Elections 2009! India's IT, semicon, telecom sectors welcome UPA's victory!

The results of India's 15th General Elections are nearly all out! The people's verdict -- voting Dr. Manmohan Singh and Indian National Congress (INC) led United Progressive Alliance (UPA) to a second successive term!

Undoubtedly, this is a vote for stability, continuity and good governance. It is hoped, the nation will have good governance that can be devoid of external pressures of coalition partners. In some ways, the verdict is a vote in favour of the economic policies of the Indian government leading to continued liberalization as well.

This 'pleasantly surprising' result of India's latest general elections has been welcomed overwhelmingly by leaders in India's IT/ITeS, telecom and semiconductor industries.

Dr. Ganesh Natarajan, vice chairman and CEO, Zensar Technologies and former chairman, NASSCOM, says: "We welcome the results of the election, which are indicative of a stable government at the Centre. In the current global economic environment, it is important that India has a stable and progressive political environment that can focus on long-term policies for the sustainable development of the country, even as it takes decisive steps to immediately put the economy back on a high-growth trajectory.

"The Indian IT-BPO sector is both an engine and a catalyst for the development of the Indian economy and we are confident that the government will continue to partner with this sector for leveraging the benefits of IT for India's domestic economy and through international trade. We also look forward to working with the government to promote inclusive growth and social benefits through the innovative use of IT. It is noteworthy that the biggest electoral process in the world -- the globally-admired Indian elections -- is through the use of EVMs, itself symbolic of the significance of IT for the country."

According to Dr. Pradip Dutta, corporate VP and managing director, Synopsys (India) Pvt Ltd: "There is an element of decisiveness in the election results this time, which bodes well for the industry. An anxiety around a fractured and short-lived coalition has been replaced by a confidence that the new mandate will provide a government capable of delivering sustainable long term benefits for both economy and business."

Jaswinder. S. Ahuja, corporate vice president and managing director, Cadence Design Systems (I) Pvt. Ltd, and former chairman, India Semiconductor Association (ISA), adds: "I am encouraged by the result. It is pro-progress. Also, the fact that Congress has a clear mandate should ensure that they can do the right things and make the bold moves that are needed at this time in order to ensure that India can claim its rightful place on the global stage, unencumbered by the compulsions of a fractured coalition."

N.K. Goyal, president, Communications and Manufacturing Association of India (CMAI), chairman Emeritus, TEMA, chairman, CTIA, and vice chairman, ITU APT India, notes: "The country has given a clear message that it wants development and growth, and has rejected the approach of divide, religion, caste, etc. The long awaited liberalization agenda will get a boost now. The industry is sure that there would be stimulus in economy, growth in manufacturing and sustained policies for economic uplift.

"Infrastructure development will also get encouragement. India's GDP growth will surpass 10 percent within the next three years. The telecom sector will see deeper penetration in rural areas, and broadband will match voice subscribers. We can expect 500 millions Internet connections by 2012."

S. Uma Mahesh, co-founder CEO of Indrion Technologies, points out that UPA's win is attributable to the following reasons:
* Rural support -- unemplyment program (though it had more party orientation), and loan waiver (though it didn't quite address all loaned people);
* Defocussed campaigning by other parties;
* Local factors (like 'poor campaigning', divided votes in AP);
* A 'seasoned-company' like approach by Congress that has to be commended, and the media support (similar for Democrats in US);

He adds: "Now the UPA has a chance of a lifetime -- with no excuses. They should be able to do 'real reforms', and provide 'real governance' over the next four years at least, before getting into elections mode again. This should include -- insurance reforms, labour laws, legal reforms, more liberal FDI, media reforms, and not to forget the rural sector, as well as the infrastructure."

Quite correct! I am very sure that the new UPA government, which should be sworn in quite soon, will take all of the necessary steps to boost India's IT/ITeS, telecom, semiconductor and solar photovoltaic sectors. There are several solar photovoltaic and semiconductor fab proposals that, I believe, need clearance as well.

Bundeep Singh Rangar, chairman, IndusView Advisors Ltd, the India-focused cross-border advisory firm, said in a statement today: "The government will have its task cut out with more than $700 billion worth of investments to be channeled in to India's infrastructure, power, telecom and pharma sectors over the next five years to provide the country a strong foundation to achieve the aspirational growth of 10 percent."

