Apple iPhone 6, 6Plus Launched in Pakistan

[Riaz Haq]

Pakistani cell phone service operator Ufone has partnered with Apple to launch iPhone 6 and iPhone 6Plus smartphones in Pakistan. Ufone customers can register online for iPhone 6 and iPhone 6 Plus at the company’s website.

Smartphone sales have accelerated in recent months after the roll-out of 3G and 4G services in Pakistan. The number of 3G subscribers has reached 4 million mark, apparently surpassing all other broadband technologies in the country, within the first three months of the issuance of 3G and 4G licenses in the country. There are around 3.7 million broadband subscriptions in Pakistan for all technologies combined including WiMAX, DSL, EvDO, FTTH, Satellite, HFC and others till May this year.

Total number of mobile subscribers in Pakistan is over 150 million. A growing number of these subscribers are smartphone owners who are using web services like e-commerce and social media. Gertjan van Laar, an app developer who recently published a report on smartphone usage in Pakistan, told Tech in Asia that smartphone penetration has reached between 7 and 10 percent of the population – in contrast to the general mobile penetration rate of 80 percent.

Here are some of the highlights of the report on smartphones in Pakistan:

1. Android is Pakistan’s top smartphone OS with 68 percent share just among smartphone users

2. Apple iOS is second with 24 percent share; Windows Phone is third at eight percent

3. Samsung is the top brand; iPhone is second; homegrown phone-maker QMobile is third

4.  35 percent  of smartphone users in Pakistan own a low-cost phone.

Growing availability of smartphones  and 3G/4G services is enabling Pakistani apps developers to build and offer a wide range of apps, including everything from the most-used messaging apps to social networking, games, entertainment, government, banking, business and finance, navigation and utility apps, such as budgeting and data backing, according to a report in The Express Tribune newspaper. In addition to software houses, an active community of mostly self-taught freelance app developers is also bidding for projects listed on global online platforms, such as oDesk, Elance, Guru and Freelancer, the paper adds.

Increasing access to advanced smartphones and mobile broadband augurs well for innovation and investment in Pakistan.

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[Riaz Haq]

ISLAMABAD: Pakistan has potential to lead to transform into a cashless economy by shifting from conventional mode of cash payments to electronic ones, which now have becoming preferable for being cost saving, transparent, speedy and secure, Managing Director Better Than Cash Alliance, Dr. Ruth Goodwin-Groen said. Dr. Ruth, while talking to a selected group of journalists here said that the United Nations-backed alliance would ask Pakistan to join the group, which already has over 30 members, while the registration of several other countries is in process.

She said that Pakistan has tremendous potential to exploit as just 10 percent of its population were utilising banking services and 90 percent were still away from these services.

The Better Than Cash Alliance is UN-housed alliance of governments, the development community and companies, committed to empower people by shifting from cash to electronic payments.

The alliance works closely with World Bank, the Consultative Group to Assist the poor, the World Economic Forum and is an implementing partner of the G20 Global partnership for financial inclusions.

Talking about the benefits of the alliance, Dr. Ruth said that the biggest generators of payments globally, estimated offer US$40 trillion in 2009, with millions of people in developing countries receiving salaries benefits and pensions through government-to-people payments.

She said that the financial services are often difficult and expensive to provide to poor people at scale.

As a result, most of these households are forced to subsist almost entirely in an informal, cash-only economy, making it difficult to save for the future, build assets and move out of poverty.

She said, when governments shift payments from cash to electronic distribution-for example on mobile phones or by prepaid cards-there are lasting benefits for people, communities and economies.

She said that the electronic payments decrease costs and increase efficiencies, citing example of Mexico, where the government trimmed its spending on wages, pensions and social welfare by 3.3. percent annually, or nearly $1.3 billion, by centralising and digitising its payments.

She said that electronic payments are more transparent, increasing accountability and tracking and reducing corruption and theft while these are typically safe and have faster delivery.

She was of the view that electronic payments can also accelerate access to and use of financial services and can also open doors for new business models for previously excluded people and create additional benefits. 

http://www.dailytimes.com.pk/business/04-Dec-2014/pakistan-has-pote...

