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Global Mobile Capex Index

Amp'd stumbles, but the MVNO model will survive

Vivo GSM: It's Showtime

Deciphering the Cost of WiMAX Licenses

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Global Mobile Capex Index
By Pyramid Research

New technologies and changing business models are affecting the capital expenditures of mobile network operators and thus the fortunes of equipment vendors. In a Capex landscape that is evolving faster than ever, and in new directions, it is imperative to know what the main MNOs around the world are doing, how their Capex budgets have evolved, and what plans they have for their budgets and deployments. To provide this information, Pyramid Research has analyzed Capex levels, trends, and drivers for 15 of the leading MNOs globally and created the Pyramid Research Global Mobile Capex Index. Read more
 
Pyramid Premium Analysis

Amp’d stumbles, but the MVNO model will survive

Last week, Amp’d Mobile filed for bankruptcy protection in a US court, becoming the latest MVNO to teeter on the brink of collapse. Amp’d has been one of the most innovative players in the US mobile market, with its push of high-end data services and pricing packages more aggressive than the norm (e.g., $0.99 for music tracks). At the time of the Chapter 11 filing, the company’s user base was estimated at about 200,000, and the average revenue per user was higher than $100, at least 30% of which was generated by mobile data services. Its main creditor is Verizon, its network partner, which Amp’d owes an estimated $33m.
Amp’d Mobile’s bankruptcy filing comes just a year after Mobile ESPN closed shop–-appearing to confirm the demise of the MVNO business model in the US market. Helio may be next, depending how patient its shareholders are.
Read more

Pyramid Prediction: Yet, we do not believe, tempting though it maybe, that the bankruptcy of Amp’d is a sign of an MVNO apocalypse. We argue that it is a mistake to lump Amp’d and Virgin Mobile USA in the same category. The demise of Amp’d is just part of a normal evolution, one in which the excesses of the model are being flushed out to give way to a more realistic model, MVNO 3.0.


Vivo GSM: It’s Showtime
Vivo launched its full GSM network in Brazil on May 13, with a full range of handsets and deep pockets to foster its commercial aggressiveness. Read more

Pyramid Prediction: This has been a much anticipated moment, and the entire market is expecting Vivo to have a say in this GSM battle. Telefónica Móviles has already lost too much ground in Brazil, and even though some say this is a late move, Vivo is due some credit.
 
Pyramid Report Watch

Deciphering the Cost of WiMAX Licenses
By Pyramid Research

Last December, the world's leading telecom equipment manufacturer Ericsson announced that it would halt development of Mobile WiMAX technology, claiming that the technology lacked mass-market appeal. Now, six months later, commercial deployments of WiMAX, both fixed and mobile, continue to move forward, and despite the negative assessment from Ericsson, the technology is growing progressively—but has yet to change the minds and investment strategies of service providers.
Over the past 10 years, regulators around the globe have issued spectrum for broadband wireless access. With the recent releases of both fixed and mobile WiMAX standards, more regulators are auctioning off WiMAX spectrum. However, the patterns are not always uniform, and spectrum pricing can vary from market to market. Most notably, a growing number of operators in emerging and mature markets have recently announced plans to develop WiMAX networks. In addition, Motorola, a proponent of the technology, recently said it supports the development of a WiMAX infrastructure and has almost completely discontinued its 3G research – like Ericsson and some other vendors; Motorola is throwing all its chips in one pile, betting all on one technology.
Read more
Letter from the Editor:

To continue to improve our services, Pyramid Research will rename the Predictions Weekly newsletter to Analyst Insight Weekly next week. Please update your email filters as necessary. Read more
Pyramid Telecom Roundup - Powered by ITI Digest!*

Ericsson and Alcatel-Lucent awarded CMPak GSM contracts

Ericsson AB and Alcatel-Lucent have each been awarded key GSM infrastructure supply and expansion contracts by China Mobile Pakistan (CMPak).
Read the full article in ITI Digest


Vodafone launches HSDPA networks in Hungary and Romania

June 1, 2006 saw Vodafone Group plc subsidiaries launch high-speed wireless broadband networks in Hungary and Romania. These networks are based on high-speed downlink packet access (HSDPA) platforms and are fully-integrated into the third-generation (3G) wireless telecommunications networks of Vodafone Hungary and Vodafone Romania and operate at speeds of up to 3.6Mbit/s. In Hungary, the service is initially available in 40 towns and cities nationwide; in Romania, the service is initially available in 23 cities. Rival operators in both countries already operate HSDPA networks. Read the full article in ITI Digest


Ericsson selected by Vodafone Netherlands to manage core and transport network


Ericsson AB has signed a five-year contract with Vodafone Netherlands for a managed services co-operation. As of June 1, Ericsson has taken over all engineering, implementation, and operational activities of Vodafone Netherlands' multi-vendor core and transport network. As a result, 97 Vodafone Netherlands employees have transferred to Ericsson. The employees are based at the office in Stein, in the South Limburg region, from which Ericsson already performs other activities that were taken over from Vodafone Netherlands in 2006. Read the full article in ITI Digest


Five US operators receive Networx contracts from GSA


AT&T Inc, Level 3 Communications, Qwest Communications International Inc, Sprint Nextel Corporation, and Verizon Communications have been awarded Networx Enterprise contracts by the US General Services Administration. These contracts - which could be worth as much as US$20 billion over 10 years - allow the companies to bid on business tenders issued by more than 130 government agencies and managed under the GSA's Networx Enterprise programme. Previously, the GSA had awarded bidding rights to the Networx Universal contract scheme to four operators, valued at US$48 billion over a 10-year period. Read the full article in ITI Digest


Hutchison Telecom selects NEC's mobile Internet platform


NEC of Japan has received orders for its Mobile Internet Platform (NEMIP) from Hutchison Telecommunications (Hong Kong) Limited (HTHK), which began providing i-mode wireless Internet services in Hong Kong on May 30, 2007.
Read the full article in ITI Digest



Telmex buys second Peruvian cable operator


Teléfonos de México (Telmex) has reportedly acquired Lima-based cable TV operator, Virtecom, making this its second cable TV acquisition in Peru, following its purchase in February 2007 of Boga Comunicaciones, a holding company that owns Cable Express, another Lima-based cable TV operator. Virtecom operates under the Mega Cable brand name. Read the full article in ITI Digest



Nokia Siemens Networks to supply interactive mobile game for Maxis in Malaysia


The Malaysian mobile operator Maxis Mobile Sdn Bhd has commissioned Nokia Siemens Networks to integrate, deliver and host the interactive mobile game "Master of Maya". The game, which will be launched by Maxis in the end of May 2007, is designed to let players use their mobile phones to compete online against each other over Maxis’ mobile network. Read the full article in ITI Digest

Pyramid Predictions Weekly reaches more than 25,000 telecommunications and media professionals each week. We differentiate ourselves from newsletters which simply recycle news by analyzing news and events against our own primary research and providing predictions based upon our views.

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 Research Reports
  Market Positioning and Operator Strategies for IPTV
  WiMAX Business Models
  The Next Billion
  From Triple Play to Quad Play
  Rethinking MVNO and MVNE Economics
  Can Video On Demand Save IPTV?
  The Global Mobile Capex Index
 
 Market Forecasts
  Convergence
  Fixed Operator Marketshare
  Mobile Operator KPI
  Mobile Data
  Fixed and Mobile Operator Spending
  Media