commitments. And not all of<br />
them are funneling investment<br />
into innovation and<br />
new capabilities, such as IT<br />
services.<br />
Each of these sectors has its own<br />
combination of qualities, with<br />
different competitive strengths<br />
and weaknesses. (See Exhibit 1.)<br />
Despite their differences, however,<br />
all the members of the ICT 50<br />
have one thing in common: They<br />
share a context that has shifted<br />
markedly during the past few<br />
years, and not just because of<br />
the global economic downturn.<br />
Earlier waves of information and<br />
communications technology,<br />
during which businesses fulfilled<br />
their basic needs for connectivity<br />
and computing power, have<br />
effectively run their course. The<br />
two critical infrastructure elements<br />
required for digital media<br />
— computer power and Internet<br />
access — were established in<br />
the 1990s, were rolled out across<br />
the world in the 2000s, and are<br />
now commodities throughout<br />
most industries.<br />
The most recent wave of<br />
digitization began around the<br />
time the iPhone was introduced<br />
(in 2007), and has picked up<br />
speed since 2010. With the basic<br />
infrastructure in place, both<br />
businesses and consumers are<br />
demanding more from software<br />
and services. The mobile<br />
handheld device has become<br />
an all-purpose digital gateway;<br />
employees increasingly demand<br />
to use their own devices for<br />
work, which gives them the flexibility<br />
to mix their personal and<br />
working lives, and the continued<br />
expansion of their personal and<br />
social networks. As digitization<br />
takes hold, the boundaries<br />
between departments — and<br />
between companies — become<br />
looser and more permeable than<br />
they have ever been before. Supply<br />
chains integrate using cloudbased<br />
applications; marketers<br />
aggregate data from online<br />
sources, including social media.<br />
In all these ways, and more,<br />
sophisticated new services have<br />
rapidly and offhandedly moved<br />
into the business world, where<br />
they are disrupting the ICT<br />
market.<br />
The changing nature of the<br />
demand for ICT products and<br />
services helps explain why the<br />
supply side of digitization is in<br />
flux — with more volatility than<br />
at any time since the collapse<br />
of the dot-com bubble in 2000.<br />
The Global ICT 50 study was<br />
designed to provide an analytical<br />
portrait of that volatility. To our<br />
knowledge, it is the first study<br />
to examine enterprise relevance<br />
for all four sectors together. If<br />
some of the rankings seem counterintuitive,<br />
that’s because the<br />
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43
usiness-to-business emphasis<br />
leads to assessments very different<br />
from those of the typical<br />
technology press. For example,<br />
Apple, with its notable success<br />
and high market capitalization,<br />
is ranked below HP and Cisco<br />
Systems. Google is not even included<br />
in the top 10. (See Exhibit<br />
2.) Apple and Google are both<br />
remarkable, extraordinarily capable<br />
companies, but their impact<br />
on corporate ICT purchasing<br />
remains relatively low, no matter<br />
how many iPads or search engine<br />
advertisements are sold. If<br />
you are a CIO or an ICT decision<br />
maker designing your organization’s<br />
approach to digitization,<br />
the companies at the top of each<br />
category are the ones that are<br />
likely to be most relevant to you.<br />
(See Exhibit 3.)<br />
Financial Performance<br />
Where financial performance is<br />
concerned, the ICT 50 analysis<br />
confirms that one prevailing<br />
assumption of the past decade<br />
— “service rules” — no longer<br />
holds true. None of the top five<br />
financial performers were IT service<br />
providers or telecom operators.<br />
The software and Internet<br />
companies Microsoft, Google,<br />
and Oracle had the greatest<br />
overall financial health, followed<br />
by the hardware and infrastructure<br />
companies Apple and Cisco<br />
Systems. (The score combines<br />
several published measures:<br />
profitability, revenue growth,<br />
and investment capability.)<br />
The hardware and infrastructure<br />
sector experienced a slump during<br />
the economic downturn, but<br />
it has recovered since 2010, with<br />
three-year revenue growth of<br />
more than 11 percent. Margins,<br />
however, are comparatively<br />
low, at just 12 percent on average,<br />
and these companies face<br />
tremendous pressure as digitization<br />
expands. This pressure was<br />
highlighted in May 2012 when<br />
Hewlett-Packard announced it<br />
would cut more than 7 percent<br />
of its workforce and reinvest<br />
the savings in cloud-based businesses.<br />
As a whole, the software companies<br />
have the most enviable<br />
financial performance, at least<br />
for the moment. They have<br />
seen overall three-year revenue<br />
growth of more than 10 percent,<br />
and their margins have long<br />
been higher than 30 percent —<br />
higher than those of any other<br />
group. But they may soon face<br />
global rivals among the offshore<br />
service providers, who have by<br />
far the fastest growth rate and<br />
impressive EBIT (earnings before<br />
interest and taxes) margins of<br />
more than 20 percent, on average.<br />
Global service providers are also<br />
doing well; they maintain margins<br />
around 15 percent, and IBM<br />
generates more than US$15 billion<br />
in free cash flow each year.<br />
Regional service providers are in<br />
a more daunting position: With<br />
only mild revenue growth in the<br />
last two years, and margins in<br />
the 5 to 8 percent range, they<br />
may soon find themselves with<br />
little room to maneuver. Telecom<br />
companies are also stressed<br />
financially, but for a different<br />
reason: Comparatively stable<br />
and with relatively high earnings,<br />
they find that their growth has<br />
leveled off since the financial crisis<br />
of 2008 and shows no sign of<br />
renewed liftoff. (See Exhibit 4.)<br />
Portfolio Strength<br />
In the past, each group of ICT<br />
suppliers stayed well within their<br />
closely guarded sector boundaries.<br />
Software companies sold<br />
software, and telecom operators<br />
built communications networks<br />
and sold phone services. The<br />
four groups are still distinct, but<br />
not necessarily for long. Both<br />
traditional and nontraditional<br />
ICT companies are consolidating,<br />
seeking to build integrated<br />
ecosystems that cut across<br />
established business models and<br />
help them manage convergence.<br />
44 December 2012<br />
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The pattern of mergers and<br />
acquisitions provides a tangible<br />
clue to the direction in which<br />
companies are moving. In 2009,<br />
hardware company Xerox<br />
acquired Affiliated Computer<br />
Services, a business process outsourcing<br />
firm, thereby accelerating<br />
Xerox’s shift to IT services.<br />
Dell bought IT services provider<br />
Perot Systems the same year,<br />
with similar intent. Other acquisitions,<br />
like Oracle’s 2010 purchase<br />
of Sun Microsystems, represent<br />
moves toward more complete<br />
software integration (adding<br />
a little hardware to the mix as<br />
well). These types of consolidations<br />
allow software companies,<br />
which were formerly concentrated<br />
on specific applications,<br />
to internalize larger parts of<br />
systems integrators’ traditional<br />
home turf and hold the line<br />
against IT service providers.<br />
Launches of new products<br />
and services also frequently<br />
represent moves across sector<br />
boundaries. (See Exhibit 5.)<br />
Some telecom operators seek<br />
a foothold in cloud computing<br />
and IT services; Verizon’s cloudbased<br />
infrastructure-as-a-service<br />
offering is one example, as is<br />
KPN, which provides application<br />
management services to its customers.<br />
Software and Internet<br />
companies are also innovating<br />
across boundaries, albeit more<br />
selectively. Yahoo, for example,<br />
offers comprehensive Web<br />
hosting but has stayed out of<br />
data center services and desktop<br />
operations.<br />
The companies most likely<br />
to cross boundaries are the<br />
IT service providers. IBM, for<br />
example, offers its Sametime<br />
Unified Telephony service, which<br />
includes telephony features for<br />
individual users and multi-PBX<br />
telephony integration for telephony<br />
managers, and CSC offers<br />
Unified Communications as a<br />
Service as well as My Conference<br />
Space, an integrated audio and<br />
Web conferencing solution.<br />
Besides this ability to manage<br />
convergence, the score reflects<br />
the ability to provide next-generation<br />
products and services.<br />
Many companies are blending<br />
traditional offerings with new,<br />
highly advanced technological<br />
services, including radio frequency<br />
identification solutions for<br />
retail, near-field communications<br />
solutions, cloud computing,<br />
and mobile payment platform<br />
support. Unfortunately, the<br />
profits and growth expected<br />
from next-generation offerings<br />
have not yet materialized. Most<br />
companies still earn more from<br />
classic ICT products and services;<br />
the next few years will tell how<br />
rapidly their customers will shift<br />
to next-generation technologies.<br />
Two other capabilities figure in<br />
the score for portfolio strength.<br />
First is the development of<br />
horizontal digital offerings for<br />
particular functions. Companies<br />
in the ICT 50 offer such special-<br />
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45
ized services as customer analytics,<br />
digital marketing, campaign<br />
management, billing services,<br />
sales-force automation, social<br />
network integration, supply<br />
chain logistics, and e-procurement<br />
to company after company.<br />
Second is the provision<br />
of vertical offerings: tailored,<br />
industry-specific technological<br />
solutions that work across<br />
functions. Current examples<br />
include outsourced network<br />
management for telecom; clinical<br />
information systems, digital<br />
health monitoring, and homecare<br />
products for healthcare<br />
companies; and smart metering<br />
systems for utilities. In both the<br />
horizontal and vertical cases, the<br />
key value proposition appears to<br />
be integration; large companies<br />
are looking for ICT providers that<br />
can weave many diverse services<br />
around a coherent, focused,<br />
interoperable core.<br />
Some might assume that the<br />
industry is moving toward a<br />
consolidated group of comprehensive<br />
“one-stop” ICT<br />
companies with diversified<br />
portfolios. In three categories<br />
out of four, however, the results<br />
suggest otherwise: Companies<br />
with higher levels of coherence,<br />
applying the same capabilities<br />
to all their offerings, have higher<br />
levels of growth and profitability<br />
than do more diversified companies.<br />
The exception, at least to<br />
date, is IT service providers; that<br />
may change as their category<br />
converges and matures. (See<br />
Exhibit 6.)<br />
Go-to-Market Footprint<br />
Commentators often overlook<br />
a company’s geographic profile<br />
— especially its ability to sell and<br />
deliver products and services<br />
in the industry’s top markets.<br />
But this capability is critical to<br />
the success of any ICT company<br />
with global aspirations. That’s<br />
especially evident in the five<br />
most highly developed ICT markets<br />
— the U.S., the U.K., Japan,<br />
Germany, and France. These<br />
countries saw combined sales<br />
of $1.2 trillion in 2011, more than<br />
60 percent of total global sales<br />
of ICT services. Being proficient<br />
in sales and delivery in these<br />
markets certifies the ability of<br />
ICT players to satisfy the needs<br />
of the largest corporations. And<br />
these markets offer a source of<br />
revenue and a profit pool that is<br />
too big to be ignored.<br />
The offshore IT service providers<br />
