For Thailand Telcos Spread

Presentation by Yozzo Co.,Ltd. www.yozzo.
com March 2015
V 1.0
www.yozzo.com
Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015
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Subscribers
Growth rate
Subscribers
Growth rate
Subscribers
Growth rate
2009
65,952,313
1.98%
7,050,943
1.24%
58,901,370
2.07%
2010
71,726,300
2.92%
7,256,473
2.01%
64,469,827
3.03%
2011
77,449,466
1.65%
7,938,934
3.70%
69,510,532
1.42%
2012
84,001,947
3.47%
9,782,683
6.60%
75,229,728
3.07%
2013
93,848,536
3.03%
11,591,587
5.55%
82,256,949
2.38%
2014
97,680,775
2.04%
12,852,830
3.97%
84,827,945
1.76%
Source: Operators | NBTC * Estimated information for Q4 Year 2014.

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120.000.000
www.yozzo.com
100.000.000
80.000.000
60.000.000
40.000.000
20.000.000
0

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www.yozzo.com
2009
98.58%
10.54%
88.04%
2010
106.56%
10.78%
95.78%
2011
114.58%
11.74%
102.83%
2012
127.85%
14.71%
113.14%
2013
140.59%
17.36%
123.22%
2014
145.79%
19.18%
126.60%

www.yozzo.com
Average Revenue Per User (Excluded Interconnection Charge)

1.00 THB = $0.0304220
www.yozzo.com
Blended
245
205
204
200
194
211
197
188
Post-Paid
693
586
582
582
580
621
606
562
Pre-Paid
197
164
162
160
158
158
140
131
Source: Operators | NBTC *Estimated information for Q4 Year 2014

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Mobile MOU (Minute/Month) 2007 Q4 2014

1.00 THB = $0.0304220
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Blended
319
251
253
257
236
240
267
246
Post-Paid
648
539
486
477
400
375
456
367
Pre-Paid
277
217
226
233
217
220
241
228
Revenue per/minute Q3 2013 Q4 2014
0.48
0.45
0.49
0.44
0.43
0.45
0.44
0.45
0.43
0.44
0.33
0.31
0.29
0.30
0.29

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In 2013 Thailand set the world record in migrating

2G subscribers to 3G, with migration taking even less
time than in Japan.
30% of Thailands existing 95 million 2G customers shifted to
3G in only five months.
Today AIS has 40.8 million 3G users out of 44.3 million
total subscribers.
DTAC has 20.2 million 3G users out of 28 million total
subscribers.
True Move claims 21.9 million 3G users out of 23.6

million total subscribers.
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TrueMove H was the first to introduce 4G LTE in Thailand with a trial

service in February 2013 offering up to 100 Mbps and 50 Mbps
download and upload speeds respectively. DTAC followed later as the
second mobile operator to offer 4G services. AIS does not provide 4G.
Today AIS has ZERO 4G subscribers.

DTAC has 600,000 4G subscribers.
True Move claims 800,000 4G subscribers.
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0,15%
0,57%
24,26%
46,52%
28,50%
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Estimated information for Q4 Year 2014

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92% of total subscribers

22m using 3G devices
77 provinces
97% coverage
Non-voice grew 5% QoQ

Non-voice grew 34% YoY
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Subscribers Q4 2014
4,940,700
39,360,600
44,301,300
Subscribers Q3 2014
4,786,700
39,008,500
43,795,200
Net additions Q4 2014
154,000
352,100
506,100
Net additions Q3 2014
125,600
791,400
917,000
ARPU Q4 2014
608 THB
170 THB
Blended 216 THB
MOU Q4 2014
373
256
Blended 269 Min

1.00 THB = $0.0304220
Source: AIS 2014

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11,000 2G sites
11,000 3G sites
3,000 4G sites
72% of sub base ported to 3G

Mobile internet grew 35%YoY
600,000 4G subscribers
Smartphone penetration 48%

Mobile data users 14.1 million.
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Total as of Q4 2014
3,850,000
24,159,000
28,008,000
Total as of Q3 2014
3,746,000
24,033,000
27,780,000
Net Additions Q4 2014
347,000
-281,000
66,000
88,000
-347,000
-259,000
ARPU Q4 2014 ex. IC.
586 THB
147 THB
Blended ex. IC. 202 THB
MOU Q4 2014 ex. IC.
267
183
Blended ex. IC. 194

1.00 THB = $0.0304220
Source: dtac 2015

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4G LTE 2100MHz Trial

3G on 850, 2100 MHz
2G 1800 MHz
Revenue increased 24.0% YoY.

