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2006 Asia - Telecoms, Mobile and Broadband Market Overview


Attention: There is an updated edition available for this report.

This report contains comprehensive overviews of trends and developments in telecommunications, mobile, Internet, broadband and broadcasting for the entire Asian region. Topics include:-

Market and industry analyses, trends and developments
Infrastructure, fixed voice and data, mobile, wireless, broadband, Internet and Convergence
Facts, figures and statistics
Industry issues and regulatory
Major Players, Revenues, Subscribers, Prepaid
Network Operators, Wholesalers and Retailers, Utilities Projects


The Asian region has continued to experience a generally stronger run of economic growth through 2005 and into 2006. The region, however, continues to share the concerns of the rest of the world about rising oil prices and the likely impact on the global economy. There is also a degree of anxiety about a slowdown in the China. This giant growth engine has been soaking up huge volumes of exports from its neighbours. If it starts showing signs of stalling, the reverberations will be felt right across Asia.

At the same time, it can be said that the growth has been somewhat inconsistent around the region and over the various market segments. Nevertheless, a healthy positive outlook generally pervades the market. The highlights coming into 2006:

Asia’s mobile market has continued its strong overall growth pattern;
3G mobile services are being rolled out in the major markets;
Internet access is rapidly moving from dial-up to broadband access;
Asia continues to be a global leader in broadband roll-out.
In looking at the Asian telecom market, it is impossible to avoid the impact of China. With its huge population and strongly developing economy, it is a powerful presence in the region. Having rapidly moved to become the biggest mobile market in the world, China’s mobile sector has continued to expand at a rate of almost 20% per annum. China had 400 million mobile subscribers by April 2006.

Japan has been a long-time global and regional telecommunications leader. It has a reputation for innovation, regularly adding value to the telecom market. Its leadership has embraced the application of wireless Internet access, with over 79 million mobile subscribers using either NTT DoCoMo’s i-Mode or one of the other proprietary products by early 2006.

Asia claims the world’s largest regional Internet market. With an estimated 375 million Internet users (a user penetration of 11%) by end-2004, Asia was maintaining its lead over Europe (292 million) and North America (227 million). Internet application in Asia continues to be led by the developed economies of the region - Japan, Hong Kong, South Korea, Singapore and Taiwan. This group has been joined by China. With a penetration of 8.5%, China had a massive 111 million Internet users at end-2005.

In the area of broadband Internet access, South Korea has continued to be a world and regional leader with 70% of households having a broadband connection by end-2005. The two major technologies supporting broadband in Asia were Digital Subscriber Line (DSL) and cable modem. By March 2006, there were 153 million DSL subscribers and 76 million cable modem subscribers across the region.

Across the region, as the local economies improve and national regulators restructure their markets, operators have been facing increasingly competitive markets. Price cutting continues to be widespread, the offering of value added services has been expanding and innovative product promotion and packaging is popular. Working in such highly competitive markets, the Average Revenue Per User (ARPU) across the product range has inevitably suffered, but some equilibrium has been achieved. And, with the introduction of 3G services, an opportunity to grow ARPU has presented. Nevertheless, profit margins have been falling and operators need to be flexible in a quickly changing market.

Investment strategies have remained cautious throughout the region since the late 1990s. Both operators and equipment suppliers in the Asian telecom industry have been approaching their investment strategies in a circumspect manner. The oversupply of undersea cable capacity that became apparent three or four years ago had a particularly severe impact on investment plans. At the same time, after a period of sluggish growth, the satellite segment has seen a healthy series of new launches and signs that this will continue.

The Asian region has a wide spectrum of telecommunications and IT development. Countries can be found at both ends of this development spectrum. Whilst some of the world’s leading developers and implementers of technology are to be found in Asia, many countries in the region are still in the early stages of their information technology and telecommunications adoption. There is certainly a consistently strong awareness of the importance of telecommunications and information being demonstrated right across the region. The commercial significance of telecommunications is well recognised and, at the same time, the potential contribution to the social and cultural wellbeing of nations is also well appreciated. As a consequence, the growth potential in the Asian market remains extremely high.

The Asian telecommunications market was estimated to be worth around US$300 billion in 2006. The big new drivers are broadband and IP services, as well as ongoing growth in the mobile sector, particularly as value-added services come into the market. NGNs are also being rolled out by the regional heavyweights, with a strong move into triple play services.

