20140505_How far are we from 4G Mass Market Devices_SL V1

How Far Away are we from

4G Mass Market Devices

Prepared by: Shihab Labib

June 2, 2015 How far away are we from 4G Mass Market Devices 2

4G is NOT built for

Everyone!

June 2, 2015 How far away are we from 4G Mass Market Devices 3

Driving market demand for 4G is a two sided coin

Source:

GSA Evolution to LTE report, February 17, 2014

GSMA Intelligence Report: Infographic: Global 4G-LTE connections forecast: 2010 to 2020, Mar’14

June 2, 2015 How far away are we from 4G Mass Market Devices 4

Year 2013 marked the mass deployment of 4G Network

279 4G Commercial

Launched Network

across 101 countries

(58% Growth from 2012)

GSA forecasts 350+

commercial 4G network

by end of 2014

3% 8%

39%

51%

4G Subs Distribution

by Region

NorthAmerica

APAC

Euope

RoW

June 2, 2015 How far away are we from 4G Mass Market Devices 5

Mass 4G rollout cast its shadow on no. of Subs & …

Source of data: Informa Telecoms and Media Provided to GSA on March 6, 2014

200 million

Global LTE subscriber

base will reach over 1

billion by 2017

June 2, 2015 How far away are we from 4G Mass Market Devices 6

…Devices!

Source : Status of the LTE Ecosystem reports 2011 – 2014, GSA - www.gsacom.com

4G Devices Models

41%

29%

11%

8%

8% 3%

Smartphones

Routers

Dongles

Modules

Tablets

Others

Breakdown of 4G Devices by Type

154 Manufactures

(Up 58% YoY)

June 2, 2015 How far away are we from 4G Mass Market Devices 7

4G situation is no different across GCC

Source : GfK Analysis for 4G Smartphones Sales across GCC Jul’13 – Dec’13

0%

5%

10%

15%

20%

25%

30%

35%

0%

5%

10%

15%

20%

25%

30%

35%

0%

5%

10%

15%

20%

25%

30%

35%

0%

5%

10%

15%

20%

25%

30%

35%

% of 4G Penetration in total Smartphone Sales by Month

Overall GCC Average UAE Oman Saudi Arabia

June 2, 2015 How far away are we from 4G Mass Market Devices 8

2014 will witness the dawn of Entry 4G Smartphones

Source : GfK Analysis for 4G Smartphones ASP 1Q12 – 4Q13

0%

50%

100%

4G

3G+$400

0%

50%

100%

4G

3G$150 - $400

0%

50%

100%

4G

3G$80 - $150

Key LTE Smartphones in

Year 2013

Key LTE Smartphones in

Year 2014

iPhone 6 Note 4

SGH S5 Mini

Nokia SGH

But why is 4G not built for

Everyone?

9

Source: Deloitte: Global Mobile Consumer Survey 2013, Nov’13

June 2, 2015 How far away are we from 4G Mass Market Devices 10

Price remains FOCAL purchase criteria

Source: Deloitte: Global Mobile Consumer Survey 2013, May’13 – July’13

June 2, 2015 How far away are we from 4G Mass Market Devices 11

Old is not Gold in the world of 4G!

Smartphone Penetration in Developed

Countries by Age Group

Smartphone owners that have never

downloaded an App by Age Group

Source: Deloitte: Global Mobile Consumer Survey 2013, May’13 – July’13

June 2, 2015 How far away are we from 4G Mass Market Devices 12

iPhone was a true game changer for Nawras

Monthly LTE Download Traffic LTE Daily Registered Users

Introduction of

4G over iPhone Introduction of

4G over iPhone

Is MENA any different?

13

Source: Ooredoo New Horizons Research, Young, Arab, and Connected, Jul’13 – Aug’13

June 2, 2015 How far away are we from 4G Mass Market Devices 14

June 2, 2015 How far away are we from 4G Mass Market Devices 15

4G is not built for Everyone

Identify your base barriers to upgrade to 4G

Keep your eyes open for Entry 4G Smartphones

Shihab Labib

[email protected]

16