Analysys Mason Podcast

The logic of HPE’s purchase of Silver Peak is clear, but the price looks high

In this podcast, Research Director, Tom Rebbeck discusses HPE's plan to purchase SD-WAN firm Silver Peak for USD925 million in a deal that was announced on 13 July 2020. 
 
The associated article can be found here.

IoT in agriculture: emerging markets provide important opportunities for operators

The agricultural sector has been considered to be a strong market for IoT, particularly since the advent of LPWA, but activity has been limited. However, some technology providers are now making progress in this sector, though some barriers, such as a fragmented upstream supply chain to the producers, still remain.
The associated article by Principal Analyst, Michele Mackenzie can be found here.

Business survey 2020: the COVID-19 pandemic will accelerate the cyber-security spend of SMBs in the USA

Analysys Mason surveyed over 400 small and medium-sized businesses in the USA in April and May 2020 to assess how the COVID-19 pandemic will affect (and is affecting) their demand for IT services. In this podcast, Analyst, Igor Babić discusses the results from this survey and examines the pandemic’s impact on SMBs’ adoption of cyber-security solutions and related plans.
The associated article can be found here.

COVID-19: 5G capex will bounce back after a short-term decline, but operators will have new priorities

Analysys Mason has published an early-stage analysis of the likely impact of the COVID-19 pandemic on 5G supply and demand in 2020 and 2021. In this podcast, Caroline Gabriel explains that the fundamentals of the 5G business case remain largely intact. However, there will be disruption to network deployment and weaker demand from consumers and businesses in the middle quarters of 2020. The reduced demand is likely to persist for a longer period than the network disruption and will drive operators to intensify the focus of their 5G strategies on cost reduction rather than new, enterprise-driven revenue streams.
The associated article can be found here.

Facebook’s investment in Jio Platforms is likely to pave the way for a super app in the mould of WeChat

In late April 2020, Facebook announced its intention to invest INR435.74 billion (USD5.7 billion) for a 9.99% stake in Jio Platforms (the parent company to Reliance Jio, India's leading mobile operator) and, in a related move, to link up WhatsApp and JioMart (Reliance Industries’s click-and-collect e-grocery platform).
In this podcast, Analyst, Inigo Barker discusses Facebook's investment in Jio Platforms and the ramifications of the deal on India's telecoms and digital sectors.
The associated article can be found here.

COVID-19: operators expect EBITDA margins to decline by low single digit percentage points in 2020

Most operators have temporarily suspended their financial guidance for 2020 due to the COVID-19 pandemic. However, there is a general consensus that the COVID-19 outbreak will have a negative but temporary effect on EBITDA levels in 2020 (some operators believe that the percentage decline will be in the low single digits), and will lead to a slowdown in capex growth.
This podcast provides an overview of the impact that operators expect the COVID-19 crisis to have on their EBITDA and capex in 2020, based on reporting from over 15 operators, mostly in Europe and North America.
The associated article can be found here.

COVID-19: operators’ business revenue results from 1Q 2020 show that the crisis is starting to take effect

Operators’ quarterly investor reports for 1Q 2020 were filled with warning signs about the impact of the COVID-19 crisis. A temporary end to business travel, financial difficulties, business closures, rising unemployment, an increase in bad debt and the implications of a recession were all mentioned as concerns.
The crisis comes after what was a reasonably successful 2019. Indeed, many operators reversed negative revenue trends. The weighted average for business revenue growth increased from –0.6% worldwide in 2018 to 1.2% in 2019.1 However, operators expect that business revenue will decline significantly in 2020.
The associated article can be found here.

The proposed O2–Virgin Media merger will significantly increase the level of fixed–mobile convergence in the UK

On 7 May 2020, Telefónica and Liberty Global agreed, subject to regulatory approval, to merge their UK operations in a 50:50 joint venture. The proposed merger will create a second converged operator in the UK market and is likely to increase pressure on standalone players. 
In this podcast, Analyst, Simon Lumb explores the strategic reasons driving the merger and explains how it is likely to affect fixed–mobile convergence retail offers in the UK retail market in future.
The associated article can be found here.