Unserved by Banks, Poor Kenyans Now Just Use a Cellphone, The Christian Science Moniter One of the world’s first cellphone-to-cellphone cash-transfer systems has been launched in Kenya. The system, called M-PESA, allows customers to transfer cash via their mobile phone, through an agent or store which supplies the cash. Launched by Safaricom, Kenya’s largest mobile service provider, the numbers of customers using this system has exceeded previous expectations, with over 450, 000 customers making use of this service, as of October 2007. However, despite its promising outlook, there are concerns regarding the regulation in place – or rather lack thereof – which could serve as a hindrance to future growth of this system.
Mobile broadband connections around the world have increased tenfold in the past year, with 32 million subscribers connected now, up from 3 million at the end of March 2007, according to the GSM Association. The Association, which represents operators of GSM and 3G networks, says providers across Europe, Asia and North America are all reporting huge increases in the uptake of High Speed Packet Access (HSPA), with the uptake said to have increased by 44 per cent in the past 10 months. It says the number of networks offering commercial mobile broadband services has risen sharply in the past year. Broadband on mobile phones is available in 73 countries from 166 operators, up from 96 networks commercially deployed in 3 countries. Meanwhile the Global mobile Suppliers Association, which represents the makers of infrastructure and end user equipment, said 637 HSDPA (High Speed Downlink Packet Access) products have now launched, representing an annual growth of 150 percent.
Broadband QoSE testing is generating interest. A news report on ‘Times of India’ yesterday  (April  7) suggested the site www.speedtest.net to determine connection speed. This site, like many such others available on web, lets a user to ping to a selected server to check the throughput.
Telecom major Bharti Group Chairman and Managing Director Sunil Bharti Mittal on Monday denied any attempt on forming a cartel with other telecom players to distort competition. Mittal was reacting to a ‘notice of enquiry’ by anti- monopoly watchdog MRTPC last week against three big telecom operators – Bharti Airtel, Vodafone Essar and Idea Cellular — for allegedly forming a cartel to distort competition. Earlier this month, the Monopolies and Restrictive Trade Practices Commission (MRTPC) Bench had directed the three companies to file their reply within four weeks. Read the full report in ‘The Economic Times’ here.

Triple play soon in Calcutta

Posted on April 7, 2008  /  0 Comments

The state unit of Bharat Sanchar Nigam Limited (BSNL) has plans to offer this facility under Broadband Multiplay soon. Available only in Calcutta and Pune at present, the facility would no longer remain confined to the urban areas and would soon explore rural markets in the state. The task of setting up infrastructure across the state has begun. Officials of the PSU are also holding talks with television channels whose programmes could be made available through the Internet via the Internet Protocol Television (IPTV). “The facility should be launched by September,” said Sanjay Kumar, deputy general manager, planning, BSNL (Jharkhand Circle).
AT&T is finally warming up to Google’s phone OS, Android. T-Mobile and Sprint and members of the Open Handset Alliance, which champions Google’s new Linux-based platform, and Verizon has promised to make its network open to any device, a move that likely had Android devices specifically in mind. At the CTIA wireless show in Vegas AT&T Mobility chief, Ralph de la Vega said, “I like it a lot more than I did before… It’s something we would want in our portfolio.” His conversion on Android came after Google executives showed him that AT&T would be able to load its own applications on any Android handset it sold. Previously, the company had been fearful the handset would be geared too much towards the Google brand.
Indian telecom service provider Bharat Sanchar Nigam Limited (BSNL) is expanding its rural broadband access in partnership with Nokia Siemens Networks. Expanded service will begin commercial operation in July. Nokia Siemens will deploy BSNL broadband access in 20 circles (administrative country subdivisions) in India. This will give an additional 25,000 Indian villages access to digital-age services like high-speed Internet and virtual private networks (VPNs).   The new network will also enable BSNL to provide connectivity to CSCs (Community Service Centres) and other e-governance locations.
Technology is full of paradoxes. While Moore’s Law ensures that our computers get cheaper and faster every few months, there is no corresponding law that ensures that the same happens with our internet connections. TRAI data shows that some 60 million people in India have access to the internet. This may seem like a substantive figure, but is only 6 per cent of the population. More shocking is that while India has over 46 million wireless internet subscribers, broadband subscribers number a mere 2.

IT firms to leave India?