Mobile Internet rose to 82.3%
of non-voice revenue
93% of total subscribers are on

3G or 4G.
True
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Total as of Q4 2014
N/A
N/A
23,600,000
Total as of Q3 2014
3,672,000
19,767,000
23,440,000
Total as of Q2 2014
3,452,000
19,743,000
23,195,000
N/A
N/A
N/A
ARPU Q4 2014
N/A
N/A
144 THB
1.00 THB = $0.0304220
Source: True Corporation

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Metropolitan
Provincial Area
2,971,326
2,715,712
19.30%
Metropolitan

5.26%
Provincial Area
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Mobile
97,680,775
Fixed
5,687,038
Source: NBTC *Estimated information for Q4 Year 2014
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Dial-up modem,
ISDN
Wireless Mobile
2G, CDMA, GPRS
ADSL, VDSL,
Satellite, FTTH
Wireless 3G mobile
WCDMA, EV-DO
7,126,400
3,4%
8.9%
45%
40.3%
2.4%
1,502,900
3.0%
3.4%
56%
35.6%
2%
2,458,000
3.4%
8.5%
42.7%
42.7%
2.7%
1,064,800
2.6%
9.3%
49.4%
37.9%
0.8%
1,253,100
4.1%
13%
37%
43.4%
2.6%
847.500
3.6%
13.4%
38.8%
40.1%
4.1%
Source: National Statistical Oce of Thailand Survey 2014

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Internet Users: 26,140,473,

Internet Penetration: 39.06%
Internet Broadband: 5,687,038 Subscribers
Broadband Penetration per Population: 8.20%

Broadband Penetration per Household: 27.36%
Price/Kbps = 0.10 THB
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Source: Thai Network Information Foundation | National Statistical Oce of Thailand | NBTC | NECTEC
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6.000.000
5.491.095
4.930.419
5.000.000
4.351.909
3.822.354
4.000.000
3.204.499
3.000.000
2.000.000
1.000.000
Source: ISP | NBTC

www.yozzo.com
The average user in thailand consumes 7.4 hours of media per day
Tablet
Mobile
Excl. SMS/Calls
minutes
#1 MOBILE
minutes
www.yozzo.com
minutes
Television
minutes
Laptop
Source: Millward-Brown AdReaction-2014
Thai consumers spends 3.1 hours

of his/her daily media routine via
their mobile device. (Excl. SMS/Voice)
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We ARE
SOCIAL
1011010101101
0101101111011
10011011011000
Top 5 Social Network usage
Facebook 93%
Line 87%
Google+ 34.5%
Instagram 34%
Twitter 16.1%
Thailand has the 3rd. largest Facebook population in the world with
30 million users and Bangkok has more Facebook users than any
other city in the world. 93% of Thai Internet users access Facebook
every week, compared to 47% globally, and 19 million, access
Facebook through their mobile device.
4.5 million Twitter accounts and 1.7 million Instagrammers.
81% of smartphone users in Thailand have downloaded and use

mobile chat apps for daily communication.
LINE users in Thailand (Oct. 2014)
Source: ETDA/MICT | LINE | Facebook | 2014

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of mobile data per month
Source: Nokia Solutions and Networks (Thailand).

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Average video consumption for mobile video users is 3 GB per/month
3GB
1011010101101
0101101111011
10011011011000
Thailand's smartphones users are avid video watchers

with 53% watching video at least once a day
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Traffic via mobile device
50% of Thailands YouTube viewers

browse the internet while watching
TV, with 22:00 (10pm) as the peak
viewing time.
Traffic via mobile device
11%
43%
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Traffic on YouTube via mobile

devices has jumped more than
six-fold over the past two years.
Source: YouTube/Google
Thailand has the 2nd highest

amount of YouTube views in Asia
1.
2.
3.
Japan
Thailand
India
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Source: IDC Thailand

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Source: Nokia Solutions and Networks (Thailand).

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After March 1, 2015 - all airtime call packages must be billed on per-second basis.
The average charge for 2G service must not exceed 0.99/per minute. For 3G on the 2.1 GHz
spectrum, the price must not exceed 0.84/per minute,
In compliance with regulators mandates

Customer gets minimum 30 days balance for every prepaid topup value.
The value can be accumulated for 365 days.
NBTC announced the mandate for network infrastructure sharing among operators
i.e. tower, land, site facilities, etc. in April 2013.
The action is subjected to availability of network capacity.
1.00 THB = $0.0304220
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2G
3G
2.5
3.5
2.7
3.9
LTE
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License ends 2015
900 MHz
BTO contract ends 2015
17.5MHzBandwidth
MVNO Wholesale contracts
License ends 2025
AIS
17.5MHz
MVNO
15MHz
2100 MHz
15MHzBandwidth
Auctioned license
AIS
15MHz
2100 MHz
License ends 2027
Auctioned license
45MHzBandwidth
DTAC
15MHz
Auctioned license
True
15MHz
NBTC
Regulator
Ended 2013
DPC
12.5MHz
1800 MHz
License
BTO contract
Ended 2013
True
12.5MHz
75MHzBandwidth
Ends 2018
DTAC
50MHz
BTO contract ends 2018