[Riaz Haq]

KARACHI: Pakistan has always been on the radar – for good reasons and bad. When it comes to online shopping and advertising portals, the market seems ripe to invest.
Foreign investors, keen to expand in other countries, have seen South Asia as a lucrative market with its bulging population and growth in internet penetration. Rocket Internet is one of the foreign companies that have made their presence felt in Pakistan, taking on local competition with its aggressive expansion strategy. Backed by heavy investments, the German based e-commerce focused venture capital firm and startup incubator has captured a share in the country’s growing market.
The company has given stiff competition to leading portals in various spheres including pakwheels.com, zameen.com and homeshopping.pk with clones including carmudi, lamudi and daraz.pk clones. Since the start of their operation in 2012, they have doubled the number of their ventures, pouring in millions of euros.
During his visit to Karachi, Asia Internet Holding co-Chief Executive Officer (CEO) Koeen Thijssen said that Pakistan has the most number of ventures opposed to the rest of the Asian countries Rocket Internet has invested in. Asia Internet Holding, a joint venture between Rocket Internet and Qatar-based Ooredoo, builds and funds startups across Asia, particularly focusing on ecommerce and mobile services. The core focus is emerging economies in Asia, particularly Pakistan, Myanmar, Thailand, Malaysia, Singapore, Indonesia, Vietnam and the Philippines.
He said Rocket Internet will pump €180 million during the next three to four years as investment in Asia, declining to quote even a ballpark figure for Pakistan’s share.
“But a major chunk will be invested in Pakistan,” he said.
Recently, Daraz.pk – based on the amazon model – included the electronics category on its online shopping store. “The response has been very good with almost 100 iphones sold in a matter of seven days.
“The profit margins in electronics are very low. The local sellers did not have the platform, skills or the delivery network to sell in high volumes, so they go through us.”
The co-CEO said Pakistan is an interesting case because most of the local ventures are headed by Pakistani nationals, while in the rest of the Asian countries, expats tend to head the ventures. “It’s very unique for Pakistan. It seems that the country naturally has the entrepreneurial gene,” he said, appreciating the country’s workforce. “It’s difficult for expats to recognize local market mechanics.”
When asked about the company’s market strategy, he said, “It is simple; it aims at transparency by providing comparable prices on its websites. We are also using market place strategy for all our ventures,” Thijssen added.
Internationally, the German company – owned by the Samwer brothers– is criticised for its business model that focuses on replicating successful ventures rather than coming up with genuine ideas.

http://tribune.com.pk/story/803154/e-commerce-pakistan-very-much-on...

[Riaz Haq]

Pakistani Investors: Invest in Local Technology Startups NOW!

BY KHURRAM ZAFAR ⋅ DECEMBER 11, 2014 ⋅

I believe that the technology entrepreneurship ecosystem in Pakistan is at a tipping point! There are a number of factors at play that make Pakistan so ripe for both local and international investors looking to invest in the tech space:

• Quickly growing internet adoption currently estimated to be 25 million internet users and 15 million mobile internet users;
• Cheap smart phone devices costing under $50;
• 3G and 4G rollouts;
• Massive amounts of marketing and media spend by companies like Rocket Internet, Schibsted, and Naspers that’s targeted to make Pakistani consumers comfortable transacting online;
• Development of platforms like The Foundation at LUMS Center for Entrepreneurship and Plan9 that are supporting passionate entrepreneurs during their formative years;
• Slow but steady investments flowing into startups at seed (e.g. Kima Ventures investment into Eyedeus Labs) and early stage (Frontier Digital Venture’s US$3.5 Million investment into PakWheels...) from local and foreign angels as well as early-stage funds;
• Tens of millions of dollars being poured into developing pervasive electronic and online payment infrastructure in Pakistan (you have to take my word for it, but telcos and major banks will soon start announcing these plays);
• Successful entrepreneurs returning from abroad and providing mentoring to startups and building bridges for them outside of Pakistan;
• Gradual realization by seasoned businessmen and young aspiring entrepreneurs alike that internet has a massive equalizing power and they can tap into a global market of billions through online channels;
• Low cost of starting a technology business due to easy access to cloud computing platforms; massive distribution channels like the PlayStore, AppStore and Facebook; ability to create very targeted online marketing campaigns; inexpensive outsourcing of development tasks to freelancers; and quick feedback from customers to iterate and improve the products and services;
• Ease of doing a tech business in Pakistan compared to the red tape and bureaucracy that has to be dealt with while setting up an industry (in fact, software exports still enjoy a complete tax holiday in Pakistan);
• Excellent leverage on HR that tech (product) businesses provide compared to any other business and we all know that good HR is a constraint anywhere in the world;
• And lastly, because tech businesses are not as widely impacted by security, electric power shortfalls, gas load-shedding and others infrastructure issues plaguing the rest of the industries in Pakistan.

