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Open Internet Policies
Fostering Economic Growth



Rajnesh D. Singh
Asian Regional Bureau
singh@isoc.org

ISOC Chennai Seminar
Chennai, India May 2010
About ISOC
• Founded in 1992 by Internet pioneers
• Dedicated to ensuring the open development,
  evolution and use of the Internet for the benefit of
  people throughout the world

• International not-for-profit organisation
   • Offices located in Washington and Geneva
   • 5 Regional Bureaus
     Africa, Asia, Europe,
     Latin America & Caribbean, North America
  • 90+ Organisational Members
  • 28,000+ Individual Members
  • 85+ Chapters worldwide
                                                         2
ISOC Programs
• Trust and Future of the Internet
• User Centric Internet
• Internet Governance leadership
• Internet Policy
  • Preserving the ability to connect, speak, innovate, share, choose
    and trust
• Regional Policy Advisory Groups
• Interconnectivity and Standards Development
  • IETF, IESG, IAB
• ISOC Fellowships: IGF, IETF, Chapter Fellowships
• Next Generation Leaders Programme (NGL)
• Membership and Chapter Development
• ccTLD/Technical workshops
• Conferences and Events: INETs, NDSS
                                                                        3
• Publications and Orientation/Briefing Papers
ISOC Chapters in Asia Pacific
• South Asia                                    • East Asia and Pacific
   • Bangladesh                                    • Hong Kong
   • India - New Delhi                             • Japan
   • India - Chennai (Madras)                      • Korea – Republic of (South)
   • India - Kolkata                               • Taiwan
   • Nepal                                         • Australia
   • Pakistan                                      • Pacific Islands


• Southeast Asia                                • West Asia (partial)
   • Cambodia                                      • Bahrain
   • Malaysia
   • Philippines
   • Thailand      ISOC Membership is free in the “Global Member”
                   category. For details see:
                   http://www.isoc.org/membership/
                                                                                   4
ISOC Initiatives‫‏‬
   Enabling Access
   - Technical Capacity Building
   - Policy, Regulation, and the Access Environment
   - Developing Communities of Practice and Multistakeholder Participation

   InterNetWorks
   - Global Addressing
   - Common Internet
   - Security & Stability
   - AlterNetives

   Trust and Identity
   - Architecture and Trust
   - Current Problems/Solutions and Trust
   - Identity and Trust



                                                                             5
Know these brands/companies?




                               6
Discussions on the future of the Internet
  Have become mainstream in the last 7 or so years

  - Impact on society

  - Impact on the economy

  - Governance issues

  - Discussed in various fora
    WSIS, IGF, UN agencies (ITU, UNESCO), OECD, UNESCO,
    ICT4D community, Regional Multilateral organisations, Non-
    traditional fora...

  - Push for broadband access is key issue
   Because wherever it exists, the Internet permeates every part of
      life today

                                                                      7
Why Broadband Access?
  Broadband networks are an increasingly integral part
  of the economy. As the technology evolves and
  bandwidth increases, the scope for broadband to act
  as an enabler of structural change in the economy
  expands as it affects an increasing number of sectors
  and activities. Direct effects result from investments in
  the technology and from rolling out the infrastructure.
  Indirect effects come from broadband 's impact on
  factors driving growth, such as innovation, firm
  efficiency, competition and globalisation. Broadband
  facilitates the development of new inventions, new and
  improved goods and services, new processes, new
  business models, and it increases competitiveness
  and flexibility in the economy.
           - from OECD study http://www.oecd.org/dataoecd/62/7/40781696.pdf
                                                                              8
Data Suggests Broadband has Measurable
Impact
  Various research studies indicate that the
  deployment and use of broadband has a positive
  measurable impact on the economy

  - In a study conducted by CEGR (2003 ) for the Broadband Industry
  Group on the impact of broadband on the UK economy, it estimated
  that:

     By 2015 , the productivity benefits of broadband could be as
        much as 2.5% resulting in an annual increase to the UK Gross
        Domestic Product (GDP) of £21.9 billion

     Additional benefits that could be realised by 2015 were an
        annual estimated increase in UK fixed expenditures of £8
        billion and an increase in annual net exports of £11 billion
 InfoDev study: http://infodev-study.oplan.org/the-study/folder.2006-02-02.6117616300/3-2-recognition-of-broadband-for-economic-development/




                                                                                                                                               9
“The results support the view that broadband
access does enhance economic growth and
performance , and that the assumed economic
impacts of broadband are real and measurable .
We find that ... communities in which mass-market
broadband was available ... experienced more
rapid growth in employment, the number of
businesses overall , and businesses in IT-
intensive sectors, relative to comparable
communities without broadband at that time”
 - Report by Academics from Massachusetts Institute of Technology
   and Carnegie Mellon University
 http://www.eda.gov/ImageCache/EDAPublic/documents/pdfdocs2006/mitcmubbimpactreport_2epdf/v1/mitcmubbimpactreport.pdf




                                                                                                                        10
How about ICT Infrastructure and Foreign
Direct Investment (FDI)?

  .. the greatest risks to investing in Africa generally
  [are] political instability at the top of the list (77
  percent of respondents ), followed by insufficient
  public infrastructure (69 percent ), low workforce
  skill level (58 percent), poor IT infrastructure (58
  percent) and bureaucratic overhead (54 percent).
     - A.T. Kearney 's Foreign Direct Investment Confidence Index for 2007
        http://www.atkearney.com/shared_res/FDICI_2007.pdf




                                                                             11
So...is the Solution...

   - Install Telecommunications towers everywhere for
       seamless connectivity?
   - Deploy a national fibre optical network across the
       country?
   - Provide every metro area with Fibre to the
       Premises?
   - Provide broadband connectivity to every village?
   - Provide every child with an OLPC-type laptop?
   - Ensure redundant, efficient infrastructure, including
       IXPs, multiple international gateways,...?
   - Reduce the cost of access so every person can
       afford it?


                                                             12
Overall Policy Environment is Key
  - Harmonised policy and regulatory frameworks
      That are open and promote growth and progress
  - Fostering public-private partnership and private sector
      investment
      To make the best use of available resources and expertise
  - