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ITU crowns ICT decade

Farzana Rasool
By Farzana Rasool, ITWeb IT in Government Editor.
Johannesburg, 20 Jan 2011

Healthy competition over the last decade greatly increased worldwide ICT access, says the International Telecommunications Union (ITU).

It adds that the success of new ICTs coming within reach of most of the world's people can be attributed to competition and the creation of independent regulators across the globe.

“By 2010, competition was available in over 90% of countries in mobile and services,” says the union.

It also says there are now 157 independent authorities worldwide - up from 106 at the beginning of the decade.

On the up

The ITU says the number of mobile cellular subscriptions worldwide grew from under a billion to more than five billion over the course of the decade, and the number of Internet users worldwide grew from under 400 million to over two billion, from 2000 to 2010.

It adds that there are four services that saw the strongest growth in competition over the past 10 years.

International gateways saw an increase in competition from 38% of countries in 2000 to 78% currently.

Basic voice services competition increased from under 40% in the year 2000 to now being available in two-thirds of countries worldwide.

Leased-line competition is now available in three-quarters of the world's countries, up from under 50% in 2000, and local loop competition is now available in 82% of countries worldwide, up from 62% in 2000.

Local competition

He says the introduction of 8ta, Telkom's mobile arm, brings about more competition and opportunities for operators and consumers. “This is one of the events that really caught my attention this year, besides SA hosting the World Cup.”

World Wide Worx MD Arthur Goldstuck agrees, adding that the introduction of 8ta by Telkom, and Cell C's release of its high-speed broadband network, really stood out when compared to other events in the ICT arena in 2010.

“Not necessarily because they were important in themselves, but more because they sparked a shake-up of the market that has not yet fully played itself out.”

Legal broadband

The ITU adds that, over the past decade, broadband has become a national policy priority worldwide.

“By 2010, some 82 countries around the world - from Afghanistan to the US, Australia to Malawi, and Chile to Slovenia - had adopted or plan to adopt a national broadband strategy.”

National broadband policies and plans are clearly focusing on the benefits of building nationwide broadband infrastructure to provide public services online. This includes e-health, e-education and e-government, says the union.

“Over 40 countries now include broadband in their universal service/universal access definitions - and in some countries broadband access has become a legal right,” adds the union.

Broadband for SA

“There is no doubt the move towards universal broadband connectivity will usher in a new skills revolution that will require active collaboration between schools, universities, relevant Setas and other state agencies to collaborate in skills developments,” says the ANC.

However, broadband access in SA remains very low, at around 4% of the population, according to the ruling party. It does not seem realistic that the country will reach at least 50% by 2015, when countries review the attainment of the Millennium Development Goals (MDGs), it adds.

“Universal access to ICTs, especially broadband, is one of the promises of the MDGs. Unless drastic policy and regulatory decisions are introduced, we are not likely to see significant changes by that review period.”

Private decade

“Twenty years ago, in 1991, just 37 countries' main fixed-line operators were privatised. Today, 126 countries' incumbent operators are partly or fully in the hands of private sector owners,” says the ITU.

However, it adds that substantial differences remain between regions. “Eighty-six percent of European incumbents have been fully or partially privatised; in the CIS [Commonwealth of Independent States] the figure is just 50%.”

The ITU says with many markets already privatised, privatisation activity has slowed down over the past few years, especially in the aftermath of the economic downturn, with fewer interested investors and lower investment funds available.

ANC urges rural broadband focus

ITU urged to rationalise ICT standards

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