You inject a bit of capital to catalyze all this further in the 6th most populous (196 Million) country in the world, and we can have a perfect storm that can turn the Pakistani technology startups of today into the giant global businesses of tomorrow!

How long will you keep pumping money in sugar and textile mills? Let me share something that might shed some light on the opportunity that I am ranting about. The following chart compares the annual profit before taxes of a single games companybased in Finland, a country with half the population of Lahore, employing only 120 people (which recently took over Nokia’s old R&D facility) with multiple publicly listed companies in Pakistan belonging to various industrial segments. Here are some eye opening inferences in case they are not readily evident:

• One mobile gaming company in a country with half the population of Lahore makes more profit before taxes than ten of the largest cement companies in Pakistan
• One mobile gaming company in a country with half the population of Lahore makes more profit before taxes than two companies that distribute natural gas to the entire Pakistan
• One mobile gaming company in a country with half the population of Lahore makes more profit before taxes than five power generation companies and two oil refineries combined
• One mobile gaming company in a country with half the population of Lahore makes more profit before taxes than nine of the top textile mills, five automobile companies and 5 sugar mills combined

Comparison of profit before taxes (FY2013) of a single mobile gaming company with various industries in Pakistan

Here is another chart to drive home the point.

• One mobile gaming company in a country with half the population of Lahore makes more profit before taxes than any one of the largest banks in Pakistan
• One mobile gaming company in a country with half the population of Lahore makes 6 times more profit before taxes than National Bank of Pakistan

Comparison of profit before taxes (FY2013) of a single mobile gaming company with various banks in Pakistan

Alright, so I have used one of the most successful games development companies for comparison, but that is besides the point. The point is, the next big games development company could be Mindstorm Studios based right here, in Lahore. The fact that it’s based in Pakistan does not minimize its chances of success. It’s as good an investment opportunity as Supercell of Finland!

One of the incubated companies at the LUMS Center for Entrepreneurship, interaCta, has developed tech to make all TV and radio broadcast interactive without the need of additional hardware, just requiring smart phones. Imagine the implications! It can disrupt the TV, Radio, Advertisement, Ratings industries just to name a few. A potential acquirer wouldn’t care whether the tech was developed at Xerox or LUMS. Eyedeus Labs, another team of LUMS students, recently raised money from Kima Ventures. They are looking to disrupt online video advertisement market by introducing non-intrusive advertisement methods in the videos that do not distract the viewer. Then there is Savaree, BizClout, Burq Solutions, JewelryDesignPro, P for Plan and the list goes on. All of these are great investment opportunities seeking capital. And these are just a few of the seed stage investment opportunities.

I repeat. This is a great time to enter Pakistan. Equity in technology companies is relatively cheap, assets are portable (predominantly intellectual property) in case one gives too much weight to country risk, operations are already on cloud platforms outside of Pakistan for many, and exit opportunities exist globally. The fundamentals of the on-ground businesses are already very strong. The Karachi Stock Market index has been growing north of 40% for the past few years (30%+ in $ terms) and broke the highest ever 32,000 KSE 100 index points barrier a few days ago. Most of that is driven by foreign investment into rock solid businesses by investors who can see past the FOX news propaganda and realize that the nation, that is often deemed to be on the brink of extinction since its founding in 1947, is as resilient as it is resourceful!

It is time local investors join the party as well. Pakistan is a gold mine of opportunities for the truly visionary, local investors with large balls and an appetite for risk looking for big rewards – people who can consider and invest in the opportunities lurking underneath the veil of ‘mostly perception based’ geo-political and security issues. If you are it, sign up as an investor at http://lce.lums.edu.pk/contact-form for starters.

http://techies.pk/articles/pakistani-investors-invest-in-local-tech...

[Riaz Haq]

Telecom revenue up by 24.6% to Rs90b in 2014, cellular sector grows 47.4% to Rs47b in Pakistan



