Existing telecom operators may have to pay more than the new players eyeing the 3G space, in the form of annual charge for the 3G spectrum. A committee chaired by Department of Telecommunications (DoT) Joint Secretary J S Deepak has recommended that an operator having 2G spectrum and 5 MHz of 3G spectrum should pay an incremental 1 per cent more than the applicable slab rate for 2G spectrum.

The committee, which was set up to suggest annual spectrum charges for 3G, has recommended that due to the efficiency in capital expenditure and synergy in operations, operators having 2G spectrum and acquiring 5 Mhz of 3G spectrum should be charged at a higher rate.

GSM 2G operators get 4.4 MHz and CDMA players get 2.5 MHz of…

It is reported that the one million or so customers of Sri Lanka Telecom who have wireline connections can now look forward to paying the same amount in taxes as the ten million or so customers (mobile and fixed) who connect wirelessly (across GSM and CDMA platforms). We have opposed telecom specific taxes; but even more, we have opposed discrimination between different technologies. It takes some time for the people in Treasury to get it, but at least they got it after more than a year.

If they got it earlier, there would have been no need to change the description in the phone bills from mobile subscriber levy to telephone subscriber levy.

Hopefully this will also end the anomaly of taxing the same broadband service differently.

Of…

In its full color advertisement in today’s Sunday Times, Lanka Bell claims paying users for incoming calls is a new chapter in Telecom history. Is it? May be in Sri Lanka. But we have already discussed similar strategies elsewhere.

Government has released the 2008 second quarter economic performance data, which shows, again, that the telecom sector is growing the fastest, at 23.2 per cent (as against 21 per cent, 2007 Q2), followed by mining and quarrying at 19.6 per cent.

In his weekly newspaper column in the Lankadeepa, Mr Udaya Gammanpila, the Chairman of the Central Environmental Authority and the main proponent of mobile-specific taxes, has posed the question to me why the mobile sector keeps growing even as they keep loading taxes on it.   For example, the mobile subscriber levy of 10 percent of every bill was in effect in 2008 Q2.  Possibly, the 10 per cent levy on CDMA “fixed” phones was also in effect for at least part of 2008 Q2.  Yet,…

Even Udurawana, the local version of the legendary not-so-bright Sardarji, will not let it go without having a hearty laugh at the expense of new CDMA laws of Telecommunications Regulatory Commission (TRC).

Imposed few weeks back, they specify CDMA phones can be used only at the address it is issued to. (CDMA technology is used in Sri Lanka for fixed wireless and not mobile)

How on earth a CDMA phone can be restricted to one address, asks Udurawana, when you sometimes even have to climb to your neighbour’s wall to receive signals.

We hope the Sri Lanka rural users who have faced similar problems would readily empathise. (We hear once the mother-in-law of a former Director General of TRC too had to take her phone to a particular…

Two thousand and five hundred years ago, Gautama Buddha correlated tax collectors to bees. A righteous ruler, said he, taking the Liccavis as an example, collects tax without making it a burden on people, in the same was a bee collects honey from a flower (without damaging it).

Such wise words were not always heeded.

Four new levies, reported Financial Times today, will come into force this month under the Environmental Conservation Levy Act No. 8 of 2008.

All communication towers will be charged Rs 50,000, according to the Central Environmental Authority (CEA) Chairman Udaya Gammanpila, who explained it was done to ‘induce telecommunication companies to share the towers’.

Sharing telecom towers is good, but if Mr. Chairman thinks that happens just by forcing them to pay for erecting…

This is from Lankadeepa online. It quotes Prime Minster Ratnasiri Wickramanayake saying one reason of restricting CMDA phones to be used only in one address (registered one) is to prevent the loss of government revenue from international traffic. He was responding to a query by Chief Opposition Whip Joseph Michael Perera MP at the parliament.

Sri Lanka uses CDMA technology for fixed connections but with signals available anywhere within local loop, or if not been blocked by the operator even outside, it can be converted to a ‘mobile’. Given the distinct sharing behaviour we have seen at BOP, many may use their CDMAs in multiple locations. (eg. Guides at Udawalave park use them as car phones). New laws can bring the usage down, unless present non-owner users purchase…

Couldn’t Financial Times be more careful?  This 10.7 million is neither the number of telephones nor the number of subscribers. It is the ‘access paths’: Number of connections in case of ‘fixed’ lines (including the dissent CDMA) plus SIMs in case of mobile (including ones not used, issued to tourists for short term use and perhas as sales promotions too) Many subscribers have used more than one SIM. So certainly it cannot be the number of telephone subscribers (or owners) which has to be less.

