1. THAILAND TELECOM AND
SAFETY SURVEILLANCE
MARKET SURVEY
Sirena Cheng
Sep. 14, 2011

2. Agenda
 IDC’s top 10 ICT predictions for Thailand in 2011
 Thailand Telecom Market Overview
 Thailand Safety Surveillance Market Overview
 Q & A

3. 1. Thailand's IT spending to sustain in 2011
IDC predicts that the upward IT spending trend will continue in 2011. Hardware,
software and IT services combined are expected to grow 9.3% year-on-year (YoY),
allowing the total country IT spending for 2011 to exceed US$6.5 billion.

4. 2. Telecommunication Services spending will show persistent climb
 IDC expects the Thailand telecoms services market to
maintain a positive growth trend in 2011 expanding
3% YoY. Both fixed and mobile segments will also
post 3% YoY growth.
 In 2011, the mobile services market will encompass
66% share of the overall telecoms services market in
Thailand. Mobile voice will continue to be the main
source of income for operators, although this
segment will only grow 1% YoY, while data will
expand by 16%. In 2011, IDC expects multimedia
and portable broadband services to have a
combined contribution of 70% to the overall mobile
data services market in the country.

5. 3. Mininotebooks will feel the pressure from the rise of media tablets
 The hype about media tablets has already been
causing many consumers to think twice about buying
new PCs, especially mininotebooks. The
mininotebooks market is hurting not only in demand
but also in supply. PC and Smartphone vendors have
been launching their versions of the media tablets
from late last year to target the same segments that
used to be occupied by mininotebooks. However,
there is no sign that media tablets will replace
mininotebooks in the near future as the capabilities
of media tablets, compared to mininotebooks, are
still limited despite the ability to offer more superior
user experiences. IDC predicts that the adoption of
media tablets in Thailand will be especially
significant in the beginning of the second quarter of
this year.

6. 4. IT Service Providers will refine their Virtualization Strategy
 IT service providers will be intensifying their value-added
services offerings in 2011. On top of their usual products
and solutions, they are likely to offer customized services
to better address the diverse needs and requirements of
different verticals.
 IDC believes that service providers will be especially
focusing their energies and resources on getting to know
the telco, government and education verticals so as to
enhance their value proposition for these markets. The
strategy will also enable them to make their horizontal
products and services more enticing to customers in the
verticals. For example, most IT vendors will partner with
local system integrators (SIs) or Internet telephony service
providers (ITSPs) to deliver customized solutions that fit the
requirements of local businesses.

7. 5. Businesses on the Cloud expected to materialize
 IDC believes that the infrastructure-as-a-service
(IaaS) cloud computing model will be widely
adopted in Thailand in 2011. The services are likely
to be offered by ITSPs and Internet service
providers (ISPs) that have Internet datacenter
facilities. These service providers will actively
expand and implement strategies to manage and
optimize their systems based on cloud technologies
to help businesses increase their productivity.
 Storage, server, security services, as well as some
enterprise collaboration platforms represent
examples of infrastructure cloud services that are
available in the market today.

8. 6. Social Media and the Advantage of Social Analytics—
Exploring Analytics Abilities over Social Platform
 2010 witnessed some early social media adopters in
Thailand from the banking, telecoms and government
sectors. By registering their profile on social media
sites like Facebook, these industries are taking the
initiative to test out new platforms to market their
latest offerings, gain feedback and monitor public
opinions through online communities.
 In 2011, IDC believes that the wider adoption of
social platform across enterprises will encourage
investments in analytics to complement online
community feedback and sentiments.

9. 7. Mobile OS – Application design will span across multiple Mobile
Platform
 Use of smartphones has become an important part of
people's lifestyle and lately, smartphones have shown
massive growth in Thailand. In 2010, the data-centric
smartphone market grew close to 100% and in 2011,
IDC projects that it will reach about 2 million units,
growing by 30% YoY.
 Nokia's Symbian, Apple's iOS, Google's Android and
Research in Motion‟s (RIM) BlackBerry OS are the current
market leaders in Thailand, and IDC projects that they will
continue to enjoy high growth in 2011. IDC believes that
there are ample opportunities for developers creating
apps for any of the major platforms, as growth in apps is
driven by growth in data-centric smartphones. This just
goes to show that it does not really matter whether the
platform is open or closed; applications are needed and
in high demand in this data-centric world.

10. 8. Rise of Integrated Infrastructure solutions to stir channel
development
 Solution bundling of systems infrastructure with
storage hardware and/or software along with
security capabilities is often appealing for medium
to large businesses for its “value-added” qualities.
IDC believes that new product mixes with strategic
pricing will continue to generate momentum in the
market specifically from vendors offering systems
infrastructure, storage, security and services solutions.
 Thailand's systems infrastructure software market
grew at 10.1% YoY in 2010 and is expected to
expand 13.5% this year. In 2011, the concept of
virtualization is likely to draw huge attention for its
ability to enhance consolidation and bring flexibility
to infrastructure platforms.

11. 9. Consumers will invest more on Licensed Security
Software
 Despite conservative consumer spending and the
extensive availability of pirated software, end
users are increasingly paying for licensed
security content and threat management (SCTM)
or antivirus software.
 IDC expects SCTM spending to grow 13% in
2011 and security at 11.7%.

12. 10. Rising Demand for Mobile Data Services Will Stimulate Operators to
Customize Variety of Packages
 Demand for mobile data usage has been increasing
and will continue to grow this year due to the
popularity of smartphones and mobile devices
among consumers and business users. In 2011,
demand for mobile data usage will be on the rise.
 This is mainly due to strong demand coming from
mobile internet access, instant messaging services,
and social networking. This will trigger mobile
operators to devise new data packages to meet the
different demands of consumers and business users.
Volume-based data packages are expected to be
more popular as compared to time-based packages
due to the popularity of smartphones and mobile
devices since users are likely to be “connected”
24/7.

