Empresa Nacional De Telecomunicaciones S.a. · BCS:ENTEL
Empresa Nacional De Telecomunicaciones — Entel — Investor Day (December 2017)
29 slides from Empresa Nacional De Telecomunicaciones's investor day presentation, December 2017
Slide 1: Investor's day
Investor’s day Entel – corporations VP December 2017
Slide 2: Market context and trends; Opportunity in digital transformation; Company strategy
Market context and trends Opportunity in digital transformation Company strategy
Slide 3: Market context and trends
Market context and trends Opportunity in digital transformation Company strategy
Slide 4: The company currently serves all major firms in the country
Market context and trends The company currently serves all major firms in the country Clients Verticals Revenue (US$m) Competition 2017 US$ 352m Finances 586 Services 71,8m (20,4%) MOBILE 52,6% holdings Government Mining 109,8m QUINTEC (31,2%) IT 20,2% 2.360 Manufact. Commerce companies
Slide 5: Main growth opportunities come from digital services
Market context and trends Main growth opportunities come from digital services (IoT, Big data, analytics, cybersecurity, etc.) Telco addressable market – comms, IT infra. & outsourcing US$m – large companies 2017 - Chile 2.588 2.600 CAGR 15’-21 2.400 2.271 2.200 2.012 2.000 1.775 1.800 1.618 Digital
Slide 6: Traditional IT & outsourcing services also present healthy revenue growths
Market context and trends IT infrastructure & outsourcing + EUS But Traditional IT & outsourcing services also present healthy revenue growths Market size and growth - IT infrastructure & outsourcing services US$m – large companies 2017 - Chile 546 CAGR 15’-21 550 504 500 463 450 425 207 Professiona
Slide 7: Leadership represented through infrastructure investment and high value clients
Market context and trends IT infrastructure & outsourcing + EUS This leadership is also represented through our investment in infrastructure and the high value of our current clients Available datacenter space in Chile x1000 m2 - 2017 - Chile 40 Major Entel’s clients by service Other providers 36,8
Slide 8: Opportunity in digital transformation
Market context and trends Opportunity in digital transformation Company strategy
Slide 9: Digital transformation is a core topic for businesses worldwide
Opportunity in digital transformation Growth and IT development are a continuous priority, which has turned the digital transformation into a core topic for businesses worldwide Source: Gartner 2017
Slide 10: Internet-based services are the fastest growing in the Telco addressable market
Opportunity in digital transformation Internet-based services are the fastest growing in the Telco addressable market, representing already a 8% of the total Market size: comms, IT outsourcing & digital services Market growth: comms, IT outsourcing & digital services US$bn 2016 - worldwide % of annu
Slide 11: Within digital services, cloud and IoT are the most relevant for growth
Opportunity in digital transformation Digital services And within digital services, cloud and IoT are the most relevant in terms of growth generation Market size and growth - digital services US$m – large companies 2017 - Chile 1.800 CAGR 15’-21 1.618 1.600 77 Big data analytics +15,6% 1.349 169 Cyb
Slide 12: Opportunities in a multi-cloud offer; hybrid cloud most popular
Opportunity in digital transformation There are interesting opportunities in a multi-cloud offer, being hybrid cloud providers the most popular among large companies Cloud service preferences – large companies Evolution in cloud adoption – large companies % of preferences by type 2017 - worldwide %
Slide 13: In Chile, the cloud market is also growing at an attractive pace
Opportunity in digital transformation In Chile, this market is also growing at a very attractive pace 600 Cloud market size and growth 569 CAGR 15’-21 US$m 2017 - Chile 550 106 Professional services +18,4% 500 475 450 89 397 400 154 Public cloud +11,2% 350 332 75 Note: this growth is expected to 138
Slide 14: Space for a local player to become a hybrid cloud provider
Opportunity in digital transformation Private and public cloud providers have not yet integrated their offers, leaving space for a local player to become a hybrid cloud services provider through partnerships Cloud market share % 2016 - Chile Public cloud providers Private cloud providers Source: Hua
Slide 15: In IoT, there are interesting opportunities for different verticals
