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Czech Production of Digital Czech Production of Digital Telecommunication SystemsTelecommunication Systems
by Ivan Říčař
TTC TESLA TELEKOMUNIKACE Ltd.
Třebohostická 987/5
100 43 Prague 10
Czech Republic
tel.: +420 2 781 52 47
fax: +420 2 781 52 48
e-mail: ricar@ttc.cz
http://www.ttc.cz
History of the NinetiesHistory of the Nineties
• 1989 – Velvet Revolution in the Czech Republic, the beginning of political and economic changes• Opening of the market at the beginning of the nineties
A problem yet an enormous opportunity for Czech enterprises
ProblemsProblems
• pressure of foreign competition• obsolete technology of the production• overemployment• export prevailingly oriented to the collapsing Eastern European markets
OpportunitiesOpportunities
• access to state-of-the-art technologies• access to state-of-the-art component basis• access to information technologies• temporary comparative advantages of having a cheap labour and good knowledge of the home market
TTC accepted new situationTTC accepted new situationas a challengeas a challenge
• quick establishing of ownership relations (management buy-out)• maintaining and utilizing of high intellectual potential of the staff, making use of knowledge and experience of previous years• clear vision of the management: building up a modern manufacturing company linked to a strong co-operative foreign partner
Educational Structure in TTC
Elementary7%
Academic degree2%
Secondary GCE39%
University26%
Secondary26%
Great BritainGreat Britain
Italy•
TTC MARCONI
Czech Republic
TTC
Czech Republic
TTC MARCONI - Joint VentureTTC MARCONI - Joint VentureMARCONI COMMUNICATIONSMARCONI COMMUNICATIONS
and TTC TESLA TELEKOMUNIKACEand TTC TESLA TELEKOMUNIKACE
49%
10% 55,5%
51%
49%44,5%97%51% 90%
TTC MARCONI, Ltd.
MARCONICOMMUNICATIONS
SATTES, Inc.
TTC TESLA TELEKOMUNIKACE, Ltd.Třebohostická 5
Praha 10
TTC TELECOM, Ltd.
Bajkalská 27Bratislava
Třebohostická 5Praha 10
GREAT BRITAINITALY
Naskové 3Praha 5
B. Němcovej 32Košice
3%
TTC groupTTC group
TTCTELECOM, Ltd.
B. Němcovej 32Košice
MTU SATURN, a.o.o.t.
RUSSIA
Revenues in Current PricesRevenues in Current PricesTTC and the GroupTTC and the Group
274 316
622 359
805 108
965 137
1 247 048
194 801
399 205 413 267 421 160
508 573
0
200 000
400 000
600 000
800 000
1 000 000
1 200 000
1 400 000
1994 1995 1996 1997 1998
CZK x 1,000
TTC group
TTC
Profit after TaxationProfit after TaxationTTC and the GroupTTC and the Group
24 064 24 420
53 651
12 325
16 876 16 501 17 546
24 314
14 391
20 180
0
10 000
20 000
30 000
40 000
50 000
60 000
1994 1995 1996 1997 1998
CZK x 1,000
TTC group
TTC
EquityEquityTTC and the GroupTTC and the Group
92 452
145 190
199 599
28 534
45 410
61 911
77 978
102 301
50 032
72 212
0
20 000
40 000
60 000
80 000
100 000
120 000
140 000
160 000
180 000
200 000
1994 1995 1996 1997 1998
CZK x 1,000
TTC group
TTC
Milestones in the Company's HistoryMilestones in the Company's History
1953 TELECOMMUNICATIONS RESEARCH INSTITUTE (VÚT) was established.
1958 - 1989 Incorporated in various structures of TESLA Corporation, VÚT fulfilled the tasks of the R&D basis of the Czechoslovak telecommunications industry.
1989 VÚT was transformed into an independent state enterprise.
1991 A year of further transformation into a development & manufacturing enterprise; the business name was changed to TESLA TELEKOMUNIKACE, State Enterprise, and TTC trademark was introduced. PCM 30U Digital Transmission System was launched.
1992 A year of privatization: TTC was purchased in a public auction and registered as TESLA TELEKOMUNIKACE Ltd. TTC 2000 Digital Switching System was launched.
Milestones in the Company's HistoryMilestones in the Company's History (continued) (continued)
1993 Joint ventures with foreign partners were founded – the first subsidiaries of the future TTC Group: TTC MARCONI and TTC Bratislava.
1995 Subsidiaries TESLA TELEMECHANIKA , Prague and SATTES, Moscow, Russia, were established.
1996 Another subsidiary joined the Group - TTC TELECOM, Košice, the Slovak Republic. TTC purchased the TELLUS Company.
1997 TESLA TELEKOMUNIKACE became an ISO 9001 certified producer.All manufacturing capacities of the TTC Group were concentrated in new premises in Prague - Košíře.
1998 The parent company changed its business name to TTC TESLA TELEKOMUNIKACE Ltd. TTC Group's turnover for 1998 exceeded the boundary of one billion crowns.
ISO 9001ISO 9001
ReferencesReferences
1993 – 1994 Important contract with SPT Telecom (Czech Telecom)
1996 – 1997 Contract with Lietuvos Telekomas (LithuanianTelecom) – tender by EBRD
1994 – 1998 Construction of the Czech Army stationarynetwork
Join Projects of TTC and MarconiJoin Projects of TTC and Marconi
• Complete solution of the Transgas network (Czech Republic)• Complete solution of the Slovtransgaz network (Slovak Republic)• Construction of the PON Passive Optical Network using a joint product of Marconi, TTC and CS Telecom, France• Subcontract for the delivery of the DORIS Management System to complement Marconi's DLC systems for ETISALAT, United Arab Emirates• Success in a tender by Italian Railways together with Marconi
Each success is but admissionEach success is but admissionto the next round of contestto the next round of contest
– The basic objectives have remained the same:• highly qualified team of motivated staff• co-operation with a strong foreign partner• emphasis on international co-operation
International co-operationInternational co-operation
export – assuming new market segments joint development work, especially with MARCONI COMMUNICATIONS, leading to new joint products taking part in international, first of all European, co-operation: the Fifth Framework Programme, in particular ITS (Information Society Technology)
Thank you for your attentionThank you for your attention
Ivan Říčař
TTC TESLA TELEKOMUNIKACE Ltd.
Třebohostická 987/5
100 43 Prague 10
Czech Republic
tel.: +420 2 781 52 47
fax: +420 2 781 52 48
e-mail: ricar@ttc.cz
http://www.ttc.cz