How has ZTE India performed in FY 2010-11?
On the product front, the company has managed to establish its position as a trusted supplier for wireless products, be it UMTS, GSM, CDMA2000, WiMax and data cards. In 2010-11, ZTE globally achieved many feats but there has been a slight lull in its India operations, due to security concerns. We have bagged quite a few contracts for 3G services and have already deployed or are currently deploying 3G network for these operators. Going forward, our focus is on LTE and we can expect some key announcements in this segment very soon. With its expertise in LTE & WiMax, ZTE is focusing on attaining market leadership in 4G. We have bagged contracts from RCom, Aircel and MTS for 3G as well as other telecom equipments.
In 2010-11 ZTE was chosen as one of the key players and awarded contract for BSNL's WiMax services rollout which in itself was one of the largest deals in India. We are focused on attaining leadership in this segment by providing WiMax services, with coverage in 3 circles and 1,718 stations.
How are things moving on the VAS front?
In India, we have more than 100 experts working on VAS software, R&D and customization. Services like iVAS (integrated value added service) have seen tremendous success worldwide and we plan something on similar lines in India. To achieve our goals, we are currently focusing on a revenue sharing model with service providers and content creators.
How is work progressing on managed services?
ZTE has built its NOC in Gurgaon that has helped it to raise its work efficiency, standardize the management and centralize its resources. Since 2009, ZTE has provided its managed services to Tata Teleservices, Aircel, Sistema Shyam and STel. We are also in talks with various telecom operators and are expecting substantial success in the same. We see great business opportunities with service providers like Reliance, Tata, ET DB, Uninor, Loop and Vodafone.
What's the R&D focus for ZTE India?
ZTE as an organization is driven by innovation, and every year it invests about 10% of its revenues back into research and development initiatives in order to continue to drive its proprietary advancements in 3G/3.5G/4G wireless networks, wireline products, data cards and smartphones. Apart from this, a full 36% of ZTE's employees are dedicated to R&D.
What's your focus in FY 2011-12?
R&D initiatives aimed at localizing and customizing products would definitely be a high priority area. Going forward, we would be focusing extensively on LTE, enterprise networking, transmission managed service, cloud computing and smartphones.