are pushing hard to establish a<br />
foothold in these markets, which<br />
have not necessarily been their<br />
natural operating environment<br />
in the past. Tata Consultancy Services<br />
already has more than 600<br />
employees in Germany alone.<br />
We expect to see more aggressive<br />
investment and acquisition<br />
activities by these companies,<br />
which will increasingly compete<br />
(or form strategic partnerships)<br />
with regional IT service providers.<br />
The go-to-market footprint score<br />
also takes into account the ability<br />
to manage production facilities<br />
around the world, drawing<br />
on inexpensive labor, as well as<br />
“follow the sun” delivery (where<br />
a project is handed off daily from<br />
one time zone to the next, thus<br />
providing 24-hour scheduling).<br />
This type of global production<br />
is particularly challenging for<br />
many telecom operators. They<br />
are bound to their local markets<br />
by their existing infrastructure<br />
investments, which severely<br />
limits the efficiencies they can<br />
gain in other locations, and<br />
by the inherent complexity of<br />
combining offshore and onshore<br />
operations. Telecom companies<br />
also face more regulatory restrictions<br />
than the other sectors. This<br />
explains a striking correlation in<br />
the data for telecom operators:<br />
The more offshore activity they<br />
engage in, the less profitable<br />
they are.<br />
The opposite is true for IT service<br />
providers. The more their<br />
operations move offshore, the<br />
higher their profitability. Regional<br />
IT service providers may<br />
feel some disadvantage; they<br />
lack the capabilities and capital<br />
to break into emerging markets.<br />
But the offshore providers<br />
are already familiar with many<br />
emerging markets, and they<br />
have been able to realize savings<br />
from lower workforce costs.<br />
Global providers also do well on<br />
this score; they have established<br />
successful production facilities<br />
(and the requisite talent practices<br />
to staff them) around the<br />
globe. Companies such as IBM,<br />
with delivery centers worldwide,<br />
and Capgemini, whose workforce<br />
is distributed among 40<br />
countries, are significantly more<br />
profitable than those whose<br />
production takes place primarily<br />
in high-wage countries. (We<br />
saw little or no correlation effect<br />
with the other two groups,<br />
presumably because hardware<br />
and infrastructure companies,<br />
and their software and Internet<br />
counterparts, have more flexible<br />
geographic and labor requirements.)<br />
Growth Potential<br />
For a digitization provider, the<br />
prospects for growth are as important<br />
as current-day financial<br />
performance. The growth potential<br />
score is heavily weighted<br />
by each company’s ability to<br />
innovate: to maintain an active<br />
pipeline of new ideas and bring<br />
them to market successfully.<br />
The most visible ICT 50 innovation<br />
leaders are found in two<br />
of the four sectors: software<br />
and Internet companies, and<br />
hardware and infrastructure<br />
companies. These companies<br />
typically spend a considerable<br />
portion of their revenues on<br />
research and development,<br />
and even those that spend well<br />
below their group average, most<br />
notably Apple, tend to spend<br />
their innovation dollars wisely.<br />
In addition to investing in its<br />
traditional devices and components<br />
business, Fujitsu spends<br />
almost half of its $2.8 billion R&D<br />
budget on IT products, solutions,<br />
and services. And Xerox has<br />
invested considerable funds in<br />
its Computing and Information<br />
Services Laboratory, where it<br />
investigates scalable computing<br />
for business process solutions<br />
and big data analytics.<br />
By contrast, most of the IT<br />
service providers do not have<br />
the margins needed to invest in<br />
46 December 2012<br />
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R&D at high rates, and (with the<br />
notable exception of IBM) their<br />
innovation takes a more modest<br />
form. They see themselves as<br />
integrators, continually researching<br />
ways to link the products<br />
and services produced by other<br />
companies. As for the telecom<br />
operators, they continue to<br />
spend much of their funds on<br />
recurring infrastructure and<br />
network upgrade commitments,<br />
limiting the amount of capital<br />
available to innovate in more<br />
value-added services.<br />
The growth potential score also<br />
reflects each company’s ability<br />
to enter new markets — both<br />
within established geographies<br />
(such as selling to small and<br />
midsized enterprises or governments)<br />
and in new regions.<br />
Notwithstanding their current<br />
importance to the go-to-market<br />
footprint score, the five most<br />
highly developed ICT markets<br />
grew just 1 percent on average<br />
over the past three years, and<br />
their long-term growth prospects<br />
are not particularly strong.<br />
The BRICs (Brazil, Russia, India,<br />
and China), on the other hand,<br />
currently account for only $186<br />
billion in ICT sales, but they grew<br />
13 percent on average per year<br />
from 2009 to 2011. By 2020, the<br />
BRICs will be markets in which<br />
every ICT player must operate.<br />
Predictions and Prescriptions<br />
For companies buying ICT<br />
services, the convergence of<br />
the ICT 50 promises to be very<br />
exciting. As the ICT 50 companies<br />
compete across boundaries,<br />
winners will emerge that are<br />
more innovative, more responsive<br />
to customers, and able to<br />
deliver more at lower costs. But<br />
how should the different sectors<br />
position themselves?<br />
In general, the hardware and<br />
infrastructure companies have<br />
demonstrated relatively strong<br />
financial performance, with a<br />
well-developed go-to-market<br />
footprint and robust growth<br />
potential. Their greatest priorities<br />
should be finding a business<br />
model that works for them<br />
and increasing their portfolio<br />
strength. Much will depend on<br />
how well these players capitalize<br />
on the next generation of<br />
on-demand services. They will be<br />
the providers of the underlying<br />
infrastructure that enables realtime<br />
computing, in-memory processing,<br />
and more; they will also<br />
need to forge differentiated,<br />
profitable offerings by acquiring<br />
or partnering with connectivity<br />
and network providers. Apple<br />
is currently developing a closely<br />
guarded closed-service ecosystem,<br />
but other, more open<br />
system approaches may also be<br />
viable. New types of challengers,<br />
such as Amazon, will probably<br />
enter the ICT 50 soon; Amazon’s<br />
Web services business is built on<br />
a highly flexible, scalable data<br />
center and computing infrastructure.<br />
The telecom operators<br />
boast consistently high financial<br />
performance and a strong<br />
portfolio of critical communications<br />
products and services, but<br />
their core business is maturing<br />
and faces commoditization. To<br />
sidestep this, they must expand<br />
their go-to-market footprint<br />
through acquisitions or strategic<br />
partnerships, push for operational<br />
excellence and efficiency<br />
within the constraints imposed<br />
by physical network assets and<br />
local regulation, and develop<br />
a truly differentiating portfolio<br />
of services that will take them<br />
beyond their traditional telecom<br />
offerings. Some companies,<br />
notably Verizon and NTT, with<br />
their strong cloud offerings,<br />
are beginning to make these<br />
moves. But after paying for the<br />
next generation of network<br />
infrastructure, they have limited<br />
funds for further innovation,<br />
and their growth potential is<br />
constrained. They may seek additional<br />
partnerships or mergers<br />
as a vehicle for growth.<br />
The strength of the IT service<br />
providers varies, depending on<br />
their size, financial performance,<br />
and go-to-market footprint. In<br />
the short term, consolidation<br />
within this sector will continue<br />
— as demonstrated by CGI’s<br />
recent acquisition of Logica.<br />
Market share and scale alone,<br />
however, will not differentiate<br />
these companies or guarantee<br />
profitability; the firms will need<br />
to bolster their growth potential<br />
through innovation and stand<br />
their ground in competition<br />
against the other ICT 50 sectors.<br />
The changing nature of system<br />
integration will keenly affect<br />
them; as custom-integrated enterprise<br />
software solutions lose<br />
ground to prepackaged cloudbased<br />
solutions and as software<br />
players absorb some of the<br />
traditional system integration<br />
business, IT service providers will<br />
need to build portfolio strength<br />
by developing their integration<br />
capabilities.<br />
Many offshore IT service companies<br />
are already moving in this<br />
direction. They are using their industrialized<br />
delivery capabilities<br />
and low-labor-cost advantages<br />
to compete against such global<br />
players as IBM, Accenture, and<br />
HP. They will seek aggressive<br />
expansion into the lucrative markets<br />
of mature economies; the<br />
challenge for them will be to do<br />
so while remaining true to their<br />
low-cost, offshore roots.<br />
Finally, the software and<br />
Internet companies on the ICT<br />
50 are financially sound and<br />
highly innovative, with generally<br />
strong portfolios and a great<br />
deal of growth potential. They<br />
should expand, but only into<br />
areas that differentiate them.<br />
Microsoft, Oracle, and SAP are in<br />
a strong position today, and they<br />
are working hard to stay there.<br />
But “digital native” players<br />
are pushing aggressively into<br />
the arena, especially in cloud<br />
computing and social media.<br />
Expect digital-centric players<br />
such as Google to move up in<br />
the software ranks, and look<br />
for more cloud-based software<br />
companies to follow older<br />
firms like Salesforce.com into<br />
prominence.<br />
In most industries, it takes a long<br />
time for companies to change<br />
the way they operate. But many<br />
members of the ICT 50 have<br />
already shown themselves to be<br />
fast-moving and flexible. Next<br />
year, when we look again at the<br />
industry, we suspect that much<br />
will have changed; we may well<br />
see 10 newcomers among the<br />
ICT 50. But the biggest winners<br />
will undoubtedly be those that,<br />
like IBM, Microsoft, and Oracle<br />
(this year’s top three), combine<br />
flexibility with a distinctive core<br />
identity that no one else can<br />
duplicate.<br />
December 2012<br />
www.teletimesinternational.com<br />
47
Europe should choose<br />
future-proof broadband NOW!<br />
Karin Ahl<br />
President of the Board<br />
FTTH Council Europe<br />
Internet, broadband and<br />
next-generation information<br />
and telecommunications are<br />
the pillars upon which Europe<br />
will be built. We must make<br />
the right decisions today<br />
in order to create a futureoriented<br />
Europe. The EU can<br />
come out of the current crisis<br />
as a strong player on the<br />
global telecommunication<br />
and broadband services<br />
market, but getting there is<br />
challenging. Strong leadership<br />
is required to support decisionmakers<br />
in their choice for the<br />
only future-proof broadband<br />
access solution: Fibre to the<br />
Home!<br />
FTTH Council Europe is aware<br />
there is a long and difficult<br />
road ahead. Let me give you an<br />
example of what we’re facing<br />
today. The local government of<br />
Lower Austria - the country’s<br />
largest federal state with<br />
over 1.6 million inhabitants -<br />
recently sent a letter to rural<br />
municipalities, informing them<br />
that their broadband will be<br />
upgraded with the ‘latest<br />
wireless technology’, allowing<br />
‘up to 8 Mbps in downstream’.<br />
This means 5 million euros of<br />
public money will be spent<br />
on a technology that doesn’t<br />
even support the European<br />
Commission’s lowest Digital<br />
Agenda for Europe 2020 target!<br />
