Enabling Mobile Broadband for Development - UNGISgroups.itu.int/Portals/17/SG5/WP5D/0 (key note)...
Transcript of Enabling Mobile Broadband for Development - UNGISgroups.itu.int/Portals/17/SG5/WP5D/0 (key note)...
Regional Workshop on IMT for the Next Decade-Future Trends in Mobile Market and Data Services Bangkok, March 21, 2011
Enabling Mobile Broadband for Development
Outline
• Trends in Mobile Broadband
• Mobile “Development” Applications
• Enabling Factors
• World Bank Group Involvement
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3
20112001
Phone
Email/SMS
Smart Grids/M2M
Green Technology
Video on Internet
Social Networking
Mobile Banking
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Trends: Voice to Content
Trends: Industry Perspective
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0
500
1000
1500
2000
2500
3000
3500
4000
ac
tiv
e s
ub
sc
rip
tio
ns
(m
illio
n)
2003 2004 2005 2006 2007 2008 2009 2010 2011
Global Cellular Active Subscriptions by System Standard (03-11)
WCDMA/GSM
GSM
PDC
TDMA
CDMA
Analogue & Other
Graphs: Ericsson
Faster data rates and rapidly
increasing number of mobile
broadband users worldwide
Business drivers: consumer
content delivery, value added
services
Broadband Demand: Pacific
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0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Inte
rnat
ion
al b
and
wid
th (M
bp
s /
Mo
nth
)
International leased lines
Mobile Internet
BB
Dial up
Mobile
Fixed lines
International Bandwidth Demand: Vanuatu (Mbps/month)
Source: World Bank 2010
Mobile Broadband Drivers
• Software applications on a mobile device that allow it to perform specific tasks, e.g. access specific information via a website, make payments and other transactions, play games, send messages
• Can be pre‐installed or downloaded via the mobile network
• Proprietary or open systems
• From SMS-based to IP-based, depending on device
Proliferation of mApps or mServices
• Financial Services: mobile payment and banking, wage and social benefit payments, financial literacy, savings and insurance
• Health services: basic medical records management, diagnostics, disease surveillance, supply chain, training
• Learning and education: mobile educational games, classroom support
• Farmer information services and help-lines
Technology & mApps
2G
2.5, 3G, LTE
• SMS
• MMS
• Helplines
• IVR
• Voice messages
• Applications
• Web & data enabled
• Applications
Source: GSMAH
ea
lth
Ed
uca
tio
n / L
ea
rnin
g
Financial
Go
ve
rna
nce
Ag
ricu
ltu
re
Information
Supply Chain Management
Health Financing
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Treatment Adherence / Appointment
Reminders
Data Collection / Disease Surveillance
Health Information Systems & Support Tools
for Health Workers
Disease Prevention and Health Promotion
Emergency Medical Response Systems
Health services1
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4
5
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Emergency response tools , including creation of EMR via
mobile phones, and ambulance services whose reach is
extended with mobile usage in remote areas
Collection and analysis of patient data, particularly at clinics
or related to call centers that are used to triage services and
treatment; information to help health worker prioritization;
information on inventory (Note: overlaps with supply chain
management)
Use of smart-cards, vouchers, insurance and lending for health
services linked to mobile platforms (e.g., m-Pesa) or otherwise
enabled using mobile
Usage of mobile handheld devices to collect data remotely (e.g., by
community health workers); additionally, use of remote diagnostic
tools for disease surveillance and treatment; includes civic
participation in reporting outbreaks and disease information
Management of inventory and supply chain steps by mobile
tracking and communication; includes advocacy informed by
supply chain information
Use of mobile and SMS-based health information and
education to inform individual patients of preventive care
and treatment
Utilization of messages and voice to communicate treatment
and procedural reminders to patients (e.g., automated SMS
reminders to patients on chronic medication)
mApps: Health
Human
Payment for Health Services(consultation,
medicines, point-of-care tests,
appointment setting,
health information)
Payment(installment/credit) for:- Phone- Training Certification- Medical equipment
Revenue Sharing
Payment for Health-Data Collection
Payment for Health Data
Services
Livestock
Crops
Reputed Pharmaceuticals
Diagnostics
Community Health Worker (NGO worker
or entrepreneur)
Revenue share from referred
patients
Payment for referral visits
Revenue share from Medicines sold
HOSPITALS / SPECIALISTS
Govt./Donors/ Health Orgs
“Click” mHealth Business model
REUTERS MARKET LITE
Current Information Scenario
Farm ersHelpline
PROVIDING FARMERS
INFORMATION
THROUGH SMS.
