Green Packet Bhd. · MYX:GPACKET
Green Packet Bhd — Investor Presentation (November 2005)
37 slides from Green Packet Bhd's investor presentation, November 2005
Slide 1: The Next Generation Value Networking Company
The Next Generation Value Networking Company
Slide 2: The Next Generation Value Networking Company
The Next Generation Value Networking Company 1)The Market Trend 2)MVNO 3)WISP 4)Best of The Class 5)What is Missing? 6)Green Packet’s Solution
Slide 3: Industry Outlook on Telecommunications
Industry Outlook on Telecommunications Asia’s dot coms 555 significant dot coms community faces have closed down a tough new reality (Webmongers.com 2001) (RedHerring) 1 out of 5 British 3G High Infrastructure, License holders License & Operating will fail (zdnet) Costs for 3G Operators (Gartner 200
Slide 4: Monthly ARPU: Voice Revenue is Decreasing
Monthly Average Revenue Per User (ARPU) Voice Revenue is Decreasing € Portal 80 Telematics Data Access Multimedia Msg Text Msg 60 Video Call Rich Call Voice 40 20 Not to scale Source: Nokia 2000 2003 2005 2007 2009 2011
Slide 5: WLAN vs 3G Bandwidth
Mbps WLAN vs 3G WLANs will always offer 54 better bandwidth than 3G 10 WLAN 3G only adds BANDWIDTH incremental performance 1 in reach-bandwidth WLAN tradeoff 3G 0.1 WLAN EDGE GPRS GPRS 0.01 3G GSM REACH In the Hot Spots Cities Suburbs, Countryside Developing Entire Office Central Towns Countries Pla
Slide 6: Hybrid Networks – The Future
Hybrid Networks – Nomura Equity Research, 2001 ~ The Future “In our view, developments in the Internet space, particularly in the 2.4GHz and 5GHz Frost & Sullivan, 2001 ~ unregulated spectrum used by wireless LAN “The fast rollout of …… pose a grave threat to 3G revenue wireless LAN access forecasts
Slide 7: Landscape of Convergence
Landscape of Convergence APPLICATIONS AND CONTENTS AOL, MTV Networks, Yahoo, MSN GLOBAL IP MOBILITY 3G WLAN WCDMA 2.5 G CDMA2000 BLUETOOTH DSL, GSM IP, FNOs, CABLE, 2G GPRS, MNOs, BBFW IT, CDMA 1X ISPs, GSM, CDMA, MNOs, MVNOs FNOs, DATACOM TDMA WISPs ISPs FNOs, MNOs MVNOs ISPs INTERNET PROTOCOL (IP)
Slide 8: Proliferation of Hybrid Wireless Data Devices
Proliferation of Hybrid Wireless Data Devices 30 Mil laptops shipped in 2001 (Fortune) 13.6Mil handheld smart devices shipped in 2000; - 70.9Mil in 2005, CAGR of 39% - Higher CAGR of 60% in Asia/Pacific (IDC) Microsoft launch of Pocket PC2002 & Phone Edition Nokia launch Combo WLAN/GPRS Combo PCMCIA
Slide 9: MVNO
MVNO ¾ A mobile operator that does not own its own spectrum and usually doesn’t have its own network infrastructure but has business arrangements with traditional mobile operators to buy minutes of use (MOU) for sale to their own customers.