This is a prime example of<br />
how decision-makers across<br />
the European Union deal with<br />
ICT and broadband. Since<br />
the European Commission<br />
published the Digital Agenda<br />
(DAE) in 2010, there are voices<br />
that say the broadband targets<br />
are ambitious. But given the<br />
ambitions and plans of strong<br />
economies outside Europe, the<br />
targets are merely appropriate,<br />
or even low.<br />
After two years of escalating<br />
crisis, Europe’s governments<br />
and decision-makers are<br />
questioning the DAE targets,<br />
to delay steps and bring down<br />
targets, instead of facing the<br />
challenge and leading Europe<br />
into a competitive future. Let’s<br />
subject their main arguments<br />
to a reality check:<br />
There is no market evidence<br />
that higher speeds are needed<br />
Financing networks is not<br />
possible Europe has more<br />
urgent problems than<br />
broadband<br />
No evidence?<br />
Many larger operators admit<br />
Fibre to the Home is the ‘end<br />
game’ solution, yet claim that<br />
there is no proof of broadband<br />
demand. The FTTH Council<br />
Europe has investigated takeup<br />
rates of fibre networks that<br />
have existed for several years.<br />
The result? Consumers WILL<br />
subscribe to high-speed fibre<br />
products, even at a premium<br />
price. Take-up is a question of<br />
time and consumers who have<br />
experienced high bandwidth<br />
and quality of services are<br />
very loyal. However, many<br />
Europeans mistrust advertised<br />
bandwidth as studies show<br />
huge differences between<br />
promised ‘up to’ speeds and<br />
what is actually delivered.<br />
When someone tells you<br />
‘nobody will need 100<br />
Mbps in the next 10 years’,<br />
consider this: a century ago,<br />
governments claimed there<br />
was no evidence that more<br />
cars would ever be sold, and<br />
therefore no need for more<br />
roads. In 1958, IBM CEO Tom<br />
Watson stated “there is a<br />
world market for about 5<br />
computers”. Back in 1981,<br />
Bill Gates claimed that “no<br />
personal computer will ever<br />
need more than 640 kB of<br />
memory”.<br />
Just ten years ago, consumers<br />
didn’t know about HDTV on<br />
demand, big-screen LCD-TVs,<br />
tablets, smartphones, online<br />
business or digital cameras. The<br />
first 4k devices, with four times<br />
the resolution of HDTV, will be<br />
on sale in time for Christmas<br />
this year. European consumers<br />
will soon be demanding<br />
services widely available in<br />
many other parts of the world,<br />
but operators won’t be able to<br />
deliver.<br />
Impossible financing?<br />
A significant – albeit solvable<br />
– challenge is the investment<br />
size and lack of infrastructure<br />
project financing. We’ve<br />
conducted several studies on<br />
this topic and set up a special<br />
‘financing of fibre networks’<br />
project to support making<br />
funds available.<br />
Many studies look at the<br />
European or national level<br />
and come up with terrifying<br />
figures - but without publishing<br />
the underlying model, making<br />
verification impossible.<br />
Therefore, FTTH Council Europe<br />
started its own ‘cost project’.<br />
Instead of extrapolating rough<br />
cost estimations, our model<br />
is based on bottom up cost<br />
calculations of existing fibre<br />
projects and real geographical<br />
information data.<br />
The surprising result: delivering<br />
fibre to nearly all European<br />
households will cost (less<br />
than) half of many other<br />
cost estimations, at just over<br />
200 billion euros! (Germany<br />
alone spent over 80 billion<br />
euros on telecommunications<br />
infrastructure over the last 10<br />
years...)<br />
Furthermore, over the last 18<br />
months, pension funds, institutional<br />
and private investors<br />
and regional investment banks<br />
have started examining the<br />
possibilities and making investments.<br />
A special ‘Investors Day’<br />
during the February 2013 FTTH<br />
Conference in London will<br />
bring investors and fibre projects<br />
even closer together. In<br />
addition, the European Union’s<br />
‘Connected Europe Facility’<br />
(CEF) in the 2014-2016 budget<br />
foresees 7 billion of a total of<br />
9.2 billion euros for broadband.<br />
Innovative financing tools and<br />
private-public-partnership models<br />
will leverage a much higher<br />
investment from this budget.<br />
More urgent matters than ICT?<br />
Although 9.2 billion isn’t that<br />
much compared to the total<br />
1,000 billion European Union<br />
budget, the CEF is under heavy<br />
attack. Decision-makers in several<br />
countries question even<br />
the smallest budget reservations<br />
for broadband, preferring<br />
to invest in streets, railways or<br />
airports - even though there’s<br />
already an infrastructure budget<br />
proposal four times larger<br />
than the CEF.<br />
48 December 2012<br />
www.teletimesinternational.com
du launches in-house contest at<br />
the UAE’s 41st National Day<br />
Ahmad bin Byat<br />
During the celebrations of<br />
the UAE’s 41st National Day,<br />
du launched an in-house,<br />
interdepartmental contest.<br />
Under the theme ‘Proud of the<br />
UAE’s culture’, the competition<br />
encouraged du employees<br />
to decorate their division to<br />
demonstrate their patriotism<br />
and pride in the UAE. The<br />
contest falls under the<br />
umbrella of du’s National Day<br />
initiatives, which aim to spur<br />
national pride amongst people<br />
in the UAE.<br />
Each department within du<br />
demonstrated its creativity and<br />
research talent, by decorating<br />
designated chill out areas,<br />
desks – and even themselves<br />
– to reflect a unique element<br />
of Emirati culture. Entries were<br />
judged on the educational<br />
element of their feature,<br />
based on new information<br />
shared about the UAE; the<br />
creativity of their decorations,<br />
and the levels of participation<br />
amongst team members. “The<br />
‘Proud of the UAE’s culture’<br />
competition brings together<br />
every member of staff into<br />
a unified commemoration<br />
of the things we are most<br />
proud about in our country.<br />
Emirati culture is unique and<br />
something to be celebrated<br />
by itself. We encourage others<br />
across the nation to devise<br />
unique, creative ways to<br />
demonstrate their admiration<br />
of the country,” said Ahmad<br />
Bin Byat, Chairman, du.<br />
du presents Aviation Business Awards 2012<br />
Reka Sepsy<br />
At a recently held ceremony,<br />
du, presented Emirates Flight<br />
Catering with the Technology<br />
Implementation of Year award,<br />
Qatar Executive with the<br />
Business Aviation Operator<br />
award, and Emirates Aviation<br />
College with the Training and<br />
Education Provider of the<br />
Year award at the Aviation<br />
Business Awards 2012. The<br />
awards recognised the stars of<br />
the aviation industry for their<br />
dedication and achievements.<br />
“On behalf of my colleagues, I<br />
would like to congratulate all<br />
of the winners at the Aviation<br />
Business Awards 2012, and wish<br />
them every business success<br />
in the years to come. Aviation<br />
is a core sector and more so in<br />
the Middle East region, which<br />
in a short span of time has<br />
become an aviation hub and<br />
home to world’s best known<br />
brands in this sector. The<br />
awards are a well-deserved<br />
recognition of the innovation<br />
and ingenuity of the companies<br />
and their high standards of<br />
service excellence,” said Farid<br />
Faraidooni, Chief Commercial<br />
Officer, du.<br />
The event was attended by<br />
senior members of the du management<br />
including John Lincoln,<br />
Vice President - Enterprise<br />
Marketing Segment, among<br />
others. As a leading provider of<br />
telecommunications services<br />
for the aviation sector, du has<br />
a portfolio of business services<br />
that enables the sector to excel<br />
and achieve its goals.<br />
December 2012<br />
www.teletimesinternational.com<br />
49
Deepshri Iyer<br />
Frost & Sullivan:<br />
Regulatory compliance to be one of the key drivers of the Enterprise<br />
Security Market in the Middle East<br />
With consumers and enterprises<br />
accessing more and more<br />
applications through the<br />
Internet globally, the computing<br />
industry is witnessing a<br />
paradigm shift. Enterprises are<br />
rapidly adopting and deploying<br />
applications and new services to<br />
gain operating efficiencies. As<br />
modern-day businesses become<br />
increasingly information-centric<br />
in the Middle East with changing<br />
technology trends, effective<br />
management of information<br />
security risks is of paramount<br />
importance for decision<br />
makers. To overcome this rising<br />
complexity of associated threats<br />
such as intellectual property,<br />
identity theft, unauthorised<br />
access, service interruption, and<br />
breakdown of internal controls,<br />
a shift in focus is necessary<br />
from threat management to risk<br />
management. To address these<br />
challenges, Frost & Sullivan<br />
will be hosting the Middle East<br />
Enterprise Security Summit<br />
2012 on 21st November, at<br />
Habtoor Grand Beach Resort,<br />
Dubai, U.A.E. This summit aims<br />
to convene the best minds in<br />
Enterprise Security under one<br />
roof to create an interactive<br />
milieu for exchange of<br />
knowledge and ideas.<br />
With the increased adoption of<br />
bring-your-own-device (BYOD),<br />
cloud and computing trends<br />
in business, the need for user<br />
based security has become even<br />
bigger. The adoption of these<br />
technologies has challenged the<br />
traditional security architecture,<br />
which has been unable to tackle<br />
increasingly sophisticated<br />
attacks in the Middle East. Also,<br />
due to increasing penetration<br />
of global companies in the<br />
region and Governments plans<br />
to spend more on security<br />
technologies, there has been a<br />
growing need amongst public<br />
and private sector companies<br />
to enhance their security<br />
infrastructure with IT becoming<br />
a critical component in their<br />
operational setups. Through<br />
this summit, Frost & Sullivan will<br />
address these emerging and<br />
continuing threats to Enterprise<br />
Security, as well as brainstorm<br />
on the innovative best practices<br />
in the increasingly competitive<br />
Enterprise Security sector to<br />
combat the increasing risk of<br />
security breaches and data<br />
leakage, cyber warfare, data<br />
center security, and more in the<br />
Middle East.<br />
Andy Baul Lewis,<br />
Director, Information and<br />
Communication Technologies<br />
Practice, Middle East and North<br />
Africa, Frost & Sullivan states,<br />
“The changing Enterprise<br />
landscape and paradigm<br />
shift in communications to<br />
collaborative technologies,<br />
coupled with increased Internet<br />
penetration and information<br />
sharing, network threats are<br />
making organisations review<br />
their security policies. Also, with<br />
the Government spending on<br />
IT, the Middle East Network<br />
Security market is expected to<br />
grow over the next five years,<br />
thereby opening up huge<br />
opportunities for vendors to<br />
identify and tap.”<br />
The key areas of discussion<br />
at the Summit would<br />
include Information Security<br />
Management, Evolving Role<br />
of the CIOs, Protecting IT<br />
Infrastructure from Future<br />
Threats, Efficient and Effective<br />
ways to protect Data and<br />
Applications, Ways to Manage<br />
Security Gaps in an Enterprise<br />
and Bridging the gap between<br />
Security and Operational<br />
Efficiency.<br />
NEC strengthens measures against cyber attacks<br />
on government offices and businesses<br />
NEC Corporation has established<br />
a new company structure,<br />
the “Cyber Security Factory”<br />
(CSF), for strengthening<br />
its support of the deployment<br />
and operation of solutions that<br />
protect against cyber attacks<br />
on government offices and<br />
businesses. CSF solutions are<br />
expected to be available in<br />
Japan in 2013.<br />
In recent years, there are a<br />
growing number of organizations<br />
