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Broadband infrastructure investment in stimulus packages: Relevance for developing countries
Abstract
Received 9 August 2009Accepted 9 October 2009Responsibility for all errors, omissions, and opinions rests solely with the author. The findings, interpretations, and conclusions expressed herein are those of the author and do not necessarily reflect the views of the World Bank and its affiliated organizations, or those of the Executive Directors of the World Bank or the governments they represent.
The author would like to thank Philippe Dongier, Tim Kelly, Yongsoo Kim, Siou Chew Kuek, Siddhartha Raja, Rajendra Singh, Eloy Vidal and Mark Williams for their comments and suggestions, and Siou Chew Kuek for preparing the draft Appendix.
... Policies that support private sector investment Government initiatives to encourage private investment (Irwin, 2003;Qiang, 2010;H. Wang et al., 2019) 3.2 Universal service policy (Dwyer et al., 2011;Ehrler et al., 2009;Falch & Henten, 2008Qiang, 2010) 3.3 Subsidies as fiscal support (Bauer, 2011;Cordova & Stanley, 2021;Falch & Henten, 2008;Gillett et al., 2004;B. ...
... Policies that support private sector investment Government initiatives to encourage private investment (Irwin, 2003;Qiang, 2010;H. Wang et al., 2019) 3.2 Universal service policy (Dwyer et al., 2011;Ehrler et al., 2009;Falch & Henten, 2008Qiang, 2010) 3.3 Subsidies as fiscal support (Bauer, 2011;Cordova & Stanley, 2021;Falch & Henten, 2008;Gillett et al., 2004;B. Howell & Sadowski, 2018;Qiang, 2010) Dicorato, 2020). ...
... Wang et al., 2019) 3.2 Universal service policy (Dwyer et al., 2011;Ehrler et al., 2009;Falch & Henten, 2008Qiang, 2010) 3.3 Subsidies as fiscal support (Bauer, 2011;Cordova & Stanley, 2021;Falch & Henten, 2008;Gillett et al., 2004;B. Howell & Sadowski, 2018;Qiang, 2010) Dicorato, 2020). Policymakers are responsible for making decisions on the mechanisms for public investment. ...
This study aims to analyze the development of research themes in the public–private partnership (PPP) project policy strategy for broadband infrastructure from 2000 to 2021 and identify the most popular research topics. Systematic literature review (SLR) of 927 Google Scholar and Scopus publications, followed by bibliometric analysis, co-occurrence keywords, and in-depth qualitative approaches with content analysis, was performed. Articles are classified based on the source of publication, year of publication, country of origin, journal ranking, and research theme. This study finds that previous studies discussed the development of policy strategies and regulatory theory. Most articles were published in journals indexed under Q1, while only one was published under Q4. This study highlights the importance of government initiatives in developing broadband infrastructure through PPPs. The findings show that the policy strategy, legal framework, and regulations influence the success of PPP schemes. Private sector involvement can reduce costs and provide access to resources and expertise the public sector may still need to gain. This study suggests that policymakers encourage the participation of the private sector in broadband infrastructure projects and provide incentives for them, such as public funding. This study benefits governments or policymakers who intend to implement the PPP scheme to deliver public services.
... All interviewees had over 15 years of experience and held with the position of CEO or equivalent (general manager, proprietor or managing director). Interviews were completed when stability was reached in findings, consistent with extant qualitative research approaches (Yin, 2009). ...
... Interviews were the owners or managers of different firms thus giving a different perspective and providing further triangulation of qualitative information (Huberman & Miles, 1994). Two researchers carried out all of the interviews, thereby reducing the potential bias that is commonly cited as a limitation of qualitative information sources, thereby strengthening triangulation even further (Yin, 2009). The chain of evidence, tracing conclusions, to analyses, to data summaries, to the collected data was also maintained (Yin, 2009). ...
... Two researchers carried out all of the interviews, thereby reducing the potential bias that is commonly cited as a limitation of qualitative information sources, thereby strengthening triangulation even further (Yin, 2009). The chain of evidence, tracing conclusions, to analyses, to data summaries, to the collected data was also maintained (Yin, 2009). These measures have enhanced research reliability, thereby improving its overall quality. ...
Innovation has emerged as a critical area in the information technology (IT) for development literature. In particular, there has been on an increased focus on innovation through high-speed broadband on rural businesses. However, unlike existing studies that have predominantly explored the role of telecentres, this research responds to growing calls to focus on the under-researched area of the impact of broadband on rural firms in boosting their innovation capabilities. Consequently, this study contributes to theory development by extending the capability approach from the predominant individual focus to the organizational level by incorporating dynamic capability models to explore development within broader systems. Specifically, it integrates the impact of relevant factors including IT competence and digital options on agility and competitive actions, which in turn influence innovation and overall firm performance. The study is useful to policy-makers in allocating IT investments and evaluating the subsequent impact in their innovation endeavors.
... In a study of 27 developed and 66 developing nations, Clarke and Wallsten (2006) found that a 1 percentage point increase in the number of Internet users is correlated with a boost in exports of 4.3 percentage points and an increase in exports from low-income to high-income countries of 3.8 percentage points. Qiang et al. (2009) suggest although this study was not broadband specific, it is safe to infer that broadband would have an even bigger positive impact. ...
... Therefore, African governments can consider a more active approach to ensure broadband connectivity is available throughout their countries. They can target spending on high-speed open access networks to provide connectivity to rural schools, hospitals and other public institutions as anchor points for broadband connections in the community (Qiang, 2009). This could facilitate private ISPs to interconnect at these access points and provide retail services to citizens by distributing access directly to them (OCED, 2009). ...
... Therefore, 'unbundling the local loop' through provision of regulated access to the incumbent operator's networks should be a major consideration in any interventionist policies. This implies when governments decide to intervene by subsidizing broadband markets, the resulting networks should be available on open access basis for the network providers to offer capacity or access to all market participants on equal and nondiscriminatory terms and conditions (Qiang, 2009). As argued by Adamski (2009), open access requirement holds a check on prices and quality of services, and on efficiency of the subsidized scheme in general, through market mechanisms. ...
This study investigated the extent and benefits of Africa's broadband connectivity, its impact on e-government and economic growth, and the challenges and best practices for addressing them. Studies by the UN and ITU over the years have revealed Africa lags behind in the global broadband connectivity and e-government diffusion. The Connect Africa summit held in 2007 by the ITU and its partners came out with five specific goals to connect the continent and help improve its economy. This study reviewed the Connect Africa Outcomes Report, and analyzed the publications of three independent studies conducted by: a) the ITU, b) the World Bank and the African Development Bank, and c) Informa Telecoms and Media. The findings reveal that Africa has made substantial progress in international connectivity and mobile broadband penetration. Additionally, broadband connectivity has contributed toward some improvements in e-government initiatives and economic growth. The study concludes with recommendations to address the existing challenges to consolidate the gains made.
... In Canada, as part of the Economic Action Plan, there is funding for strategy to deploy broadband coverage to as much un-served or under-served households, as possible (Canada's Economic Action Plan). The scope of the plan is to extend broadband coverage to all underserved communities, and the financing approach is to encourage the private sector to develop rural broadband infrastructure (Qiang 2009). ...
... Australia invites the private sector to participate in NBN, but private ownership is apped at 49%. The plan is to connect 90% of all Australian premises with fibre and the rset 10% with next generation wireless and satellite networks (Qiang 2009). In June 20101 NBN and Telstra (the incumbent telecommunication provider) reached an agreement that Telstra would provide NBN access to its facilities, and Telstra's traffic will progressively migrate onto the National Broadband Network (subject to regulatory approval). ...
... In South Korea there is a mid-to long-term plan to develop the Broadband Convergence Network (BcN) with 1Gbit/s for wired connections (Korea Communication Commission). The plan aims to help South Korea strengthen its position as one of the world leading countries in IT, by increasing broadband speeds ten-fold by year 2012 (Qiang 2009 France has a developed regulatory setting for the provision of access to fibre optic cables, and has been the first European country to adopt rules for fibre optic cables in buildings (Bourreau, Cambini & Hoernig, 2010). In ARCEP (2008) duct access is imposed on the incumbent operator, while in ARCEP (2009) the conditions of access to fibre inside buildings in very dense areas is detailed. ...
... When private investment is genuinely unavailable rather than constrained by market entry rules or regulatory environments not conducive to investment, public financing is considered necessary to stimulate sector growth, as in the case of broadband infrastructure roll-out, the most effective way to channel public funds is through public-private partnerships, which are able to catalyse the investment resources and technical expertise of the private sector to meet public policy objectives (Qiang, 2009). ...
... Public investment in high-capacity backbone infrastructures is a typical example of a ''productive government investment'', due to the positive externalities and effects it produces. According to Qiang (2009), high-speed broadband infrastructure can be rolled out relatively quickly and is labour intensive. Therefore, it can generate employment opportunities in the short-term. ...
... Before governments decide to invest public funds in specific elements of broadband infrastructure such as backbone, they should first adopt regulatory tools that encourage market entry and competition in order to maximise what the market can deliver on its own. Policy and regulatory interventions, such as technology-neutral licensing regimes, regulating access to dominant operators' networks, and frequency liberalisation, can encourage operators to invest and provide communications services (Qiang, 2009). ...
