March 2013 — Page 2 of 3 — LIRNEasia


In its recent report, Measuring the Information Society, the ITU provide a brief summary of key ICT services and their developments over the past year. One of the key highlights is the price of broadband that was calculated using the ITU basket methodology. The range is from USD 5 to an astounding USD 1700, with Sri Lanka being among the cheapest. The report also refers the comparatively low mobile prices. Home to a highly proactive regulatory authority and a competitive mobile market with five operators competing for some 21 million potential customers, the country ranks 14th globally.
YouTube has hit a billion regular monthly visitors. Such milestone, also reached by Facebook last October, further solidifies Cisco’s projected dominance of video in the cyberspace. “If YouTube were a country, we’d be the third largest in the world after China and India,” the company said in a blogpost announcing  it now has a billion unique visitors every month. “Nearly one out of every two people on the internet visits YouTube.” Launched in February 2005, a year after Facebook, YouTube operated from a small office above a fast-food restaurant in San Mateo, California.
I just listening to Eli Noam giving a talk that claimed that Google was the world’s largest media company. The big PDF appears to be the base presentation he was working off. The slide that he used showing Google to be the largest media company, had Time Warner and Telecom Italia in it. He made references to HHI, but it is not clear how he claims that Google (a search engine and advertising company), Time Warner (a media and cable company) and Telecom Italia (a telecom company) can be in the same market and how their market shares can be calculated. When I questioned this, I was advised that the methodology is in two books, one for the US and one for the rest of the world.
Asia’s median wholesale price of Internet bandwidth is now more than four-times expensive than Europe’s. In LIRNEasia I have been working with ESCAP to formulate a Eurasian terrestrial cable initiative. The objective is making Asia’s submarine cables highly resilient by adding a meshed transcontinental overland optical fiber network. It will make Asia’s wholesale IP-transit bandwidth cost either at par or lesser than Europe’s. Broadband in Asia, regardless fixed or mobile, will grow like mobile voice.
Telenor Pakistan acquired stake in Tameer Micro Finance Bank to introduce the country’s first branchless banking in 2009. Analysts raised eyebrow when China Mobile threw US$5.8 billion for 20% of Shanghai Pudong Development Bank in 2010. SPDP now offers Corporate Mobile Banking Services. It will be, however, grossly inappropriate if the Philippines and Kenya are not credited as the global pioneers of mobile banking.
It appears from news reports that the Myanmar government has commenced work on a domestic fiber backhaul network. This was among the recommendations of the oped that I published in a Myanmar newspaper last year. But as experience has shown in country after country that it is easier to build backhaul than to ensure that it is efficiently used (see downloadable book, chapter 7). For this, an open-access regime based on cost-oriented pricing and non-discriminatory access is essential. The farmlands were dug twice, while burying cables along the roads in Thapyay San village, Magway township, one of the locals said.

No hypocrisy on Internet

Posted on March 16, 2013  /  2 Comments

Ron Diebert is a friend and colleague. He gets his hands dirty looking at what actually happens on the Internet. And he thinks all governments have to rethink the way they approach Internet security. “I think Canada, like many liberal, democratic countries, is caught in a bit of a contradiction,” said Diebert, director of the Canada Centre for Global Security Studies at the University of Toronto. “We can’t accuse other countries of violating people’s human rights when there is no protection in our own country when it comes to law enforcement accessing data through Internet service providers.
LIRNEasia’s current cycle of research focuses on how mobile platforms can help improve customer relationship management in utilities. I have been contributing to the current debate on rationalizing the electricity tariffs in Sri Lanka based on the work Partha Mukhopadhyay and I did in relation to the recently concluded SAFIR core course and laying the foundation for disseminating the results of the research project when completed. Many of my interventions have been over electronic media, but here is a summary piece in LBO that is also being published in Sinhala in Ravaya next week. Tariff design must contribute to bring down peak demand by around five percent. This is a policy objective pursued in many countries, especially in light of climate-change concerns.
We at LIRNEasia are seeking to apply nudge principles to how utilities (and governments) communicate with their customers (citizens). Therefore, it was not surprising that this caught my eye when reading about Google’s employee perks: So the candy (M&Ms, plain and peanut; TCHO brand luxury chocolate bars, chewing gum, Life Savers) is in opaque ceramic jars that sport prominent nutritional labels. Healthier snacks (almonds, peanuts, dried kiwi and dried banana chips) are in transparent glass jars. In coolers, sodas are concealed behind translucent glass. A variety of waters and juices are immediately visible.
Alex Pentland of MIT has been working on mobile big data (as are we at LIRNEasia). Here is a snippet of an interview in the NYT: The phone tracks our movements, as well as our calls and texts, so it can reveal a lot about our daily lives. What did you learn about yourself by studying your own cellphone data? That I’m very predictable. We tend to pay attention only to the new things in our lives.
The deputy governor of Uganda’s central bank said that mobile financial services (MFS) have outnumbered the traditional bank account holders in 2012. The MFS transactions have totalled UGX11.7 trillion (USD4.374 billion) in 2012, up from UGX3.75 trillion in 2011.
It is perhaps a sign of their efficacy that think tanks in India have come under the gun, on the ground that they are funded by foreign sources and are therefore “subversive.” Rohini Nilekani, a significant philanthropist in her own right, has made a powerful argument on the contributions made to Indian public policy by think tanks and the questioning of some of these organizations obtaining some of their resources from outside India. The piece in Open on ‘Foreign Funding of NGOs’ with the subtitle ‘Should FDI in India’s thinktank sector worry us?’, has served its purpose by triggering a long-overdue reasoned debate. The author lays out various questions that might warrant their own conference or white paper.
As part of the “Inclusion in the Information Society” project commenced September last year we have been studying how electricity utilities can use the almost universal mobile devices to improve the services provided to consumers. The research is ongoing, but we have not let that stop us from making use of the policy windows that open up. Early this week, the Public Utilities Commission of Sri Lanka announced that it would be accepting comments on a proposed tariff increase from the public. Based on our research, we plan to make submissions. Even before that, when a leading economic analysis program aired by Sirasa TV, asked us to speak on the subject, we gave a taste of what would be coming.
The Federal Communications Commission (FCC) has asked US carriers not to pay more than US$0.02 per minute to their Pakistani counterparts. This decree has been slapped after Pakistan has raised its international termination rate to $0.88 per minute, which the FCC calls anti-competitive. Pakistan’s 14 Long Distance and International (LDI) operators have formed a single international gateway called International Clearing House (ICH) and raised international termination prices in October 2012.
The ITU’s Secretary General appointed the biggest single barrier to broadband in Latin America, the wily Carlos Slim Helu, as the co-chair of the Broadband Commission. He specializes in tying up efforts to regulate his enterprises. Now that the political elites in Mexico have agreed to curb the hegemony of Telmex, his hands will be full and there may be a vacancy in the Broadband Commission. Slim, the world’s richest man, dominates Mexico’s telecommunications market, controlling 70 percent of the country’s mobile market and 80 percent of its fixed phone lines. Televisa, controlled by tycoon Emilio Azcarraga, has about 60 percent of the broadcast market.