I would really like to see industry folks set their expectations before the new government at the center. If I can play a small role in carrying their messages, it would indeed be an honour!

LSI's first milestone to build ecosystem of world-class networking providers

BANGALORE, INDIA: LSI Corp. today announced the first strategic collaboration in its effort to create a global ecosystem of leading networking technology developers who are committed to accelerating the deployment of wireless, wireline and enterprise networking infrastructure.

Following its February, 2009 announcement of a blueprint for asymmetrical multicore architecture, the collaboration is a key step in the company’s strategy to significantly reduce OEM development time and effort by providing a common platform for seamless integration of components from leading hardware and software suppliers.

Enea, a leading global provider of real-time operating systems for telecom and enterprise applications, is collaborating with LSI to help create the planned ecosystem. Previously, LSI and Enea collaborated to optimize Enea dSPEED software for the LSI StarPro family of multicore media processors. The collaboration will now be expanded to include software solutions for the LSI portfolio of networking multicore processors.

"LSI is a leader in the development of networking infrastructure and multicore communications processors," said Per Akerberg, president and CEO, Enea. "The combination of Enea software and LSI multicore technology will enable a new generation of highly scalable solutions with significant increases in performance and cost efficiency."

Currently, telecom OEMs are required to assemble software and hardware components from many different suppliers in order to create systems that network service providers can easily integrate into their networks.

LSI’s strategy for earlier collaboration with software and hardware providers is intended to result in the development of a set of optimized, pre-integrated and highly scalable platforms that should substantially reduce both the time and cost of delivering next-generation systems to the market.

"We are creating an open, state-of-the-art platform for carrier-class and enterprise networks," said Charlie Kawwas, vice president of marketing, Network Components Division, LSI. "As a result of this strategic collaboration, OEMs should be able to accelerate the delivery of their systems while significantly decreasing development time and system cost."

Asymmetrical multicore architectures allow multiple programmable cores to be aggregated on a single chip, and for the capability of those cores to vary depending upon application and network environment.

Collaborative efforts such as the one LSI is announcing today will enable infrastructure applications to be developed based on the LSI asymmetrical multicore architecture, including deep packet inspection, traffic management, voice and video transcoding, encryption, baseband, control and user plane processing.

Welcome to PC's Telecom Blog!

Welcome to PC's Telecom Blog (http://pctelecoms.blogspot.com)!

Hi friends, I've been thinking about adding a telecom blog to my network for a very long time! The reason being, I started my career in electronics and telecom back in 1989.

I had the privilege of being part of Asian Sources Telecom Products -- a site, which I managed and built, with the help of my team and colleagues at Asian Sources Media, and later, Global Sources. Later, I moved on to Wireless Week, USA, as Asia Pacific Editor for the Asian Edition.

Back in India, I managed Convergence Plus for a short while, before launching four sites for CIOL in 2004 -- Mobility, Networking, Storage and Security.

Given this background in telecommunications, it is apt for me to start a blog on this subject as well. Telecom has been my forte, and well, it is a subject that has also won me four awards in technology journalism, while at Global Sources.

Again, this blog has been spun out off my award winning blog! That blog remains unchanged, and will continue to carry top-quality, world class content!

This blogs will now include specific blog posts related to telecommunications, as well as press releases, industry updates, new products, features, statistics, etc. It will cover wireless, wireline, broadband, networking, optical networking, Test & Measurement, etc.

Thanks for your kind support as always. Suggestions for improvements are always welcome! :)

I listened to you, dear readers -- presenting separate blogs on semiconductors and solar/PV

Ever since I started writing this blog, I've always managed to maintain my affinity toward semiconductors. Publishing and maintaining a semicon blog, especially out of India, is difficult and extremely challenging, and well, suitably rewarding.

Several readers, well wishers and friends suggested that I also start taking in press releases, besides writing my own content! Their logic -- who else can do it better! Wow... I'm really overwhelmed!

So, as always, I have listened to my friends -- my readers and well wishers -- and bow to their request!

Separate blogs on semicon and solar PV
This is just to inform everyone -- readers, friends and well wishers -- that I've rolled out two separate blogs on semiconductors and solar photovoltaics (solar/PV).