1. TELECOMS, MOBILE & BROADBAND OVERVIEW AND ANALYSIS
1.1 Key developments
1.1.1 General
1.1.2 Regulatory
1.1.3 Infrastructure
1.1.4 Internet
1.1.5 Broadband
1.1.6 Mobile
1.2 Telecoms market overview
1.3 Telecommunications infrastructure
1.4 Regulatory
1.4.1 Market deregulation
1.5 Fixed-line services
1.6 Internet services
1.7 Broadband Internet
1.8 Mobile market
2. TELECOMMUNICATIONS INFRASTRUCTURE
2.1 IP networks and VoIP services
2.1.1 Market overview
2.1.2 Japan
2.1.3 South Korea
2.1.4 China
2.1.5 Singapore
2.1.6 Taiwan
2.1.7 India
2.1.8 Hong Kong
2.1.9 Malaysia
2.1.10 Other markets in Asia
2.2 Next Generation Networks (NGN)
2.2.1 Market overview
2.2.2 Japan
2.2.3 South Korea
2.2.4 China
2.2.5 Singapore
2.2.6 Taiwan
2.2.7 Hong Kong
3. INTERNET MARKET
3.1 Market overview
3.1.1 Statistical overview
3.2 Cultural and regulatory issues
3.2.1 Public Internet access
3.3 Internet advertising
3.4 Asian Domain Name Dispute-Resolution Centre
3.5 Internet access and infrastructure
3.5.1 Internet bandwidth
3.5.2 Internet data centres
3.5.3 TV access
3.6 ISP market
3.7 ASP market
3.8 Intranets and extranets
4. BROADBAND MARKET
4.1 Market overview
4.2 Digital Subscriber Line (DSL)
4.3 Cable Modem
4.4 Fibre-to-the-Home (FttH)
4.5 Wireless broadband
4.5.1 Overview
4.5.2 WiFi
4.5.3 Broadband Wireless Access (BWA)
4.6 Satellite Internet
4.7 Broadband over Powerline (BPL) services / Powerline Communications (PLC)
4.8 Major broadband markets in Asia
4.8.1 South Korea
4.8.2 Japan
4.8.3 Taiwan
4.8.4 Singapore
4.8.5 Hong Kong
4.8.6 China
4.9 DSL services
4.9.1 Market overview
4.9.2 Japan
4.9.3 South Korea
4.9.4 China
4.9.5 Hong Kong
4.9.6 Singapore
4.9.7 Taiwan
4.9.8 Malaysia
4.10 FttH
4.10.1 Overview
4.10.2 Japan
4.10.3 South Korea
4.10.4 China
4.10.5 Other Asian markets
4.11 Broadband Power Line (BPL)
4.11.1 Overview
4.11.2 Japan
4.11.3 South Korea
4.11.4 China
4.11.5 Other Asian markets
5. CONVERGENCE
5.1 Digital media market statistics
5.1.1 Overview
5.1.2 Digital TV
5.1.3 Cable TV
5.1.4 Satellite TV
5.1.5 Interactive TV
5.1.6 Overview of pay TV market
5.2 Digital media market overview
5.2.1 Japan
5.2.2 South Korea
5.2.3 China
5.2.4 Hong Kong
5.2.5 Singapore
5.2.6 Taiwan
5.2.7 Malaysia
6. MOBILE COMMUNICATIONS
6.1 Market overview
6.1.1 Regional characteristics
6.1.2 Growth drivers
6.1.3 Market structure
6.2 Mobile technologies
6.2.1 Overview
6.2.2 GSM
6.2.3 CDMA
6.2.4 Personal Communication Services (PCN/PCS)
6.3 Mobile services
6.3.1 Prepaid services
6.3.2 In-building coverage
6.3.3 Fixed-mobile convergence
6.3.4 Mobile gaming
6.4 Mobile satellite services
6.5 Mobile data services
6.5.1 Market overview
6.5.2 Short Messaging Service (SMS)
6.5.3 Multimedia Messaging Service (MMS)
6.5.4 WAP v. i-Mode
6.5.5 General Packet Radio Service (GPRS)
6.5.6 Push-to talk over Cellular (PoC)
6.6 Mobile applications
6.6.1 M-Commerce
6.6.2 Asia Mobile Electronic Services Alliance
6.7 Third Generation (3G) mobile
6.7.1 Overview
6.7.2 Third Generation standards
6.7.3 Third Generation licensing
6.7.4 Third Generation roll-out
7. GLOSSARY OF ABBREVIATIONS
Exhibit 1 - Asia region anticipated additional 3G licensing
Exhibit 2 - Asia’s broadband market - countries ranked by household penetration - June 2006
Exhibit 3 - Mobile technologies (2G) in use in selected countries - 2006
Exhibit 4 - CDMA operators in the Asia region - cellular services - 2006
Exhibit 5 - Asia region 2.75G and 3G mobile roll-out - 2006