Slide 10: Types of MVNO
Types of MVNO Source: BWCS Classic Enhanced Enhanced Reseller MVNO Service Reseller Provider Has own switching center Yes No - - Issues own SIM cards Yes Sometimes - - Repackages operator’s SIM cards No Sometimes - - Has own network codes Sometimes Sometimes - - Own branding Sometimes Sometimes - -
Slide 11: Typical Mobile Network Operator & MVNO Cost Structure
Typical Mobile Network Operator & MVNO Cost Structure Source: BWCS USD on a per Average Best Case Worst Case subscriber basis General & Administration Airtime Cost 234(65%) 252 (60%) 210 (70%) Network 30 % 25 % Handset Subsidy 100 75 125 Retailer Commission 40 25 60 Other Marketing & Product 45 40 5
Slide 12: Critical Success Factors for MVNOs
Critical Success Factors for MVNOs ¾ Own brand. ¾ Own customer relationships. ¾ Close relationships with their Mobile Operator partners. ¾ Explicit access or interconnect rights to Mobile Operator networks. ¾ Independence from the Mobile Operator in terms of technology platform switching, service de
Slide 13: MVNO Revenue Strategies
MVNO Revenue Strategies ¾ Target high-end market niches. ¾ Engage in service-based competition by customization ¾ Gain a deep understanding of the services and marketing that appeal to the target niche. ¾ Differentiate service offerings.
Slide 14: Classification of WISPs
Classification of WISPs (Wireless Internet Service Providers) ¾ A WISP is an ISP that allows subscribers to connect to a server using medium-range wireless links. ¾ Offers broadband service and allows stations to access the Internet from anywhere within the zone of coverage provided by the server an
Slide 15: Mobile Carrier WISPs
Mobile Carrier WISPs • A mobile operator that also offers Wireless LAN Internet access. • Largest WISP category. • Preferred locations include hotels, airports and convention centers. • Telia HomeRun (Sweden) • Sonera wGate (Finland) • VoiceStream (Germany / US). Advantages Disadvantages Good market
Slide 16: ISP WISPs
ISP WISPs • The ISPs of today offer Internet access via fiber, xDSL, cable and other access methods for businesses and households. • Target market will be their existing customers as well as new customers. • They already have customer databases as well as billing and other services in place. Advanta
Slide 17: Plain WISPs
Plain WISPs ¾ WISP is their Core business. ¾ Offering wireless Internet access in densely populated areas ie : airports, hotels, cafes and restaurants. • Sweden : Wirelessbolaget, DefaultCity • US : Wayport Advantages Disadvantages Mainly small companies. No experience in network deployment. Can ada
Slide 18: Location Specific WISPs
Location Specific WISPs ¾ Focused on providing wireless access only in specific locations. • Surf n’ Sip • Wirelessbolaget. Advantages Disadvantages Exclusivity to few sites, normally chain Small footprint in the market. stores Experts at their chosen location. Difficulty in attracting customers tha
Slide 19: Single Point WISPs
Single Point WISPs ¾ This category consider wireless Internet access a complementary service to their customers. ¾ WISP services may even be offered free-of-charge. ¾ Can offer other WISPs roaming rights to their network to attract more customers. These sites could benefit from this category of WISP
Slide 20: Operator Neutral WISPs
Operator Neutral WISPs Owns an Internet eXchange (IX) to which several independent ISPs (or WISPs) are connected where several access points can be installed at various locations. Advantages Disadvantages Customers have choice of WISPs. Expensive. Competition leads to lower prices. AAA and revenue s
Slide 21: Franchising WISPs
Franchising WISPs Advantages Disadvantages Revenue sharing. Lack of QoS and support. Leads to positive word of mouth. AAA and revenue sharing requires good technical solution. Small investment. The need to pay for of access points installation. No need to pay location rent. Subsidizing of hardware c
Slide 22: Virtual WISPs
Virtual WISPs • A company that doesn’t own its’ own network but leases it from an existing WISP. • Boingo is one example. Advantages Disadvantages No hardware costs. Revenue needs to be shared. A large deployment can be had quickly. The difficulty of striking deals with existing WISPs.