Purpose
This paper seeks to identify policy and regulatory bottlenecks that need to be overcome in order to stimulate private sector investment in backbone networks in selected African countries (Côte d'Ivoire, Ethiopia, Kenya, South Africa and Uganda).
Design/methodology/approach
It does so by exploring policy and regulatory frameworks and market structures that influence investment decisions on backbone infrastructure roll‐out; it investigates models and strategies adopted by the public sector to finance national backbone infrastructure; and it provides recommendations on how to stimulate private investment in backbone roll‐out by creating an enabling policy and regulatory environment.
Findings
Research findings show that the telecommunications sector in the selected African countries has witnessed the return of state‐led investment in the roll‐out of fibre backbones. The rationale for state‐led intervention has often been cited as market failure regarding investment in broadband backbone roll‐out. However, many of the policy and regulatory barriers to market entry remain, including protectionist legislation, which has limited private sector participation in investing in backbone.
Practical implications
The reality is that African governments are maintaining control over national backbones and, in some markets where the telecommunications infrastructure sector has been liberalised, the state‐owned operators may enter into direct competition with the private sector or may delay delivery by the private sector.
Originality/value
The value of the paper is that it provides evidence on how to improve the roll‐out and extension of national broadband backbone networks through the development of a policy and regulatory framework which facilitates private sector investment in this sector. The paper also makes recommendations to governments for the facilitation of private investment in backbone networks through the development of an enabling policy and regulatory environment.
... Broadband investments in the Western Balkans can address regional disparities and promote inclusive growth, ensuring that all segments of society benefit from digital advancements (International Bank for Reconstruction and Development [IBRD] and World Bank [WB], 2017). This is supported by Qiang (2010), who emphasizes that the growth effect of broadband is significant and more substantial in developing countries than in developed ones, making investments in broadband networks an essential component of development strategies in these regions. In addition, broadband access contributes to social inclusion and improves the quality of life by connecting underserved and rural communities to essential services (Reddick, Enriquez, Harris & Sharma, 2020). ...
... Broadband investments radically impact countries' economic growth and social development. This literature review explores the multiplicative effects of broadband investments, focusing on their impact on GDP growth (Qiang, 2010;Czernich, Falck, Kretschmer & Woessmann, 2011;Katz & Koutroumpis, 2013;Rohman & Bohlin, 2013;Minges, 2016;Koutroumpis, 2019;Briglauer, Dürr & Gugler, 2021), productivity (Lehr, Osorio, Gillett & Sirbu, 2006;Kretschmner, 2012;Mack & Faggian, 2013;Edquist, 2022), employment (Crandall, Lehr & Litan, 2007;Atasoy, 2013;Balsmeier & Wörter, 2019) and regional economic disparities (Rohman, 2013;Haller & Lyons, 2015). The following text systematically reviews the key papers and studies relevant to this research. ...
... Provisioning of such broadband is all the more important due to the demonstrable economic implications. Studies have found that that broadband provisioning has direct positive effects on the GDP, as well as numerous indirect benefits through various positive externalities, creation of consumer surplus, and improvement in firm efficiencies (Katz, 2012;Qiang, 2010). The impact in the developing world is projected to be much more robust once the broadband penetration reaches a critical mass (Qiang, 2010). ...
... Studies have found that that broadband provisioning has direct positive effects on the GDP, as well as numerous indirect benefits through various positive externalities, creation of consumer surplus, and improvement in firm efficiencies (Katz, 2012;Qiang, 2010). The impact in the developing world is projected to be much more robust once the broadband penetration reaches a critical mass (Qiang, 2010). As such, the relevance of broadband access increases for a developing nation. ...
This article analyses the techno-commercial feasibility of 4G Long-Term Evolution (LTE) network deployment in India. The discounted cash flow approach that is used considers radio-technical parameters of the LTE network components, Bass model-based forecast of the subscription, and the coverage area matched to the service capacity using a cell-dimensioning approach, in order to estimate the overall investments and profitability for a given average revenue per user. To understand the profitability and the present value of investments for different demand scenarios, a modified internal rate of return, and net present value analyses are performed.
... Provisioning of broadband mobile services has higher relevance for the developing countries like India, given its positive impacts on the economic growth [3]. For instance, the contribution of the services and knowledge-based activities to India's GDP is on a rise, and broadband access is critical to India becoming a knowledge-based economy [12]. ...
... This would need nationwide broadband coverage as its precursor. It is also important to evaluate the currently accepted speed of broadband (≥ 512Kbps) in India, which is very low compared to a majority of other countries ( [3], [7]). This speed is found sufficient only for basic browsing, email and social networking. ...
This paper aims at determining the feasibility of 4G/LTE network deployment, for providing high-speed broadband access, in rural India. Such connectivity is one of the important priorities of the 'Digital India' initiative of the Government of India, which would be a primary enabler in the fulfillment of other goals envisaged in the initiative. The assessment is done through a techno-economic analysis, using discounted cash flow approach, taking into account the technical parameters of the LTE network components, the likely subscriber population (using the Bass model forecasting), and the coverage area matched to the service capacity (using a cell dimensioning approach). We have determined the cost of infrastructure deployment that would meet the demand, estimated the likely revenue from users, and break-even period given the Average Revenue per User (ARPU). We find that, for a right mix of data-volume offerings in a product package, the annual ARPU can be both affordable to the rural population as well as profitable for the operator. With some amount of stimulus and demand inducing initiatives from the government, 4G investments in the rural India can be an attractive option to the operators.
... Consequently, a number of developed economies included initiatives to improve telecommunications infrastructure in their initial stimulus packages in 2008/09. In Australia, for example, this represented 10 per cent of the total economic cost of the packages (Qiang, 2010). Although this type of telecommunications investment (which is geared towards building faster fixed lines and wireless next-generation networks) is an important part of long-term development and growth strategies in both developed and developing economies, in the short term it has the capacity to create quality jobs, as Note: This figure displays the reaction of private investment under two scenarios. ...
... In terms of financing, broadband infrastructure investment comes close to being self-financed in the sense that governments may provide initial seed money or a line of credit to private operators. In Australia and the Republic of Korea, for example, the government financed 11 per cent and 4 per cent of the total investment cost respectively, with the private sector contributing the rest (Qiang, 2010). In addition, for developing economies it also represents a major source of foreign direct investment (FDI), with developing and emerging economies attracting US$108 billion of FDI for broadband investment from around the world (UNCTAD, 2008). ...
This publication provides a comprehensive analysis of recent labour market and social trends, assesses risks of social unrest and presents employment projections for the next five years. The report emphasises that while employment has begun to recover slowly, job quality is deteriorating and there is a growing sense of unfairness. Moreover, given the pressure on governments to rein in expenditure, policy efforts have focused on structural reforms to boost employment creation. However, if policy instruments are not carefully designed, they could exacerbate the employment situation and aggravate further equity concerns, with potentially long-lasting adverse consequences for both the economy and society.
This report calls for a carefully designed policy approach that takes into consideration the urgent need to create quality jobs while at the same time laying the ground for a more productive, fairer economy and labour market.
... Warren (2007) suggests that rural communities should simply accept the fact that there will be disparities in access to this digital capital, and that it is more important to J.H., Rural educator therefore accurately quantify and cost this disparity to facilitate the pursuit of radical and economically efficient methods to reduce the gap. Qiang (2010) suggests the present economic downturn provides an appropriate opportunity for governments to become actively involved in stimulating rural economic growth through ICT infrastructure investments. ...
... Both supply-side and demand-side barriers must be overcome to speed the diffusion of ICTs into rural and remote communities (Whitacre 2010). To expand the supply of infrastructure in rural and remote areas, it may be possible to find ways of aggregating demand in low population-density areas, or getting the public sector more actively involved (Chinn and Fairlie 2007, Holliefield 2003, Qiang 2010). ...
... La diferencia se observa en el rol que se asigna al Estado para asegurar una oferta adecuada de servicios que permita aprovechar el potencial de las telecomunicaciones como motor del resto de los sectores de la economía. En otras palabras, mientras la evidencia empírica se limita a demostrar el efecto positivo del despliegue de redes sobre la competitividad y el empleo, hacia fines de los años 2000 emerge un consenso que sugiere la urgencia de adoptar políticas públicas proactivas a fin de dinamizar dicho despliegue, en particular en el caso de las llamadas redes de nueva generación (NGN). 2 Dichas políticas se presentan como parte de los paquetes de estímulo a la economía adoptados en diversos países en respuesta a la crisis económica de 2008, al asociarse el despliegue de banda ancha al incremento de la competitividad y el empleo (Qiang, 2010). Así como el Estado cumplió un rol clave en el desarrollo de las redes eléctricas, los sistemas de transporte y la propia red de telecomunicaciones hasta los años ochenta, el nuevo consenso llama a los gobiernos a asumir un rol similar en la modernización de la infraestructura de telecomunicaciones en el siglo XXI. 3 ¿Cómo se fundamenta este llamado, tomando en cuenta la evidencia sobre el efecto positivo del ciclo de reformas de mercado de las dos últimas décadas? ...
