top stories 09-15 may 16

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Telecoms Top Stories This Week

Transcript of top stories 09-15 may 16

Page 1: top stories 09-15 may 16

TelecomsTop Stories This Week

Page 2: top stories 09-15 may 16

Nokia speeds up cost-cutting after “disappointing” Q1 sales

• Nokia has reported a growth in operating profit for Q1 2016 despite a drop in sales and revenue for the quarter, and will be accelerating its cost-cutting plans following the Alcatel-Lucent acquisition.

• Year-on-year net sales for the vendor were down 9%, including an 8% drop specifically in its Networking business. Nokia cited greater than usual season decline in wireless market conditions as the cause for its Networks troubles, in which it saw a 12% decline in Ultra Broadband Networks sales, while its IP biz grew sales by 1% year on year. Nokia Technologies saw a marked drop off in sales, dropping 27% year on year.

Question for us:• How do we remain relevant in a crowded market?

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WhatsApp launches desktop companion app

• WhatsApp has introduced a desktop version of its smartphone application, which allows users to access and send messages to other users.

• The desktop version of the app will provide notifications and improved keyboard shortcuts and functionality, as well as being fully synced with the user’s smartphone to keep up with ongoing message chains.

• The Facebook-owned OTT communications app currently boasts more than 1 billion monthly users, and the native desktop app looks like another attempt to create stickiness among a strong user base in a crowded market place.

Question for us:• How do we make the most of the customer base we already have and reduce customer turnover?

Where the world is headed:• Facebook recently released B2C customer experience feature into Messenger, “Business on Messenger”, so

customers can liaise directly with companies.

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The EU Commission's competition watchdog has blocked a proposed deal which could have seen the merger of two of the UK's largest phone operators.The plan set out in early 2015 was for CK Hutchinson, the owner of mobile company Three, to buy O2 for £10.3 billion, leaving the UK with only three major mobile phone operators: the new market leader, plus BT's mobile business EE and Vodafone.But now the deal has been scuppered on the basis that the takeover would reduce competition and hike up prices for customers. EU regulators say the takeover would also likely have had a negative impact on quality of service for UK consumers. 

3, 02 Merger?

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UK broadband struggling to meet user demands – is there a solution?The issue of UK broadband connectivity has been in the spotlight over recent weeks. It has recently been reported that Britain has achieved its target, initially set for 2016, of making superfast connectivity available to 90% of the country. However, there is still much frustration over speeds and availability of fast and reliable fixed broadband.

Ofcom has pointed out that the level of superfast broadband connectivity in the UK is falling behind other European countries.

At the end of last year, David Cameron pledged that every home and business in Britain should legally have a minimum broadband speed of 10Mbps by 2020.

Question for us: • How do we take advantage of this current climate, where the demand for fast reliable internet is ever

growing?

Page 6: top stories 09-15 may 16

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