While Microsoft has been famous for its software on the PCs, the Windows and
the Vistas, it is now equally winning hearts and clients on the mobile space. In
fact, the Redmond-based Giant has crafted a whole division (Communication
Sector) that looks at the emerging opportunities in the telecom domain. To
refurbish its strategy, Microsoft brought on board Martha Béjar, telecom
veteran, as the corporate vice president for the Communications Sector. She was
earlier Nortel's president of Caribbean and Latin America (CALA) regions and was
with the company for over a decade. As India happens to be one of the biggest
markets for telecom, little wonder that Béjar is keen and excited about the
opportunity here. She had recently come down to India and in between scores of
meetings with customers and clients, and sat down, to share Microsoft's take on
the sector and how she believes the movement will pan out. Excerpts
Lets start with 3G first, at the turn of the millennium there was a lot of
euphoria around 3G with licenses being sold in Europe to the tune of billions of
USD, then subsequently it petered out. How do you see the movement to 3G and
onward taking shape globally?
It varies from geography to geography, in certain places it has really taken
off like in South East Asia and Japan, while it continues to lag in others. I
believe that as a whole, we need to do a lot more on that front. Companies need
to ensure that they are working very closely from the seller's perspective, so
it is easier for telcos to put services on top of that. We need to look at the
consumer and come up with services and solutions that are built around his/her
need, rather than offering plain vanilla, one-size-fits-all service. The
solutions and the technology is there, and I think we need to continue very
closely with the regulators to ensure that the pace of change is accelerated. 3G
and mobile broadband holds immense promises for the future.
And how do you see the shift to mobile broadband happening?
I think it will continue growing fast, especially in countries that do not
have a very strong wireline physical infrastructure. As we continue to see a lot
of deployment of these networks and the cost coming down, I think it is going to
be a great way to access very remote locations and continue building
infrastructure. There are lots of efforts going on within the standards keeping
in mind the long-term goals, for instance, the coming of LTE, and 4G and the
banding of CDMA and GSM. Then off course there is the WiMax. There is a lot of
movement in the market. I strongly feel that wireless broadband is going to play
a very strong role, much like wireline. Both will co-exist, as there is no one
size fits all. So, in certain areas it could be wireline and in some wireless
broadband.
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Martha Béjar, corporate vice president, communications sector, Microsoft |
Microsoft has also been making a lot of noise about IPTV, how has been the
response so far?
Globally, Mediaroom is one of our fastest growing solutions, and by the end
of this year we will have around a million subscribers hot and rocking. The
reception has been incredible and I really do believe that for the service
provider sector,the traditional telcos, this is an incredible opportunity for
them to increase their ARPUs, in additions to their broadband access and data
services. From the response that we have received from our partners like AT&T,
the user response has been too encouraging. Even in India, some of the people
who have tried the service with Reliance are very excited about the potential of
the same. So, I can hardly wait to see IPTV explode into the Indian marketplace
and am very excited about the future.
What exactly is the Communications Sector at Microsoft?
At Microsoft, the communications sector works with service and content
providers around the globe, addressing the specific needs of wireline and
wireless telecommunications companies, cable operators, hosting service
providers, and media and entertainment organizations. We are completely focused
on developing strategic partnerships with communications companies, providing
innovative, software-based solutions and services that help organizations
increase productivity and efficiency, enhance the user experience, and,
ultimately, drive new revenues. I think, Microsoft is strongly positioned to
continually grow into this market with our customers. Currently we have over 600
people in the division and account for around $2 bn in revenues and growing
fast.
What is Microsoft's go-to-market strategy? Is it more attuned to the
service providers or are you keen to reach out to the customers?
Both the way we do this, obviously Microsoft has admirable consumer presence
and mind share in every market. We reach out to the customers mostly in a
one-to-one manner. Those customers are also the service provider's customers and
thus Microsoft is best placed to bring it all together from a unified
perspective. For instance, in India when we work with service providers we look
at the opportunities that are from the SMB perspective and work on solutions
that are best suited to their needs.
Internationally, Microsoft has come up with some real innovative models to
reach out to the SME sector, like offering SME services on Sprint's network in
US or introducing Windows Vista-based notebook PCs with built-in mobile
broadband access on a subscription payment model in conjunction with MTS in
Russia. Are you looking at working out similar models in India?
Absolutely, the more I learn about India, the more excited I get about the
things we could do here. Although the models you referred to were different but
the actual structure of the model is not that different. These are models that
we intend to replicate with our service providers in India as well, as they
continue to grow and hopefully sell with us in the coming days. The service
providers or the communications segment is a great channel to market for
Microsoft, just like the PCs are great channel for communications for our
software like Windows, Office, etc. You will hear big news from our front in the
coming days.
What role would the partners and developers play in the communications
sector?
Very critical role, we have partners across different sectors, like
communication sector, software sectors, etc. We look at all the partners we have
and evaluate the ones that are strongest in the sector or could be in the coming
times, those are the ones that we work closely from a communication sector
perspective. They are trained and certified for the solutions we offer. They are
hand-in-hand with us on all our offerings. We make sure that they are trained
and certified and they have the best in class resources and up-to-date on what
we are trying to do. We also have a lot of partner programs where they give us
feedback. As far as the developer community goes, it is at the very core of the
ecosystem and we rely on them. It is no secret that the big model has been
renting IP as opposed to creating IP for developers as partners. Many of the
things that we are talking give them the opportunity to work on a great idea,
that's where our hosted service comes into play.
Shashwat DC
vadmail@cybermedia.co.in