NOKIA LIFE TOOLS
mApps: Rural
Weather Forecast
Mandi Prices
Govt Policy
Health/ Edu Info
Dept of Agriculture
Deptt of Irrigation
Ministry of Power
CM’s Office
Farm ersHelpline
www.skymet.net
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Market Participation & Linkages
OBJECTIVES
Agricultural Extension
Distance Education
Governance
Rural Finance, Infrastructure & ICT
Access and provision of agricultural information
Support and promotion of better farming methods
Improved education results Greater access & participation in
education
Access to government information Amalgamation of grassroots information
online for purpose of effective response
Finance and insurance on fair and equal terms which overcome rural challenges
Ease of payment & receipt Protection from impact of climatic
disaster Access to insurance for small farmers
Improved economic participation & income Information, insurance & finance Buy-sell trade without exploitation Hands-on linkage assistance
Resource Management
Clean water at affordable price & for irrigation purposes
Project
M.I.N.D
mApps: Development Objectives
mApps: Early Development Impacts
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Increased income through better
access to market informationHigher-yield production Improved efficiency in supply chain
Tradenet 23% premium on produceLower information asymmetry between
farmers and brokers
KACE75% of farmers & 60% of commodity
traders report increased income
Virtual CityTypically 9% increase in income for
each small scale farmerProduce volumes increased
Transaction time reduced from 3
minutes to 22 seconds
Cost of delivery reduced by 75%
DrumnetFarmer's income increased by 32%.
Easier access to agricultural inputs
Agricultural input suppliers gain
economies of scale
Bank credit worthiness increasedReduced transaction costs for financial
institutions
Kulimo Salama$150 increase in income per
smallholder /farmer
50%+ improvement in production due
to insurance on high yield inputs
Farmers in 1st year insured 10-20% of
their inputs, increased insurance to
50% of inputs in the next year
More efficient value chain leads to
lower retail costs
B2BPricenow.
com
Direct access to buyers improves
sales More efficient payment to members
via secure payment layerTotal volume of trade since inception
(year 2000) = $30 mil.
Farmers
texting centre
(FTC)
Planting varieties with higher yields 20% reported increases in production
eDairy
Additional income of $262 per
additional calf due to more timely
access to veterinary services
Milk production can increase by 30%
Accurate prices at delivery point
compared to prices confirmed days
after delivery in the past
mApps for Development: Experience
• Currently, most applications tend to be simple (e.g. data entry, SMS reminder) with single purpose
• Early indications of positive impact, on small scale
• Mobile money is a foundation for other m-applications in various sectors, enabling more sophisticated applications (e.g. crop insurance)
• Limited commercial viability of most ventures so far
• Telecom operators’ incentives need to be aligned to contribute
• Awareness raising and training needs to be built into business model as well as rigorous financing planning
• Significant investment in back-end databases/information systems would be needed to support scaling up
• Mobile broadband platform offers significant opportunities with the right business model
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Government Roles in Broadband Development
• Governments can stimulate more competitive service provision and increased investments in mobile broadband, through:
• Spectrum reforms: additional spectrum for 3G operators, spectrum re-farming to allow use of 850 and 900 MHz for 3G to realise cost savings and increase coverage; in-band migration 2G-3G-4G; making available 700 MHz band (e.g. from digital switchover) and/or the 2.5 GHz band.
• Unified licensing: transition away from vertical, service and technology-specific licensing to technology and service-neutral regime (several models).
• Open access to infrastructure: at active layers (separation of access & service provider roles of operators )and passive layers (buildings, ducts, pylons, dark fibre). Allowing non-telecom service providers to build passive infrastructure.
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Approach Leading country examples
1 Competitive tender &/or Government initiative to build new backbone &/or access infrastructure, including use of universal services funds or similar
Canada, Chile, India, Pakistan, Sri Lanka, Singapore, Malaysia, other USF countries
2 Create / Underwrite Demand Malaysia, Singapore, OECD countries
3 Stimulate Private Demand in the ICT Sector –e.g., PC initiatives, industry & educational initiatives, local services
Korea, China, Egypt, Thailand, OECD countries
4 Regulatory Reform, liberalisation, competitive fixed & unified licensing, creative spectrum policies
Pakistan, India, S. Africa, Chile, Brazil, Peru, New Zealand, Germany, UK, USA
5 Integral part of an Economic Stimulus package (1.38% GDP growth/10% Internet penetration)
USA, UK, Canada, Japan, Finland, Singapore, Korea, Australia
Policies and Regulations
• Spectrum reforms: additional spectrum for 3G operators, spectrum re-farming to allow use of 850 and 900 MHz for 3G to realise cost savings and increase coverage; in-band migration 2G-3G-4G; making available 700 MHz band (e.g. from digital switchover) and/or the 2.5 GHz band.
• Unified licensing: transition away from vertical, service and technology-specific licensing to technology and service-neutral regime (several models).
• Open access to infrastructure: at active layers (separation of access & service provider roles of operators )and passive layers (buildings, ducts, pylons, dark fibre). Allowing non-telecom services providers to build passive infrastructure.
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Infrastructure Investments
• Governments can provide funding or partial funding for extension of backbone networks to commercially more marginal areas, particularly in developing countries—to stimulate mobile broadband access
• Direct investments: through national budgets, donor-funded programs, special funds
– Subject to national budget priorities; and on role of public sector in telecoms service provision
• Catalytic investments/partnerships:
– Universal service funds: competitive tenders, capital subsidies, reverse auctions
– Consortium participation21
Demand Aggregation
• Governments can stimulate investment in broadband particularly outside major commercial centres by pooling national and/or local government demand and offering mServices
• Leveraging ICT in Education programs in developing countries (school broadband access). Many Government programs to provide connectivity to schools.