and individuals who have<br />
lost confidential and personal<br />
information through targeted<br />
cyber attacks. Moreover, as<br />
these attacks become more sophisticated,<br />
they also become<br />
more difficult to detect, which<br />
slows the implementation of<br />
counter measures and allows<br />
the attacks to inflict greater<br />
damage.<br />
In order to expose this threat,<br />
and support the measures that<br />
organizations take against<br />
cyber attacks, NEC already<br />
provides its “Incident Visualization<br />
Solution,” “Targeted<br />
Attack Inspection Service,” and<br />
the “Utra-High-Speed Analysis<br />
Platform: InfoFrame DWH Appliance”<br />
in Japan.<br />
NEC is leveraging this experience<br />
in the development of<br />
decision support systems for<br />
the National Security field<br />
in order to build monitoring<br />
control technologies and to<br />
offer technologies for building<br />
highly confidential network systems.<br />
This has resulted in the<br />
creation of the CSF, a company<br />
structure that horizontally links<br />
the internal departments that<br />
manage security issues. The<br />
CSF allows NEC to provide its<br />
customers with a single service<br />
package that includes the<br />
installation of its cyber attack<br />
counter-measure systems as<br />
well as operational support.<br />
“NEC’s Cyber Security Factory<br />
cooperates with domestic<br />
security companies as part of<br />
analyzing cyber attack information<br />
that is constantly changing,”<br />
said Hironori Takahashi,<br />
National Security Solutions<br />
Division, NEC. “The Factory’s<br />
solutions capitalize on its<br />
structure of accumulated and<br />
shared technologies and knowhow<br />
(cyber test range, *2) in<br />
order to effectively respond to<br />
security related incidents and<br />
unauthorized access.”<br />
50 December 2012<br />
www.teletimesinternational.com
Huawei: Customer experience<br />
The future benchmarking in Telecom innovation<br />
<strong>Teletimes</strong> Report<br />
During Middle East Telco World Summit 2012, company outlines how local service providers can shift focus<br />
from the network to the end user for better quality of services<br />
Huawei, a leading global<br />
information and communications<br />
technology (ICT) solutions<br />
provider, teamed up early this<br />
month with leading telecom<br />
operators and regulators across<br />
the Middle East to illustrate how<br />
a renewed focus on improving<br />
the customer experience will<br />
drive holistic changes in service<br />
marketing & loyalty models<br />
being deployed over the coming<br />
year.<br />
According to Huawei regional<br />
executives speaking at the<br />
recently held Middle East Telco<br />
World Summit, concerns over<br />
the rapid growth of mobile<br />
broadband traffic are encouraging<br />
operators to look not only at<br />
technology upgrades, but how<br />
service packages can be customized<br />
to meet the very specific requirements<br />
of subscribers in the<br />
Middle East. Huawei’s keynote<br />
on ‘Customer Experience Management’<br />
(CEM) showed that<br />
much of these changes shall be<br />
introduced as proactive actions<br />
to improve consumer engagement<br />
and redesign processes<br />
of call centers; enabling service<br />
providers to better measure<br />
and retain the loyalty of their<br />
customers.<br />
“Heightened competition has<br />
certainly encouraged a lot of<br />
innovation on both the services<br />
and infrastructure layer,” notes<br />
Khalid Attia, VP Professional<br />
Services Consultancy at Huawei<br />
Middle East. “Moving into<br />
2013, one of the industry’s core<br />
priorities will be to understand<br />
the multitude of financial and<br />
technical choices that enable<br />
service providers to maximize<br />
benefits and at the same time<br />
differentiate their portfolio from<br />
competitors.”<br />
This is of heightened significance<br />
in the region today as<br />
telecoms services have become<br />
less defined by the types of<br />
technology used and instead<br />
are being benchmarked more<br />
closely to the customer’s actual<br />
quality of service experience on<br />
a daily basis. Huawei believes<br />
that while there are many different<br />
features within the field<br />
of CEM, operators in the Middle<br />
East today can start by magnifying<br />
their focus on three areas<br />
in particular: Retention and<br />
Loyalty, Service Assurance and<br />
Policy Control.<br />
“The industry as a whole must<br />
transform its management style<br />
from one that focuses on the<br />
network to one that focuses on<br />
the user,” adds Khalid. “Getting<br />
closer to the actual experience<br />
of the end users can help the<br />
service providers to expedite<br />
the process of discovering areas<br />
in which performance can be improved,<br />
dramatically increasing<br />
the total value of ownership.”<br />
In line with this approach,<br />
Huawei has been developing its<br />
SmartCare® service solution to<br />
enable service providers with<br />
real-time monitoring and quality<br />
assurance on the user experience.<br />
A strategic component of<br />
Huawei’s professional service<br />
portfolio, the award-winning<br />
service solution has already<br />
been deployed by several tier-1<br />
global operators and is currently<br />
under implementation by many<br />
of the leading service providers<br />
in the Middle East.<br />
In addition to Huawei’s CEM session,<br />
the company was also active<br />
in other forums within the<br />
Middle East Telco World Summit<br />
including the dedicated ‘LTE<br />
Focus Day’ on Day 2. Huawei has<br />
become one of the world’s most<br />
important contributors to LTE<br />
standards and patents whilst<br />
gaining the lead in global LTE<br />
commercialization as the top<br />
ranked brand worldwide with<br />
more than 50% market share.<br />
Now in its 17th year, the Middle<br />
East Telco World Summit was<br />
held in Dubai on December 4 &<br />
5 and is the longest established<br />
and largest annual Middle<br />
Eastern telecoms event. Huawei<br />
was both an Event Partner for<br />
this year’s summit as well as<br />
the Silver Sponsor for the ‘LTE<br />
Focus Day’.<br />
December 2012<br />
www.teletimesinternational.com<br />
51
Tadiran Telecom enhances its offerings in China:<br />
Aeonix, the new UC&C solution,<br />
was approved by the Chinese State Grid Power<br />
Tadiran Telecom, a leader in<br />
communications solutions,<br />
announced that the Chinese<br />
State Grid power has certified<br />
the company’s Aeonix solution<br />
for use in China. Recently<br />
launched globally, Aeonix is<br />
a new, UC&C solution that<br />
consolidates disparate business<br />
applications into a single<br />
communications platform<br />
and is designed to grow and<br />
adapt intelligently to changing<br />
customer needs.<br />
Aeonix’s scalability can extend<br />
customer networks based on<br />
current demand and changing<br />
needs.<br />
Its open architecture allows<br />
customers the flexibility to<br />
buy and install only what they<br />
currently need, and to add<br />
users, remote locations, and<br />
additional applications as they<br />
become necessary, by just<br />
acquiring software licenses.<br />
Aeonix delivers unmatched<br />
versatility, simplicity, and<br />
adaptability for customers<br />
ranging from 10 to 25K users.<br />
“This recognition by the<br />
Chinese State Grid Power,<br />
in one of Tadiran Telecom’s<br />
most important markets, is an<br />
acknowledgment of Aeonix’s<br />
innovative technology and<br />
flexibility. We are looking<br />
forward to working with<br />
this prestigious customer to<br />
implement Tadiran Telecom’s<br />
comprehensive UC&C<br />
technology” said Eldad Barak,<br />
President and CEO of Tadiran<br />
Telecom.<br />
Tadiran Telecom has been<br />
involved with many large<br />
projects in China over the past<br />
few years in vertical markets<br />
such as: Power and Energy,<br />
Subway and Operators. In<br />
the power industry, Tadiran<br />
Telecom is one of the leading<br />
providers for the State Grid<br />
Power and South Grid Power.<br />
Tadiran Telecom’s projects in<br />
China include: Three Gorges<br />
and Moda pipeline, telephony<br />
solutions in Beijing, Daxing<br />
and Yizhuang subway lines,<br />
and the airport express for the<br />
2008 Beijing Olympic Games.<br />
Recent projects include:<br />
Kunming, Chongqing, Chengdu,<br />
Wuhan, Zhengzhou, Harbin<br />
and Changsha subway lines. In<br />
2012 Tadiran Telecom became<br />
a qualified supplier of Beijing<br />
Unicom.<br />
MTN Afghanistan selects AIRCOM International’s<br />
AIQ to improve network performance<br />
Zoe Davies<br />
AIRCOM International, the<br />
leading independent network<br />
planning and optimisation<br />
solutions provider, has been<br />
selected by MTN Afghanistan<br />
to improve the quality of its<br />
network using its AIQ intelligent<br />
optimisation managed<br />
services and consultancy. AIQ<br />
is a managed service solution<br />
that targets the improvement<br />
of network KPIs and network<br />
auditing. Key benefits of AIQ<br />
derive from the state of the art<br />
methodology, data collection<br />
and structure workflow.<br />
MTN Afghanistan’s selection of<br />
AIQ follows an extensive endto-end<br />
network audit carried<br />
out by AIRCOM. In this audit,<br />
AIRCOM comprehensively<br />
examined MTN Afghanistan’s<br />
network performance and<br />
optimisation requirements,<br />
assessing its radio access network,<br />
transmission network,<br />
circuit switching core, billing<br />
system and packet switching<br />
core. This audit was intended<br />
to identify existing network<br />
glitches, with AIQ then recommending<br />
a series of ongoing<br />
techniques to improve<br />
network quality of service,<br />
increase subscriber numbers,<br />
and improve revenues.<br />
AIRCOM will be instrumental<br />
in identifying and resolving<br />
areas of MTN Afghanistan’s<br />
network that might be over<br />
or under-dimensioned. This<br />
will enable the operator to<br />
improve transmission and<br />
RAN quality of service and<br />
maximise spectrum efficiency.<br />
AIRCOM will be able to identify<br />
the bottlenecks affecting<br />
network performance, where<br />
routing can be improved, and<br />
where additional capacity may<br />
be needed. This will reduce<br />
dropped call rates, improve<br />
areas of low signal strength –<br />
especially indoors – and ensure<br />
that roaming revenues are<br />
captured.<br />
“Network performance is of<br />
critical importance in ensuring<br />
we continue to meet our<br />
customer’s growing expectations,”<br />
said Hassan Jaber, CEO<br />
at MTNA. “We’re delighted to<br />
be benefiting from AIRCOM’s<br />
expertise in maintaining the<br />
highest possible standards as<br />
we look to continue to capture<br />
growing market share.”<br />
“MTN Afghanistan is continuing<br />
in its wide-ranging project<br />
to improve and optimise every<br />
part of its network, and we’re<br />
very proud to be part of that,”<br />
said Alwyn Welch, CEO, AIR-<br />
COM. “This is our third major<br />
project in Afghanistan and<br />
we’re very pleased to be extending<br />
our working relationship<br />
with MTN Afghanistan.”<br />
MTN Afghanistan was awarded<br />
the second GSM licence in Afghanistan,<br />
entering the market<br />
in 2006. In July 2012, the company<br />
was awarded a license to<br />
deploy 3G services.<br />
52 December 2012<br />
www.teletimesinternational.com
Comguard unveils irresistible bundle offer<br />
Gulraiz Khalid<br />
Comguard, a Dubai based<br />
leading value added distributor<br />
for IT security products in the<br />
Middle East and North Africa<br />
region and the part of Spectrum<br />
group in association with<br />
gateProtect and Kaspersky Lab<br />
has announced an irresistible<br />
bundle offer for its channel<br />
partners spread across the<br />
Middle East region.<br />
The latest promotional offer<br />
from Comguard brings two of<br />
the best technologies together<br />
and offers an irresistible bundle<br />
for channel partners to gain<br />
maximum value by getting two<br />
products while just spending<br />
for one.<br />
The irresistible bundle deal offers<br />
