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IT industry in Malaysia expects to move beyond tradition in 2016 - Part 3

AvantiKumar | Jan. 11, 2016
Cybersecurity is a major theme of the concluding part of this 2016 Malaysian industry roundup by industry leaders from Sysarmy, Schneider Electric, Ericsson, Galasys, Fortinet, Cisco, CA Technologies, and NetApp.


Todd Ashton - Ericsson

Todd Ashton (pic), President of communications solutions provider Ericsson Malaysia and Sri Lanka, said:  We see that combining mobility, broadband, and cloud together with good ideas and local talent will fuel the engine of local growth, driving business opportunities for many Malaysian companies and thereby contributing to the economic development of Malaysia - way more than the incredible impact than the mobile phone and fixed broadband have already had.  

We are entering a new industrial revolution where we are witnessing a speed of change to people business and society never seen before and which will develop our world into a Networked Society. We believe that the objective of Malaysia becoming a high income nation will be reached by connecting industries through partnerships.

The industry in Malaysia is highly competitive - there are many mobile players looking to compete.  The extreme competition is good for the consumer in terms of prices, but the margins for the service providers remain attractive and continue to encourage investment.

What we observe is that challenges remain when it comes to offering mobile data and application speeds to the consumer nationwide - both from a network perspective but also a pricing and packaging perspective. Revenue growth of operators in Malaysia remained positive with small growth. 

We believe an opportunity remains for someone to emerge as a clear leader.
- In 2015, we saw the proposed merger of Alcatel Lucent with NSN, a process that is still ongoing.
- This year, Ericsson also announced a key partnership with Cisco in order to serve our customers better.  Additionally we have acquired a number of companies to further strengthen our offering in the IT space and to Broadcasters and Media players.
- Ericsson celebrated 50 years in Malaysia as the oldest foreign telecommunications company and announced the world's first Connected Mangroves here in Malaysia.

In 2016, Malaysia will be moving into a more connected digitally advanced era and strengthening its position as am emerging digital nation. According to the Malaysian Communications and Multimedia Commission (MCMC), this move was made to encourage consumers to get into "the digital mainstream" and "participate in the digital and internet economies".

Ericsson's Networked Society vision plays its part in helping to achieve the status of a digital nation by helping people to stay connected and further empowering the transformation of other industries. Ericsson hopes to be able to work with both public and private sectors to achieve our vision of a Networked Society that will change the way we innovate, collaborate, produce, govern and achieve sustainability.

In this fast changing landscape, one enormous challenge is for service providers to transform their network and operations fast enough to capture the smart phone / tablet and application growth while offering a truly amazing experience.  Examples of revenue opportunities to be captured beyond the classic retail business model are Video on demand / streaming, mobile Commerce and Connected Services (such as smart homes etc.)


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