Slide 23: Summary on WISPs
Summary on WISPs WISPs benefit from: • no license fees • relatively cheap and easy installation • a wide and growing potential customer base • high-speed connectivity • falling costs of NIC cards • global standard • take up in both MNC and (now) SME sectors ¾ There is a strong need for the standardi
Slide 24: Market Segment for WISPs
Market Segment for WISPs Relative % The of customers Chasm Early majority, Early Pragmatists adopters, Late Majority. Innovators, Visionaries Conservatives Technology Enthusiasts Laggards, Skeptics Time Customers want Customers want technology and solutions and performance convenience The Technology
Slide 25: Target Market for WISPs
Target Market for WISPs Market Segments Description Example Motto Innovators or People who appreciate Elektrosmog “High-tech products Technology the technology for its’ BAWUG should be available for Enthusiasts own sake free or at cost price” Early Adopters or Looking for Mobile Professionals “The b
Slide 26: Early Adopters
Early Adopters ¾ This segment have a need to connect to both corporate data the Internet constantly. ¾ Not price sensitive. ¾ Adopts new technology very quickly. ¾ This segment is the driver of new technologies. ¾ Most WISPs today target this segment.
Slide 27: Early Majority
Early Majority ¾ The most important segment to conquer in order to achieve market dominance. ¾ Represents the bulk of the market volume for any technology product. ¾ Looking for reliability and convenience. ¾ Hard to convince but loyal once won. This segment can be divided into these 7 niches : Mode
Slide 28: Late Majority
Late Majority ¾ Almost the same amount of users as the Early Majority. ¾ They are against discontinuous innovations. ¾ They believe far more in tradition than progress. ¾ When they find something that works, they stick to it. ¾ They then to invest only at the end of a technology life cycle. ¾ Attrac
Slide 29: Consumer Demands
Consumer Demands Relative Importance Business Users Consumer Users Most Important Wide availability Cost Reliability (QoS) Wide Availability Security Seamless Connection VPN Access Reliability (QoS) Seamless Connection Security Single Billing Single Billing Relationship Relationship Data Transfer Sp
Slide 30: Best of The Class
Best of The Class Not Telco, ¾ The Combined MVNO Not Mobile Operator, and WISP Value Not ISP, Networking Company but………….
Slide 31: What is Missing?
What is Missing? • Cellular and WLAN Roaming – Always on Connection • Contents & Applications Capitalizing on Characteristics of Cellular/WLAN • 3G-like services NOW
Slide 32: Green Packet SONaccess Delivers
Green Packet SONaccess Delivers: The Mobility & The Speed of Coverage of WLAN Cellular (all you can eat) (Short & Burst) Secure, Seamless Integration, Always On, Network, Location, User Aware Mobile Broadband Internet, Secure End Applications, to End & Contents Connection
Slide 33: SONaccess: Secure Seamless Roaming Anytime, Anywhere
SONaccess : Secure Seamless Roaming Anytime, Anywhere GPRS/CDMA2000 Mobile Wide Area Network Internet Mobile IP Handoff Enterprise 802.11 Seamless Airport Coffee Shop Handoff 802.11 802.11
Slide 34: SONaccess Product Line
SONaccessTM Product Line Secure Seamless Roaming CDMA1x Bluetooth W-LAN 3G GPRS/ 2.5G Home & Office Building and corporate site Seamless Roaming City and suburbs Outside coverage of 3G Available Today Windows and Pocket PC 2002
Slide 35: Applications: Growing Mobile Applications & Services
PROFESSIONALS FEMALE 1. Messaging 1. Messaging 2. Phone Book 2. Phone Book 3. Corporate Info Applications : Growing 4. Banking 3. Greetings 4. Peer to Peer 5. Route Finder Mobile Applications & 6. Calendar 5. Calendar 6. City Guide Services 7. Weather 8. Traffic Info 7. Weather 9. News 8. News 10. C
Slide 36: Hybrid network GPRS/WLAN can offer all the services a 3G network can
Hybrid network GPRS/WLAN can offer all the services a 3G network can….TODAY! Business solutions (email, organizer, web browsing, net- meeting, video conferencing) Location-based services (location aware information, games & community services) Mobile entertainment (games, music & video) Wireless adv
Slide 37: And The Winner Is……..
Always Connected ……… With or Without A Network And The Winner Is……. ¾ The Combined MVNO and WISP ¾ Next Generation Value Networking Company