How to establish broadband markets in rural areas

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How to establish broadband markets in rural
areas
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Tanzania ICT4RD Project(Costech, DIT, KTH)

• Population (2002- census)?
• Mara1,369,000
• Bunda260,000
• Serengeti177,000
• Coast 900,000
• Bmoyo230,000

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Broadband vs Internetlocal versus international
connectivity

• Local content exists!
• Administration Budgeting, economic control,
  district-schools-healthcare units
• Education In-service teacher training curricula
• Healthcare Sentinel surveillance, remote
  consultations, patient records
• Static part of Internet on local cache server
• Narrowband Internet connection to reach the
  dynamic information in the world

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Enabling factors

• National policies related to ICT (relevant
  ministries)?
• Telecom regulations (Independent regulator)?
• Other legal issues Joint facilities and their
  management, right of way
• Availability of infrastructure National
  backbone, access networks, last/first mile
• Human resources Education and training, Supply
  chain distribution and maintenance

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Enabling factors cont..

• ICT Awareness
• ICT as an Enabler, ICT is cross cutting, etc
• Political will
• Support the adoption of ICT in their Communities
• Institutional mechanisms
• Involving all players in the community
• A platform to facilitate local participation

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Market actors

• Producers
• maximize profit under the market constraints
• Service providers, network providers,
  infrastructure owners
• Supply chain equipment distribution, deployment,
  maintenance
• Consumers/Consumer agents
• maximize the quality/cost ratio
• Policy and regulations
• Policy makers generate legislation
• Regulators arbitrate and balance between market
  actors and society interests

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Getting Started

• Market sizes
• Dar - Bunda Nata, Stockholm Jokkmokk
  Tarfala
• Who will deploy the last/first mile connectivity
• Commercial interest?
• Request For Tenders!
• What is in it for the districts ?
• If no one else, it will have to be left to local
  entrepreneurs, NGOs, interested community members

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Economic considerations

• Facilitating investments
• Public sector services constitute 30-40 of
  traffic volumes in developed countries and
  substantially more in developing countries
• Initial focus on Local administration, Education
  and Healthcare
• Operating costs
• Turn all stones to find paying customers, both
  public and private

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ICT4RD Coverage

• Serengeti Pilot
• 1GE Bunda-Nata-Mugumu
• 2 District Councils, 2PHCs, 2Dhs, 2Schools,
  1TTC,..
• Private individuals
• Local ownership
• Wami pilot
• 1GE Chalinze-Lugoba-Wami-Miono
• 2 Schools, 3PHCs,ICT Center
• Local ownership

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Serengeti Pilot

• Diagram here

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Wami Pilot
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Local Govt Involvement
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Different Business models

• PPP
• Private include both consumers and producers!!
• Private Supported Individuals
• Cooperatives
• Government subsidized

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Challenges

• Political
• Operational
• Rural

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Operational Challenges

• Maintenance
• Lack of Qualified Technical Staff
• ICT devices not available in rural
• Proper working environment

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Political Challenges

• Government readiness to support
• Misunderstanding of the PPP
• Rigidness of LG to cooperate

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Rural - Challenges

• Availability and reliability of power supply
• Rural
• Low purchasing power
• Low density
• Computer illiteracy
• Etc..

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Conclusions

• ICT makes a difference
• Leadership and ownership
• Use emerging technologies
• Outline of the rest of the day