5G IS SO AST CENTURY CONNECTIVITY 5G IS SO LAST CENTURY Presented - PowerPoint PPT Presentation

“5G IS SO LAST CENTURY”. THE CASE FOR SERVICES 5G IS SO AST CENTURY CONNECTIVITY 5G IS SO LAST CENTURY Presented By: Zunaid Bulbulia 24 October 2017 Presented by Zunaid Bulbulia Presented on 24 October 2017

GAME PLAN – By the end of this presentation, we will have covered: 1. How the Telecoms landscape has changed 2. The power of service innovation 3. A practical example 4. The key characteristics of the service innovation model 5. Replicating and improving the model 6. Other Service models in the Huge Group

Huge Group Limited The Good Old Days

Huge Group Limited Technology Driven Land Grab: particularly in Africa

Huge Group Limited Technology is expensive – those with deep pockets made the money

Huge Group Limited A vicious cycle – those making the money could afford to keep investing

Huge Group Limited Moore’s Law (and the Chinese and their innovative finance) have made technology affordable

Huge Group Limited Technology neutrality has now arrived

Huge Group Limited No-one is able to differentiate on the basis of access to technology any longer

Huge Group Limited And more players means more competition and this is decimating margins

Huge Group Limited In the frantic rush to own infrastructure, a gap has been left in the services space

Huge Group Limited Services Innovation is the 6G

Huge Group Limited In fact, we are coining a new phrase at Huge. The next evolution from 5G is Services G

Huge Group Limited Let’s not be theoretical – let’s use a real example

Huge Group Limited Let me introduce you to the Huge Group One of the principal operating subsidiaries is: It was founded in July 1993 (23 years old). We have recently acquired a Fintech/Payments business (Huge Connect) and an ISP (Huge Networks)

Huge Group Limited What do we do? Huge Telecom is a mobile telephony services business Our key proposition is the substituting of fixed-line voice infrastructure (aka copper) with mobile solutions.

Huge Group Limited What is the nature of our mobile solutions? Huge Telecom does not own core network infrastructure… Rather, it leverages off the existing mobile operator networks in South Africa Unlike a public switched telephone network (PSTN) like Telkom, Huge Telecom uses GSM to provide a wireless ‘last mile’ connection from the customer’s premises to the core of a mobile network

Huge Group Limited What is the nature of our mobile solutions? VS

Huge Group Limited A PSTN last-mile

Huge Group Limited Our GSM last-mile

Huge Group Limited Who are our customers? From the simple SOHO …to the elaborate

Huge Group Limited Who are our customers? From the residential home …

Huge Group Limited Who are our customers? …to any office… …that uses a PABX…

Huge Group Limited How many customers do we have? We have in excess of 15 000 customers, comprising corporate organisations (of any size) and residential customers who require a fixed location voice service Our equipment is located at over 15 000 sites We have over 35 000 installed telephone lines

Huge Group Limited What differentiates our telephony service? Not only is our telephone service a substitute for the fixed land-line telephone services provided by Telkom (comprising 3.2 million telephone lines at the last reporting date) but it is also: More Cost Effective Easier to Install Cheaper to Maintain

Huge Group Limited What differentiates our telephony service? The last-mile connection from the core of the mobile operator network to the customer’s premises is a single - variable solution, operating in a static ecosystem, with only one possible point of failure The Solution has been created as a Plug, Play, Walk Away Solution

Huge Group Limited How do we go to market?  We have over 600 resellers (Business Partners)  PABX vendors  Office Automation vendors  IT vendors  Security Services vendors  PAY TV vendors  Over 3 000 sales personnel as our feet on the street

Huge Group Limited Examples of Voice Only success stories – Who says Voice is dead? Granite Telecommunications – A US based company It has amassed 1.4 million analogue telephone lines (44% of Telkom’s telephone lines) in 14 years Revenue for FY2016 is expected to be $1.25bn (R17.5bn) It employs 1 500 people http://www.bizjournals.com/boston/blog/techflash/2015/1 1/exclusive-quincys-granite-plans-to-hire-hundreds.html

Huge Group Limited So, what are the key characteristics?

Huge Group Limited Cosy up to the big infrastructure players

Huge Group Limited Find a niche in the market and become obsessed with owning it

Huge Group Limited Don’t pick a fight with the biggest dog in the junkyard

Huge Group Limited Whip your people into a frenzy on the service ethic

Huge Group Limited Don’t kill the antibodies that keep you alive?

Huge Group Limited Richly reward those who add value

Huge Group Limited Always own the customer – never compromise this

Huge Group Limited Shorten the sales cycle

Huge Group Limited If it works, do it again – and improve on it

Huge Group Limited What does Huge Connect do? Huge Connect is a mobile payment solution company, established in 2004, which provides connectivity to the card payment terminals accredited by the commercial banks in South Africa for use by merchants It makes use of secure dual SIM Card connectivity over GSM data networks – this fits perfectly with Huge Group’s investment theme of ‘Connectivity’

Huge Group Limited What is the nature of the Huge Connect solution?

Huge Group Limited What is the nature of the Huge Connect solution? Mostly merchants …but it has also expanded into other market segments by providing connectivity to ATMs, integrated points of sale, medical script verifications, telemetry applications, micro lending institutions and cash vaults

Huge Group Limited What does Huge Network do? Huge Networks is a network service provider and data communications company …it sells a variety of products and services, including Internet data services, managed network solutions, branch connectivity, hosting services and website and system development…

WE COVERED: 1. How the Telecoms landscape has changed 2. The power of service innovation 3. A practical example 4. The key characteristics of the service innovation model 5. Replicating and improving on the model 6. Other Service models in the Huge Group