... Considerando los objetivos perseguidos, las condiciones geográficas y la arquitectura de la red, la comparación de los planes de banda ancha en América Latina resulta más apropiada con respecto a las iniciativas de EUA y Canadá, en las cuales la inversión pública per cápita en infraestructura de red asciende a US$ 8 y US$ 5 respectivamente(Qiang, 2010).20 Esta comparación revela la significativa magnitud de la inversión comprometida en el caso de Argentina (y en menor medida Brasil), en particular tomando en cuenta que el PBI per cápita de EUA es casi tres veces mayor al de Argentina y cuatro veces mayor al de Brasil. ...
RESUMEN La significativa inversión pública en el despliegue de nueva infraestructura de red y las ambiciosas iniciativas de gobierno para el desarrollo de los servicios de banda ancha son señales de un cambio respecto al consenso predominante durante los años noventa en el sector de las telecomunicaciones. ¿En qué medida este cambio representa un regreso al período anterior a la liberalización del mercado y la privatización de los principales operadores estatales? ¿Cuáles deben ser los objetivos de la intervención del Estado en el mercado de servicios de banda ancha, y cuáles son los instrumentos más adecuados para alcanzarlos? Este trabajo analiza estos interrogantes mediante un análisis comparativo de los objetivos, instrumentos y modelos de despliegue de red contenidos en los planes nacionales de banda ancha adoptados por países importantes de América Latina. Se identifican patrones comunes y diferencias entre los planes adoptados por los países de la región, así como respecto a las iniciativas adoptadas por los países desarrollados. Se intenta también contextualizar el análisis de dichos planes en el marco de procesos más amplios de cambio político en la región.
... However, some people still need to be more confident about the existence of digital financial services agents because they need to learn the functions and benefits provided. Thus, socialization by banks is still essential (Qiang, 2010). When viewed from its location, the districts with the most potential for developing non-cash financial services are the West Sabu District, East Sabu District, and Nobohodo-Hawu Mehara District. ...
The purpose of this study is to explore and analyze the accessibility readiness of digital financial services of each district in East Nusa Tenggara province, Indonesia. This research was conducted using the content analysis method. The data used is secondary data derived from various sources, especially Bank Indonesia and the Financial Services Authority. The research sample was district governments in East Nusa Tenggara province, totaling eight districts. Data analysis was also conducted on information from communication network providers regarding the infrastructure of internet availability and telecommunication services in each district to support the success of digitization-based public services. The result is that all regions have good internet access and telecommunication providers by cooperating with the government and telecommunication service providers so that the digital financial service system can be implemented properly. Of course, the next step requires a combination of technology and human approaches to strengthen the enabling mechanism and evaluation of financial inclusion.
... In addition, evidence suggests that the more people are connected to the internet, the greater the benefits to society. Broadband Internet has proven over the years to generate significant social and economic benefits in developing areas and to improve the educational, financial, and health systems [3], e.g., the unemployment rate is lower by 0.26 percent in countries with high-speed connections [4], and the economy grows about 1.5 percent when the telecommunication penetration is increased by 1.38 percent [5] in low-and middle-income economies. ...
Over the years, connection or access to the Internet has shown a positive impact on users in their everyday activities, such as entertainment, online education, online business, and productivity increments in their communities. Unfortunately, rural communities, which usually are far away from cities, cannot enjoy these benefits due to inefficient or inexistent Internet access. We propose an algorithm to select which communities to connect to maximise the number of people connected to the Internet while minimising the length of the network, or while maximising the number of connected communities, or while maximising the linked people per kilometre of fibre. The algorithm estimates the shortest driving distance and the minimum spanning tree. Then, the algorithm creates a subset of linked communities to select the next one to connect based on one of the three criteria described above. To test the algorithm, we used data from a set of rural communities in Mexico. The results showed that the minimum length of the network to connect the 597 rural communities (with 454,514 people) in our test case was 949.09 km. Moreover, there was a difference of 204.1 km in the network length to connect 90% of the total population depending on the selected criterion to connect the communities. If the decision-maker wants to connect 90% of the population, the maximum number of connected communities was 507 using the PC criterion.
... Enabling universal MoBro is, therefore, a national priority for many governments across the world. This is especially true for the case of developing countries since the economic implications of MoBro are more pronounced for the developing and the underdeveloped regions of the world (Choudrie & Papazafeiropoulou, 2007;Qiang, 2010;Thompson & Garbacz, 2011;Czernich et al., 2009;Cruz-Jesus et al., 2017). ...
The global market uptake of the fourth generation-Long-Term Evolution (4G-LTE) Mobile Broadband (MoBro) services are steadily rising, leading to higher capital investments by mobile network operators (MNOs) to scale-up their infrastructure for meeting the impending demand for MoBro data the world over. However, MNOs face uncertainties about financial returns from such investments, owing to a host of technological and market-related factors, which impact the enablement of such 4G-LTE MoBro services. These challenges are clearly evident in the Indian market. Firstly, 4G-LTE subscribers in the rural India contribute to less than one-third of the overall market size. Secondly, India performs poorly in terms of minimum capacity requirements of the 4G-LTE MoBro services. Thirdly, the rise in per-user consumption of MoBro data does not translate into a similar rise in the MNOs' revenue. Fourthly, the socioeconomic geographic segregation of India into twenty-two administrative zones (referred to as telecom circles) add to the complexities in the capital investment decisions of MNOs. To address the above challenges, we model various cost and profitability scenarios of a hypothetical MNO providing universal 4G-LTE deployment across the twenty-two telecom circles in India using the available spectrum bands. Our proposed model is firmly established in the "network investment economics" framework for telecom innovations. We adopt a technology diffusion-based approach to forecast the 4G-LTE subscribers in India. We focus on the requirements of 4G-LTE MoBro infrastructure investments, including the spectrum selection decisions by MNOs, and show that, for valuation of the spectrum, the policymakers in India need to take into account the potential of the spectrum in terms of financial returns to an MNO deploying 4G-LTE using that spectrum, as against merely valuing the spectrum based on primarily the technical characteristics of its carrier frequency and benchmarks of prior spectrum auction prices in a particular telecom circle. Finally, we also show that a nationwide 4G-LTE network, which is universal, inclusive, and adhering to the global standards in terms of service quality, can be financially lucrative for MNOs, if enabled by appropriate policies instituting collaborative frameworks for infrastructure sharing, and price rationalization of spectrum bands across the twenty-two telecom circles.
... There are many socio-economic implications of MBSs diffusion for a country. Already, previous literature has established that enabling access to broadband services leads to numerous direct and indirect benefits on a country's Gross Domestic Product (GDP) through various positive externalities, the creation of consumer surplus and improvement in firm efficiencies (ITU 2016a;Katz, 2012;Qiang, 2010). The use of broadband also helps in achieving goals that are inclusive and sustainable -provided there be greater accessibility -especially in the developing world that comprises the major share of the world's overall population (ITU, 2016a). ...
An empirical understanding of countrywide diffusion of third (3G) or/and fourth (4G) generations of Mobile Broadband Services (MBSs) has proven implications for both business and policy of the country. However, extant literature lacks in explanation for the diffusion and forecast of these services in India. We address this gap by analyzing both individual and multi-generational diffusions of 3G and 4G services in India, using Bass, Gompertz, Logistic and Norton-Bass models that utilize a mix of linear and non-linear regression techniques. Additionally, we evaluate the influence of several exogenous variables on the diffusion of those MBSs in India. Our analyses reveal that, firstly in case of diffusion, Bass model estimates are quite sensitive to both 3G and 4G historical data, whereas Gompertz and Logistic models fit well with the same dataset. As expected, Norton-Bass model-encompassing all the successive generations of 2G, 3G and 4G-provides more reliable estimates of the diffusion parameters. Secondly, as far as 3G forecast is concerned, Bass model works better with fixed assumptions of ultimate market potential, whereas Gompertz and Logistic models seem to be more suited for 'optimistic' long-range forecasts and 'conservative' short-term forecasts, respectively. Our results also show that 4G is diffusing at 6.1 times the speed of 3G diffusion in India, when the total MBS subscription in India is likely to reach 410 million by 2026. Finally, we notice that, among the notable external sources of influence, National Telecom Policy 2012, average revenue per user, and aggregate income variables have significant positive impacts on the diffusion of MBSs in India.
... Singapore was an early Internet adopter: however, with the transition to broadband in the early 2000s, it quickly fell behind Korea (which led the world) and Hong Kong in terms of user uptake. In 2007 the government announced a S$750 million tender to support a high-speed Next Generation Network (NGN) with speeds of 1 Gbps to be made available to all homes and buildings by 2010 (Zhen-Wei Qiang, 2010). As part of the agreement, to ensure widespread uptake, wholesale costs for unlimited broadband per household and business were set and the tender provider was required to waive installation charges for home and building owners. ...
