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Joint Business Operations With MPT

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KSGM’s Joint Business Operations

with MPT
March 14, 2018
Yoshiaki Benino
COO, MPT KSGM Joint Operation
KDDI Summit Global Myanmar

Table of Contents

1. Joint Business Operations with MPT

2. Overview of KSGM

3. Outline of Joint Telecommunication Business with MPT

4. Q&A

2
1. Joint Business
Operations with MPT

Joint Operations

4
MPT-JO
Joint Operations

MPT KSGM

Employees Employees

Existing equipment New equipment

License Know-how

Customer base Funds

Background Behind Joint Business Operations

• 2012: Movement towards deregulations in telecommunications

• June 2013: Awarding of telecom licenses to foreign service


providers

• December 2013: Bidding for partnership with MPT on joint


business operations

• July 2014: Conclusion of agreement

6
• September 2014: Renewal of brand

“Most Loved Brand”

WPP Brand Ranking Survey

2nd place: SAMSUNG


3rd place: Telenor
4th place: Huawei
5th place: Max+ (beverage)

8
Bright future of
telecommunications
in Myanmar

Shape of
MPT’s Myanmar
corporate
color
9

2. Overview of KSGM

10
Company Overview of KSGM

Company name: KDDI Summit Global Myanmar


Establishment: June 2014
Line of business: Telecommunications
(NFS-C license obtained in February 2015)
Representative: Toshitake Amamiya
Shareholders: KDDI Corporation, Sumitomo Corporation
Number of 984 (as of January 1, 2018)
employees:

11

Why enter the Myanmar market?

Population exceeding 50 million


Undeveloped compared with surrounding countries
Literacy rate is high and people are diligent and
hardworking

High growth can be expected

12
Why enter the Myanmar market?

Only for obtaining profit?

Would like to contribute to the growth


of Myanmar
13

What is necessary for the development


of Myanmar?

Legal systems
Social infrastructure

Development of communications
infrastructure
14
Specific roles of KSGM

Transformation

15

KSGM’s Know-how

KDDI’s technical Sumitomo


Corporations’
capabilities expertise in
Marketing power overseas businesses

16
Mobile Communications

Carrier NW Carrier NW
Optical cable

Base stations

17

Challenging Environmental Conditions

18
System Design and Measures Transformation
Organizational Vision and Mission
design Strategies
Human resources Business plan
Resolutions and Decision making
approval Meeting bodies
Payment PDCA
Accounting Introduction of TFT
Purchasing and
order placements
Contracts
Internal control
Renovation
19

Joint Operation System

Internal Board of
Auditor Directors

CEO

Operation Finance Commercial Technical

COO CFO CCO CTO


20
3. Outline of Joint
Telecommunication
Business with MPT

21

MPT’s Services
• Mobile phones • Landline phones

• International calls • Internet


• ADSL
• FTTH
• Fiber Internet

• Corporate networks
• IP-VPN
(domestic/international)
• Private lines
(domestic/international)
22
Mobile Phone Services

•Broader

•Faster

•More usable

23

Mobile Phone Services


• Broader
At the time of
market entry September 2017
(September 2014)

Population Population
coverage rate coverage rate
49% >90%
Communication standards: Communication standards: 24
2G/3G 2G/3G/4G
Mobile Phone Services
• Broader
Dec. 2017 Dec. 2018

82 280
Townships Townships
• Faster
+ 20
MHz Max

New

10 MHz
Max
10 MHz 150 Mbps
Max
+

150 Mbps
300 Mbps
25

Speedtest Awards

Received Speedtest Award


from Ookla

26
Mobile Phone Services
• More usable

MPT 4U

27

Mobile Phone Services


• More usable

28
FTTH Services

• August 2017: Services commenced


in Sule

• 2018: Service area is scheduled to


be expanded gradually

29

Business Services

• IP-VPN
• International IP-VPN: Commenced in 2017
• Mobile Remote Access is also provided

• Fiber Internet
• Multiple-route overseas connections
• Google and Facebook cache

Nationwide
30
Business Services
• Mobile Phone Services

Free calls/SMS within groups Reasonable data plans Data only SIM

Secure mobile access Package plans SMS and USSD 31

Business Services
• Toll Free Calls (reverse billing service)

32
Contribution to Myanmar
US$ 2 Bil
MNL
Voice
1.7 Trillion MMK

MPT – KSGM
JO

3 Bil MMK
120,000 Jobs
17,000 employees
180 program
Rakhine 31 BTS 33

Myanmar Employer Awards

• People's Choice Award


• Gold for Most Effective Recruitment Strategy for Talent
Attraction
• Gold for Best Use of Technology in HR
• Bronze for Best Use of Rewards & Recognition
• Bronze for Best Career Advancement Program

34
Rakhine

• Based on request from the


Myanmar government
• Working on the Target area

improvement in radio wave


situation
• Measures against
Rohingya refugee problem Rakhine

35

Rakhine

Target area

Rakhine

36
Healthcare Environmental conservation
Blood donations

Water

37

Education
IT education Mobile seminars

38
Business Incubation

39

University

Regional revitalization U 14

Development of the Grassroots

next generation
40
41

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