a free license of Kaspersky<br />
Small Office Security software<br />
suite on every purchase of any<br />
gateProtect firewall. Channel<br />
Partners spread across GCC<br />
and West Asia including UAE,<br />
Qatar, Kuwait, Bahrain, Oman,<br />
Saudi Arabia, Iran and Pakistan<br />
can avail the benefits from this<br />
bundle offer. The offer is valid<br />
till 31st December 2012.<br />
Gateprotect is a leading manufacturer<br />
of Next Generation<br />
firewalls and the only manufacturer<br />
worldwide to implement<br />
the ISO NORM 9241 standard.<br />
The Next Generation Firewall<br />
Appliances fromgateprotect<br />
combine state-of-the-art security<br />
and network features such<br />
as firewalls, bridging, VLAN,<br />
single sign-on, traffic shaping,<br />
QoS, IPSec/SSL (X.509), IDS/<br />
IPS, web filters, virus filters,<br />
real-time spam detection,<br />
HTTPs proxy, and VPN Crypto<br />
acceleration in a single unified<br />
system.<br />
Kaspersky Small Office Security<br />
is exclusively designed for<br />
small businesses. It delivers<br />
highly affordable world-class<br />
PC and server protection that<br />
is quick and simple to install,<br />
configure and use. You can<br />
manage your entire business<br />
network security from a single<br />
PC – performing all the tasks<br />
needed to keep your business<br />
reputation safe and your confidential<br />
information secure,<br />
without leaving your desk.<br />
Kaspersky Small Office Security<br />
takes care of your network’s<br />
Amarjot Dhanjal<br />
protection so you can take care<br />
of your business.<br />
Amarjot Dhanjal, Senior business<br />
development manager at<br />
Comguard, said, “This bundle<br />
offer is in line with our strategy<br />
to encourage our partners<br />
to do more business at good<br />
margins. We expect that this<br />
irresistible bundle deal for<br />
gateProtect and Kaspersky Lab<br />
will help our partners secure<br />
more business opportunities<br />
and gain maximum benefit.”<br />
Comguard releases version 9.2 with application filter for<br />
gateProtect next-generation firewall in the Middle East<br />
ComGuard has announced the<br />
availability of Version 9.2 of<br />
gateProtect next-generation<br />
firewall solution with an<br />
extended set of features. This is<br />
the first time that an application<br />
filter has been integrated in<br />
addition to the latest security<br />
and network features. Version<br />
9.2 will now offer customers<br />
a sustainable solution to cope<br />
with changing conditions and<br />
future challenges in IT security<br />
and data protection, along with<br />
its usual reliable performance,<br />
security and stability.<br />
This upgrade is gateProtect’s<br />
response to the fact that these<br />
days companies must follow an<br />
entirely<br />
different approach to managing<br />
security risks in IT networks.<br />
“Unlike just a few years ago, it is<br />
no longer<br />
sufficient today to filter data on<br />
the basis of ports and protocols<br />
and to block individual pages”,<br />
says.<br />
Stephan Ziegler, CTO at<br />
gateProtect, when explaining<br />
the need for an application<br />
filter. “Next-generation firewalls<br />
must now exercise stricter<br />
control over data packages and<br />
the information provided in<br />
them.”<br />
These days, cyber-attacks are<br />
based on highly specialised<br />
software, with complex<br />
programming, constant<br />
updates and numerous means<br />
of penetrating a company’s<br />
network. Web-based user<br />
programs and social networks,<br />
microblogging and streaming<br />
all offer an ideal target for<br />
malware. This type of software<br />
makes use of the existing<br />
communication structure of<br />
the corporate network or<br />
the architecture of individual<br />
applications and is extremely<br />
difficult to trace.<br />
While URL and content filters<br />
can only prevent or limit the<br />
download of unacceptable<br />
pages and content, application<br />
filters are able to go into more<br />
detail and only block certain<br />
aspects of a service or website.<br />
An application filter records the<br />
data traffic, evaluates it and<br />
analyses the data packages. The<br />
company’s<br />
IT security administrator<br />
compiles rules for the network<br />
environment on the basis of<br />
these results, ensuring that<br />
these rules are in keeping with<br />
corporate policy and are able<br />
to offer maximum protection<br />
against possible attacks.<br />
Amarjot Dhanjal, Senior<br />
business development manager,<br />
Comguard said, “With addition<br />
of application filter to URL &<br />
Content filters, version 9.2 of<br />
gateProtect next generation<br />
UTM firewall will deliver a<br />
most comprehensive security<br />
solutions that can safeguard<br />
businesses against the growing<br />
menace of security breaches<br />
and concerns of in the region.<br />
December 2012<br />
www.teletimesinternational.com<br />
53
Etisalat accompanies media representatives to<br />
visit Huawei in China to keep them updated on the<br />
technology sector<br />
Etisalat UAE has organized<br />
a delegation visit to Huawei<br />
headquarters in China<br />
which included officials<br />
from Etisalat’s Corporate<br />
Communications Department<br />
and a large group of media<br />
representatives from the UAE.<br />
During the week- long visit,<br />
they attended high level<br />
meetings and undertook<br />
various field tours to the<br />
Huawei headquarters and<br />
many of its plants, research<br />
centers and labs. The visit<br />
aimed to view closely the work<br />
details and phases related to<br />
the development of solutions,<br />
services and products that<br />
Huawei provides to the ICT<br />
sector in general and to the<br />
Etisalat network in particular.<br />
Travelling between the<br />
Chinese cities of Shenzhen and<br />
Shanghai, the visiting members<br />
were given exclusive access to<br />
a number of Huawei’s stateof-the-art<br />
global facilities.<br />
Amongst the locations<br />
visited were Huawei’s Global<br />
Headquarters, the company’s<br />
largest global R&D center, as<br />
well as Huawei’s showrooms<br />
featuring the brand’s<br />
subsidiaries. The meeting<br />
with Huawei senior executives<br />
provided an overview about<br />
the company’s plans of<br />
expansion within the Middle<br />
East over the coming years—<br />
focusing on its strategic<br />
partnerships with industry<br />
leaders in the region like<br />
Etisalat.<br />
“This initiative is a significant<br />
part of Etisalat and Huawei’s<br />
close cooperation in<br />
pioneering the world’s most<br />
advanced ICT products and<br />
services, which in turn can<br />
deliver faster and more<br />
accessible telecom services to<br />
our customers across the UAE.<br />
There is no doubt that the new<br />
generation of communications<br />
will have a vital role in<br />
enhancing the development<br />
process in all communities,”<br />
noted Mr. Jaber Al Janahi,<br />
Vice President of Corporate<br />
Communications at Etisalat.<br />
“While the ICT industry is<br />
widely recognized as an<br />
immense driver of national<br />
competitiveness and economic<br />
development, Huawei also<br />
acknowledges that the technology<br />
involved in network<br />
planning has many different<br />
facets. We thus feel that it is<br />
important to work with entities<br />
like Etisalat and the media<br />
to showcase to the public<br />
how innovations happening in<br />
places as far off as China are<br />
interconnected with concurrent<br />
research around the<br />
world, and how these collective<br />
advancements are in turn<br />
delivered to individuals each<br />
and every day,” notes Mr. Leo<br />
Xu, Vice President of Huawei<br />
Middle East. “This is especially<br />
relevant in today’s global<br />
economy where companies<br />
like Etisalat and Huawei need<br />
to stay in constant dialogue on<br />
how new technologies can better<br />
serve users worldwide—regardless<br />
of where the technology<br />
originates. It is best if the<br />
media representatives to have<br />
this direct knowledge in order<br />
to reach the public.”<br />
Over the years Etisalat and<br />
Huawei have set many regional<br />
firsts within the telecom sector<br />
including several in the UAE.<br />
In 2011, Etisalat and Huawei<br />
announced the signing of a<br />
contract to commence deployment<br />
of the region’s widest 4G<br />
LTE network in the UAE, which<br />
was realized last September<br />
and is now expected to fully<br />
cover the nation’s populated<br />
areas within the next two<br />
years. Earlier this year, Etisalat<br />
Academy also signed a memorandum<br />
of understanding with<br />
Huawei to introduce the first<br />
certified LTE training programs<br />
in the region.<br />
Other notable collaborations<br />
include the Arab world’s first<br />
commercial deployment of<br />
a 3G UMTS network in 2003,<br />
the launch of the region’s first<br />
HSPA+ network in 2006, and<br />
the building of the world’s<br />
largest GPON FTTH fiber<br />
network during 2008 in UAE.<br />
The Middle East is one of<br />
the fastest growing regions<br />
worldwide for Huawei with<br />
regional contract sales<br />
across the Middle East in 2011<br />
totaling USD3.22 billion, a 20%<br />
increase from the previous<br />
year. Through the company’s<br />
140,000-plus employees<br />
and 20-plus years in the ICT<br />
field, Huawei has established<br />
end-to-end capabilities across<br />
the telecom, enterprise and<br />
consumer markets which<br />
have been deployed in over<br />
140 countries serving more<br />
than one-third of the world’s<br />
population.<br />
54 December 2012<br />
www.teletimesinternational.com
Nawras installs high speed enterprise<br />
connectivity at GUtech campus in Halban<br />
Nawras has successfully<br />
installed a fibre optic connectivity<br />
solution at the German<br />
University of Technology in<br />
Oman (GUtech) to provide<br />
voice and high speed internet<br />
across the entire new campus<br />
in Halban.<br />
The new voice installation<br />
uses SIP Trunk (Session Initiation<br />
Protocol). This service is<br />
uniquely offered by Nawras in<br />
Oman and gives customers access<br />
to significantly more voice<br />
channels than currently available<br />
through legacy systems.<br />
In addition, it provides capacity<br />
for growth to match future<br />
expansion. The use of a Nawras<br />
Internet Enterprise (NIE) gives<br />
an uninterrupted and secured<br />
internet connection to handle<br />
data requirements.<br />
Vikash Vardhan Sharma, Key<br />
Account Manager at Nawras<br />
Business, said, “This was an exciting<br />
project for Nawras that<br />
required innovative solutions<br />
for the new university campus<br />
as it is situated two kilometres<br />
across rough terrain from the<br />
nearest fibre ring. We installed<br />
a dedicated connection from<br />
the ring to the university which<br />
will ensure fast and uninterrupted<br />
internet access as well<br />
as accommodate unlimited<br />
additional lines. This future<br />
proofs the campus, as a vital<br />
Julie Amann<br />
part of the university’s communications<br />
network.”<br />
Jiji Tom Verghese, Head of IT<br />
department at GUtech, said,<br />
“We are incredibly excited to<br />
have Nawras as our communications<br />
provider. The product<br />
designed and delivered will<br />
benefit both existing and<br />
future students as we continue<br />
to grow as a university with<br />
a diverse range of courses to<br />
meet current trends and interests<br />
in the academic realm.”<br />
GUtech offers a range of postsecondary<br />
courses. The new fibre<br />
optic connection will serve<br />
over 800 students and faculty<br />
across the campus by delivering<br />
the latest technology to<br />
meet their growing communications<br />
requirements.<br />
Nawras has been working<br />
closely with various educational<br />
institutions to support their<br />
communication needs through<br />
customised services and pricing<br />
solutions. The company’s<br />
recent solution to the Ministry<br />
of Education enabled a faster<br />
access to their central web<br />
portal. This gives parents and<br />
students a better web browsing<br />