Digital services and products are often described as immaterial or virtual. However, they are responsible for a vast amount of environmental damage and destruction. The creation, processing, storage and movement of data relies on extensive natural and finite resources including electricity, water, metals, elements and chemicals as well as the production of human-made materials including plastics and glass; the disposal of these materials can produce toxic waste which is often illegally hidden and shipped around the world to bypass responsibility. Despite clear evidence of the materiality of digital flows, corporate rhetoric artfully acts to conceal the environmental risks and costs of digital flows, while state and international policy and regulation has thus far been unable to produce an effective response. This article seeks to examine the roots of this problem by reviewing the historical global policy discourse on the digital economy. The article is also grounded in Asia – which now accounts for almost half of the world’s Internet users – by looking close up at State policies in the second most economically advanced country in the region: Singapore. The article concludes with a discussion of what needs to happen if states are to reduce the environmental burden of the digital economy and ensure the costs are more justly distributed.
... O PNBL emula planos recentemente levados a cabo por diversos países, como Estados Unidos, Austrália e Alemanha (Qiang, 2009), que, a partir da percepção da crescente essencialidade do acesso à internet em banda larga para a participação na sociedade da informação, buscam massificar o acesso a essa tecnologia por meio de diversas iniciativas tomadas em âmbito nacional. ...
A proposta deste trabalho é analisar a influência da mudança tecnológica na formação de agendas de políticas públicas, em especial de agendas regulatórias. Para tanto, analisa como os avanços tecnológicos no setor de telecomunicações foram alterando as formas de comunicação da sociedade e impondo a necessidade de constantes mudanças no escopo da agenda da regulação para universalização da telefonia fixa para banda larga. Esta análise se baseia em revisão bibliográfica sobre o tema, apoiada em artigos, livros e relatórios, bem como na legislação brasileira do setor de telecomunicações. Observa-se que, em setores tecnologicamente dinâmicos, como o setor de telecom, as agendas regulatórias para universalização sempre estarão em descompasso com os avanços tecnológicos. Com isso, ressalta-se a importância de que essas agendas sejam constantemente revistas, de modo que o regulador possa sempre garantir a massificação do acesso a serviços de telecomunicação que estejam em linha com os avanços tecnológicos do setor.
... The findings theoretically support the New Growth Theory by Aghion and Howitt (1990), Grossman and Helpman (1991) and Romer (1986) where they emphasized the importance of technology revolution could influence productivity. Besides, researchers (Ghosh 2016;Koutroumpis 2009;Qiang 2010) discovered that broadband adoption has a positive influence on labour productivity. However, for developing countries, ICT adoption was observed to have an insignificant impact on labour productivity, which is against the theory. ...
This study examined the impact of ICT adoption on productivity in developed and developing countries. Data was gathered among 44 developed and 45 developing countries between 2009 and 2015. As identified in previous literature, the key factors that determine productivity are capital, labour, ICT, human capital, prices, research and development (R&D). The data was analysed using the Generalized Method of Moments (GMM). Findings show that ICT adoption drives labour productivity in developed countries, despite the high mobile broadband prices. There is also an indication that people enjoy being connected regardless of the the increase in the price of broadband, in order to enhance their productivity. However, it was observed that ICT adoption has insignificant impact on productivity in the developing countries. Lastly, developing countries were found to have larger inputs of labour and capital which increased their producitivity. © 2018 Penerbit Universiti Kebangsaan Malaysia. All Rights Reserved.
... (iii) Given the disparities in terms of the ICT infrastructure/use between the two AME sub-regions, was the impact of ICT uniform across the region? 2 The structural economic changes brought about by ICT have outlined the need of a new agenda for national accounts, notably in terms of valuing the stocks and flows of information, for details see Quiggin (2014). Those questions are motivated by the well-documented overall economic impact of ICT: these technologies bestow positive externalities on several sectors in the economy, leading to widespread productivity gains (Qiang, 2009). Public spending on ICT is thus expected to have spillover effects and to increase the payoffs of investments in other sectors. ...
By using a sample of 93 countries and panel data econometrics, we evaluated the impact of the Internet penetration rate and investment in the telecom sector on economic growth in the Arab and Middle East (AME) region over the 1995–2014 period.¹ The results show that the Internet has been a significant growth determinant in the AME region, particularly in high-income AME countries; Internet penetration in middle-income AME countries seems to be hovering below the growth impact rate. Telecom investments did not affect growth in the AME region, thus highlighting the general-purpose technology nature of such investments and the adjustment period needed before the latter bear fruits.
... https://doi.org/10.1017/CBO9781107588745.010 required the Federal Communications Commission to start drafting a National Broadband Plan, which ultimately aimed to deliver 100 million American households with 100 Mbit/s access by 2020. Similar stimulus plans can be seen around the world with notable cases including Australia, Finland and Japan (Zhen-Wei Qiang, 2010). ...
Introduction: Digital communications and information systems infrastructure is comprised of a variety of communication and computation systems which provide the transmission, processing and storage of digital information. This includes: (i) legacy and fibre-optic cable networks; (ii) mobile, satellite and wireless networks; and (iii) data storage and processing centres. The acronym ICT is often used to describe these systems, though in other contexts ICT can refer to a much broader class of information and communications technologies. Here we use the shorthand ICT to refer to digital communications and information infrastructure systems. In comparison to other physical infrastructure sectors, ICT is relatively new and very rapidly evolving, so is less completely understood from a system-of-systems perspective. ICT infrastructure has become increasingly embedded in nearly all economic and social activities, including for operation of other infrastructure networks. Because of the complexity and rapid innovation in ICT systems, their future is highly uncertain and analysing the systems’ prospective direction is challenging. Yet, issues surrounding digital connectivity are high on the global policy agenda. In many advanced economies in Europe, North America and beyond, significant increases in ICT capacity have been delivered by inducing competition within industry combined with a light-touch, market-led regulatory approach. Innovation has provided new technologies and has helped serve growing consumer demand, which is itself largely driven by innovations in consumer technologies and business practices. Globally, the telecommunications sector has increased dramatically over the past decade to serve almost three billion Internet users, amounting to over 40% of the world's population (ITU, 2014a). Investment in competitive markets by network operators is underpinned by analysis comparing prospective revenues with investment costs (Tselekounis and Varoutas, 2013) so is determined by population density, topology and the capital cost of new technologies (Gotz, 2013). Population density is an important factor in serving local telecommunication markets because, like other infrastructure systems, large fixed-capital investments need to be spread over many consumers with the purchasing power to acquire service subscriptions. However, if left to its own devices the market would likely be considered to be socially unjust and not provide all the potential welfare benefits, as the majority of investment would likely flow into pockets of dense, wealthy and well-educated urban areas. This would particularly leave remote rural or other uneconomically viable locations at a severe disadvantage.
... The growth in broadband wireless networks can be attributed to high demand for wireless multimedia services such as voice, data, video and the development of new wireless standards [16,14,15]. There are lots of other driving factors, which have been addressed elsewhere [3,17,1] that have led to the rapid and continuous change of the wireless networks worldwide. Mobility is a major driver for mobile broadband networks because mobile professionals continue to demand access to their corporate networks remotely anywhere and anytime. ...
The Wireless WAN is being considered as most significant revolutionary technology for anyone, anytime, anywhere (3A). It offers the end user with fast and always access to new services, applications and contents for their lifestyle and productivity benefits.. This survey is for Wireless WAN technologies adoption trends and their performance for the applications run. The information gathered in this study is to explore the current state of wireless WAN services, needs and expectation of WWAN users in the ‘Pune city, India’. The result shows that Wireless WAN technology adoption is growing every year by three folds. More than 90% Wireless WAN users are switching and adopting upward wireless technology for the reasons of higher bandwidth and better performance for multi-scale applications run. The 66% of Wireless WAN users are satisfied with the current state of wireless technology performance.
... According to Zhen-Wei Qiang (2010), six key considerations for public interventions should EJAE 2016 13 (1) 13-23 be taken into account in BBAD project financing models. Considering that and the current conditions in the Balkans, the EUBB model is a powerful model for implementation of broadband infra-structure projects, co-financed by the EU. Figure 3 shows a graphic demonstration of project phases with the implementation of the EUBB model. ...
Unavailability of fast broadband internet access, primarily due to the lack of commercial interest of telecommunication operators, is the key reason for economic underdevelopment in rural areas in the Balkans. The process of developing broadband access in rural areas is multifaceted, complex and time-consuming. This paper analyses the current state of availability of broadband access in the Balkan countries, and investigates the algorithm with specific project phases and benefits of stakeholders at the national and local level. The purpose of the paper is to develop the model that rationalizes the implementation process of the broadband internet access projects, and to define the method of selecting an investment model for construction of broadband infrastructure. The results show that the Balkan countries have to start with preparatory activities and studies needed for successful implementation of the given model. This research contributes to stopping demographic and socio-economic degradation in less-developed areas, at the same time encouraging their development.
... In the case of South Korea, the success of initiatives such as the Korean Information Infrastructure initiative launched in 2005 aimed at constructing a high-speed backbone network, has been attributed to a combination of policies aimed at stimulating competition between telecommunication and cable platforms and demand-side stimulus policies (Fransman 2006 ;Picot and Wernick 2007 ). Several countries included measures to boost broadband access in their economic stimulus packages in the wake of the fi nancial crisis of 2008 in addition to those discussed above (Canada, Germany, Portugal, and Finland) and others introduced plans specifi cally aimed at broadband development (Australia, France, Ireland, Japan, and Singapore, in addition to the renewed eff orts of South Korea) (Qiang 2010 ). In most of these cases, the aim was to stimulate the private sector to invest more than it would otherwise have done in the absence of some government investment. ...