License ends 2025
850 MHz
25MHzBandwidth
DTAC
10MHz
Wholesale - Resell
True
15MHz
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Ends 2018
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TOT/CAT
NBTC
Till 2013-2018
15-years
TOT/CAT
Operator
20-30% revenue share
5.25% of revenue
(Type 3 License)
*BTO is Build Transfer Operate contract. Note: Operators have to pay a numbering fee at Bt2/number/month to the regulator
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BTO contract regulatory fee = Revenue share + Access charge

Ceased since 2007
5.25%
1.5%
Paid to Regulator
3.75%
Paid to Regulator
Upfront license bidding cost THB 13.5 - 14.6 Billion for 2x15 MHz.
1.00 THB = $0.0304220
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Interconnection charge (IC) or termination

charge is a bilateral agreement charge levied by
network operators on other service providers to
recover the costs of the interconnection facilities
provided by the network operators.
AIS, DTAC and TRUE agree to pay IC rate at THB 1.00/min.
The new IC rate of THB 0.45 per minute is applied from 1 July 2013.
TOT3G does not enter into IC agreement with any operators
The regulator has pledged to introduce a lower mobile termination rate than the current 0.45
baht ($0.014) per minute to help operators comply with the per-second billing new policy.
1.00 THB = $0.0304220
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National roaming happens when one operator allow its customers to originate/receive traffic using network of other operators.
National Roaming ensures that customers have seamless connection experience.
Subscriber uses 2G handsets.

Subscriber makes/receives a call outside of 3G coverage
Provide roaming service
Pay roaming charge
Provide network capacity to support traffic

originated/received from customer of 3G Operator.
Subjected to 30% revenue sharing to TOT/CAT
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Yozzo is a Telecom Consulting firm, specializing in Information and Communications Technology (ICT).
We assist public and private sector clients in their decision making through market insights,
experience and technical skills. Our clients includes: Governments, Telecom Regulators, Telecom
operators, MVNOs, Mobile device manufacturers, Retailers, Software & Service providers, Media and
Broadcasting companies.
We approach consultancy engagements from a commercial perspective, with the aim of adding
significant value to your business by identifying and pursuing: growth opportunities, create products,
services, and businesses that improve the efficiency, productivity, and profitability of your business.
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For Thailand Telcos Spread

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Presentation by Yozzo Co.,Ltd. www.yozzo.

com March 2015

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Source: Operators | NBTC * Estimated information for Q4 Year 2014.

Source: Operators | NBTC * Estimated information for Q4 Year 2014.

Source: Operators | NBTC * Estimated information for Q4 Year 2014.

Average Revenue Per User (Excluded Interconnection Charge)

Source: Operators | NBTC *Estimated information for Q4 Year 2014

Mobile MOU (Minute/Month) 2007 Q4 2014

Revenue per/minute Q3 2013 Q4 2014

Source: Operators | NBTC *Estimated information for Q4 Year 2014

In 2013 Thailand set the world record in migrating

True Move claims 21.9 million 3G users out of 23.6

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

TrueMove H was the first to introduce 4G LTE in Thailand with a trial

Today AIS has ZERO 4G subscribers.

True Move claims 800,000 4G subscribers.

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Estimated information for Q4 Year 2014

92% of total subscribers

Non-voice grew 5% QoQ

Net additions Q4 2014

Net additions Q3 2014

Blended 216 THB

Blended 269 Min

Source: AIS 2014

72% of sub base ported to 3G

Smartphone penetration 48%

Net Additions Q4 2014

Net Additions Q3 2014

ARPU Q4 2014 ex. IC.

Blended ex. IC. 202 THB

MOU Q4 2014 ex. IC.

Blended ex. IC. 194

Source: dtac 2015

4G LTE 2100MHz Trial

Revenue increased 24.0% YoY.

93% of total subscribers are on

Net Additions Q4 2014

Source: True Corporation

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Source: Operators | NBTC *Estimated information for Q4 Year 2014

Source: National Statistical Oce of Thailand Survey 2014

Internet Users: 26,140,473,

Broadband Penetration per Population: 8.20%

Source: ISP | NBTC

Thai consumers spends 3.1 hours

4.5 million Twitter accounts and 1.7 million Instagrammers.

81% of smartphone users in Thailand have downloaded and use

LINE users in Thailand (Oct. 2014)

Source: ETDA/MICT | LINE | Facebook | 2014

of mobile data per month

Source: Nokia Solutions and Networks (Thailand).

Average video consumption for mobile video users is 3 GB per/month

Thailand's smartphones users are avid video watchers

Presentation by Yozzo Co.,Ltd. www.yozzo.com March 2015

Traffic via mobile device

50% of Thailands YouTube viewers

Traffic via mobile device

Traffic on YouTube via mobile

Thailand has the 2nd highest