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Delta’s 5G activities in India and strategy over the next couple of years

Rajesh KaushalOn how the telecom sector will pan out in India over the next couple of years.

Telecom sector is going to be a big contributor in meeting government’s target of 5 trillion economy by 2024. Although this sector is currently going through a tough phase with AGR related dues, stressed P&L etc., but the way India market is growing overall, Delta can very easily overcome these challenges. Government and industry is working on revival steps and we hope things to settle down positively. There is an acute need of strengthening infrastructure for which operators need liquidity. Operator’s decision on price hike is a welcome step for the industry growth.

On challenges and opportunities

India’s data usage per smartphone is the highest in the world at 9.8 Gb per user per month. However, India is far behind rest of the world in matching internet speed (ranks 74). This means that with ever-rising data needs, there is a big room for operators to further strengthen the network by reaching closer to the point of consumption and create a better service platform. Again, the catch is liquidity factor – operators should get paid more for their services; else they will not be able to invest back in the infrastructure.

On addressable market for telecom power solutions in India

The TAM for the passive infrastructure has shrunk by 50 percent in 2019. With one key operator announcing no more BTS sites in latest AGM and another key operator not investing much in expansion or upgradations, the industry is left with only few players driving the infrastructure market directly or indirectly through towercos. Next shift in the market that can happen, will be rollout of small cells, which may balance this dip.

On adoption of hybrid systems over conventional ones

The industry is actually moving towards alternate storage solutions like Li-Ion battery (LIB). With smaller dimension, faster rate of charge, high rate of discharge, and longer life, operators are considering LIB for selective usage. Cost of LIB is still a challenge when compared to traditional VRLA batteries. For some applications, customers are even looking at hybrid usage of LIB and VRLA.

On increasing deployment of small cells in LTE/LTE-A networks

5G will still need sometime to come in existence. Moreover, books do not allow operators to even bid for 5G licenses at this moment. The government will have to earn back industry’s interest for 5G roll-out. What we can see in shorter term is small-cell development. Currently, RFQs are open for opportunities of 50–75K small cells in the next 2 years.

On Delta’s 5G activities in India and strategy over the next couple of years

Delta, with its multinational presence, has been witnessing worldwide telecom developments. We have introduced a wide range of high-efficiency power solutions including IP-65 variants for power needs in 5G. Smaller-capacity Li-Ion batteries, pole-mount power solutions, remote power, and remote communication are some of our expertise for the current market.

On plans to steer the company to newer heights for the next couple of years

We are not limiting ourselves to mere telecom. To diversify our product offering and addressable market, we have been actively working on smart cities, system integrators, railways, and industrial applications.

On orders being execented currently

We are working with operators and associated tower companies for all power needs, including SMPS, IPMS, outdoor solutions, and small cells. Having an installation base of close to a million equipment, our footprint is continuously increasing with a market share of above 55 percent. To name a few, we are working on small cell and USOF projects with key operators in telecom and major IT giants for UPS and data center industry.

On your strengths

Delta with its strong nationwide presence maintains a good product mix. Having large R&D setup, in-house and global, we have practically all elements of passive infrastructure for Telecom sector. All this gets complemented by large production capacities to meet any upsurge on demand side. Our 24*7 PAN India service network ensures highest uptime for our installation base. We have been maintaining highest market share for years, this is a testimony of customer’s trust in brand Delta.

Anything else you may like to add

As Delta, we offer our customers a one stop shop options for their communication and information solutions (CIS) needs. Our offerings include SMPS, UPS and Data Center solutions, building automation, and network switches.