KARACHI: The country’s telecommunication revenue increased to Rs90 billion during fiscal year 2014, reflecting growth of 24.6 per cent, which is more than double of 11.66 per cent of FY2013.
According to Pakistan Telecommunication Authority, the cellular sector covered more than half of the telecom sector’s overall revenues and reached Rs47 billion during the year under review, translating to a year-on-year growth of 47.4%.
As of June 30, 2014 data revenues account for 19.3% of the telecom sector’s overall revenue, up from 16.4% at the end of FY13 – the number for cellular segment, too, increased from 7.3% to 10.1%.
According to PTA, the data revenue trend is likely to continue in the coming years with increased use of smart phones, tablets and laptops in the consumer market and an uptake of OTT services, such as WhatsApp, Viber and Facebook messenger, which will eventually replace traditional voice communication.
Import of mobile phones showed record growth in FY14 as handsets worth $544 million were imported during the period, a 21% year-on-year increase.
Although voice traffic continued to show impressive growth (40%) in FY2014, conventional text messages – one of the main revenue streams for cellular mobile segment – struggled against the more popular social media applications.
The total number of SMS exchanged over the cellular mobile networks dropped to 301.7 billion during FY2014, down 4% compared to 315.7 billion last year, statistics showed. The average SMS per cellular subscriber per month also reduced to 180 in FY14 compared to 214 of FY13.
The telecom regulator attributed the decline in conventional text based messages to the rising influx of smart phones and use of mobile internet, OTT and social media applications that have reduced the subscribers’ dependence on traditional mode of SMS.
Though these OTT services have triggered the growth of CMOs’ data revenues, free messaging and calling services also dented the sector’s average revenue per user (ARPU), a key economic indicator to measure the average revenue that service providers generate from a singlesubscriber.
In FY14, the cellular segment’s monthly ARPU decreased to Rs199 compared to Rs211 of the last fiscal year, according to statistics compiled by PTA. The regulator, however, clarified that the ARPU was calculated based on the number of SIMs sold till that time and the actual ARPU was higher.
Quoting a GSMA’s market analysis on Pakistan, the regulator said the cellular subscribers in the country possess 2.17 SIMs on average, which translates to an actual monthly ARPU of approximately Rs432.


http://customstoday.com.pk/telecom-revenue-up-by-24-6-to-rs90b-in-2...

[Riaz Haq]

Mobilink, Pakistan’s leading provider of voice and data services with over 37 million subscribers, in collaboration with Samsung has exclusively launched the highly anticipated Samsung S6 and S6 Edge smartphones for customers.

The launch coincides with Samsung S6 and S6 Edge global launch and is in line with Mobilink’s strategy of introducing the latest devices to the market.

This launch will provide customers with the opportunity to experience Mobilink’s superior 3G and voice services on one of the most innovative smartphone till date. With every purchase of the Samsung S6 and S6 Edge, Mobilink will provide its users free 1 GB data per month for a period of 12 months.

Aamer Manzoor, Head of Data, Mobilink commenting on the launch said, “The launch of 3G services in Pakistan has made inroads to consistently introduce the most appealing and innovative handsets. This exclusive collaboration with Samsung is another step in enhancing Mobilink’s 3G device portfolio in the market. The launch of Samsung S6 and S6 Edge will enable and empower our customers to use Next Generation Mobile Services with unprecedented mobile experience and the best data offers on the go.”

Farid Ullah Jan, Head of Mobile Phone Division, Samsung Pakistan while commenting on this launch said, “We are extremely excited to introduce Samsung Galaxy S6 and S6 Edge for the first time in Pakistan. Samsung mobile has really gone back to the drawing board this past year, and the result is one of the most significant efforts in Samsung history. In a very big way, the Samsung Galaxy S6 and S6 Edge is result of our mission to redefine the GALAXY brand. We started from scratch and imagined an entirely NEW design with never-before-seen technology, and next level enterprise solutions.”

S6 Edge is the world’s first dual edge display phone with one of the most colorful displays in the market. The Quad HD Super AMOLED display makes the display appear brighter and sharper. Samsung S6 has a state-of-the-camera with a 16 MP resolution. Samsung users can enjoy superior productivity via 64-bit processor and Android Lollipop OS. The processor is the first ever 14 nm processor in the smartphone market providing extended battery power. Mobilink customers can purchase the phone from their nearest Mobilink Business Centers.

http://www.dnd.com.pk/mobilink-exclusively-launches-samsung-s6-and-...

[Riaz Haq]

MS Mobile Windows Lumia #smartphones sales in #Pakistan increased over 300% in Q1

http://www.gsmarena.com/lumia_sales_in_pakistan_increased_300_in_q1... … via @gsmarena_com

The quarter-over-quarter sales of Lumia devices more than tripled in Pakistan in Q1, 2015, according to Patrick Mercanton, head of marketing for Near-East, North Africa, Levant and Emerging Asia for Microsoft Mobile Devices.

