OTTs and telcos really need to come up with better names to differentiate their products and services. Really. Or maybe confusion is just the point. First there was Free Basics, Facebook’s service which gives free access to a set of applications inside the app (it was previously called Internet.org, a supposedly clever name which of course was used by Facebooks critics point out the fact that it wasn’t really the “Internet”, but again, perhaps that was the point).
All the fuss has been about Digital India. But India has fallen back six places to 131, despite improving its IDI score from 2.14 to 2.69 in the ICT Development Index. Nepal, which does not have a funded and actively promoted digital strategy, has advanced four places to 136th place.
First it was Bangladesh: Robi and Airtel. Then it was India: Reliance and Sistema plus maybe Aircel. Sri Lanka: SLT/Mobitel and Hutch. Now Pakistan: Mobilink and Warid. VimpelCom is looking to combine Pakistani unit Mobilink with local rival Warid Telecom, claiming the first merger in the country’s telecoms sector.
I first heard about government entering the business of manufacturing phones when I was (futilely) advising the government of Bangladesh on formulating a national telecom policy. They had some bankrupt telecom equipment factories and I was asked what to do with them. I said, not much. Then my friends in India started to show me numbers for what India was spending on importing equipment for the telecom industry. This cannot continue, they said.
It was expected. So I ignored the news that RCom and Sistema were in merger talks. What got my attention was the Aircel angle. People have been talking about collaboration between the Ambani brothers (Jio and RCom). Now that get’s real interesting.
The raging debate on Zero Rated content is, for the most part, taking place in a vacuum of evidence. A successful campaign by activists ensured that many of the 1.2 million responses sent to TRAI’s proposed net neutrality regulations in April 2015 called for banning internet.org (Facebook’s Zero Rated offering, now called Free Basics). The fear that the poor who use the free version of the internet offered by Facebook will not use anything else but Facebook has been one of the harms many advocates put forth.
Manu Joseph hits back at the overheated rhetoric driving the opposition to zero rating. He also mentions the Quartz piece citing Helani’s report from the field in Indonesia. A lazy, neurotic suspicion of the large corporation is also behind the obtuse alarm over Free Basics. But the very strength of the parallel Internet for the poor is that it is corporate strategy. Mark Zuckerberg has tried his best to give it a humanitarian spin, which may not be wholly a lie, but I do hope the venture is not purely altruistic.
Spectrum is a scarce resource, made even more scarce by the difficulties governments have in refarming it. Efficient use of spectrum should be a high priority. It is obvious that allowing firms to use market mechanisms to use the resource more efficiently is a good thing. The question is why this is not done. One part of the answer is the need of governments to maximize revenues from spectrum.
The story in Live Mint starts with revenue shares. The Big Three (Bharti Airtel, Vodafone and Idea) now have 70 percent of revenues. But what caught my eye was what was going on on the data side. Again the numbers can be used to illustrate this: As the uptake of data, the next growth driver for the industry, increases, the big three GSM incumbents are again poised to gain disproportionately. All three players have over 90% active customers, and also enjoy subscribers of higher quality, as reflected in their average monthly revenue per user numbers, which are higher than their peers in the industry.
India has withdrawn a really stupid piece of legislation. But can you imagine what would have been the outcome if informed and articulate experts such as Pranesh Prakash of the Center for Internet and Society were not there to tell the government the dangers of following the advice of its house “experts”? Responding to a chorus of criticism, Indian officials on Tuesday hastily withdrew a draft policy on encryption that would have required users of social media and messaging applications to save plain-text versions of their messages for 90 days so that they could be shared with the police. The proposal, which many condemned as both draconian and impractical, came as an embarrassment days before Prime Minister Narendra Modi travels to Silicon Valley to try to attract investment and promote India as an emerging market for digital technology. Mr.
Bangladesh keeps talking about launching a satellite. Sri Lanka threw some money at it, but backed off. Myanmar is talking. Now India wants to gift SAARC member countries with a satellite to be launched using ISRO’s innovative, low-cost launch capabilities. Something Keynes wrote about economics gave me the answer to the puzzle of why our region’s decision makers are so enamored with telecom satellites.
A trade body is sure to know subscriber numbers. But how good is it on Internet users? May be they actually mean subscribers? India has added 52 million Internet users in first six months of the year, taking the total user base to 352 million as on June 30, 2015, industry body IAMAI said on Wednesday. Interestingly, 213 million (over 60 per cent) users accessed the worldwide web through mobile devices.
Last week I was told that the authorities/companies in Gujarat had succeeded in shutting down Internet without shutting down voice service. This was thought to be some kind of technical achievement. Now it’s on the other end of India. With the death of 1 more person, the death toll in Churachandpur district during the current violence has increased to 8. Curfew is still on with heavily armed state and central forces personnel patrolling the streets.
We predicted this would happen if BSNL continued to be in the driver’s seat. In what could be another blow to the broadband dreams of millions, the deadline for rolling out national optical fiber network (NOFN) across all 2.5 lakh village panchayats has been extended by two years by 2018, according to sources close to the government. “The project will be now completed by 2018, instead of 2016,” the sources said. The national Optical Fibre Network (NOFN), which will play a crucial role in government’s Digital India program, was initiated in 2011 with an aim to provide broadband connectivity to over two lakh (200,000) gram panchayats of India at a cost of Rs 20,000 crore ($4 billion).
In the context of some work we were doing with the support of Ford Foundation we conducted four case studies of national broadband initiatives. The four case studies were presented at the Expert Forum we convened in New Delhi in March 2014 and may have contributed to the rethinking of the becalmed NOFN project that has now been relaunched as Digital India. The comparative analysis has now been published as Gunaratne, R.L. et al.
I was reminded of Pramod Mahajan, a former Minister who died tragically. He was responsible for “unifying” the Ministry of Telecom and the Ministry of Electronics and IT. He also said Indian succeeded in IT and beauty only because the government was not involved. Echoes of Mahajan are heard in these reactions to Prime Minister Modi’s launch of Digital India. While Mr.