and data connectivity experience<br />
while enhancing study<br />
support by connecting over a<br />
hundred local schools through<br />
its internet server.<br />
Nawras launches Bulk SMS packages for SMEs with free trial and setup<br />
Nawras, Oman’s customer<br />
friendly communications<br />
provider, has introduced<br />
convenient Bulk SMS services<br />
in a wider range of bundle sizes<br />
specifically to suit the needs of<br />
small and medium sized businesses<br />
(SMEs). Nawras Bulk<br />
SMS now offers customers<br />
cost effective messaging packages<br />
with just 1,000 or 3,000<br />
messages each month and no<br />
setup cost or monthly fee.<br />
The service is now rechargeable<br />
online and provides a<br />
simple and easy online tool for<br />
SMEs to dispatch messages<br />
directly to their own customers.<br />
Businesses can easily<br />
purchase new bundles using<br />
any local credit or internet card<br />
and most debit cards. Customers<br />
can also visit any of the 27<br />
Nawras stores for an immediate<br />
recharge.<br />
Besides the new recharge<br />
channels, Nawras has also<br />
redesigned the web-based<br />
access with many new features<br />
including a Microsoft Outlook®<br />
plug-in which makes sending<br />
an SMS as simple as sending an<br />
e-mail giving more options to<br />
help entrepreneurs grow their<br />
business. Message templates<br />
and groups can be created<br />
and activity reports generated<br />
whenever needed.<br />
Nawras is currently offering<br />
customers the chance to try<br />
the service for free before<br />
buying any SMS credit. After<br />
registering at any Nawras<br />
store, customers get a free trial<br />
and gain access to a dedicated<br />
and secure website where SMS<br />
Bundles can be purchased in<br />
one, three, six or twelve month<br />
packages with messages costing<br />
as little as 3.7 Baisa.<br />
Mohammed bin Jaffar Al<br />
Najwani, Nawras Business Data<br />
and Internet Products Manager,<br />
said, “We have listened<br />
to the requests of our customers<br />
to offer a more versatile<br />
messaging package that ideally<br />
caters for small businesses,<br />
entrepreneurs and home office<br />
ventures.<br />
December 2012<br />
www.teletimesinternational.com<br />
55
PCCW Teleservices receives<br />
5 contact center awards<br />
PCCW Teleservices has swept<br />
five awards at the 13th Annual<br />
Hong Kong Call Centre<br />
Association Awards. PCCW<br />
Teleservices has won two<br />
gold medal awards for Best<br />
Inbound Contact Centre Quality<br />
Assurance Professional<br />
and Best Inbound Contact<br />
Centre of Team Leader<br />
(Southern China), and three<br />
bronze medal awards for<br />
Best Offshore Contact Centre,<br />
Best Contact Centre in Training<br />
& People Development,<br />
A Mexican court has awarded<br />
damages of $2.7 billion (Dh9.9<br />
billion) against Yahoo in a contract<br />
dispute with its former<br />
partners on a directories business<br />
in the country. Yahoo announced<br />
the “non-final” judgment,<br />
saying it believed the<br />
claims against it were “without<br />
merit” and it would “vigorously<br />
pursue all appeals”. The<br />
web company said the case<br />
and Best Outbound Contact<br />
Centre Manager.<br />
The event, organized by<br />
the Hong Kong Call Centre<br />
Association (HKCCA), aims<br />
to recognize the best of<br />
the best within the contact<br />
center industry in Hong Kong.<br />
This is the 12th year in a row<br />
that PCCW Teleservices has<br />
been honored. The judges<br />
from HKCCA recognized<br />
that a PCCW Teleservices<br />
contact center tailored for a<br />
leading online travel agency<br />
Court awardes damages of $2.7 billion against Yahoo<br />
was brought by Worldwide<br />
Directories and Ideas Interactivas,<br />
which in the early 2000s<br />
produced Yahoo! Paginas tiles,<br />
a printed and digital phone<br />
book in Mexico. The two Mexican<br />
companies allege breach<br />
of contract, breach of promise<br />
and lost profits from contracts<br />
relating to the yellow-pages<br />
listings service. The ruling was<br />
made by the 49th civil court of<br />
Ivan Ho<br />
has become a showcase of<br />
offshore account management<br />
implementation. Ms.<br />
Grace Liang, Vice President<br />
of PCCW Teleservices, said,<br />
“The Awards are solid proof<br />
of PCCW Teleservices’ dedication<br />
and edge in providing<br />
world-class solutions that<br />
meet the interaction needs<br />
between our clients and their<br />
customers. We will keep up<br />
the momentum and strive to<br />
offer even better services in<br />
the future.”<br />
Russia drops lawsuit against Telenor over VimpelCom<br />
shareholding<br />
Russia’s Federal Anti-Monopoly<br />
Service has dropped its<br />
lawsuit against Telenor after<br />
the Norwegian firm raised its<br />
stake in Russia based Vimpelcom<br />
early last month.<br />
The dropping of the lawsuit<br />
was expected though after<br />
Vimpelcom’s main shareholder,<br />
Altimo Group raised its<br />
own holding in the company<br />
above Telenor’s last month.<br />
The FAS said that it has<br />
asked the Arbitration Court<br />
in Moscow to reverse the<br />
injunctions it had previously<br />
passed, which will also enable<br />
Vimpelcom to make blocked<br />
dividend payments to its<br />
shareholders.<br />
At the beginning of October,<br />
Telenor increased its holding<br />
in VimpelCom to 42.95%,<br />
compared to Altimo’s 41.85%.<br />
Telenor’s recent decision to<br />
increase its holding in the<br />
company was being opposed<br />
by the regulators who wanted<br />
to see the largest shareholder<br />
remain Russian.<br />
A few weeks later, Altimo purchased<br />
just under 6 percent<br />
of Vimpelcom shares from<br />
Ukrainian businessman Viktor<br />
Pinchuk - raising its stake to<br />
47.85% and giving it effective<br />
control of the company.<br />
Telenor had long argued that<br />
Altimo effectively controlled<br />
the Ukrainian stake anyway,<br />
and the purchase simply formalized<br />
a long held suspicion.<br />
Subject to the court approval<br />
of the request by the FAS to<br />
drop its lawsuit, Vimplecom<br />
will be able to hold its first<br />
shareholder meeting on over<br />
a year next month.<br />
the federal district of Mexico<br />
City. Yahoo declined to comment<br />
beyond its statement.<br />
Worldwide Directories and<br />
Ideas Interactivas could not be<br />
reached for comment. Court<br />
documents relating to the case<br />
are unavailable, and no mention<br />
of it was made in Yahoo’s<br />
most recent 10-! filing, which is<br />
required to list major outstanding<br />
legal risks.<br />
Gegenheimer<br />
joins Zain as CEO<br />
Kuwait’s Zain appointed Scott<br />
Gegenheimer as group chief<br />
executive on Sunday, the<br />
former monopoly said in a<br />
bourse statement, six months<br />
after he quit as CEO of rival<br />
telecom operator Wataniya.<br />
Gegenheimer will start his new<br />
role immediately, Zain said,<br />
replacing Nabeel Bin Salama,<br />
who in October announced he<br />
would step down as group CEO<br />
at the end of his contract in<br />
February 2013.<br />
Gegenheimer joined Qatar<br />
Telecom (Qtel) subsidiary<br />
Wataniya in 2002, became CEO<br />
in 2008 and resigned from the<br />
company in June this year.<br />
Kuwait is a lucrative telecom<br />
market, with its wealthy citizens<br />
heavy consumers of mobile<br />
data, but stiffening competition,<br />
tax changes and a lack of an<br />
independent regulator has<br />
darkened the sector’s outlook.<br />
Zain is the market leader<br />
with an estimated 41 per cent<br />
share of the country’s mobile<br />
subscribers at 2011-end, also<br />
operating in Saudi Arabia,<br />
Sudan, South Sudan, Iraq,<br />
Bahrain, Lebanon and Jordan.<br />
Wataniya is the No 2 operator,<br />
claiming 39 per cent of Kuwait’s<br />
mobile subscribers. It also has<br />
units in Tunisia, Algeria, the<br />
Palestinian Territories, Saudi<br />
Arabia and the Maldives.<br />
Saudi Telecom’s (STC) lossmaking<br />
affiliate Viva is Kuwait’s<br />
third mobile operator.<br />
56 December 2012<br />
www.teletimesinternational.com
Thuraya recognized<br />
as the Satellite Communications Player of the Year award<br />
Industry leading Mobile<br />
Satellite Services operator,<br />
Thuraya Telecommunications<br />
Company, today announced<br />
it was recognized as Satellite<br />
Communications Player of<br />
the Year by the Arab States<br />
Broadcasting Union (ASBU) at<br />
the BroadcastPro Middle East<br />
2012 Awards event held in Dubai<br />
on November 12. Thuraya was<br />
given the award for supporting<br />
Journalism on-the-move and<br />
providing connectivity to those<br />
who are putting their<br />
lives on the line to<br />
report on important<br />
events across the<br />
region.<br />
BroadcastPro Middle<br />
East noted the<br />
significant contribution<br />
of Thuraya’s flagship<br />
product for reporters<br />
in the field, the Thuraya<br />
IP, which is an ultraportable<br />
broadband<br />
terminal allowing<br />
Mini Sree Narayanan<br />
broadcasters to link up<br />
to their studios across<br />
Thuraya’s congestionfree<br />
satellite network<br />
using convenient uplink/<br />
downlink streaming<br />
speed packages.<br />
Thuraya’s Vice President<br />
of Marketing, Mr.<br />
Sanford Jewett,<br />
participated in the<br />
ceremony and accepted<br />
the award on behalf of<br />
the Company.<br />
Shereen Hanafi heads up Corporate<br />
Communications at Thuraya<br />
Thuraya has announced that<br />
Shereen Hanafi has been<br />
appointed Director of Communications<br />
at Thuraya. In<br />
the newly created role, she<br />
reports to T. Sanford Jewett,<br />
Vice President of Marketing at<br />
Thuraya. She is responsible for<br />
the Company’s global communications<br />
strategy including<br />
media relations and corporate<br />
communications.<br />
Shereen brings nearly 15 years<br />
of experience in the fields<br />
of corporate communications,<br />
marketing and product<br />
management in satellite and<br />
telecoms industries. Her prior<br />
roles were with SES, Xantic,<br />
Fenestrae and KPN. During her<br />
9 year tenure at SES, she was<br />
responsible for launching and<br />
raising the Company’s brand<br />
profile, in addition to leading<br />
the team responsible for executing<br />
its marketing communications<br />
activities across media<br />
and enterprise markets in the<br />
Americas, Europe, the Middle<br />
East, Africa and Asia Pacific.<br />
“We welcome Shereen to the<br />
Thuraya Marketing team. This<br />
marks another step to raise our<br />
brand visibility in key market<br />
sectors including Media,<br />
Energy, Maritime, Government<br />
and NGOs.” T. Sanford Jewett<br />
said in a statement. “2013 will<br />
be a year of innovation for<br />
Thuraya, as we are gearing<br />
up for a number of product<br />
launches. We are pleased to<br />
have a seasoned professional<br />
like Shereen on board to create<br />
a strong communications<br />
function that supports our<br />
growth ambitions with<br />
consistent sector and solutions<br />
focus.<br />
Making copies of data – Better media options<br />
Recently I delivered a desktop<br />
with dual boot operating<br />
system options including<br />
Windows and Linux to a client.<br />
I booted windows XP first and<br />
the client asked “Is it Linux?”<br />
probably the Linux GUI made<br />
him consider this. This shows<br />
that that many users do not<br />
need to care about the type of<br />
technology.<br />
The year is 2012. USB drives<br />
are available along with CD/<br />
DVD/DL/BluRay writers. While<br />
writing DVDs, people do follow<br />
a multisession that may cause<br />
loss of files in some cases. USB<br />
is considered as a better option<br />
than multisession.<br />
I have noticed that Windows<br />
machines also do multisession,<br />
and the formats or options<br />
are not transparent. Also the<br />
user is not even informed that<br />
writing multiple times to a CD/<br />
DVD medium shall cause a<br />
multisession to be created. So<br />
here are some suggestions for<br />
users.<br />
Avoid multisession writing as<br />
it is likely to cause data loss.<br />
Make sure your software is set<br />
to close all disks written and<br />
