Achieving Rural ICT Access

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Achieving Rural ICT Access

• Providing the Connectivity

Darrell Owen 28 February 2008
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Topics

• Dynamics of the Last 10 Years
• Challenges for the Next 10 Years
• Examples for the Future Three from USAIDs Last
  Mile Initiative
• Capturing the Opportunity

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Dynamics of the Last 10 Years
Public Sector
Private Sector
AdvMobileTech
TelecomReform MarketLiberalization
Privatization,Competition,MultipleCarriers
TelecomLaw, Regs Regulator
ExplosiveMobileBuild-out
UnivAccess
RuralPhones
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There is a Market N4B
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Broadband Penetration Costs
Use

• Users per 1,000 inhabitants
• USA 551
• Latin America 106
• Sub Saharan Africa 20
• South Asia 10

Cost

• Cost of 20 hours of Internet
• USA 0.5 of monthly GNI/Capita
• Latin America 30
• Sub Saharan Africa 64
• East Asia and Pacific 68

Source 2005 World Bank Development Indicators
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Challenges for the Next 10 Years
Public Sector
Private Sector
AdvIPWireless
ICTs for SocioeconomicDevelopment WSIS
LMI LessonsLearned
NatlPlans
UpdateRegs
RuralCommunity-wideBroadbandw/Value-AddedConte
nt Services
Gov Content Services
UnivServiceReform
OtherFinancing
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Mongolia LMI

• Large Land Mass Few People
• Small Pockets of Populations
• Dominant Demand is Voice
• No Universal Service Funding
• Legal VoIP
• Trial 4 Rural Communities
• Satellite Backhaul
• WiFi and WiFi Mesh Distribution
• VoIP with Handheld Phones
• Interconnection with PSTN
• Business Model Flat Fee for unlimited local
  calling Per-minute fee for Long Distance
• Instantly Profitable on lt40 Phones per Soum Center

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Vietnam LMI

• Highly Populated Rural Areas
• National Goals for Rural Access
• Legal Domestic VoIP Illegal International
• State Owned Telcos, but with Competition
• New Universal Service Fund LMI Provided
  Technical Assistance
• USF includes Voice InternetSubsidies but also
  Loans
• Three Demonstration Deployments using WiMAX and
  WiFi Mesh
• All with VoIP and PCs
• Backhaul Fiber, P2P Satellite
• Distribution 2 WiMAX (Metro and Rural) and WiFi
  Mesh (Rural)
• Served as Model for USF
• Key Results Shaping of USF and Community-wide
  Implementations

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Sri Lanka LMI

• Reasonably Populated Rural Communities
• Broad Coverage with Mobile
• No Universal Service Fund
• Domestic VoIP Illegal International is Legal
• Approach was Setting up a TeleCenter Franchise
• Centers Individually Owned and Operated
• Supported by MicroLeasing Microloans to
  Entrepreneurs
• Broadband via WiMAX and GSM/HSDPA
• Services Intl VoIP, Content,Internet Access,
  Local Calls,MicroLeasing-Loan Outlet
• Initial Round was 20 Centers with another 30 in
  Progress
• Centers Profitable lt 6 Months

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Capturing the Opportunity
Public Sector
Private Sector

• Key driver is now enhancing socioeconomic
  development
• Broadband Internet is an essential ICT component
• Universal Service needs to move from subsidies to
  investments/loans
• Service needs to be redefined to include
  value-added content and services

• Deploy community-wide wireless IP networks w/
  VoIP
• More access with expanded services yields more
  value and generate more revenue
• Demonstrated rural community business models are
  profitable
• Support small community-based microTelcos as
  franchisees

Sought-After USF and Telco Synergy reorient USFs
from subsidies to investments and encourage
Telcos to deploy community broadband networks
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Achieving Rural ICT Access

• Comments Discussions

Contact Information _at_ USAID Joe Duncan (ICT
Team) E-mail jduncan_at_usaid.gov Phone 1 (202)
712-0474
Contact Information Darrell Owen E-mail
darrell_owen_at_msn.com Phone 1 (703)
980-4053SKYPE darrelleowen
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Need for National Scale and Scope Architecture
for Technology, Content-Services Business Model
Central-Shared Services Backhaul Satellite /or
P2P Wireless VoIP Switching, PSTN Mobile
Interconnection Internet Access Services
(e-Mail Web Service) Key Rural-Focused Content,
Applications Services Pre-Payment and
Billing Technical Support
National Platform
Community Networks
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National Technology Platform

• Shared Backhaul (Satellite or P2P Wireless)
• Switching-Related Services
• VoIP Switching
• Interconnection to the PSTN
• Billing
• Internet Access
• Technical Support
• Start up Cost 100K
• Key Lower Coststhrough Economiesof Scale and
  Scope

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Community Technology Network

• Satellite Terminal (or P2P Wireless)
• Community-level Edge-Switch
• Community Wireless Network
• VoWiFi Phones, PDAs PCs
• Off-Grid Power Options (Solar and/or Wind)
• Start up Costs10-20K
• Keys RapidDeployment, Replicable
  ScalableApproach