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Marching Ahead

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VoicenData Bureau
New Update

Post the merger, Nokia Siemens Networks (NSN) consolidated its leadership

position in the market in the very first year and bagged considerable deals. The

company also led in environment-friendly initiatives. NSN rocorded revenue of Rs

7,200 crore in its first year of operation.

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It bagged a number of big contracts; the prominent among those being the Rs

3,600 crore deal with Bharti Airtel for national long distance and international

long distance networks. The deal with Bharti Airtel is believed to be the

largest next-generation network deal in the country for 1.8 mn subscriber lines

for national long distance and international long distance networks. The deal

ensured that NSN is now a leading supplier of fixed line equipment to Airtel.

Another prominent contract for NSN was the Rs 2,000 crore GSM network

expansion contract from Idea Cellular, making it a leading equipment vendor of

the company. This was NSN's first contract with Idea.

NSN 3

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The company also bagged a Rs 300 crore contract from Aircel to build and

operate a greenfield GSM network in Kolkata, a Rs 600 crore deal with Idea

Cellular for a greenfield managed services network rollout. NSN also won a

pan-India contract from Bharti Airtel for deployment of a single interactive

voice response (IVR) platform across all its twenty-three circles. The company

also got a major contract from Idea Cellular to deploy and integrate a device

management solution in Idea's various circles in the country.

According to a V&D estimates, NSN is also a leading equipment vendor for

Vodafone. About 85-90% of Vodafone's equipment purchase, including managed

services, is from NSN.

Last year, NSN developed the village connection solution for rural areas.

Based on the GSM technology, the solution provides switching and transmission

for calls within and among villages. This initiative marks NSN's entry into the

rural connectivity segment.

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The company would be investing around Rs 400 crore in its India operations.

The investment will include setting up a proposed telecommunication equipment

manufacturing facility in Tamil Nadu for wireless network equipment, new offices

across various cities, additional development of an existing R&D center, and

expanding the global networks solution center.  In a major management

reshuffle, Michael Kuehner took over from Ashish Chowdhary as head of India and

Nepal sub-division. Management reshuffle has reflected in top line growth.

The year also saw NSN focusing on environmentally sustainable solutions. The

company entered into a global collaboration with ACME Tele Power to provide

energy efficient cell site solutions to telecom operators.

We are looking at reducing the TCO for

mobile networks, to be more pervasive




head of India and Nepal sub region, Nokia Siemens Networks



Michael Kuehner



Address: 7th Floor, Tower A, DLF Cybercity Phase — III, Gurgaon-122002,

Haryana, India



Tel: +91-124-4504000


Fax: +91-124-4504999


Website:
www.nokiasiemensnetworks.com




Highlights
  • Bagged a Rs 3,600

    crore deal from Bharti Airtel and a Rs 2,000 crore deal from Idea

    Cellular
  • Increased focus on

    environmentally sustainable solutions
  • Aims to invest Rs 400

    crore in the Indian operations
  • Developed the village

    connection solution for the rural segment

How has Nokia Siemens performed in its

first year of existence?



Nokia Siemens Networks was formed on April 1, 2007, with the merger of

Nokia Networks and Siemens Carrier Infrastructure business globally. The new

local entity was a perfect marriage in terms of product portfolio and market

share and started operations as the largest integrated communications

equipment vendor in the country.

What were your main achievements in FY

'2007-08?



There were three key focus areas for us in our first year of operations

post the merger. The first focus area was to grow the business over the

previous year which is a massive challenge post the merger, and we did that

successfully. We also managed to establish confidence in our customers for

the newly formed entity, and all the new business we won last year is a

testament to that confidence.

Our next focus area was to invest $100 mn

over three years in our local operations to scale up our business to address

new market opportunities.

What were the trends in the new

technologies arena last year? And are likely to become popular this year?



In India, the wireless technologies being evaluated are WCDMA/HSPA,

CDMA-EVDO, WiMax and Wi-Fi mesh. All these technologies promise very high

bandwidth speeds, enabling applications such as video streaming, VoD,

distance learning, and music downloads among others. Operators are opting

for different technologies on the basis of their business models, strategies

and consumer target segments. For example, an ISP operator might opt for

WiMax or Wireless Mesh to provide last mile broadband access in certain

cities/areas with high usage or potential where it doesn't have operations,

or an existing operator may deploy WiMax in a campus/metro environment like

a business district.

What are your plans for the current

financial year?



We are looking at reducing the total cost of ownership for mobile

networks to be more pervasive and for mobile services to be more affordable.

At the urban level, we are helping reduce the

overall TCO by improving spectral efficiency (we all know how precious

spectrum is in India) and providing a host of services including managed

services. The solution features for spectral efficiency are adaptive multi

rate, dynamic frequency channel allocation, and single antenna interference

cancellation among others. With these an operator can increase the site

configuration and plan less capacity sites.

Energy efficient solution is one of your

thrust areas. What are the developments on this front?



An energy efficient solution is our focus area since mobile base station

sites consume the most energy in telecommunications networks. Our base

stations are the most energy efficient in the industry, and we have

witnessed continuous improvements.

We would be focusing on environmentally

sustainable solutions. We have introduced an environmentally sustainable

business (ESB) program, which allows us to work closely with customers to

evaluate the performance of the installed equipment, and implement the most

environmentally sustainable solutions in the future.

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