Opportunity in digital transformation In IoT, there are also interesting opportunities for different verticals… IoT market size by vertical Main solutions developed US$m 2016 - Chile Manufacture & natural resources Manufacture & 86,5 • Predictive • Safety & security natural resources maintenance • R
Slide 16: Many Telcos are moving throughout the IoT value chain
Opportunity in digital transformation …and many Telcos are moving throughout the IoT value chain Telecom providers Electronics providers Software companies Source: Gartner market research 2016, Entel’s market research 2017 16
Slide 17: Company strategy
Market context and trends Opportunity in digital transformation Company strategy
Slide 18: Current portfolio creates opportunity to complement businesses through digital services
Company strategy Our current portfolio generates an opportunity to complement our businesses through digital services, which is a natural next step Entel’s complete services portfolio Mobile Fixed Infra Mgmt VAS Cloud Security IoT Analytics AI/ML Develop. E-Commerce (IaaS, PaaS & SaaS) Comms service
Slide 19: Position to improve offer in digital and value added IT services
Company strategy This is why we are in position to aim at strongly improving our offer in digital and value added IT services… Entel’s complete services portfolio Mobile Fixed Infra Mgmt VAS Cloud Security IoT Analytics AI/ML Develop. Content E-Commerce (IaaS, PaaS & SaaS) Comms services Datacenter
Slide 20: Focusing on creating a digital services platform
Company strategy To accomplish this, we are focusing on creating the following digital services platform: Digital technologies with corporate systems Apps API´s AI External sources of information “the evolution of smart and Big VR AR Identity and security connected products and Data devices – which
Slide 21: 2017 was a successful year: major initiatives deployed
Company strategy 2017 2018 2017 was a successful year for Entel. We were able to deploy the following major initiatives • Cybersecurity o Unique service proposal launched in the market, complementing consulting services, equipment, licenses and applications management o YoY revenue growth of 191% •
Slide 22: 2017 was a successful year: major initiatives deployed
Company strategy 2017 2018 2017 was a successful year for Entel. We were able to deploy the following major initiatives • Cybersecurity o Unique service proposal launched in the market, complementing consulting services, equipment, licenses and applications management o YoY revenue growth of 191% •
Slide 23: Strong cloud portfolio based on partnerships
Company strategy 2017 2018 Particularly in cloud services, we developed a strong portfolio based on the correct partnerships and services complementation, which is unique in the market Entel’s Cloud partnerships 2017 - Chile Entel’s strategy is to generate a hybrid multicloud offer based on security
Slide 24: Complete digital services portfolio based on foreign provider partnerships
Company strategy 2017 2018 But we also created a complete digital services portfolio based on these partnerships with foreign providers Entel’s digital portfolio 2017 - Chile Source: Entel strategy 24
Slide 25: Partnerships for deploying digital services through 2018
Company strategy 2017 2018 Besides cloud, we have also formed partnerships with other providers for deploying digital services through 2018 Entel’s current partnerships Objectives: 2017 - Chile 11. Support the development of innovative projects in digital services 22. Development of a start-ups envi
Slide 26: Focus on key verticals with commercial and technological advantages
Company strategy 2017 2018 In terms of specific solutions, we will focus on key verticals were we have commercial and technological advantages Source: Entel strategy, company’s sites 26
Slide 27: Services to be developed through the new digital unit
Company strategy 2017 2018 Some of the services to be developed through the new digital unit are the following: HEALTH FINANCES CROSS VERTICALS 1. Telemedicine: 1. Fraud: predictive 1. Fraud: reduction in Improve the breath of financial behavior passenger payment deployed solutions (Big data/Analyti
Slide 28: Key success factors through 2018
Company strategy With all this in mind, we will focus on mastering the following success factors through 2018 Strategy summary Key success factors: • Demonstrate a deep knowledge of our clients’ business and of the new Relevant and technologies that will be key for the development of digital solutio
Slide 29: Investor's day
Investor’s day Entel – corporations VP December 2017