Can it be the number of phones? No. Many mobile users have used more than one handset. We need not elaborate. Read these two Sri Lankan bloggers giving their full mobile histories: Dinidu De Alwis and Kalinga Athulathmudali . If an average…

Telecom sector to see funds bonanza, tariff cuts – Business News – News – MSN India – News

India’s booming mobile services market will see investments of over Rs 100,000 crore (around $24 billion) by 2010, the fastest investment ramp-up seen in any telecom market globally even as analysts predict a bruising battle that will see tariffs fall sharply.

The investments include between Rs 48,000 crore and 60,000 crore ($12 billion to $15 billion) from six new telecom players (including Reliance and Tatas’ proposed GSM mobile services) over 12 to 24 months to create capacity for 250 million more mobile subscribers.

This fresh investment will be over and above the estimated Rs 48,000 crore ($12 billion) being put in by incumbents like Bharti Airtel, Vodafone-Essar, Idea Cellular, Bharat…

It is well known that China polices the Internet content that its citizens can access. The story below talks about a growing movement within China that seeks to challenge these arbitrary restrictions on simple information retrieval and publishing actions. A 17-year old girl’s comment “I don’t know if it’s better to speak out or keep silent, but if everyone keeps silent, the truth will be buried,” seems particularly powerful to me and motivated me to write this post.

Several months ago, the government of Sri Lanka blocked access to Tamil Net, a website used by many, including almost all the important journalists, to find out the other side of our one-sided news stories on the war. Of course, this was easily circumvented by those who wanted…

While the likes of Reliance and Tata are racing to add national GSM-based services to their existing CDMA portfolio, BSNL is doing other way around by planning the launch of CDMA networks across all major Indian cities.  

“After our application for a full-fledged CDMA mobility licence is approved, we plan to roll out CDMA services in all major cities and towns. The initial investment will be about $500 million,” BSNL managing director Kuldeep Goyal said. Read more.

Interestingly, Telus of Canada is spending $500 million to migrate from CDMA to GSM early this year. Calling CDMA technology the “Betamax of wireless” the Toronto Star gives details.

Strange is the day I come out in support of taxes; and today is very strange.  

But please read this in context:  we wish the 10% tax had not been imposed on mobiles; but there was absolutely no reason to tax mobile while exempting fixed; that is why I support the extension of the tax to fixed CDMA.   But for some reason the government seems to have difficulty in doing anything right the first time.  

Why, for God’s sake protect fixed wireline?   These are most privileged people in the country.   If you taxing wireless, tax wireline too.   Then, as quickly as possible, take off the taxes.

LANKA BUSINESS ONLINE – LBO

The Sri Lankan government Wednesday said it would extend a 10 percent tax on mobile phones…

TRAI: SMSs losing their flavour | The Economic Times

NEW DELHI: Are text messages slowly losing their flavor with India’s growing cellular base? Even as operators say it’s too early to take a call and make such a ‘sweeping statement’, the figures, however, suggest so. Data compiled by telecom regulator TRAI reveal that SMS use has steadily fallen from September 2006.

Consider this: GSM operators have witnessed close to 9% drop in the outgoing SMSs during the April – June quarter, as per the latest performance indicator report by TRAI. This implies, an average GSM user now sends about 35 SMSs per month as compared to 39 during the previous quarter.

Little wonder that GSM operators’ total revenue from SMS has now fallen below the 5% mark. Ditto…

The HazInfo paper titled “Last-Mile Hazard Warning in Sri Lanka: Performance of WorldSpace Satellite Radios for Emergency Alerts”, coauthored by Srinivasan Rangarajan, PhD (Senior Vice President Engineering, WorldSpace), Peter Anderson (Associate Professor, Simon Fraser University), Gordon Gow, PhD (Assistant Professor, University of Alberta), and Nuwan Waidyanatha (Project Manager, LIRNEasia) was accepted for oral/poster presentation at the Wireless Personal Multimedia Communications (WPMC) at The Birla Science and Technology Center in the heart of Jaipur, India, December 03 – 06, 2007.

WorldSpace, a lead technology partner in the HazInfo research project, field tested 16 Addressable Radios for Emergency Alerts (AREAs) in the Sarvodaya Communities and 34 AREAs in the Sarvodaya District Centers. Although the AREA solutions lacked bi-directional communication and seemed the least effective, the AREA solution proved to…

Close on the heels of Hutch’s mobile-to-mobile payment service and Dialog’s EZ Pay solution, comes a platform-independent solution from the bank which introduced ATMs to Sri Lanka in the 1980s.

LANKA BUSINESS ONLINE – LBO

Sri Lanka’s Sampath Bank’s has started an electronic cash transfer method lets account holders transfer cash to all mobile brands or CDMA phone, officials said.

“This facility will let customers send money to any person with a mobile phone or a CDMA phone without changing SIM cards. All you need is an account with Sampath Bank,” Anil Amarasuriya, managing director of Sampath Bank said.

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