1. PC's Semiconductors Blog

2. PC's Solar Photovoltaics Blog

These blogs have been spun out off this very blog, my award winning blog!

Let me make it clear that Pradeep Chakraborty's Blog -- which only has original content, barring a few odd posts, will remain unchanged in quality and nature! It will continue to carry top-quality, world class content! In fact, I will now have to work doubly hard, as I've to try and keep up with all of those press releases :)

For now, these two new blogs include specific blog posts related to either semiconductors or solar/PV from my award winning blog, and other specific blog posts, as well as press releases, industry updates, statistics, etc. I will also add new product announcements, mergers and acquisitions, etc., as and when those happen -- on to both of these blogs.

I am very grateful to my friends for this wonderful suggestion. As and when I roll out my technology portal, I will be having a readymade platform -- of articles and releases to fall back on, and to grow it even further.

I would have loved to announce a further three additional blogs on FPGAs, embedded design and EDA as well. That may happen at a later date. Oh yes, an extra one on chip design trends.

You know what? I have a tremendous liking for telecom -- a major weakness, as well as electronic components, electronics and photonics. Maybe, blogs on these are also in order, well, hopefully, sometime soon!

Thanks for your kind support, dear friends, readers, well wishers and all of those who simply give me a wealth of advice, as always. Suggestions for improvements are always welcome! You all know where and how to reach me! :)

Rolled out Telecoms Blog
PS: Dated April 25th, 2009 -- My friends, I have rolled out a Telecoms Blog after all! Couldn't resist staying away from an industry, which has played such a big role in my development as a technology writer, journalist and blogger.

I look forward to your warm support, as always.

Rolled out Electronics Blog
Urgent PS: Dated April 26, 2009 -- Friends, I have also rolled out a brand new Electronics Blog! This is the area where I first started off as a technology journalist, and later, bloomed, while I was at Global Sources (2005-2006).

I will also try and include as many products and suppliers from the Greater China region, and help you source quality electronics products.

Thanks and look forward to your support as always. :)

Top 10 telecom predictions for 2009: Deloitte

Deloitte recently came out with its TMT (telecom, media and technology) predictions for 2009. Here are some bits from the telecom predictions for 2009. May I also take this opportunity to thank V. Srikumar, partner, Deloitte Haskins & Sells, for sharing this study. Thank you, sir!

1. Smartphones: how to stay clever in the downturn.
Mobile phone manufacturers should focus on developing smart phones features consumers want to use and are willing to pay for. They should work closely with operators to create easy-to-use services based on specific functionality that users value, says Deloitte. Smart phone manufacturers could also consider selling devices as price-competitive replacements for laptops. For some workers a smart phone may address all their communications, connectivity and applications requirements.

2. Data ascends from the basement to the boardroom.
Indeed! Data on customer information has been residing with telcos since ages. It is time now for the telcos to recognize that the data or information assets could become as significant to value creation as physical assets. Deloitte recommends that this customer information be integrated, and not appended or archived. It suggests that telcos should consider how to structure their activities to utilize their full spectrum of information. Having a CIO on the top management team and further, implementing a data governance framework, may become essential.

3. Digital communication loses its message.
In 2009, employees are likely to communicate digitally with each other in more ways, and in greater volumes, than ever before, says Deloitte. However, email may become obscure. The success of instant messaging was based on its greater immediacy and lesser formality. Growth of services like text messaging, has been driven by similar benefits. Companies should consider discouraging email for one day a week. Even not making indiscriminate use of the 'reply-all' function could save them time and money. Also, social networks may find that the best approach is to offer 'white-label' solutions to corporations, advises Deloitte.

4. The joys of disintermediation: why operators should embrace the application store.
According to Deloitte, in 2009, mobile phone users are likely to download over 10 billion applications to their mobile phones. A majority of applications are likely to be sourced from sites managed by mobile device manufacturers, consumer electronics firms and software houses. Although some operators may launch their own application stores38, the majority are likely to see no alternative to allowing their customers to access third parties' stores. As the consumer awareness of mobile applications increases, the number of voice subscribers that add data subscriptions may well rise, boosting revenues. Applications could be used to drive operator loyalty and reduce retention costs.