Internet Studies has been one of the most dynamic and rapidly expanding interdisciplinary fields to emerge over the last decade. The Oxford Handbook of Internet Studies has been designed to provide a valuable resource for academics and students in this area, bringing together leading scholarly perspectives on how the Internet has been studied and how the research agenda should be pursued in the future. The Handbook aims to focus on Internet Studies as an emerging field, each chapter seeking to provide a synthesis and critical assessment of the research in a particular area. Topics covered include social perspectives on the technology of the Internet, its role in everyday life and work, implications for communication, power, and influence, and the governance and regulation of the Internet.
The Handbook is a landmark in this new interdisciplinary field, not only helping to strengthen research on the key questions, but also shape research, policy, and practice across many disciplines that are finding the Internet and its political, economic, cultural, and other societal implications increasingly central to their own key areas of inquiry.
... Broadband access networks allow users to enjoy Internet-based applications beyond traditional voice applications offered on top of a telephony service. The importance of those new applications are growing in such a pace that many nations are creating federal programs to expand the dissemination of broadband access (Qiang, 2009). In Brazil, this trend faces some challenges. ...
This paper offers insights for the elaboration of public policy to promote the development of telecommunications services in Brazil, by means of a broad summary of where it interfaces with different sectoral dimensions and a discussion at what level it is aligned to the evolution of telecommunications services. The analysis is based on the sectoral system of innovation approach, with the sector decomposed in three dimensions that coevolve: (i) science and technology fields; (ii) users, demand and applications; and (iii) actors, networks and institutions. It begins with an analysis of technological – convergence – and institutional – commercial and regulatory liberalization – transformations and its impacts on the public policy framework developed then. Following that, the analysis turns to forecasting each dimension, in order to identify future evolution perspectives for a set of variables. Finally, the prospective vision is compared to the current public policy framework. It is expected from this analysis the verification of at what level this agenda is aligned to what it is foreseen as the future of this sector and in which points tensions arise.
... Today, however, what we used to consider ‗high-speed' bandwidth-10Mbps or greater-is now more likely to be considered ‗standard broadband'. This is especially so for countries that have 2 to 10-year plans for establishing widespread, ‗high-speed' broadband access at 50Mbps to 1000Mbps (1Gbps) (Qiang, 2009;US FCC, 2010, p.3). ...
... The previous chapter showed that both NAM and the Dutch government have made available a certain amount of fundings that can be invested in bottom-up and top-down initiatives in order to reduce depreciation of properties and initiate economic development. Often, rural developments such as infrastructure, are associated with greater capital investment and economic growth (Fox and Porca, 2001) (Zhen-Wei Qiang, 2010) (Kandilov and Renkow, 2009). Investments in infrastructure in rural areas allows regions not only to compete with more urbanized areas but, more important, with other rural areas. ...
Groningen is a region which faces, beside the disadvantages of induced earthquakes, a considerable amount of spatial, social, physical and economical issues that tend to increase towards the future. After an era which was characterized by peat mining in eastern Groningen, the rural region redeveloped itself to a large agricultural area like the northern and western part of the province, bringing however, not that much prosperity. A large turning point in the history of Groningen was the discovery of a gas field in a sandstone layer underneath a large part of the province.
Despite these advantages of the Dutch gas, since the late 80’s of the previous century, an increasing amount of earthquakes, induced by the gas extraction, occur in northern Groningen. In the period between 1986 and 2013 around 1000 minor earthquakes have been registered (KNMI, 2013).The earthquakes and the, in the past years increased, risk on heavier earthquakes have a huge impact on the Groningen society (Kamp et al, 2014) and causes a lot of damage to houses, monuments, public buildings and other properties. The effects of these, by gas extraction induced, earthquakes are unmistakable and occur both in a physical and a social way.
In a reinforcement package, the government and NAM attempt to compensate the affected area with the general aim to 1) increase the social and physical security, 2) improve the claim handling processes, 3) to boost the affected quality of life and 4) to stimulate the local economical perspectives (Kamp et al, 2014).
Often, rural developments such as infrastructure, are associated with greater capital investment and economic growth. Investment in this affected rural region may initiate a higher attractiveness for firms, a higher productivity, a increased relative proximity to the hinterland and highly educated people and eventually lead to new investments within this region.
The province of Groningen, including the by earthquakes affected area, offers a lot of possibilities. Huge amounts of free space, low land prices, the proximity of a capital city, a leading education- and research cluster and a great wealth of cultural history and scenic beauty (Zuidema and Trell, 2014) offer an excellent array of features that can make Groningen a very promising rural area. However, this cannot be achieved with a cautious attitude. It is up to the Groningen population itself to create a positive image of the area, supported financially by the reinforcement package from the government and NAM.
Pilots about sustainable energy can be very powerful triggers to initiate an entire new future for Groningen of which they can be proud again.
... The Internet contributes to an organization's market competitiveness by empowering employees and increasing their productivity [3]. Growth in the adoption of broadband and access to internet has also shown a responding increase in the GDP of developing countries [3][4][5][6][7]. ...
The information superhighway pinnacled as the internet has significantly altered many aspects of life especially in the areas of banking, commerce, work and employment, transportation, entertainment, community life, family life, human relationships, education, freedom, democracy, and many more. The Internet Technologies provide communication tools and services, with distinct characteristics and communication capabilities that allow individuals and organizations to use them either independently or jointly, to achieve multiple communication goals. While the internet technology continues to develop as an important aspect of Ghanaian life, it becomes increasingly important to understand the behaviors of internet users in order to effectively market to its target audience. The objective of this study is to review the adoption and penetration of internet usage in Ghana and evaluate the current internet usage by various working folks in the country. The study shows that 45.6% use internet frequently for educational purpose, 33.75% frequently use it for news; and only 6.35% frequently use the internet for commerce.
... Broadband use in communities can stimulate economic development (Gillett, Lehr and Osorio 2006;West 2010;Qiang 2010;Sohn, Kim, & Hewings 2005). Information technology applications across sectors and in a variety of industries drive productivity and growth (Byrnjolfsson and Saunders 2010;Crandall, Lehr and Litan 2007). ...
... Today, however, what we used to consider ‗high-speed' bandwidth-10Mbps or greateris now more likely to be considered ‗standard broadband'. This is especially so for countries that have 2-to 10-year plans for establishing widespread ‗high-speed' broadband access at 50Mbps to 1000Mbps (1Gbps) (Qiang 2009;US FCC 2010: 3). ...
This article provides a concise discussion on two important aspects to the national broadband network (NBN) being constructed in Australia. The material is extracted from a monograph to be published by the DEHub (Bowles, 2011) and is, in part, based on international research for Innovation and Business Skills Australia that was completed as part of the University of Tasmania's Digital Economy and Regional Futures initiative (Bowles & Wilson, 2010). While the article in no way seeks to undermine the significance of the investment by the Australian Government in the NBN, further detail is added to remove the existing hyperbole and appraise two important aspects of the infrastructure build: firstly, analysing Australia's comparative position in the race by nations to compete in the Digital Economy; and rediscovering the importance of quality of the broadband connection as distinct from a too-narrow focus on high speed.
... Investments in broadband networks should therefore also be a key part of the overall development strategies in developing countries. However, uncertainty about the length of the crisis and the difficulty in obtaining longer-term financing commitments in current market conditions shows that some countries may require additional external support to finance increased spending (Qiang, 2010). ...
This paper is a review on Business to Consumer (B2C) electronic commerce (e-commerce) and it studies its evolution over the last decade. The Internet characteristics that affect B2C are the Internet growth, which at first includes the number of Internet users and secondly, the infrastructure, which is basically the quality and speed of the lines. Moreover, the way the Internet growth has affected the B2C e-commerce growth over the last ten years is studied in three major countries-areas. The USA because it is an Internet developed country with vast e-commerce sales, China because it is a rapidly developing Internet country with a large number of users and fast e-commerce activity growth in the last decade and finally, the European Union, because of its diversity in Internet and e-commerce growth. This paper focuses on the aforementioned three geographic areas and extracts its conclusions from the observations of B2C behavior growth in these areas.
... Enformasyonun artışı piyasanın çalışmasını iyileştirmiş ve refahı artırmıştır. Benzer bir çalışmadaAker (2008) Nijerya'daki tahıl piyasalarınıDatta ve Agarwal (2004) veQiang (2009) telefon altyapısı ve kullanımı ile iktisadi büyüme arasındaki ilişkileri araştırmıştır. Bu çalışmalar, genel olarak, MT kullanımı ile ulusal iktisadi büyüme arasında önemli ve pozitif bir ilişkinin olduğunu göstermektedir. ...
