Telecom meets the InternetMichael Minges

African Internet & Telecom SummitBanjul, The Gambia

June 2000

Note: the views expressed in this presentation are those of the author and do not necessarily reflect the opinions of the ITU or its membership. The author can be contacted at minges@itu.int.

Threat or opportunity?

• Takes Jamaican ISPs with VSATs to court considering it a breach of its exclusive international license.

• Plans to move all its customers and services onto the new IP network. “I think within four years all our customers' voice traffic will be carried over IP.” Source: The Economist, May 2nd 1998

0.26

0.420.59

0.82Mauritania

Senegal

0.21

0.290.32

0.53Lesotho

Gambia

0.21

0.190.20

0.25Uganda

Zimbabwe

Incoming international traffic

The main “threat”

Settlement rate Traffic exchange Source: FCC, Arbinet.

Price per minute (US$)

Source: Net2Phone.

The demise of international

0

200

400

600

800

1'000

1'200

Jan-99 Mar-99 May-99 Jul-99 Sep-99 Nov-99

Dial-up Internet

International voice

Source: Office of Telecommunications, Hongkong.

Telephone traffic in HongkongMillions of minutes

Another “threat”

0

50

100

150

200

250

0 20 40 60 80 100Minutes of use per day

US$

per

mon

th

Dial-up

Leased line

Telephone usage

ISP chargeMonthly telephone subscription

Dial-up versus leased line cost for Internet access

Note: Dial-up includes monthly subscription & telephone usage.Source: ITU.

PTO as ISP

02468

10

D-98 J -99 D-99 A-000

50

100

150Dial-up clients (left)Hours of use (right)

Bolivian local telephone operator

Source: COTAS.

Infrastructure for the Net

• Telephone lines– Customers– ISPs

• High speed lines– ISDN– Cable – DSL

• Leased lines– National– International

Source: CISCO.

Peering & transit servicesEmirates Internet Exchange (EMIX)

E-business opportunities

• Web hosting• Portals• Advertising• Consulting

From PTO to ICP

• Access– SingNet– SingTel Magix– mysingtel– e-ideas

• Infrastructure – NCS Media Hub– Consumer Connect– SingTel IX– ID.Safe

• Content– Lycos Asia– SESAMi.com

                              

Internet initiatives

Partners

ISPInternational connectivity

E-commerceIP network / telephony

                            

Be the leader!

• Web site • ISP• Peering• Tariffing