The greatest drop in tariffs since September 2008 however was seen in Nepal which recorded a price drop of 50%.  At first glance, the price drop appears unusual since Nepal’s mobile market looks like a duopoly between Nepal Telecom and Spice Nepal.  The reality, however, is that although there are only two mobile operators in the market, operators such as United Telecom Limited (UTL) and Nepal Telecom also offer CDMA services based on Limited Mobility networks; the National Telecommunications Authority (NTA), Nepal,  made recommendations for these operators to be granted full mobility rights in 2007,  which would thus allow them to provide services similar to that of a normal mobile provider. Furthermore it appears that UTL is offering devices that look and operate like cell phones  (unlike in Sri Lanka, where the CDMA operators provide phones that look like fixed phones). As such, the increased competition seems to be driving prices down.

Bhutan too has recorded a drop in prices by 27% since September 2008.  Bhutan’s mobile market was a monopoly controlled by Bhutan Telecom Ltd; but the second operator’s (Tashi Infocomm Ltd) entry and start of operations is finally having some impact on the small mountain nation.  

Prices continued to drop in other countries – Maldives and Sri Lanka recorded call tariff reductions of 18% and 10% respectively. 

From the least expensive to the most expensive, the countries were Pakistan, Bangladesh, India, Nepal, Bhutan, Sri Lanka, the Maldives and Afghanistan.

Reduced cost does not necessarily mean increased affordability.  For that, we also looked at USD PPP (purchasing power parity) adjusted costs.   While Pakistan continued to be the most affordable, the ranking order changes.  From lowest to highest, it is Pakistan, Bangladesh, Maldives, Sri Lanka, India, Nepal, Bhutan and Afghanistan.

The LIRNEasia study compares mobile prices in South and Southeast Asia using price baskets, derived from those used by the Organization for Economic Co-operation and Development (OECD). The baskets are calculated for low, medium and high users for pre- as well as post-paid packages, factoring in usage charges (voice as well as SMS), line rental, connection charges (depreciated over a three year period), and applicable taxes.  

The study compares mobile tariffs in South Asia using price baskets, derived from those used by the Organization for Economic Co-operation and Development (OECD). The baskets are calculated for low, medium and high users for pre- as well as postpaid tariff plans, factoring in usage charges (voice and SMS), line rental, connection charges (depreciated over a three year period), and applicable taxes.

For more information on results and methodology, please click HERE.

There is clear consensus that our nation’s ability to compete in the high speed broadband world is essential to our economic future. Unfortunately, the Administration and the Federal Communications Commission continue to rely upon inadequate, highly-flawed data to assess the marketplace for high-speed Internet access. The Administration’s “mission Accomplished” rhetoric does not match reality:

* According to a September 2007 Pew Internet & American Life Project phone survey, roughly half of all Americans don’t have broadband at home. Half is far from universal.
* Fewer than 25% of New Yorkers in rural areas have access to broadband service and nearly two-thirds of people living in New York City lack access to affordable, high-speed broadband. Some New York City neighborhoods — like Sunset Park, Red Hook and Hunts Point — don’t even have affordable access beyond a dial-up connection
* Ten percent of Chicago area residents do not even have access to DSL service
* Broadband growth in the US is slowing — down 15 percent from last year’s pace
* The Administration has argued that while the U.S. may be behind in percentage of subscribers, we are the #1 in the world in total number of subscribers – thus we have won. But news from China suggests that it now has 122 million broadband users — the highest number in the world.

When the Organization for Economic Co-operation and Development (OECD) first collected data on broadband penetration in 2001, the US ranked 4th among the 30 nations surveyed. In June 2004, President Bush noted that America then ranked 10th amongst the industrialized world in per capita broadband penetration. “That’s not good enough,” he said at the US Department of Commerce. “We don’t like to be ranked 10th in anything. The goal is to be ranked 1st when it comes to per capita use of broadband technology. It’s in our nation’s interest. It’s good for our economy.” According to OECD June 2007 data, After several years of steady decline in the rankings, the US ranked 15th among industrialized nationals in broadband subscriptions per 100 inhabitants..

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