In this study, the developments on mobile phone are summarized and examined the effects of some socio-economics variables on mobile phone usage of the university students. For this purpose, a survey was conducted on the students at Pamukkale University. The students mostly prefer to use prepaid plans. They have mobile phone expenditures of 30 TL as they have average income of 471 TL monthly. They talk on mobile phone and also send message much more than the mean of Turkey. They communicate with 4-5 persons by mobile phone for daily and renovate handsets about every two years. Model estimations show that as income, food expenditure, number of handset, usage experience and talking time increase, mobile phone expenditures increase. However, it decreases as housing expenditures increases. Income elasticity of mobile phone expenditure is 0.35 for the students. This result shows that mobile phone has become a compulsory good for the university students.
This study investigates the dynamic interactions between fossil fuel-free, ESG, and carbon-efficient investments and government stimulus in Europe before and after COVID-19. Using time-varying analysis, results show ESG investments benefited most from stimulus packages when looking at average performance. However, separating pre- and post-pandemic periods revealed more nuanced results. Pre-COVID, least-volatile carbon-efficient companies spilled over to stimulus beneficiaries, but post-COVID they benefitted from them. Islamic-screened
sustainable investments were net receivers regardless of period. In contrast, conventional ESG and fossil fuel free industries behaved oppositely to low-risk eco-friendly firms, transmitting benefits to stimulus recipients. Causality tests confirmed spillover analysis, showing nonlinear causality from stimulus recipients to Islamic
investments across conditions and low-risk climate-conscious investments at lower quantiles. In summary, this study provides new perspectives on chain reactions between government-supported firms and purpose-driven enterprises, helping recovery planners and policymakers make more informed sustainable investment decisions.
En este trabajo examinamos con un enfoque keynesiano la importancia del gasto de inversión pública para promover el crecimiento del PIB per cápita de las entidades federativas en México. Los resultados de nuestras estimaciones para el periodo 1989-2019 muestran la presencia de una relación de largo plazo entre el gasto de inversión pública y el PIB ambos per cápita, lo cual se refuerza por el resultado de la prueba de no causalidad en panel empleada que sugiere que la dirección de causalidad en el sentido de Granger entre estas variables va del gasto de inversión público per cápita al PIB per cápita, lo cual en última instancia puede ser interpretado como evidencia de que este tipo de gasto de inversión público es un motor del crecimiento por entidad federativa en México. Este resultado es relevante porque sugiere la necesidad de no postergar los grandes proyectos de infraestructura pública emprendidos por el gobierno federal para promover el crecimiento económico principalmente en las condiciones recesivas actuales generadas por la crisis del Covid-19 en México.
This article contributes to the literature dealing with fiscal policy's drivers and the effects of the globalization on public sectors. By using the level and the volatility of the global economic policy uncertainty (EPU) and the US economic policy uncertainty, we examine the total government expenditures for a sample of 113 countries over the period 1997-2014. We observe that higher global uncertainty levels significantly increased the public spending at global level while the volatility of the global uncertainty has an insignificantly positive effect. Notably, these results are stronger for the low and middle-income economies. We also observe that the influence of the global uncertainty on public spending in the low and middle-income economies are exacerbated by the economic integration (provided through trade openness) while in high income economies, it is an opposite trend. These findings show that what the existing literature labels as 'efficiency hypothesis' and 'compensation hypothesis' can actually be combined and that this combination depends on the global uncertainty, at least of low, middle-and upper-income economies. This observation also shows that economic integration can act as a diversifying factor for high-income economies rejecting the current growing protectionism observed in some of these countries. Beyond these findings, our study paves a way for future research study on the impacts of global uncertainty on fiscal policy, the public expenditure and tax revenue.
This article describes how the promised transformative reform agenda of e-government is challenged particularly due to the lack or non-availability of adequate ICT infrastructure and finances to successfully develop and implement e-government projects around the world. The One Belt One Road (B&R) strategy spearheaded by the Chinese Government has been identified as a potential funding source for e-government projects through ICT infrastructure investment. Adequate ICT infrastructure investment in member countries under the Belt and Road initiatives could reduce the huge ICT infrastructure gap hampering the execution of e-government programs. This article, therefore, recommends the formation of the Belt and Road ICT Infrastructure Investment Fund (B&R ICT Infrastructure Fund) under the OBOR strategy to allow member countries to source funds for the execution of e-government projects. This will not only drastically increase the completion/success rate of e-government projects but also translate into improved public service delivery and enhanced government interaction—engagement—with citizens and businesses.
This article describes how the promised transformative reform agenda of e-government is challenged particularly due to the lack or non-availability of adequate ICT infrastructure and finances to successfully develop and implement e-government projects around the world. The One Belt One Road (B&R) strategy spearheaded by the Chinese Government has been identified as a potential funding source for e-government projects through ICT infrastructure investment. Adequate ICT infrastructure investment in member countries under the Belt and Road initiatives could reduce the huge ICT infrastructure gap hampering the execution of e-government programs. This article, therefore, recommends the formation of the Belt and Road ICT Infrastructure Investment Fund (B&R ICT Infrastructure Fund) under the OBOR strategy to allow member countries to source funds for the execution of e-government projects. This will not only drastically increase the completion/success rate of e-government projects but also translate into improved public service delivery and enhanced government interaction—engagement—with citizens and businesses.
This study addresses the role that public investment and oversight played in the establishment of a high-profile middle mile network infrastructure project in Washington D.C., namely the District of Columbia-Community Access Network (DC-CAN). This paper utilizes a document/textual analysis technique to study the access to and the adoption of the DC-CAN. A number of factors impacting access to the DC-CAN are identified including: a lack of ISPs willing to provide last mile service and a highly concentrated market structure for broadband in the local market. In term of the adoption of the DC-CAN, the findings point to various successes such as meeting the proposal's goals for signing up enough community anchor institutions (CAIs) to participate in the DC-CAN. However, there were factors that limited the adoption of the DC-CAN such as onerous reselling/lease restrictions placed on the participants of the CAIs.
This research paper embarks on a comparative empirical study to investigate the impact that ICT plays on empowering women entrepreneurs in 5 developing/emerging countries, namely Egypt, Jordan, Morocco, Algeria, as a group of Arab countries and Brazil. The World Bank’s Investment Climate Assessment Surveys (ICA) is the primary source of data for the four Arab countries and Brazil. The ICA database provides comparable enterprise level data based on similar sampling techniques. The results obtained from the empirical study reveal that in the selected Arab countries, the increase in female owned SMEs is associated with a decrease in the Internal Rate of Return. However, when we control for ICT in terms of ICT index constructed using the Principal Component Analysis technique (PCA), the female owned SMEs becomes statistically insignificant; this is also the case with the ICT index. This implies that IRR is negatively associated with the female owners of the SME, and there is a no association between IRR and the access and use of ICT. In Brazil, however, neither gender nor ICT plays any role in the profitability of SMEs. However, as for the other measure for economic performance, namely the labor intensity, the findings reveal that in the selected Arab countries, the ICT index has a positive, statically significant, association with labor-intensity, while in Brazil the usage of a Website has a negative, statistically significant, association with the labor-intensity.
In the last few years, spurred by the economic crisis, many governments around the world have implemented programs aimed at deploying broadband in order to stimulate employment growth (see Table 7.1).Table 7.1
Counter-cyclical government programs
Country
Broadband focus
United States
Launched the 11 billion of total A290 million (50 m for ICT education, 30 m for computing education and 300 million. Focus on extension of broadband coverage to all underserved communities
Finland
Government funds one-third of the NGN project cost (S458,12 m investment to boost fiber over the next 5 years
France
Estimated 10 years investment of US 370 million project. “Broadband infrastructure rollout plan for the rural areas, in order to address the digital divide, and to enable broadband access for use by cable TV, telecenters, disaster prevention programs, etc”
Singapore
The government announced a US 650 MN dedicated to funding the Intelligent Nation Master plan, which includes NGN initiative. Aims (a) to connect homes and offices to the country‘s ultra high- speed and pervasive Next Generation National Broadband Network by 2013 and (b) for 60 % of homes and offices to have access to this all-fiber network in 2 years
Republic of Korea
Won US 940 MN from government. “High-speed Internet services to be upgraded to 1 Gbps by 2012; existing communications networks to be enhanced to Internet Protocol (IP)-based systems; subscriber capacity on 3G broadband services to be increased to 40 million.” Expected to create 120,000 jobs
Spain
US $118 MN to be spent on infrastructure measures. Aims to expand broadband in rural and isolated areas by focusing on centers with dispersed populations and extending the reach of trunk fiber-optics networks
Source Compiled by the author, and Qiang, Christine Z. Broadband Infrastructure Investment in Stimulus Packages: Relevance for Developing Countries. Rep. N.p., 2010. Web. 12 Mar. 2013. http:// siteresources. worldbank. org/ EXTINFORMATIONAN DCOMMUNICATIONAN DTECHNOLOGIES/ Resources/ 282822-1208273252769/ Broadband_ Investment_ in_ Stimulus_ Packages. pdf
This study investigated the extent and benefits of Africa's broadband connectivity, its impact on e-government and economic growth, and the challenges and best practices for addressing them. Studies by the UN and ITU over the years have revealed Africa lags behind in the global broadband connectivity and e-government diffusion. The Connect Africa summit held in 2007 by the ITU and its partners came out with five specific goals to connect the continent and help improve its economy. This study reviewed the Connect Africa Outcomes Report, and analyzed the publications of three independent studies conducted by: a) the ITU, b) the World Bank and the African Development Bank, and c) Informa Telecoms and Media. The findings reveal that Africa has made substantial progress in international connectivity and mobile broadband penetration. Additionally, broadband connectivity has contributed toward some improvements in e-government initiatives and economic growth. The study concludes with recommendations to address the existing challenges to consolidate the gains made.
