Today at the IITCOE workshop Ashok Jhunjhunwala made a strong argument that the Indian government must hive off the backhaul networks of BSNL and have them be managed by a separate company. Interestingly Masayoshi Son, the Japanese entrepreneur has made more or less the same argument in Japan. Great minds think alike. The government is expected shortly to unveil a scheme to loop the country with fibre-optic lines that will support internet access at up to 100 megabytes a second, ten times the speed of the technology being replaced. Mr Son argues that to guarantee fair access to this network—and thus the most efficient use of it—it should be run by an infrastructure firm hived off from NTT, owned jointly by all the telecoms operators.
Consumers in Asia get less value for money than their counterparts in N America. One reason for this is that the key input of international connectivity is expensive (300% that in Europe and N America). More cables, undersea and terrestrial, are needed to bring these prices down. The Indian Ocean has fewer cables than the Atlantic and the Pacific. The Asian land mass has almost none.
LIRNEasia CEO, Rohan Samarajiva will deliver a keynote address on broadband development in the Asia-Pacific at an Expert Group Meeting (EGM) organized by UNESCAP’s Committee on Information and Communications Technology in Bangkok, Thailand. Click here to view presentation slides. More information on the event is available here.
To learn about the state of broadband in Sri Lanka, one has to rely on the media and on company releases, not the normal source which is the Ministry or regulatory agency. Today LBO carried the following story: Sri Lanka Telecom, the island’s largest fixed access operator said it had added 80,000 new broadband customers in 2010 and its base of 200,000 customers was 70 percent of the market. About 20 percent of the operator’s wireline customers were now using its ADSL (asymmetric digital subscriber line) services, the telco said in a statement. From the above we can conclude that Sri Lanka has roughly 286,000 broadband subscriptions. We have no idea whether this number includes those using dongles, or simply those who subscribed to the “fixed wireless” options provided by LankaCom, Dialog etc.
While voice revenues are declining, it appears that broadband will save the day. But only the day. The theoretical maximum of ADSL connections is 869,190 at this time in Sri Lanka. Many of the fixed lines cannot be used to supply ADSL or are connected to government departments, pensioner’s homes, etc. which may not want broadband, so the actual market size is lower.
We’d be lucky to be able get wireguided communications to 10 percent of homes in the countries we work in. But we can reach 75 percent plus homes with wireless even now. So we’re all for getting fiber to neighborhoods and are quite agnostic about the access network as long as it’s wireless. In places where they got money, life is not that simple. The bills to pay for those who get the answer wrong are quite high.
Most people do not associate telecenters with the United States. That’s because they are called public libraries there. The Economist reports that more people are coming to the American telecenters because critical government and other services are increasingly available only through the web and because some people have dropped home connections in the hard times of the Great Recession. The best way for America to ease the new strain on its libraries is by closing the digital divide; companies and state agencies are unlikely ever to give up the efficiencies they won by moving online. Around $7 billion of 2009’s stimulus went to expand broadband access.
We expressed skepticism when the Labor Party first announced it. We are pleased it is being cancelled. The previous Labour government hummed and hawed about this rural-urban “digital divide”. Eventually, in 2009, it proposed levying a 50p tax on every fixed telephone line in the country: the proceeds were to be given to BT to allow it to connect even the remotest hamlets by 2012. The new coalition administration abandoned that plan, ditching the tax and pushing the target date back to 2015.
Earlier this year the TRC appointed a special committee to develop broadband in Sri Lanka. Possibly based on its recommendations the TRC has issued new directives on broadband, placing emphasis on customer’s right to know, an approach we at LIRNEasia also promoted a few months prior to the constitution of the committee. The guidelines had been issued in August. We regret not giving them publicity at the time. With the intention of raising awareness among broadband subscribers, the Telecommunications Regulatory Commission has issued a set of guidelines for broadband service providers.
Fiber put in place for smart grid applications is making possible Gigabyte speed broadband, according to NYT. The high-speed Internet service is piggybacked on top of the utility’s smart-grid network, which was the reason for stringing the fiber optic cable to homes in the first place. Smart grids are advanced electrical networks that can improve energy efficiency, enable variable pricing based on the time of day, and reduce disruptions. They require digital networks for two-way communications, and computerized meters in homes. EPB had already begun a smart-grid program before the Obama administration included billions for grants for smart-grid projects in the economic stimulus program in 2009.
LIRNEasia’s preliminary round of mobile broadband quality testing in selected locations in Western Province unveils both hopes and issues. The good news is that the quality of both key pre-paid mobile broadband services is satisfactory, in majority of locations. However, unusual quality drops in several places indicates that this performance is not always a certainty. In general, a mobile broadband user in Western Province can expect a reasonable quality unless a rare issue like the distance from a tower or a higher number of simultaneous users hinders it. LIRNEasia tested the broadband quality of the popular pre-paid High Speed Packet Access (HSPA) broadband connections of the two key providers.
CHAKULA is a newsletter produced by the Association for Progressive Communications (APC). Named after the Swahili word for ‘food’, it aims to mobilise African civil society around ICT policy for sustainable development and social justice issues. The latest issue features an e-interview with LIRNEasia’s CEO Rohan Samarajiva, but it is not the only reason why we thought of highlighting the issue. The content is interesting and very readable. We publish two e-interviews from July 2010 issue here fully, as they are not available on public domain.
We do not normally use the US telecom policy as an example. But this is definitely something to be emulated. The future of Internet access in Asia is wireless. It’s high time governments started on the hard work of refarming frequencies to meet the demand. The Obama administration is seeking to nearly double the wireless communications spectrum available for commercial use over the next 10 years, an effort that could greatly enhance the ability of consumers to send and receive video and data with smartphones and other hand-held devices.
I was invited to conduct a discussion at the Cabinet Office in Brasilia with senior government officials driving the Brazilian Broadband Policy that will shortly be announced. Representatives of the relevant ministries, ANATEL the regulatory agency, the public telecom operator and a local think tank participated in what proved to be a lively discussion. Given the policy was almost fully formulated, I decided to focus on performance indicators, a subject I was working on for both UNCTAD and one which had preoccupied me since the time I was a regulator. It is also a subject that LIRNEasia has developed considerable expertise in. My guess was correct.
We have been following the emotionally loaded net neutrality debate for some time with some detachment. Our research clearly shows that low prices are critical if the BOP is to join the Internet economy and that low prices are not sustainable without the adaptation of the budget telecom network model to broadband supply. One of the most controversial of the recommendations that came out of this work is that which said one should go gentle on regulating quality. The main reason we said that was because we believed that the poor needed access in the form of different price-quality bundles; that if high quality standards were imposed by fiat, the only victims would be the price-sensitive consumers who would get priced out. While we did not take an explicit position on net neutrality those days, we now have to, based on what we have learned.
The US universal service fund is among the oldest and most inefficient, spending more on administration than comparators and not targeting the subsidies well. Our research has been cited in debates about improving it. The FCC under the Obama appointed Chair does not appear to be engaging in fundamental reforms, but is instead seeking to use the Fund as the main vehicle for executing its broadband plans. Instead of repurposing the existing funds, it is raising additional money by taxing customers of the telcos. Chief among its goals, the F.