Internet Service Market in Nepal By: Sanjeev Maharjan.
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Transcript of Internet Service Market in Nepal By: Sanjeev Maharjan.
Internet Service Market in Nepal
By:
Sanjeev Maharjan
Contents
Internet History in Nepal Growth of Internet Market Internet Market Today Earlier Technologies Introduced By ISPs Need for High Speed Internet High Speed Technologies Introduced by ISPs ADSL as Superior Technology Why to prefer ADSL? Lessons for us!!!
Internet History in Nepal E-mail services by Nepal Academy for Science
and Technology: First instance of use of Internet Technology
Mercantile Office Systems: First Private Sector to provide commercial e-mail service in June 1994
Internet Services by Mercantile Started: Connection with Singapore Telecom via 64 kbps
leased line through NTC in 1995 Mercantile became the First ISP of Nepal
Internet History in Nepal
1995: 2 more ISP proposed to start Internet services
World Link Communications & Computerland Communications
September 1997: License issued to all three ISPs 1998: Formation of Nepal Telecommunications
Authority (NTA) as per Telecommunications Act, 1997.
NTA is a telecommunications regulatory body
Growth of Internet MarketFiscal Year
License Issued
Cumulative ISP No
055/56 9 9
056/57 4 13
057/58 2 15
058/59 3 18
059/60 2 20
060/61 6 26
061/62 6 32
062/63 7 39
063/64 3 42
064/65 3 45
0
5
10
15
20
25
30
35
40
45
055/56 058/59 061/62 064/65
License Issued
Cumulative ISP No
TABLE & GRAPH: Growth of ISPs Since the Introduction of Internet Service in Nepal
Internet Market Today
Total number of Valid ISPs: 35 Total Number of VSAT Network Providers: 7 Total Number of VSAT Service Users: 110 Total Number of Internet Users:
249,400 Internet users as of August, 2007;1.0% of the population, according to ITU
Need for High Speed Internet
With the popularity and growth of internet services, the need of the customers also grew
Need of High Speed Internet emerged among different business houses and the financial organizations
Earlier Technologies Introduced By ISPs
PSTN Dial-up: slow speed ISDN Dial-up: Speed not as desired but expensive Leased Line: High Speed but very costly
Technologies Available Speed
PSTN Dial-up 56 kbps
ISDN Dial-up 64 kbps, 128 kbps
Leased Line 64 kbps up to 8192 kbps
High Speed Technologies Introduced by ISPs
Cable Internet Technology Wireless Technology ADSL Technology
(The most recent buzz in Internet Market)
High Speed TechnologiesCable Internet Technology
First introduced in Nepal By Subisu Cablenet Pvt. Ltd.
Uses the broadband coaxial cable as the medium
Requires cable modem as customer premise equipment (CPE)
Raw Capacity of 30 Mbps But available speeds: up to 256 Mbps Uses artificial Speed caps to limit speed of
their customers
High Speed TechnologiesCable Internet Technology
High Speed TechnologiesCable Internet Technology
Speed & Cost Structure by Subisu Cablenet Pvt. Ltd64 Kbps Link
S.No. Speed Data Limit (in MB) Price (in Rs)
1 64 500 2585
2 64 1000 3500
3 64 1500 4500
4 64 2000 5500
128 Kbps Link
1 128 500 3000
2 128 1000 4000
3 128 1500 5000
4 128 2000 6000
256 Kbps Link
1 256 500 4000
2 256 1000 5000
3 256 1500 6000
4 256 2000 7000
High Speed TechnologiesWireless Technology
Introduced for commercial purpose in Internet in Nepal By: Wordlink Communications Pvt. Ltd.
Uses the Motorola’s Canopy Technology to distribute the wireless technology (802.11)
High Speed TechnologiesWireless Technology
Speed and Cost StructureSpeed: Upto 120 kbps
Wi-ZOOOM Cost
1 Month-Rs. 3500
3 Months-Rs. 9900
6 Months-Rs. 18000
12 Months-Rs. 34000
- 20 hrs Dial-up account free for back up purpose
Installation cost: Rs. 3500.00
Subscription and Activation: Rs. 6000.00
Speed: Upto 150 kbps
Wi-ZOOOM Cost
1 Month-Rs. 4500
3 Months-Rs. 12900
6 Months-Rs. 24600
12 Months-Rs. 45000
-20 hrs Dial-up account free for back up purpose
Installation cost: Rs. 3500.00
Subscription and Activation: Rs. 6000.00
High Speed TechnologiesADSL Technology
Stands for Asymmetric Digital Subscriber Line Type of DSL Technology Asymmetric in a sense: Higher downstream rate
from 512 kbps to 6Mbps Can be implemented in existing PSTN network
with the use of ADSL Modems or Switch and the splitters
Cost-Effective solution to high speed internet service need of the people
High Speed TechnologiesADSL Technology
High Speed TechnologiesADSL Technology
Speed and Cost Structure
ADSL Speed (Kbps) Monthly rate for Internet (Rs)
3 Month Package (Rs)
Monthly port charge
(Rs)
128 Kbps 800 2400 100
256 Kbps 1400 4200 100
512 Kbps 2600 -- 100
1 Mbps 4900 -- 100
2 Mbps 9200 -- 100
ADSL Vs Cable Vs Wireless
Factor ADSL Cable Internet Wireless (802.11)
Raw Speed Maximum 13Mbps
Maximum 30Mbps
Maximum 2Mbps
Available Speed 128 Kbps, 256 Kbps
64 Kbps,128 Kbps, 256 Kbps
120 Kbps, 150 Kbps
Cost (per month) Rs 900,Rs 1500 Rs 2585, Rs 3000, Rs 4000
Rs 3500, Rs 4500
Medium PSTN copper cable
Broadband Coaxial cable
---------------
Infrastructure All over the country
Limited to major cities
Limited areas around country
Why to prefer ADSL?
Maximum districts reachable by other technologies: 20
With 72 district telephone exchanges, ADSL has larger network potential & reach
High Broadband Speed Minimized Switching and Installation cost Popularity and Growth of this technology all over
the world
Why to prefer ADSL?
Lessons For Us!!! Cost-Reduction is a technique to enter the
market with new technology New Technology accepted all over the world
generates the positive feedback New Technology grows faster if the network
base for the technology already exists in large Switching Costs are significant for shifting
customers from one base to other
Thank You
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