Impact of Convergence and new technologies on Universal Access policies

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Impact of Convergence and new technologies on
Universal Access policies

• Tao Qing
• May, 2006

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Phases and Objectives of Universal service in
China
Phase I
Provide telecommunication service to big cities
Phase II
Expand to all cities and big villages
Phase III
Extend universal access to every administrative
villages
Phase IIII
Push forward Universal Service, Phone to family,
Internet to administrative village
Phase V
Service for individual
Now in Phase III
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objectives of US in China

• To establish of US mechanisms to ensure the
  reality of the objectives of each phase
• TO raise the penetration rate of all services,
  protect and improve the welfare of users

Overall objectives

• 2010, phone to administrative villages, internet
  to towns
• 2010, penetration rate to 100 in administrative
  villages
• Ability of access internet to villages

Mid-term objectives

• 2020, Internet to administrative villages, phone
  to families
• Ensure the satisfaction of requirements of
  farmers to obtain the necessary information,
  phone to families
• Upgrade the ability of administrative villages
  to access internet

Future objectives
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History of Universal Service in China
Establishment of USF
Extend universal access to every administrative
villages
Launched the Project of CUNTONG
2004-1
Raise the issue of establishment of USF

• Market reform
• Competition
• Multi operators to bear the obligations of US
• Article 44 of Telecommunication Regulation

2001-11
Abolished installation fee
2001-7
Telecommunication Regulation
2000-9
Establishment of MII
1998
Monopoly market and operated by a state-owned
operator, US was provided by cross subsidy
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Present Policies for Universal Access (I)

• At the beginning of 2004, MII decided to
  implement the project of extend telecommunication
  service to every villages, that is, to assign the
  40,000 administrative villages without telephone
  connection among six basic operators, China
  Telecom 25.63, China Mobile 56.18, China Netcom
  9.73, China Unicom 9.31, China Railcom 0.62,
  China Satcom o.33.

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Present Policies for Universal Access (II)

• Since the beginning of the project from 2004,
  52304 administrative villages have accessed to
  the telephone by the end of 2005, the ratio of
  the villages with telephone reached
  97.1,increased 8.1 compared to 2003.

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Technology Applied in Universal Access (I)

• The principle of technology selection
• -Low cost
• -Wide coverage
• -Easy to maintain
• -Durative development

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Technology Applied in Universal Access (II)

• Typical technology
• Cable/Fiber access, for plain and densely
  populated rural areas
• Cellular Mobile System, for plain and densely
  rural area
• Fixed wireless access such as SCDMA WLL System,
  for remote areas
• VSAT, for remote and complicated geographical
  areas

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Impact of Convergence on Universal access (I)

• More networks to provide UA-more choices
• Telecommunication network
• Broadcasting network
• More services through one line-for the benefit of
  the users
• Voice
• Data
• Broadcasting and TV

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Impact of Convergence on Universal access (II)

• More effective
• Cost effective choose the cheapest way
• Combination of network, provide new service by
  old network, such as add telephony to TV lines
• Avoid the re-investment in high cost area
• Bright future for Un-served area
• Low cost
• More choices of technologies
• Combined high quality services

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Thanks!