1. WiMax The beginning of the new era in telecommunications in Macedonia

2. WiMax - The beginning of the new era in telecommunications in Macedonia Introduction Key elements of the telecommunication sector Key elements of the telecommunication sector Key players in the TELCO business Key players in the TELCO business Importance of broadband internet as a cornerstone of the TELCO business Importance of broadband internet as a cornerstone of the TELCO business The real situation in Macedonia The real situation in Macedonia Will WiMax change the picture ??? Will WiMax change the picture ???

3. WiMax - The beginning of the new era in telecommunications in Macedonia Key elements of the TELCO sector Infrastructure: Infrastructure: –Basic infrastructure (copper cables, Fiber cables)‏ –Last mile access (xDSL, CableTV, Wireless, Fiber to the home, etc. –Interconection between networks (SS7 for voice, Peering between ISPs for Internet access)‏ –Internet access

4. WiMax - The beginning of the new era in telecommunications in Macedonia Key elements of the TELCO sector (2)‏ Marketing Marketing Costumer services Costumer services Simple legal procedures Simple legal procedures

5. WiMax - The beginning of the new era in telecommunications in Macedonia The real situation in Macedonia 3 market segments: 3 market segments: –Home users –SOHO users –Large users Most problematic segments: Most problematic segments: – Broadband access with capacity limits –Poor costumer support –SOHO users pay 150% more than Home users –Most services require contract for 1 year or more

6. WiMax - The beginning of the new era in telecommunications in Macedonia The comparison Terrible Quality of service Quality of service varies depending of operator Quality of service most of the time is DSL grade Main problem 20 EUR10/15 GB1 MbitWADSL (2Y)‏ 15 EUR 25 EUR 10 GB XX GB 2 Mbit 4 Mbit CABLE TV CABLE TV SOHO 25 EUR 55 EUR 95 EUR 10 GB 40 GB 100 GB 1,5 Mbit 2 Mbit 3 Mbit MAXADSL SOHO (1Y)‏ 10 EUR 20 EUR 25 EUR 2 GB 10 GB 100 GB 1 Mbit 1,5 Mbit 2 Mbit MAXADSL Home user (1Y)‏ PriceCapacity limitSpeedType of access

7. WiMax - The beginning of the new era in telecommunications in Macedonia The common problems Broadband which is capped Broadband which is capped After capacity is reached there are 2 options – pay for additional MB as you go or get “upgraded” to 64/64 or 32/32 After capacity is reached there are 2 options – pay for additional MB as you go or get “upgraded” to 64/64 or 32/32 Major service interruptions are never announced even if they are planed Major service interruptions are never announced even if they are planed Massive overselling of services Massive overselling of services Customer care is hard to get, usually takes 10 min. call waiting and most of the time the user is left on his own to solve the problems Customer care is hard to get, usually takes 10 min. call waiting and most of the time the user is left on his own to solve the problems The is no written quality of service contract so the end use pays even if there is a problem with quality The is no written quality of service contract so the end use pays even if there is a problem with quality Contracts with 1 year length or more Contracts with 1 year length or more

8. Will WiMax change this?

9. WiMax - The beginning of the new era in telecommunications in Macedonia YES, but only if the market has some good competitive practices The key elements on which we should focus: Fair competition Fair competition Excellent costumer support Excellent costumer support Broadband internet – in the true meaning of the word – no CAPS, good speed,… Broadband internet – in the true meaning of the word – no CAPS, good speed,… Contract on unlimited period – leave the costumer with the power of choice Contract on unlimited period – leave the costumer with the power of choice

10. WiMax - The beginning of the new era in telecommunications in Macedonia Who needs to take all these responsibilities The Operators The Operators The Government with its legislation and bodies The Government with its legislation and bodies The users The users

11. DISCUSION