Posted on April 3, 2008  /  0 Comments

Blueshift is one of the currently India based companies looking to move to neighbouring countries like Malaysia or Singapore where they believe it would be cheaper to operate. “The corporate tax regime in this country is a tough 33% whereas when I look at neighbouring country Singapore it is only 18% at the highest level,” says Blueshift’s chairman Sankaran P Raghunathan. “In fact, most of us have to pay only 7.5%. That’s a huge difference.
China Telecom, China’s largest fixed-line phone provider, has announced plans to buy regional phone operator Beijing Telecom for $793m. The government-controlled former monopoly, which still owns about 70 per cent of China’s fixed telephone lines, has struggled to cope with a rapidly evolving market and competition from mobile phone operators. “Due to intensifying mobile substitution, China Telecom experienced negative growth in access lines in service for the first time [in 2007], and voice business revenue decreased by 7.9 per cent from 2006,” the company said in a statement. Charice Wang, an analyst at research firm Ovum, explained that China Telecom has been facing strong competition from China Mobile as customers switch to mobile services under increasing fixed-mobile substitution.
India on Tuesday allowed telecoms operators to share transmission systems, radio access networks and antennae and simplified the approval process for building mobile towers.But radio spectrum, or air waves used for wireless networks, cannot be shared. Telecoms operators in India were earlier permitted to share only passive infrastructure such as mobile towers, buildings and power backup facilities. Sharing infrastructure reduces the operating costs and capital expenditure of wireless telecoms operators, allowing them to maintain margins in a competitive market that has call rates as low as 1 U.S.
The number of mobile broadband subscribers using 3G HSPA has increased by 850% worldwide in the past year, according to the GSM Association. But carriers are also running the risk of becoming a victim of their own success, according to some analysts. HSPA (High-Speed Packet Access) is an advanced form of 3G deployed by cellular operators that use GSM (Global System for Mobile Communications) technology. Worldwide, GSM is the most widely-used cellular technology; it is used by AT&T Inc. and T-Mobile in the U.

Cuba lifts mobile phone ban

Posted on March 31, 2008  /  0 Comments

Cubans are to be allowed unrestricted access to mobile phones for the first time, in the latest reform announced under new President Raul Castro. In a statement in official newspaper Granma, state telecom monopoly ETECSA said it would offer mobile services to the public in the next few days. Some Cubans already own mobile phones, but they have had to acquire them via a third party, often foreigners. Cuba’s rate of cell phone usage remains among the lowest in Latin America. Now Cubans will be able to subscribe to pre-paid mobile services under their own names, instead of going through foreigners or in some cases their work places.
TRAI announced last Thursday(27/03/2008) that ADC (Access Deficit Charge) will be completely removed from April 1. LIRNEasia was the only non-Indian entity that sent responses to the TRAI consultation paper no. 2/2008 dated 21st January 2008 on Access Deficit Charge (ADC). Here, as the response to the first question LIRNEasia said We agree with phasing out of the ADC. Our work on the subject in 2004-05 led us to advocate this same position by questioning if the ADC was merely ‘a politically motivated tax on private operators to protect the incumbent, its employees and its copper-wire access network during a very long transition to competition.

Elephantine wastage

Posted on March 27, 2008  /  8 Comments

Last week, Lankadeepa, the largest selling daily in Sri Lanka, published this photo of elephants eating the unsold vegetables at Dambulla econimic centre. The waste: 25 tons. The loss: entirely to farmers, according to Lankadeepa, as the vendors purchase them on credit and pay only for sold quantities. Primary wastage in vegetables and fruits is estimated to be more than 40% of the output in Sri Lanka. In other agri products it is more than 20% (Devagiri, 2005) While the reasons can vary, there is no doubt proper planning and management can reduce it.

Media Coverage on Mobile Benchmarks

Posted on March 26, 2008  /  1 Comments

23/03/08: Mobile phone service costs in Sri Lanka are cheap, even for the poor (Sinhala), Ravaya, Sri Lanka 25/03/08: Mobile is cheaper in Sri Lanka, even for the poor, The Daily News, Sri Lanka Two recent studies have found that Sri Lanka is among four countries that offer the most affordable mobile services to the poor in emerging Asia and the world. The first study conducted the LIRNEasia, a regional policy and regulation think tank, has found that the costs of using mobile telecom services are among the lowest in South Asia for all types of users. For the low user, essentially the poorer user, the average monthly cost of using a mobile in Sri Lanka is as low as US$ 3.83 per month if using prepaid. Sri Lanka came in fourth place in the affordability rankings for low users, not too far behind Bangladesh (USD2.