Today, Lanka Bell (the cable partner of Reliance through Flag), announced that calls to India would henceforth cost LKR 0.07 a minute, among the lowest IDD rates offered. They have not got around to updating their website, but newspaper ads should count for something. What is causing downward pressure on international call rates to India? Just a short time back, Dialog cut prices to India.
In conventional thinking, complex industries with oligopoly characteristsics such as telecom require regulation by specialized agencies. Interconnection must be ensured; spectrum must be managed, etc. In addition, information asymmetries between operators and customers necessitate a degree of regulation of matters such as quality of service, billing accuracy and truth in advertising. For example, the Telecom Regulatory Commission of Sri Lanka has had a consumer relation unit since 1999. However, many regulators do not perform their functions satisfactorily.
Israel’s blockade has perforated the Egypt-Gaza border with countless tunnels. Tel Aviv’s first world military might has failed to stop such diggings. People’s power overpowers firepower. Similarly, the illegal trading of international phone calls is, predictably, flourishing again in Bangladesh, according to a press report. Thanks to the ILDTS policy which has sprouted three IGW and three ICX licenses in 2007 by the military-backed government.
According to analysts who see the world as made up of the US market, yes: Analysts and investors are beginning to ask whether the industry can continue growing. The challenge is both simple and daunting: how to expand when more than half of the six billion people on the planet already have phones. And even in developing countries where there are underserved markets, subscribers spend less on phones and services. Craig Moffett, an industry analyst at Sanford C. Bernstein & Company, is one of the skeptics.
Iran has launched its first domestically made satellite into orbit, state media reports. TV commentary said Monday’s night-time launch from a Safir-2 rocket was “another achievement for Iranian scientists under sanctions”. The satellite was designed for research and telecommunications purposes, the television report said. Iran is subject to UN sanctions as some Western powers think it is trying to build a nuclear bomb, which it denies. Tehran says its nuclear ambitions are limited to the production of energy, and has emphasised its satellite project is entirely peaceful.
An article published by the Business Standard, India, states that telecom operators should focus on their most profitable customers, those at the top of the pyramid or TOP, instead of following bottom of the pyramid (BOP)-focused strategies. The article cites a study by BDA, a consulting firm in India, which finds that the TOP contributes a greater percentage to revenue than their lower-income counterparts. An interesting debate has ensued, here and here, on the economics of serving the BOP. Although such figures appear to economically justify abandoning BOP-focused telecom strategies, some argue that there seems to be more to the picture than first meets the eye. Rob Katz of Nextbillion.
The world is awash in telecenter pilots. I thought all the lessons that could be learned, have been learned. Apparently not. Google is bankrolling another pilot in Kenya, including a USD 700/month broadband bill. So, for sustainability we’d need around 700 users spending a tad more than USD 2 per visit?
India is planning to produce a laptop computer for the knockdown price of about $20, having pioneered last year the Tata Nano, the world’s cheapest car, for $2,050 a vehicle, reported the Fiancial Times today. As the access to FT website is limited to its subscribers, I have posted the entire news bellow: The project, backed by New Delhi, would considerably undercut the so-called “$100 laptop”, otherwise known as the Children’s Machine or XO, which was designed by the Massachusetts Institute of Technology of the US. That laptop is the centrepiece of the One Laptop Per Child charity initiative launched by Nicholas Negroponte, the computer scientist and former director of MIT’s Media Lab. Intel launched a similar product, called Classmate, in response. But the Children’s Machine received a cool reception in India.
The stimulus packages being worked up by governments the world over all seem to have a broadband component. Even the Sri Lanka government which barely has enough money to pay its bills, is thinking of launching a USD 100 million satellite for high speed Internet (I guess this means broadband?). Leaving aside the insanity of the Government of Sri Lanka operating satellites, even the other proposals to provide government subsidies to rollout fiber networks can have bad effects that need to be thought about, before taxpayer money is doled out. As the Economist points out: Another drawback with big state subsidies for broadband is that they could distort the market and create regulatory problems.
Dialog Telekom PLC in collaboration with its partners Dialog University of Moratuwa Mobile Communications Research Laboratory and Microimage Technologies together with the Disaster Management Centre (DMC) of Sri Lanka launched Sri Lanka’s first ever mass alert warning system; the ‘Disaster and Emergency Warning Network’ (DEWN) yesterday under the patronage of Disaster Management and Human Rights Minister, Mahinda Samarasinghe. Speaking on the launch of DEWN Group Chief Executive Officer, Dialog Telekom PLC, Dr. Hans Wijayasuriya said that “There are 10 million people in this country who have access to telecommunication and mobile services. Now the mobile has become a powerful tool which could be called as a ‘Digital Empowerment Device’ and our citizens are digitally empowered into the digital network”. Dr.
All UK homes should have access to broadband and faster download speeds by 2012, the government has said. An interim report on the UK’s digital future also looked at plans for public service broadcasting. Prime Minister Gordon Brown said digital technology was as important today as “roads, bridges and trains were in the 20th Century”. But the Conservatives said the report promised “no new action”. The Lib Dems said it was a “complete damp squib”.
An administrative misadventure has wiped out the possibility of regulatory independence within near future in Bangladesh. BTRC is celebrating its seventh birthday tomorrow (January 30). The regulator has, however, failed to deliver effective regulation. It has been, legally, structured like that from day one. The country was run by a military-backed interim government during entire 2007-08.
When I first met Isuru Seneviratne in late 90s (in cyberspace) he was a twelve year old student. Life was not always sympathetic to this eldest of a family of three. Flickr still has a photo showing young Isuru and his sister assisting their parents in poultry. His father was a famer – then the only breadwinner of the family. Most farmers do not have a fixed income.
How does the economic crisis ripple out? Like this: Texas Instruments posted a smaller-than-expected decline in fourth-quarter profit Monday, but said it might post a loss in the current quarter and announced a 12 percent cut in jobs as demand for cellphone chips fell. Full report.
The Business Standard, 27 January 2009 The Department of Telecommunications (DoT) has signed a memorandum of understanding (MoU) with state-owned telecom operator Bharat Sanchar Nigam Ltd (BSNL) to provide wireless broadband in rural areas. Under the MoU, BSNL will provide wireless broadband at 29,000 rural exchanges throughout the country. Each exchange will have 31 connections along with one kiosk for public use. A DoT official said, “Out of these 31 connections, 6 will be used by institutions like schools, while the rest will be for individual users.” The implementation of the entire project is expected to be completed by 2011.
The number of people going online has passed one billion for the first time, according to comScore, an online metrics company. Almost 180m internet users—over one in six of the world’s online population—live in China, more than any other country. Until a few months ago America had most web users, but with 163m people online, or over half of its total population, it has reached saturation point. More populous countries such as China, Brazil and India have many more potential users and will eventually overtake those western countries with already high penetration rates. ComScore counts only unique users above the age of 15 and excludes access in internet cafes and via mobile devices.