From the earliest days of radio, interference prevention has been a top priority, an unchallenged assumption guiding all spectrum management decisions. It remains the top priority today. But the opportunity cost of this policy is high: the underutilization observed in most frequency ranges now is the direct result of a century of commitment to guaranteeing licensees on-demand access to exclusively assigned, interference-free
channels. Static rules dedicating radio resources to a single licensee, who may only need them from time to time, guarantee that the resources lie fallow the rest of the time. The gap between rights and needs is wide.
The combination of low utilization and the inability to accommodate new demand shows that the way spectrum is managed must become more adaptable and flexible. This need has been recognized for years. Fortunately, the solutions are well known: channel pooling (as with cellular systems, trunking, etc), block assignments (common in the fixed service bands) and spectrum commons (bands without individually assigned channels).
It is now more important than ever that spectrum authorizations should not artificially increase scarcity. The Commission's recognition of the need to move away from exclusive and persistent channel assignments is reflected in a growing emphasis on shared spectrum access, which our findings support.
The Internet has had a dramatic effect on education within international hotels. Hotels are investing in e-learning applications but are finding it difficult to evaluate their success. This study suggests utilizing the Information Systems Success model to examine e-learning systems success. The DeLone & McLean Information Systems Success Model can be adapted to the measurement of e-learning success by using the concept of ‘training effectiveness’. The six dimensions of the model form a parsimonious framework for organizing e-learning success metrics identified in the literature. We suggest how the model can be extended and used to guide the identification and specification of e-learning success metrics.
This paper uses the ordered probit model to empirically assess the determinants of the digital divide in Egypt. A sample of 15,029 individuals between 10 and 29 years of age is used. The main contribution of the current study is in the construction of the Information and Communication Technology composite index for Egypt, namely the digital divide index designed to measure the urban and rural digital divide among youth in Egypt. Our results indicate that there is a positive correlation between urbanization and digital divide. Other control variables such as gender, wealth, and the level of education are also found to be significant predictors of the digital divide. These results are in line with previous empirical studies in other countries.
The preparation of this document was coordinated by Valeria Jordán and Wilson Peres, of the Economic Commission for Latin America and the Caribbean (ECLAC), and Hernán Galperin, from the Regional Dialogue on the Information Society (REDIS), in the framework of the project "Inclusive political dialogue and exchange of experiences", under the Alliance for the Information Society programme phase 2 (@LIS2), which is jointly financed by ECLAC and the European Union and implemented by the Division of Production, Productivity and Management of ECLAC. The Chief of the Division, Mario Cimoli, brokered the initiative to produce this publication as part of the ongoing quest for excellence. de León (ECLAC consultant), Priscila López (ECLAC consultant), Judith Mariscal (CIDE, Mexico), Fernando Rojas (ECLAC), Christian Ruzzier (San Andrés University, Buenos Aires). The opinions expressed in this document, which has not undergone editorial review, are the sole responsibility of the authors and may not coincide with the views of the United Nations.
Purpose
– The ambitious government initiatives currently underway to accelerate broadband development indicate a major shift from the consensus that prevailed during the 1990 s in the telecommunications sector. To what extent does this change represent a return to the period before market liberalization and the privatization of government‐run telecom services? What are the main objectives of national broadband plans and which policy tools are best suited to achieve them? This paper aims to analyze these questions through a comparative analysis of the goals, policy instruments and network‐deployment models of the most relevant national broadband plans adopted in Latin America.
Design/methodology/approach
– The paper takes the form of a comparative analysis of the goals, policy instruments and network‐deployment models of the most relevant national broadband plans adopted in Latin America.
Findings
– Common patterns and key differences between the initiatives adopted in five countries (Argentina, Brazil, Chile, Colombia and Mexico) are identified and compared to those deployed in developed countries. Variations in the strategies adopted are linked to national differences in economic endowments and the broader processes of political change in Latin America.
Originality/value
– To the best of the authors' knowledge, this is the first paper making this comparative analysis.
Purpose
The European telecommunications landscape has been transformed over the past 25 years, but spectrum management has remained largely unchanged. The paper seeks to highlight the need for a more flexible approach to spectrum management and, in particular, the role of shared spectrum access.
Design/methodology/approach
The paper draws on a research study to examine the value of shared spectrum access, based on a review of the literature, a survey of European national regulatory authorities, and scenario analysis.
Findings
The paper highlights trends in wireless data growth and, in particular, the impact of 4G cellular mobile technology over the next five years. With pressure also growing on the licence‐exempt bands at 2.4 and 5 GHz, a more flexible approach to spectrum management will be required in future, including light licensing, de‐licensing and spectrum sharing.
Originality/value
The paper brings together a range of evidence to show how the current approach to spectrum management is no longer able to cope with the social and economic demands for the radio spectrum. It should be of value to policy makers, industry analysts and academics.
Lt. Gov. Brian Dubie, Chairperson of Aerospace States Association (ASA) congratulates Barack Obama on becoming the 44th President of the United States. He requests him not to neglect the US aerospace industry, as it is a revenue generating industry for the economy. He tells the President that in order to maintain its global leadership, the aerospace industry needs an expansion in research and development, a trained workforce, capital investment and policies. He suggests the President to encourage education in the STEM subjects such as science, technology, engineering, and mathematics. Dubie recommends that the President should request an action plan from the Interagency Aerospace Revitalization Task Force that addresses STEM education and workforce issues. He also suggests the President to implement the 'NextGen' air transportation system as soon as possible. Finally, he recommends that the President ask the state, commerce, defense and transportation departments and NASA, to form a joint task force.
This paper uses the ordered probit model to empirically assess the determinants of the digital divide in Egypt. A sample of 15,029 individuals between 10 and 29 years of age is used. The main contribution of the current study is in the construction of the Information and Communication Technology composite index for Egypt, namely the digital divide index designed to measure the urban and rural digital divide among youth in Egypt. Our results indicate that there is a positive correlation between urbanization and digital divide. Other control variables such as gender, wealth, and the level of education are also found to be significant predictors of the digital divide. These results are in line with previous empirical studies in other countries.
The chapter analyses global investment trends before and after the economic crisis of 2008 - 2010 and investigates the relationship between employment and real investment. A focus is laid upon the impact of uncertainty on investment activity and employment outcomes. The chapter finds that investors’ perception of uncertainty has been increasing over the last decades and so has the volatility of real investment for many advanced countries. Using a vector autoregression, the impact of increasing uncertainty on investment and employment is quantified and shows that significant gains in terms of investment and employment could be achieved if economic uncertainty could be reduced. In response to the uncertain environment many firms have been significantly increasing their cash holdings and continue to hold back large investments.
Given the benefits of ubiquitous broadband deployment and availability that include economic growth, participation in the Internet economy and increased competitiveness, several countries have launched major national initiatives to accelerate broadband deployment including supporting such initiatives often as a part of their fiscal stimulus plans. These include Afghanistan, Australia, Brazil, India, Japan, New Zealand, South Korea, Singapore, Sweden, UK and USA and the European Union as a whole.
Governments throughout the world have determined that next generation network (NGN) development serves the national interest. The strategies used to achieve progress vary greatly, as does the extent to which governments perceive the need to get actively involved through direct ownership or subsidization of carriers. No government has unlimited funds to invest in new networks, or to subsidize private ventures promising to improve access to essential services at affordable rates. Accordingly, nations must determine whether and how to use limited taxpayer funds to expedite the access to inexpensive and ubiquitous wired and wireless broadband networks. Baseline factors such as geography, income, demographics, and market penetration of existing networks have a significant impact on what works best. However, nations with similar physical and economic characteristics have pursued significantly different strategies. This article identifies best practices in NGN development using both case studies and a review of the current literature assessing government strategies. While it cannot confirm a theoretical basis for achieving success in NGN development, the article provides a toolkit of confirmed best practices.
Broadband networks are increasingly recognised as fundamental for economic and social development. They serve as a communication and transaction platform for the entire economy and can improve productivity across all sectors. Advanced communication networks are a key component of innovative ecosystems and support economic growth. Broadband networks also increase the impact and efficiency of public and private investments which depend on high-speed communications. Broadband is needed as a complementary investment to other infrastructure such as buildings, roads, transportation systems, health and electricity grids, allowing them to be “smart” and save energy, assist the aging, improve safety and adapt to new ideas.