“Considering our primary goal is to enhance the growth of the Windows Phone ecosystem through Lumia smartphone activations, it certainly is a great achievement for us and showcases the appetite in Pakistan for a third smartphone ecosystem other than Android and iOS,” he said, adding that the Lumia 535 was the highest selling smartphone in the region.
He also revealed that the company holds over half of the feature phone market in Pakistan, and that Windows Phone is now the second most popular mobile OS in the country, ahead of Apple's iOS - the top spot is claimed by Google's Android.

[Riaz Haq]

#Android One QMobile A1 #smartphone arrives in #Pakistan. Priced at Rs 11,500 (US$ 112)

http://www.androidauthority.com/android-one-arrives-in-pakistan-622... …

Android One may not have shot to success, but Google isn’t giving up on its long term plan for the project. Responding to requests from social media, Google has announced that the new QMobile A1 smartphone is now available to purchase in Pakistan.

In a bit of a change from previous Android One releases, the QMobile A1 will be available in retail stores up and down the country, rather than placing a heavy emphasis on e-commerce. The lack of a shelf presence is suspected to be one of the reasons why Android One hasn’t been able to grab a notable market share so far.

Hardware wise, the handset’s specifications remain firmly in the budget category, but that’s what we should expect for Rs. 11,500. The QMobile A1 comes with a 4.5-inch 854×480 display, unspecified 1.3GHz quad-core processor, 1GB of RAM, 5MP rear camera with LED flash, 2MP front facing camera, and 8GB of storage with a microSD card slot for a further 32GB.

There’s also dual SIM support, a 1,700mAh battery and Android 5.1 Lollipop out of the box. Sadly the A1 is not 4G compatible, but the phone still matches up with other handsets at this price point.

The QMobile A1’s selling point is being touted as lightning fast updates to the latest version of Android as soon as they are available. A promise made with previous Android One phones. We’ll just have to see if updates appear faster this time around.

In other Android One news, a second wave is rumored to be heading to India. Local smartphone company Lava is expected to unveil a new smartphone on July 14th.

[Riaz Haq]

THE EXPRESS TRIBUNE > BUSINESS
Google puts Pakistan among 4 countries that will give next billion smartphone users

https://tribune.com.pk/story/1573034/2-google-puts-pakistan-among-4...

KARACHI: The ‘Next Billion Users’ of smartphones will emerge from four developing countries including Pakistan, according to a Google representative speaking at the launch ceremony of the company’s latest application.

The other three countries include Indonesia, India and Brazil, Google’s Asia Pacific Industry Head Khurram Jamali said on Thursday, as the company launched ‘Datally’, an Android-based app that helps smartphone users understand, control, and save mobile data.

“At least 40 million people are connected to the internet in Pakistan at the moment,” he said while talking to The Express Tribune. “Before the introduction of 3G/4G, the number was about five million.”
He said that the number of people watching videos on the internet is growing by 66% annually while social media users are increasing by 35% per year, adding that 80% of the users surf the internet through mobile phones.

“Now mobile is internet and internet is mobile,” he stated.

The released app, ‘Datally’, works on all smartphones running Android 5.0 (Lollipop) and higher, and is available on the Google Play Store globally.

Google found during extensive user research around the world that many smartphone users worry about running out of data. This is an especially acute problem for the new generation of smartphone-users from developing countries intending to come online, Jamali said.

People testing the app saved up to 30% of mobile data, depending on the way they used Datally, a presser released after the event stated.

Apps frequently use data in the background for updating content and information. Datally’s ‘Data Saver’ feature lets users control data on an app-by-app basis, so that data only goes to apps they care about.

Data Saver bubble

“Once Data Saver is turned on, Datally’s Data Saver bubble will appear when a user goes into an app that is allowed to use data. Whenever that app uses data, the Data Saver bubble will show the current rate of data usage, and users can easily choose to block that app’s data use if things start to get out of control. The Data Saver bubble is like a speedometer for mobile data.

Five companies plan to set up cellphone assembly lines

“Datally alerts users when apps start consuming a lot of data, and it allows them to see how much data they have used on a daily, weekly, and monthly basis.

“Datally’s Wi-Fi feature helps find networks nearby, rated by the Datally community. Once connected, users can rate the Wi-Fi networks themselves based on their own experience.

It was the first time in Pakistan’s history that Google launched an application at the same time as all the other countries which shows Pakistani market’s growing importance for Google, said Tania Aidrus, chief of staff of Next Billion User project.

“Google is working on digitalising Urdu to promote local content and bring the vast majority of non-English-speaking Pakistanis online,” she added.