write only once. For RW disks,<br />
you need to format the disk<br />
before writing again. To add<br />
more material to an RW disk,<br />
do the following. Copy data<br />
from the CD/DVD onto the hard<br />
disk. Format the CD/DVD. Add<br />
the old and new data as a new<br />
closed single session. Use USB<br />
Khawar Nehal<br />
media for data which changes<br />
many times.<br />
Hard disks can fail any time and<br />
usually last about 3 years. Data<br />
saved on a CD/DVD may last<br />
about 5 years. The toughest<br />
media for physical survival is<br />
the USB flash drive. Though it is<br />
still not sure how many years a<br />
USB can retain the data.<br />
I would suggest the readers to<br />
take copies of data on USB or<br />
DVDs; it cost a lot less and is<br />
more reliable.<br />
December 2012<br />
www.teletimesinternational.com<br />
57
PTCL celebrates 41st National Day of UAE<br />
H.E. Essa Abdullah Al Basha Al Noaimi (Middle), Ambassador of UAE along with PTCL President and CEO,<br />
Mr. Walid Irshaid (2nd Right) and SEVP Commercial, Mr. Naveed Saeed (1st Right) along with other PTCL<br />
officials at PTCL stall on 41st National Day of UAE.<br />
PTCL holds Annual Sales Conference<br />
Pakistan Telecommunication<br />
Company Limited (PTCL) held a<br />
day long Annual Sales Conference<br />
2012 in Islamabad. Senior<br />
(SEVP) Commercial PTCL, Naveed<br />
Saeed and Senior Executive<br />
Vice President (SEVP) Human<br />
Resources PTCL, Syed Mazhar<br />
Hussain led the conference by<br />
sharing valuable insights and<br />
holding brainstorming sessions,<br />
focusing on improving the processes<br />
and methodologies determining<br />
the customer experience.<br />
“Our people empower our<br />
business by conceiving ideas,<br />
sharing insights, and working together<br />
to create solutions with<br />
a single minded focus i.e. boosting<br />
our customers confidence<br />
for the offered products and<br />
services”, said Senior Executive<br />
Vice President Commercial PTCL,<br />
Naveed Saeed, while chairing<br />
the conference. “Innovative<br />
thinking and out of the box business<br />
ideas are vital to remain<br />
competitive in the ever changing<br />
telecom industry”, he added<br />
further. Themed “It matters not<br />
how far your goal is, but how far<br />
you are ready to go”, the conference<br />
was attended by PTCL’s<br />
countrywide sales management<br />
teams comprising consumer<br />
sales, direct and indirect sales,<br />
corporate sales, contact centers,<br />
one-stop shops, wire-line and<br />
wireless departments.<br />
Aqeel Shigri<br />
PTCL connects<br />
remote<br />
Balochistan<br />
through Vfone<br />
Wireless<br />
Service<br />
As part of its vision to<br />
bring latest Information<br />
and Communication<br />
Technologies (ICT) to<br />
the remotest areas of<br />
the country, Pakistan<br />
Telecommunications<br />
Company Limited (PTCL)<br />
has extended its Vfone<br />
wireless service to isolated<br />
Mekhtar, Bard and Murgha<br />
Kibzai areas of Balochistan.<br />
Part of Loralai region of<br />
Balochistan, Mekhtar, Bard<br />
and Murgha Qibzai areas<br />
are one of the remotest<br />
areas of the country.<br />
PTCL aims to facilitate<br />
the people of the region<br />
with the launch of Vfone<br />
service.<br />
PTCL Vfone has the<br />
country’s largest WLL<br />
coverage and is available<br />
with both prepaid<br />
and postpaid options.<br />
Supported by high-speed<br />
CDMA technology, Vfone<br />
also offers SMS and<br />
internet connectivity at<br />
affordable rates.<br />
“Our vision is to bring<br />
latest telecommunications<br />
infrastructure to every city<br />
and village of Pakistan,”<br />
said PTCL Executive Vice<br />
President (EVP) Wireless,<br />
Omer Khalid. “Provision<br />
of Vfone services in the<br />
area will go a long way in<br />
fulfilling the communications<br />
needs of the people<br />
of Balochistan.”<br />
58 December 2012<br />
www.teletimesinternational.com
ZONG and Huawei establish state-of-the-art<br />
GSM laboratory at NUST<br />
ZONG, the international brand<br />
of China Mobile and Huawei - a<br />
leading global information and<br />
communications technology<br />
(ICT) solutions provider have<br />
established a state-of-the-art<br />
GSM laboratory and training<br />
center at National University<br />
of Science and Technology<br />
(NUST) to liaison with the<br />
telecom industry’s needs by<br />
creating a bridge between the<br />
academia and the corporate<br />
world.<br />
With the expertise of China<br />
Mobile Pakistan and Huawei’s<br />
investment of US$ 1.3 million in<br />
hardware, the GSM laboratory<br />
will be providing exposure<br />
and hands-on experience<br />
of operating high-tech GSM<br />
equipments which can be<br />
used as platform for further<br />
Research and Development<br />
(R&D) for Value Added Services<br />
(VAS).<br />
This lab is to be used for study<br />
purposes; the lab is a complete<br />
telephone network including a<br />
GSM mobile infrastructure with<br />
one MSC, one BSC and one<br />
BTS, HLR and media gateway.<br />
The lab will also provide the<br />
platform for development of<br />
software, tools and patches<br />
to remove discrepancies.<br />
It will familiarize students<br />
(From 3rd left) Chinese Ambassador to Pakistan Mr. Liu Jian; Eng. Mohammed Ashar, Rector, NUST;<br />
Dr. Fan Yunjun, CEO, ZONG and Geng Simeng, CEO, Huawei and (1st left) Dr. Arshad Ali, DG-SEECS.<br />
with the fault, configuration,<br />
security, network performance<br />
management of telecom<br />
infrastructure.<br />
Dr. Fan Yunjun, CEO, ZONG<br />
said that the GSM lab created<br />
by ZONG is a fundamental<br />
part of their corporate social<br />
responsibility as helping<br />
young people access quality<br />
technological education<br />
will lay the foundation of<br />
cultivating talent necessary for<br />
the advancement of industry<br />
and development in Pakistan.<br />
Speaking at the launch Chinese<br />
Ambassador to Pakistan Mr. Liu<br />
Jian said “I am pleased to learn<br />
that ZONG has initiated such a<br />
marvelous project to help the<br />
talented students accomplish<br />
their goals. And with Huawei’s<br />
laudable investment of 1.3<br />
million dollars, I am confident<br />
that this lab is furnished with<br />
the latest technology where<br />
students will be able to gain<br />
experience related to practical<br />
application of communication<br />
standards.”<br />
He further added, “Moreover,<br />
ZONG’s and Huawei’s efforts<br />
do not only represent<br />
promotion of technological<br />
education; they also symbolize<br />
the commitment of China<br />
to Pakistan.” ZONG is China<br />
Mobile’s first venture outside<br />
of China. China Mobile has<br />
made the largest investment<br />
among all the Chinese<br />
investment in Pakistan and<br />
is considered an emissary of<br />
friendship between Pakistan<br />
and China.<br />
<strong>Teletimes</strong> Online Survey Report<br />
Government control inhibit the growth of<br />
Internet innovation?<br />
This month’s online survey inquired the respondents to tell us<br />
If they believe that ‘Government control inhibit the growth of<br />
Internet innovation?’ results show that 45% of the respondent were<br />
of the view that Government control does restrict innovation over<br />
the Internet while the rest said it doesn’t.<br />
Yes 45%<br />
No 50%<br />
Don’t Know 5%<br />
December 2012<br />
www.teletimesinternational.com<br />
59
Telecom infrastructure specialist Flexenclosure opens<br />
new office in Islamabad<br />
Flexenclosure, a specialist<br />
developer of intelligent<br />
power management systems<br />
and modular data centres<br />
for the telecom industry has<br />
announced the opening of a<br />
new office in Islamabad. The<br />
new office will serve Pakistan<br />
and Central Asia and is fastgrowing<br />
Flexenclosure’s<br />
fourth new office in 2012, after<br />
Gurgaon, India, Lagos, Nigeria,<br />
and Dubai, UAE.<br />
Flexenclosure has made<br />
great inroads in Africa and<br />
Asia with its award-winning<br />
power management solution<br />
eSite and its energy efficient<br />
modular data centre eCentre.<br />
Driven by the need for<br />
intelligent, green, advanced<br />
energy efficient solutions<br />
to power base stations,<br />
Flexenclosure’s solutions have<br />
become sought after by global<br />
mobile operators looking for<br />
reliable green solutions to<br />
lower their operating expenses<br />
and reduce their dependency<br />
on diesel fuel to power base<br />
stations.<br />
eSite is a power solution for<br />
off-grid and unreliable grid<br />
base station sites that cuts<br />
diesel-related costs by up<br />
to 90 percent. Powered by<br />
renewable energy sources<br />
or the grid and a backup<br />
genset, eSite can deliver a 90<br />
percent reduction in diesel fuel<br />
consumption, CO2 emissions,<br />
and energy related OPEX<br />
compared to traditional diesel<br />
based systems.<br />
eCentre is a complete, prefabricated,<br />
modular solution<br />
to house and power data and<br />
telecom equipment. Optimised<br />
for energy efficiency and<br />
low total cost of ownership,<br />
eCentre is specifically designed<br />
to be fast to deploy and fully<br />
future proof.<br />
The new office in Islamabad,<br />
Pakistan, will cover Pakistan<br />
and Central Asia. In Pakistan<br />
alone, there is a market of at<br />
least 35,000 telecom towers,<br />
of which majority are without a<br />
reliable grid connection.<br />
“Central Asia is a region with<br />
severe challenges related to<br />
power generation,” said David<br />
King, CEO, Flexenclosure.<br />
“Pakistan is a country with<br />
a growing telecom market,<br />
but the gap between power<br />
generation and power<br />
requirement is widening at<br />
a phenomenal rate, with<br />
demand for electricity<br />
increasing faster than the<br />
power companies’ ability to<br />
generate it. In Afghanistan<br />
about 70 percent of the base<br />
station sites are off-grid and<br />
most of the on-grid sites<br />
have highly unreliable grid<br />
connections.”<br />
“So the challenges are huge,<br />
and this is where eSite and<br />
eCentre fit in perfectly. eSite,<br />
with its ability to power base<br />
stations in areas off the grid or<br />
with unreliable grid, can help<br />
mobile operators reach target<br />
groups that would otherwise<br />
have been uneconomical to<br />
serve.”<br />
Flexenclosure already has<br />
experience working in<br />
Pakistan and the company has<br />
previously deployed thousands<br />
of telecom site solutions to<br />
Pakistan alone. Establishing<br />
an office in Islamabad gives<br />
the company a stronger focus<br />
on the region and ensures<br />
that it is present in all relevant<br />
markets for its eSite solution.<br />
Flexenclosure’s new office<br />
is located in the Islamabad<br />
area F-6/1. It will be headed<br />
by Nadeem Chaudry, who<br />
will lead Flexenclosure’s<br />
sales efforts in Pakistan and<br />
Central Asia. Mr. Chaudry has<br />
previously held managerial<br />
positions in the telecoms<br />
industry with Malaysian data<br />
services company Dancom,<br />
and Acision, world leader<br />
in text messaging software<br />
selling into the telecom sector.<br />
“A local office is important to<br />
show our customers that we<br />
are serious in our commitment<br />
to deliver reliable and sustainable<br />
power solutions in the region.<br />
This is another important<br />
step in Flexenclosure’s quest<br />
to become the world leader in<br />
energy economy off the grid,”<br />
concludes Mr. King.<br />
Microsoft has emerging marketplace in Pakistan: Sherif Morsi<br />
Pakistan is important to Microsoft<br />
in the world as there are<br />
huge opportunities in Pakistan<br />
due to huge population,<br />
computer users and significant<br />
developer community, which<br />
shows its plan to introduce<br />
Urdu as a language option on<br />
Windows 8.<br />
This was stated by Microsoft<br />
North Africa, East Mediterranean<br />
and Pakistan Business<br />
Group Lead Sherif Morsi. Microsoft<br />
has lunched Windows 8 in<br />
Pakistan same time it unveiled<br />
it in other part of the world.<br />
Whenever we have upgraded offers<br />
we want to make sure these<br />
are available in Pakistan also so<br />