In an emerging global economy the ability of the telecommunications sector to provide an internationally competitive network for transferring information has significant implications for trade and economic growth. Because of recent large world-wide investments in telecommunications infrastructure, quantifying the impact of telecommunications in economic growth has received much attention. However, economic analysts, in the absence of investment data for many developing countries, adopt the International Telecommunications (ITU) practice of using main telephone lines to measure the stock of telecommunications capital. The accuracy of this proxy has not been subject to careful statistical scrutiny. This study develops a supply-side growth model which employs teledensity and the share of telecommunications investment in national income as telecommunications capital proxies. Estimation results suggest a significant positive cross-country relationship between telecommunications capital and economic growth, when using alternative measures of telecommunications capital.
In this report, researchers from the London School of Economics and Political Science (LSE) and the Information Technology and Innovation Foundation (ITIF) assess the employment impact in the United Kingdom of investments in three ICT infrastructures: broadband networks, intelligent transportation systems, and the smart power grid, that: (1) contribute to significant immediate direct and indirect job growth in the UK economy; (2) create a “network effect” throughout the economy that creates additional jobs; and (3) provide a foundation for longer term benefits, including government cost savings, economy-wide productivity, and improved quality of life for all.
As Congress considers a substantial stimulus package to get the economy moving, investing in new economy digital infrastructures will provide significant opportunities not just for short-term stimulus and job creation, but also longer term economic and social benefits. In the report, "The Digital Road to Recovery: A Stimulus Plan to Create Jobs, Boost Productivity and Revitalize America," ITIF provides a detailed analysis and estimate of the short-term jobs impacts of spurring investment in three critical digital networks: broadband networks, the smart grid (making the electric distribution system intelligent) and health IT, and outlines policy steps to spur this investment.ITIF finds that investments in America's digital infrastructure will spur significant job creation in the short run. Specifically, ITIF estimates that spurring an additional investment of $30 billion in America's IT network infrastructure in 2009 will create approximately 949,000 U.S. jobs.
The author investigates the telephone's role as a contributory agent in economic development. Cross-sectional time series data for 60 nations over 13 years were used to determine how the telephone might make its contribution to economic development. Path analysis and cross-lagged correlation techniques indicate that the telephone does contribute to economic development. This contribution appears to come from the telephone's support of the organization of economic activity.
The antiquated state of the telecommunications network in the transitional economies of Central and Eastern Europe has been identified by the OECD (1993) and the ITU (1994) as a significant impediment to regional productivity, international competitiveness and trade performance. This situation suggests that the upgrading and extension of the telecommunications network should be a priority objective for policy-makers in order to facilitate growth. This paper empirically examines the relationship between gross fixed investment, telecommunications infrastructure investment and economic growth for a sample of transitional economies in Central and Eastern Europe. In particular, the paper focuses on empirically determining the direction of influence, and timing, between investment and growth.
Purpose – The purpose of this paper is to propose and test a model concerning broadband adoption in a rural setting. Design/methodology/approach – A computer-aided telephone survey was conducted to collect data to validate the proposed model in rural Australia. Findings – It was found that relative advantage, utility outcomes, and facilitating conditions play a crucial role in explaining broadband adoption behavior amongst rural Australian households. Practical implications – The key challenges to stakeholders involved in promoting broadband adoption in these settings are discussed in light of the findings. Originality/value – A more realistic approach at household level was adopted to investigate broadband adoption in a rural setting. The theoretical framework offers a comprehensive view of broadband adoption applicable to rural Australia.
Telecommunication investment is increasingly identified as one with a strong potential to improve economic productivity and growth. The objective of this study is to investigate the long run relationship between telecommunications infrastructure and economic growth, using data from 22 OECD countries. A dynamic panel data method is used for estimation, which corrects for omitted variables bias of single equation cross-section regression. The 'fixed-effects' specification accounts for country specific differences in aggregate production functions. The results show a significant and positive correlation between telecommunications infrastructure and growth, after controlling for a number of other factors.
The flow of capital between nations, in principle, brings benefits to both capital-importing and capital-exporting countries. But very large flows can also create new exposures and bring new risks. The failure to analyse and understand such risks, excessive haste in liberalising the capital account and inadequate prudential buffers to cope with the greater volatility in more market-based forms of capital allocation have at one time or another compromised financial or monetary stability in many emerging market economies. On the other hand, rigidities in capital account management can also lead to difficulties in macroeconomic and monetary management. This Report takes stock of the policy debate in this complex area over the past 20 years and examines the vulnerabilities associated with these capital movements. It finds that it is a combination of policies - sound macroeconomic policies, prudent debt management, exchange rate flexibility, the effective management of the capital account, the accumulation of appropriate levels of reserves as self-insurance and the development of resilient domestic financial markets - that provides the optimal response to the large and volatile capital flows to the EMEs. How these elements are best combined will depend on the country and on the period: there is no "one size fits all".
In this paper we investigate how telecommunications infrastructure affects economic growth. This issue is important and has received considerable attention in the popular press concerning the creation of the "information superhighway" and its potential impacts on the economy. We use evidence from 21 OECD countries over the past twenty years to examine the impacts that telecommunications developments may have had. We estimate a structural model which endogenizes telecommunication investment by specifying a micro-model of supply and demand for telecommunication investments. The micromodel is then jointly estimated with the macro-growth equation. After controlling for country-specific fixed effects, we find evidence of a positive causal link, provided that a critical mass of telecommunication infrastructure is present.
ZUSAMMENFASSUNG - (Telekommunikations-Infrastruktur und Wirtschaftsentwicklung: Ein simultanes Modell)
In diesem Beitrag wird untersucht, welchen Einfluß die Telekommunikations-Infrastruktur auf die wirtschaftliche Entwicklung ausübt. Diese wichtige Frage hat im Zusammenhang mit der Diskussion um "Informationsautobahnen" Aktualität erlangt. In der vorliegenden Studie wird der Einfluß der Telekommunikations-Infrastruktur für 21 OECDLänder für die vergangenen 20 Jahre analysiert. Es wird ein Strukturgleichungsmodell geschätzt, in dem Investitionen in die Telekommunikations-Infrastruktur als endogene Variable erfaßt werden und in einem Mikromodell Angebot und Nachfrage nach Telekommunikations- Investitionen spezifiziert werden. Das Mikromodell wird dann zusammen mit der Makro- Wachstumsgleichung geschätzt. Als Ergebnis stellen die Autoren dann eine positive Kausalbeziehung zwischen Telekommunikations-Investitionen und wirtschaftlicher Entwicklung fest, wenn eine kritische Masse an Telekommunikations- Infrastruktur existiert.
In this paper we investigate how telecommunications infrastructure affects economic growth. We use evidence from 21 OECD countries over a 20-year period to examine the impacts that telecommunications developments may have had. We jointly estimate a micromodel for telecommunication investment with a macro production function. We find evidence of a significant positive causal link, especially when a critical mass of telecommunications infrastructure is present. Interestingly, the critical mass appears to be at a level of telecommunications infrastructure that is near universal service.
Group concerned by 233m broadband plan's limitations
- (The) Irish Times
Broadband stimulus policy in Europe and the US: a comparative review
- D Adamski
Australia to build $30 bln broadband network
- Associated Press
The voice of broadband: final US broadband stimulus plan=7.2 billion
- Broadband Trends
Budget lacks vision for broadband, critics say
- Cbc News
Finland unveils major broadband plan, but Canada silent
- Cbs News
Singapore's shock structural separation policy for NGN
- Commsday
- Com
Proposals to stimulate broadband investment
- Communications Workers of America
Digital Britain seeks stimulus for the digital economy
- Converge Digest
Britain makes commitment to universal broadband by
- Daily Yonder
Canada's Economic Action Plan: Budget 2009
- Department of Finance
Singapore Budget 2009: resilience package is a massive economic stimulus plan
- Economy Watch
ELCON: partner of the German digital plan
- Elcon Systemtechnik
The Commission proposes €5 billion new investment in energy and internet broadband infrastructure in 2009-2010, in support of the EU recovery plan
- Europa
Starhub wins Singapore broadband network bid
- Forbes
- Com
Fibre, a real breakthrough”, La Lettre del'Autorité, 53, l'Autorité de Régulation des Communications Electroniques et des Postes
- G Gauthey
Portuguese government approves 800-mil.-euro credit line for NGNs
- Global Insight
Overall impact of government stimulus package to total EUR 2 billion
- Government Communications Unit
Singapore Budget 2009
- Government of Singapore
Plan E: what is it about?
- Government Of Spain
Digital plan will boost France's competitiveness
- Gsm World
Singapore's next generation national broadband network to be nationwide by 2012
- IDA
Expanding broadband to bail out economies
- International Herald Tribune
FICOD 2008, the big international date with the Spanish digital content industry
- Invest in Spain
France: development plan for the digital economy
- Iris Merlin
IT plan calls for big spending
- Joong Ang Daily
Korean internet speeds to be ten times faster by 2012
- Korean Communications Commission
University in the broadband age: lessons from international experience
- J S Marcus
The information society in Spain
- Turismo y Comercio Ministero de Industria
Annual Budget Report
- Ministry of Internal Affairs and Communication
Sarkozy Digital Plan 2012 is ambitious, but overshadowed by financial crisis
- Muniwireless
Obama's broadband stimulus: throwing money at wrong target?”, available at: www
- Networkworld