13. Agenda
 IDC’s top 10 ICT predictions for Thailand in 2011
 Thailand Telecom Market Overview
 Thailand Safety Surveillance Market Overview
 Q & A

14. Thailand ICT Market Value Summary in 2009-2010
and Prediction in 2011

15. Broadband THAILAND 2015

17. ITU Development Programs (2011-2014)

18. ITU Asia-Pacific Regional Initiatives & Projects (2011-2014)

19. ITU Asia-Pacific CoE: Courses in 2011

20. Thailand International connection map

21. Thailand ISP connection map

22. Internet User and Statistics in Thailand

23. Thailand Wireless ISP overview

24. Telecommunications Equipment market in Thailand
 According to a national market survey conducted by the National Electronics
and Computer Technology Center (NECTEC), Thailand‟s information and
communications technology (ICT) spending in 2009 was valued at $12.1
billion, reflecting a 5.6 percent increase over the previous year. The ICT
market is forecasted to grow by 6-8 percent in 2010.
Trade Shows: CommunicAsia 2010
Date: June 15-18, 2010
Venue: Singapore Expo, Singapore
Website: http://www.communicasia.com/

25. Agenda
 IDC’s top 10 ICT predictions for Thailand in 2011
 Thailand Telecom Market Overview
 Thailand Safety Surveillance Market Overview
 Q & A

26. Total $ 134 Millions
$ 100
$25
$ 7.5
$1.5
Safety and Security Market in Thailand Overview
Market Value: $134 Million in 2006
Market Growth: 30% per year
Market Classifications
• Detection Devices ($ 25 Millions Dollar)
• Video surveillance systems ($100 Millions Dollar)
• Fire and gas detectors ($1.5 Millions Dollar)
• Home Security Systems ($7.5 Millions Dollar)

27. Safety and Surveillance Market Classifications
 Detection Devices:
 Major buyers: Embassies, banks, Hotels, Offices
and manufacturing plants
 Video surveillance systems:
 Major buyers: Commercial buildings including
commercial banks, shopping complexes,
residential buildings, manufacturing plants and
warehouses
 Fire and gas detectors:
 Major buyers are petrochemical, oil refinery and
gas industries
 Home Security Systems:
 Major buyers: upper middle to high-end single
detached house owners

28. Thailand Safety and Security Market Overview
 Thailand is by far one of the biggest security and safety markets in the ASEAN
region. The Thai government„s overall annual spending in security is estimated to be
USD 70 million, and is expected to grow between 5% and 10% over the next few
years. The Bangkok Metropolitan Administration (BMA) is installing a hybrid system
linked to about 10,000 surveillance cameras in the streets and public depots of
Bangkok.
 The intelligence and security surveillance markets also take up a significant share,
especially in the southern provinces of Thailand where one city surveillance project
worth USD 30 million.
 The sales of IP-based systems and analog increased by 20% and 15% respectively
in 2009 and it is expected to grow steadily.
 The security electronics market including video surveillance, access control, intrusion
detection and perimeter fencing is estimated to reach up to THB 9.5 trillion (USD
280 million) in 2010.
 With the legal enforcement of the Building Inspection Law, the fire alarm market is
estimated to reach USD 60 million and demand for fire alarm systems is expected
to grow tenfold. It is estimated that 15,000 to 20,000 building units need new fire
alarm systems.

29. Thailand Safety and Security Market Overview
 Thailand's economic stimulus package of USD 3.3 billion is aiming to
further develop critical infrastructure and this is also fuelling the demand
for security solutions. One of the infrastructure projects is the extension of
Bangkok's mass rapid transit (MRT) system and the Suvarnabhumi Airport
rail link, which will prompt a high demand for surveillance cameras.
 Thailand is by far one of the biggest security and safety markets in the
ASEAN region. The Thai government‟s overall annual spending in security
is estimated to be USD 70 million, and is expected to grow between 5
and 10 percent over the next few years.
 Thailand‟s vast infrastructure investment is prompting a high local
demand for security solutions. For example, the government will invest
THB 1.43 trillion (USD 42.2 billion) in the three-year Stronger Thai
stimulus project focusing primarily on infrastructure.
 According to the A&S Asia magazine, the sales of IP-based systems and
analog in Thailand increased by 20 percent and 15 percent respectively
in 2009 and it is expected to grow steadily. The security electronics
market including video surveillance, access control, intrusion detection
and perimeter fencing is estimated to reach up to THB 9.5 trillion (USD
280 million) in 2010.

30. Security and Safety Equipment market in Thailand
• The market for safety and security equipment is expected to grow at between 5-10 percent over the next
few years. The ongoing unrest in Thailand‟s three southern most provinces is expected to sustain Government
spending in the area over the next couple of years. From 2004 to 2009, the budget for security projects in
Southern Thailand was reported to be $1.5 billion. Spending on airport security, particularly on scanners, is
on the rise as a direct result of the 2009 Christmas bombing attempt at the Detroit airport. Annual spending
on security at the Suvannabhumi Airport is reported at $48 million.
• CCTV accounts for 70 percent of the overall spending on security equipment in the market. It has an
estimated annual value of $90 million. Industry experts believe it will continue to be the most popular form
of security equipment and expect this sector to grow 10-15 percent annually.
• The market for fire alarms is estimated at US$60 million, and demand for fire alarm systems is expected to
grow by ten-fold with the legal enforcement of the Building Inspection Law. Enforcement of this regulation
will create a market of 15,000 to 20,000 building units that need new fire alarm systems. Companies in the
security industry are optimistic about the growth of this market segment.