that consumers here can benefit<br />
from such offers timely.<br />
Pakistan is also big in terms of<br />
PC shipments, which presents<br />
us with a huge opportunity<br />
with current installed base, he<br />
said. The number internet users<br />
are on the rise besides people<br />
are very avid having advanced<br />
laptop, Tablet PCs and Smartphones,<br />
Morsi said.<br />
Microsoft has emerging marketplace<br />
in Pakistan. Microsoft<br />
ensures support to local community<br />
to build local apps. For<br />
this reason, we are engaging<br />
with developers on regular basis<br />
to guide them to develop locally<br />
relevant apps.<br />
Pakistani developers can build<br />
and develop applications for<br />
Windows 8 because the GMaps<br />
developed by a Pakistani developer<br />
has the highest number of<br />
downloads in Middle East and<br />
Africa region. Popcorn Time is<br />
one of the hit movie-based apps<br />
developed by Pakistani developers<br />
and Microsoft anticipated<br />
that more developers in the<br />
country will make the difference<br />
through its platform across the<br />
world. We will be featuring a<br />
lot more apps developed by<br />
Pakistani developers in near<br />
future. The apps are being designed<br />
keeping in mind different<br />
needs of customers worldwide<br />
however Microsoft has made<br />
its priority to develop apps to<br />
be relevant to the local market,<br />
Morsi said.<br />
60 December 2012<br />
www.teletimesinternational.com
How technology can enable a Literate<br />
Pakistan in 24 months – A self experience<br />
Today I tried out Google Now in<br />
English, It is a search software<br />
similar to SIRI on iPhone, that<br />
allows most of the work to be<br />
done via voice. http://www.<br />
google.com/landing/now/<br />
shows an introduction video<br />
on how this works. I think that<br />
in near future this will become<br />
a platform for all commands<br />
on the phone and on the<br />
computer to give instructions<br />
on, and it will allow all other<br />
software’s to connect to it to<br />
take input from and will be<br />
used as a major input source of<br />
command.<br />
After using it for a little while<br />
I remembered how in 1989 I<br />
had made a similar device for<br />
Commodore 64 computer,<br />
where I could say 3 commands,<br />
pre recorded in my voice only<br />
and it will do the action of<br />
changing colors on my screen.<br />
And how in 2000 I had a phone<br />
that allowed me to speak the<br />
name of the person and the<br />
phone will dial the number,<br />
and the amazing part was the<br />
accuracy of the new Google<br />
now input method and how it<br />
was able to understand not just<br />
me but all my family.<br />
When I offered it to my father<br />
he also remembered my 24<br />
year old device and said, how<br />
will it know my voice since<br />
you made it, first I did not<br />
understand, but then now I<br />
realize that he may have been<br />
thinking of the same voice<br />
master made for Commodore<br />
64 by me before.<br />
Thinking of this, I was thinking<br />
that we need to invest time<br />
to make the same system<br />
understand Urdu/Hindi , so<br />
that the 1.5 billion people in<br />
India, Pakistan, Nepal and<br />
Bangladesh who speak the<br />
same language can start<br />
communicating the world and<br />
request the information via<br />
voice.<br />
Then I thought, where will we<br />
find the money to fund this<br />
project? and then I thought<br />
of the USF - Universal Service<br />
Fund. USF is made for creation<br />
of Technology and providing<br />
technology to the masses, and<br />
what better use of it to create<br />
a technology that will allow the<br />
masses computer literate over<br />
night.<br />
Let me Give you some<br />
background on why I think this<br />
is possible, For many years I<br />
have been viewing technology<br />
evolve. I had been saying now<br />
for 1 year that in 3 years prices<br />
of android will be 2000 rupees.<br />
Few days ago, I met the CEO<br />
of Advance Telecom in Karachi,<br />
and he showed me a iPhone<br />
sized Chines phone for 2000<br />
rupees retail price, I asked him,<br />
when can we expect Android<br />
in this, he said 6 to 9 months,<br />
I asked do you think by 18<br />
months it will be a common<br />
device in 2000 rupee with<br />
android inside, and he said yes.<br />
Now remind yourselves that In<br />
Pakistan 200 rupees buy’s you<br />
Zong Unlimited Internet, and<br />
in 18 months 3G or 4G may be<br />
available in similar prices on<br />
the phone. Now Imagine a very<br />
Rehan Allahwalla<br />
poor man, who does not know<br />
how to read and write, but<br />
does know how to view, and<br />
speak, He will pick up his phone<br />
and say “Achi kapaas kaisay<br />
ugaatay gain” and he will get a<br />
Youtube video explaining that<br />
to him?<br />
The only obstacle I see for now<br />
is this voice input software<br />
does not understand Urdu<br />
at this time, and if we can<br />
work with Google to create<br />
an engine that will allow us<br />
to be able to speak Urdu to<br />
the phone, that will change<br />
everything. I certainly believe<br />
that in near future some more<br />
serious work will be performed<br />
on this technology to enable a<br />
more literate Pakistan in next<br />
24 months.<br />
Nokia Pakistan becomes the top brand<br />
on Facebook with 1 million fans<br />
Having been launched in February<br />
this year, Nokia Pakistan<br />
Facebook page beats all the<br />
other brands on Facebook to<br />
become the most liked brand<br />
in Pakistan with 1 million fans.<br />
This record achievement<br />
became possible in only a short<br />
span of 9 months.<br />
Nokia entered the Facebook<br />
with a clear strategy to share<br />
interesting information, engage<br />
consumers with the latest<br />
Nokia devices and to make<br />
Nokia experience more fun for<br />
everyone. Soon after Nokia<br />
Facebook page was launched,<br />
it became the fastest growing<br />
brand on the social network.<br />
More than 6 million Pakistanis<br />
are currently using Facebook<br />
and one can safely infer that<br />
majority of them are Nokia users<br />
and fans. With its Facebook<br />
page, Nokia Pakistan aims to<br />
connect with its millions of fans<br />
in Pakistan on a more personal<br />
level. Nokia Pakistan has today<br />
become the most happening<br />
Facebook page with exciting<br />
games and activities that give<br />
everyone a chance to win and<br />
stay updated with the latest<br />
that Nokia has to offer on:<br />
http://www.facebook.com/<br />
NokiaPakistan.<br />
“We are thoroughly pleased<br />
with the growing excitement<br />
around Nokia Pakistan on<br />
Facebook. For us, achieving 1<br />
million fans of our Facebook<br />
page is a proof that Nokia<br />
<strong>Teletimes</strong> Report<br />
continues to deliver an<br />
exceptional communications<br />
experience to consumers. It<br />
also reflects the fact that Nokia<br />
has been able to successfully<br />
connect with Nokia fans across<br />
Pakistan on a personal level,”<br />
said Haseeb Ihtisham, head of<br />
marketing, Nokia Near East.<br />
With so much buzz around<br />
it, Nokia Pakistan Facebook<br />
page has evidently become the<br />
iconic social media brand in<br />
Pakistan.<br />
December 2012<br />
www.teletimesinternational.com<br />
61
Global Telecom events 2012-13<br />
December 2012<br />
Cloud Middle East<br />
04 - 05 Dec - Dubai, UAE<br />
Middle East Com<br />
04 - 05 Dec - Marriot Magquis Hotel, Dubai<br />
Digital TV Summit 2012<br />
04 - 05 Dec - London, UK<br />
MVNO Industry Summit Middle East<br />
04 - 05 Dec - Dubai, UAE<br />
6th Pakistan Microfinance Forum<br />
05 Dec - Karachi, Pakistan<br />
China Carriers Forum 2012<br />
06 - 07 Dec - Shanghai, China<br />
4th edition of FTTH Council MENA annual conference<br />
12 - 13 Dec - Doha, Qatar<br />
India Telecom 2012<br />
13 – 15 Dec – New Delhi, India<br />
January 2013<br />
OPASTCO’s 50th Annual Winter Convention<br />
05 - 09 Jan - Kauai, HI<br />
Convergence India 2013<br />
16 - 18 Jan - New Delhi, India<br />
Wireless Symposium<br />
16 - 18 Jan - San Antonio, TX<br />
PTC conference<br />
20 - 23 Jan - Honolulu Hawaii, USA<br />
Customer Experience Management in Telecoms<br />
21 – 24 Jan - London, UK<br />
Big Data Monetisation in Telecoms<br />
22 – 24 Jan - Venue to be confirmed, UK<br />
WHIR Networking Event<br />
24 Jan - TX, USA<br />
Smart Metering and Grids Cyber Security Summit 13<br />
24 - 25 Jan - London, UK<br />
Alaska Telephone Association Winter Conference<br />
27 - 30 Jan - Ka’anapali, HI<br />
WDM Asia 2013<br />
28 - 30 Jan - Singapore, Asia<br />
APAC WDM and Next Generation Optical Networking<br />
28 - 30 Jan - Singapore, Asia<br />
Roaming MENA 2013<br />
29 - 30 Jan - Dubai, UAE<br />
DECT & CAT-iq World 2013<br />
29 - 30 Jan - Barcelona, Spain<br />
TelecomFinance 2013<br />
30 - 31 - Jan - London, UK<br />
CDN Asia 2013<br />
29 - 30 Jan - Singapore<br />
February 2013<br />
World Summit Award 2013<br />
03 - 05 Feb - Abu Dhabi<br />
LTA Annual Convention<br />
06 - 08 Feb - New Orleans, LA<br />
Mobile Number Portability Forum 2013<br />
11 - 12 Feb - Dubai, UAE<br />
TELSA<br />
17 - 19 Feb - Riyadh, KSA<br />
STO Europe 2013<br />
18 - 20 Feb - Aberdeen, UK<br />
FTTH Council Europe<br />
19 - 21 FEb - London, UK<br />
APRICOT<br />
19 Feb - 1 Mar - Shangri-la Hotel, Singapore<br />
Mobile World Congress<br />
25 - 28 Feb - Barcelona, Spain<br />
62 December 2012<br />
www.teletimesinternational.com
March 2013<br />
Cable Congress 2013<br />
5 - 7 March - London, UK<br />
MENA ICT Forum 2013<br />
06 - 07 Mar - Dead Sea, Jordan<br />
COMTEL<br />
10 - 13 Mar - Las Vegas, NV<br />
Cards and Payments Africa<br />
11 - 13 Mar - Johannesburg, South Africa<br />
CABSAT 2013<br />
12 - 14 Mar - DWTC Dubai, UAE<br />
IT & Software Excellence Awards 2013<br />
13 Mar - London, UK<br />
IT Leaders Africa Summit<br />
13 - 14 Mar - Johannesburg, South Africa<br />
OFC/NFOEC<br />
17 - 21 Mar - Anaheim, CA<br />
Cyber Security UAE Summit 2013<br />
18 - 19 Mar - Dubai, UAE<br />
Broadband MEA 2013<br />
19 - 20 Mar - Marriott, Marquis - Dubai<br />
COMEX 2013<br />
25 - 29 Mar - Muscat<br />
TV Connect 2013<br />
19 - 21 Mar - London, UK, Europe<br />
April 2013<br />
Western Telecom Alliance Spring Meeting<br />
07 - 10 Apr - Las Vegas, NV<br />
CONNECT 2013<br />
09 - 11 Apr - Karachi, Pakistan<br />
International ICT Expo<br />
13 - 16 Apr - Hong Kong, China<br />
4th Telco Cloud Summit<br />
15 - 17 Apr - London, UK<br />
Big Data in Telecoms 2013<br />
15-17 Apr - London<br />
Caspian Telecoms 2013<br />
18 - 19 Apr - Intanbul, Turkey<br />
Telecom Cloud Services Summit 2013<br />
22 - 24 Apr - London, UK<br />
FTTx Summit Europe 2013<br />
23 – 25 Apr - Berlin, Germany<br />
Telecom CEM World Congress 2013<br />
23 - 24 Apr - Grand Connaught Rooms, London<br />
TD-LTE Summit<br />
23 - 24 Apr - Singapore<br />
Telecoms Regulation Forum 2013<br />
23 - 24 Apr - Venue TBC<br />
Transport Networks for Mobile Operators 2013<br />
23 - 25 Apr - Hotel Russell, London<br />
4G World India<br />
25 - 26 Apr - Delhi, India<br />
Data Center World<br />
28 April - 02 May - Las Vegas, NV<br />
May - June 2013<br />
LTE MENA 2013<br />
13 - 14 May JW, Marriott, Marquis - Dubai<br />
The Mobile Show ME-2013<br />
14 - 15 May - Dubai, UAE<br />
QITCOM Exb. & Conference<br />
14 - 16 May - Qatar<br />
IIR Telecoms Critical Communications World<br />
21 - 24 May - Paris, France<br />
KITEL 2013<br />
28 - 30 May - Almaty, Kazakhstan<br />
WDM & Next Generation Optical Networking 2013<br />
17 - 20 June - Grimaldi Forum, Monaco<br />
Hosting Con<br />
17 - 19 June - Austin, TX<br />
CommunicAsia 2013<br />
18 - 21 June - Singapore<br />
December 2012<br />
www.teletimesinternational.com<br />
63
Teletoons<br />
Download at 20%<br />
Download at 85%, nearly there I<br />
just hope this storm doesn’t knock<br />
out the modem.<br />
#%&@!!!<br />
Didn’t you get the memo about<br />
the paperless office of the future?<br />
I did! I’m making copies<br />
for everyone right now!<br />
I’m going to<br />
give you some<br />
tablets...<br />
Do they run<br />
on android?<br />
Mobile data is so cheap now, I<br />
need something extra to keep<br />
them coming here.<br />
64 December 2012<br />
www.teletimesinternational.com