5. Integration unleashes mobile phone convergence, finally.
Deloitte advises that while mobile handset manufacturers are getting better at convergence, they would still need to proceed with care. They should not assume that the mere addition of more features would guarantee success. Operators should study the consumers' use of converged products in detail. It may help them identify revenue opportunities relating to converged functionality. The mobile phone may soon come to be regarded as the most successful converged product of all time.

6. Farewell mobile phone, welcome the wireless device.
All players in the mobile industry should understand how they are affected, for better or worse, by the emergence of the low-cost, multiple-standard chipset. The business case for the integration of wireless technology into a range of devices may be stronger. Mobile operators should consider their positioning -- whether to remain focused on the provision of long-range cellular mobile standards, or to become the aggregators of multiple wireless standards. Similarly, companies in other sectors should consider what low-cost integrated chipsets could enable.

7. The mobile broadband accident in slow motion.
As per Deloitte's study, data now exceeds voice volume on some mobile networks68, and with data traffic growing by several hundred percent on others, the cost of carrying data traffic could rapidly erode margins. Where possible, operators should try to divert heavy data traffic from cellular networks, and route it via other networks, such as WiFi-hotspots or home-broadband connections, at structured data tariffs. The operators need to focus marketing attention on managing customer expectations. They should examine the business model for mobile broadband carefully as well. With PC manufacturers increasingly integrating mobile broadband connectivity into their devices, diversification may soon be necessary.

8. The third screen goes dark: mobile television loses its reception
Deloite's study points out that everyone involved in the mobile TV industry -- an operator, a handset developer or a creative -- should take a long, hard, look at the demand for mobile television so far. The downturn could be a perfect opportunity to call time on a format that has too many fundamental challenges to work. It does not mean there's no space for mobile TV! Mobile telephony could provide an efficient payment mechanism for VoD -- delivered to the home set-top box, particularly for smaller VoD players. They can also be used to control the DVR. TV broadcasters can use mobile as part of their CRM strategies. Lots can be done, actually!

9. One for all and all for one: fiber networks change the shape of competition.
Shared ownership may reduce fiber's cost and risk, but may also require a new, unfamiliar approach to competition. Telcos and other companies should determine which skills they may need to hire to be able to compete on basis of services, or service levels, alone. Also, fiber-to-the-node (FTTN) or street-side cabinets may provide more than enough capacity for consumer and small business broadband, at a quarter of the cost of fiber-to-the-home (FTTH). Further, governments should complement their commitment to fiber deployment with campaigns to encourage adoption.

10. Mobile termination rates in Europe: a cut too far or a cut too fast?
Mobile operators in Europe, especially, have acknowledged that mobile termination rates (MTRs) must decline. However, 2009 is likely to see them push for a less drastic descent than the EC proposes. Consumer groups should monitor progress very carefully. Operators' knee-jerk reactions to sudden cuts could disadvantage millions of consumers, particularly those on low incomes. It may be better to call for a more moderate approach, from both operators and regulators. The local regulators should consider developing MTR glide paths that respect operators' costs and market conditions.

Wherever you may roam!

I recall editing an article of this name during my days at DiSyCom, way back in late 1994. Those were the early days of cellular/mobile telephony in India. At a seminar on mobility at the Taj Palace in New Delhi in early 1995, I had the first-hand experience to learn what roaming was all about, thanks to a nice gentleman from the ITU.

Today, 13 years down the road, roaming is hardly the subject to discuss. People take it for granted that if they are carrying a mobile phone, they MUST be roaming. Its also one of the safest bets for operators to make money.

I recall, in December 2002, in Hong Kong, some colleagues from India were unable to call home as they weren't on roaming, and I had to lend them my phone to call. On the contrary, I was once stuck in Munich as I wasn't on roaming and couldn't call, and had to seek help from a 'friend' at the airport.

Of course, I've noticed in places across the Asia Pacific, such as Hong Kong, China, Taiwan and Singapore, that people buy local SIM cards in order to save on roaming costs. Even I've done the same on several occasions.

Today, we have come a long, long way as far as mobility is concerned. Soon, video roaming or the ability to make video calls, while roaming, would be upon us. I wonder how people would take to that experience! Also, it'd be interesting to see how the operators charge consumers on video calls and especially, video roaming.