• Business support services (national, local level): e.g. online permits, licenses, land administration
• E-procurement: informational and/or transactional
• Trade facilitation services e.g. customs clearances, quarantine, other certifications
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World Bank Group in ICT Sector: 2000 - 2010
Sect
or
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Acc
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to IC
TIC
T A
pp
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sH
um
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apac
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and
Inn
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• Sector reform: Bank active in 105 countries in last 10 years, infoDev’s regulatory toolkit and Open Access research
• PPPs for backbone infrastructure: IFC-led EASSy Project (22 countries, 30 operators, 4 other DFIs) in Africa – Bank-led Regional Communications Infrastructure Program (RCIP); other Regional Communications Infrastructure projects
• Wireless: IFC financing have so far contributed to 225 million mobile subs
• Infrastructure: IFC financing for Shared towers (Turkey and Brazil); Bank support for rural infrastructure (India, Sri Lanka);
• New broadband solutions: WiMax (Ukraine, Uruguay), Cameroon / Central Africa (Pipeline), West Africa (Electricity Transmission), Broadband wireless (Afghanistan)
• Banking the unbanked: IFC support to m-banking - WIZZIT (South Africa), Digicel in Caribbean & Pacific Islands, Millicom; infoDev’s m-banking knowledge map and research
• e-Government: Bank support in Vietnam, Ghana, Mongolia, Kenya; IFC support to Sonda (Chile), IBS (Russia), Meteksan (Turkey), Chinasoft; infoDev’s egovernment toolkit
• e-Health: Investing in cellular-based health systems, Voxiva (Africa – Latin America, health data management• Education: IFC support to Socket Works (Nigeria), new Bank-led ICT Skills development Initiative, infoDev’s ICT in education toolkit in
partnership with UNESCO, ICT in Education Strategy in Indonesia (Papua)• Partnerships and Knowledge: M-Banking Conference (GSM Assoc., DfID, CGAP), Industry Partnerships, Government Transformation
Initiative
• Supporting the growth of IT/IT enabled service industry: Bank’s support in Ghana, Mexico, Kenya, Sri Lanka; infoDev’s research on ITES industry and IT parks
• Cellular Distribution Facility: IFC- financed working capital facility program offering local banks creditline to cellular distributors to buy bulk airtime aimed for retail market
• Supporting the development of an ICT-Enabled innovation network: Leveraging infoDev’s business incubator initiative, which provides financing and TA to over 300 incubators for 20,000 MSME businesses in over 80 countries
• Supporting the development of holistic ICT policy frameworks: Increasingly developing countries are recognizing the linkage between innovation and economic development and the Bank is working with several countries
• Creating systems of innovations: DFID Low Carbon Innovation Centers, clean energy innovation centers
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Remaining ICT challenges
COVERAGE AND ACCESS GAPS
2002 2008
India: Rural versus urban teledensity
Rural
Urban
Access to the Internet remains a challenge
INEQUITABLE ACCESS
HIGH PRICES FOR BROADBAND
% of global revenues 2007
(total market - US$89 billion)
US & Canada61%
Middle
East
1%
Latin America2%
Asia8%
Europe28%
Africa
0%
Market for business information
GAPS IN CONTENT
$0
$200
$400
$600
Low
IncomeLow-Mid
Income
Up-Mid
IncomeHigh
Income
Average Monthly Lease Cost for a High Speed Internet
Connection (2Mbps)
10x
More
0
2
4
6
2000 2008
Total Telephone Subscribers
To be Connected: 1.8 bn
Developing Countries: 2.9 bn
Developed Countries: 1.3 bn
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Transform Innovate
Connect
New WBG ICT StrategySe
cto
r R
efo
rm
Acc
ess
to IC
T
Hu
man
Cap
acit
y
ICT
Ap
plic
atio
ns
2001 Strategy Emerging Directions
CONNECT – Maintain a focus on the connectivity agenda
with an emphasis on high-speed Internet including mobile
broadband
INNOVATE - Increase support for the use of ICT to unleash
innovation across the economy and for the growth of local
ICT industries
TRANSFORM – Scale up support to client countries to use
ICT to transform all areas of the economy. Focus on Apps25
“Transformational” Role of Mobile Broadband
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Largest Ever Delivery Platform:> 3 Billion Mobile Phones In Developing Countries
Back-end Applications (MIS, FMS, Procurement, etc.)
Enabling Environment:• Regulatory framework (sector-specific)
• Policies and standards• Shared infrastructure
• Interoperability framework• Cyber security
Foundations
www.worldbank.org/ict/[email protected]
Thank You & Contacts
East Asia and Pacific RegionNatasha Beschorner (Jakarta): [email protected]