Table 1 - Fixed-line subscribers (selected markets) - March 2006
Table 2 - Top 5 Asian Internet markets (by penetration) - December 2005
Table 3 - Top 6 Asian broadband markets ranked by household penetration - June 2006
Table 4 - Top 5 Asian mobile markets ranked by number of subscribers - March 2006
Table 5 - Top 5 Asian mobile markets ranked by penetration - March 2006
Table 6 - Top 5 Asia mobile operators ranked by subscribers - March 2006
Table 7 - WCDMA, 1xRTT, and 1xEVDO subscribers - March 2006
Table 8 - VoIP subscribers by operator - March 2005
Table 9 - Internet user growth in Asia - 1999 - 2006
Table 10 - Top 10 Asian countries by Internet user penetration - December 2005
Table 11 - Internet and broadband subscribers for selected Asian markets - December 2005
Table 12 - International Internet bandwidth - 2000 - 2005
Table 13 - Broadband in Asia - Major markets by subscribers and penetration - 2005 - 2006
Table 14 - Major broadband access types (by subscribers) - March 2006
Table 15 - DSL subscribers - March 2006
Table 16 - Cable modem subscribers - March 2006
Table 17 - WiFi hotspots in Asia - 2004 - 2005; 2009
Table 18 - South Korea’s broadband subscriber growth - 1998 - 2006
Table 19 - Taiwan’s broadband subscriber growth - 1999 - 2006
Table 20 - Singapore’s broadband subscriber growth - 1999 - 2006
Table 21 - Broadband subscribers and households - February 2006
Table 22 - China’s broadband subscriber growth - 2000 - 2006
Table 23 - Asia’s DSL market - December 2005
Table 24 - DSL subscribers in Japan - 2000 - 2006
Table 25 - DSL subscribers in South Korea - 1999 - 2006
Table 26 - DSL subscribers in China - 2000 - 2006
Table 27 - PCCW’s DSL subscriber base - December 2005
Table 28 - DSL subscribers in Hong Kong - 1999 - 2006
Table 29 - DSL subscribers in Singapore - 2000 - 2006
Table 30 - DSL subscribers in Taiwan - 2001 - 2006
Table 31 - DSL subscribers in Malaysia - 2001 - 2006
Table 32 - FttH growth in Japan - 2001 - 2006
Table 33 - FttH growth in Japan - 2001 - 2006
Table 34 - Asia’s TV broadcasting market statistics - 2005
Table 35 - Asia residential TV market projections - 2010
Table 36 - Total regional TV revenues (US$ million) - 2000; 2010
Table 37 - TV households in major Asian markets - 2005
Table 38 - Cable TV subscribers in selected Asian countries - 2002; 2005
Table 39 - ADSL-based pay TV subscribers - 2005
Table 40 - Selected ADSL-based pay TV operators - February 2005
Table 41 - Satellite TV subscribers in selected Asian countries - 2002; 2005
Table 42 - Forecast DTH subscriber growth in Asia (selected countries) - 2010
Table 43 - DTH subscribers for selected operators in Asia - February 2005
Table 44 - Pay TV subscribers, penetration and advertising revenue in selected countries - 2005
Table 45 - Hong Kong pay TV subscribers by platform - 2001 - 2005
Table 46 - Mobile subscriber growth - 1990 - 2006
Table 47 - Fixed-line and mobile phone subscribers and penetration (selected Asian countries) - March 2006
Table 48 - Top 10 Asia mobile markets and annual change (ranked by subscribers) - March 2006
Table 49 - Top 10 Asia mobile markets (ranked by penetration) - 2005/2006
Table 50 - Top 10 Asia mobile operators (by subscribers) - March 2005
Table 51 - Top 10 Asia mobile operators (by subscribers) - March 2006
Table 52 - Asia’s mobile markets: under 10% penetration - March 2006
Table 53 - Asia’s mobile markets: penetration between 10% and 20% - March 2006
Table 54 - GSM subscriber growth - 1997 - 2006
Table 55 - CDMA subscriber growth - 1997 - 2006
Table 56 - Prepaid mobile subscriber growth in Asia - 1999 - 2006
Table 57 - Prepaid subscribers - selected operators - December 2005
Table 58 - SMS traffic (selected markets) - December 2005
Table 59 - MMS user growth (selected markets) - 2005
Table 60 - Wireless Internet subscribers - February 2006
Table 61 - 3G WCDMA subscriber growth in Asia - 2004 - 2006
Table 62 - WCDMA, 1xRTT, and 1xEVDO subscribers - March 2006

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