Building National Broadband Networks: What works and

what doesn’t?Roshanthi Lucas Gunaratne

Goa26 April 2014

2

Internet Ecosystem

Infrastructure

Users

Content/ ApplicationsDevices

3

Internet Ecosystem

Infrastructure

Users

Content/ ApplicationsDevices India

NOFN – fiber from block to gram panchayat level

Government User Network – Anchor client

E-gov, e-education and e-health

4

Internet Ecosystem

Infrastructure

Users

Content/ ApplicationsDevices

Broadband Carnivals, ICT TrainingAffordable packagesTax breaks

E-gov, e-health, e-education, ecommerceMy1Content portal

1Malaysia Netbook Distribution

HSBB – FTTH in industrial areasBBGP – connectivity via multiple tech in rural areas

Malaysia

5

Internet Ecosystem

Infrastructure

Users

Content/ ApplicationsDevices Australia

NBN Australia – wholesale network FTTH, fixed wireless or Satellite

6

Internet Ecosystem

Infrastructure

Users

Content/ ApplicationsDevices Indonesia

Palapa Ring – connecting all Islands through fiber

Programs to improve ICT literacy

Access Network

Domestic Backhaul

International Backhaul

State owned Telco and Public Fiber Networks

Point of Interface

Block

Point of InterfaceAt GP

Customers

International Connectivity

India – NOFN (2012)

Private Telecom OperatorsPilot- 58 GPs

connected Target – 250000 GPs

BBNL PoP

Access Network

Domestic Backhaul

International Backhaul

TM Fiber Network

Customers

International Connectivity

Malaysia – HSBB (2012)1.74Tbps total International BW Capacity (from 682Gbps)

1.43 Ports installed Target 1.3 Ports installed

621,400 Subscribers (43% take up)

4 Operators for HSBB Access

17 Operators for HSBB Transmission

Access Network

Domestic Backhaul

International Backhaul

NBN Co Fiber network

CustomersInternational Connectivity

Australia – NBN (2013)

Retail Telecom Operators

Was planned as FTTH initially in 2009 but after Gov changed from Labor to Coalition, in 2013, multi technology approach favored. Still planning stage. Only legislation on Companies Act and Access Act remain same

Access Network

Domestic Backhaul

International Backhaul

Fiber network connecting all islands

CustomersInternational Connectivity

Indonesia – Palapa Ring

Private Telecom Operators

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NBN Model• India

– BBNL – SPV (BSNL, Railtel, PowerGrid, GAILTEL ), wholesale bandwidth provider – Connecting 250,000 GPs to Blocks– Non discriminatory access, but conditions not defined. Tariff on website, but

significant discounts available– 4B USD funded by USOF; could be more– Was planned to be completed by Dec 2012. Delayed by two years

• Malaysia– Telecom Malaysia (TM) (chosen with no tender process)– FTTH in industrial/ commercial areas– No standard access pricing. Commercially negotiated terms.– 3.5B USD, Public Private Partnership (750M Gov and 2.8B TM)– Implementation started in 2008, launched in 2010. Completed in 18 months.– Phase 2 is currently being planned, but scope undefined.– By 2012 1.43 ports installed, Over 600,000 subscribers (43% take up), 4

operators signed up for Access services, and 17 operators signed up for Transmission services.

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NBN Model Cont…• Australia

– NBN Co (wholesale-only special purpose vehicle, providing retail telecom service providers with access to the NBN )

– Provide whole country with FTTH/ fixed wireless and satellite connectivity– Legislation on open access and transparency exists– 40B USD by Gov– Started in 2009 after many delays and gov change is expected to be

completed in 2019.

• Indonesia– PT Telekom (no tender) PPP (but not implemented yet)– Connectivity of 497 cities in less developed Eastern Indonesia to ensure all

islands are connected by fiber backhaul– Non discriminatory access, but conditions not defined. – 1B USD from USO fund– New National Broadband Plan completed in 2014.– Palapa Ring started in end 2009. Implementation to be completed by 2015

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0 5 10 15 20 25 30 35 40 450

50,000

100,000

150,000

200,000

250,000

300,000

350,000

Cost vs Fiber deployed vs Imple-mentation time

Cost to Government (Billion USD)

Fibe

r Rou

te K

m

Indonesia (6 years)

Malaysia (1.5 years)

Australia (12years) India (4 years)

Size denotes implementation time

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Australia

Malaysia

Transparent conditions to Access

Non-Transparent

Indonesia ?

Implemented by separate entity

Implemented by Incumbent

India?

15

Australia

Malaysia Indonesia

Delayed Implementation

Completed on Time

Implemented by special purpose vehicle

Implemented by Incumbent

India

16

Australia

Malaysia

Australia

Lack of demand by consumers

Existing Demand

Indonesia ?

RuralIndia?

Urban

Cost to Government (Billion USD)

Implementation Entity

Scope of Project Open Access

Timely implementation

India 4 BSNL SPV

Connectivity from Block to 250,000 GP

Conditions being discussed, Tariff

on web Delayed

Malaysia 0.75

TM (selected with no tender process,

other operators not considered)

PPP

FTTH in high industrial areas only

No transparent conditions or

pricing, but other operators have

signed upCompleted on

time

Australia 40NBN Co Wholesale

only SPV

Connectivity of whole country through FTTH, fixed wireless and satellite

Clear legislation on non

discriminatory open access and

transparent pricing Delayed

Indonesia 1

PT Telekom (other operators not considered)

Connectivity of Eastern non commercial

citiesConditions have not been agreed Delayed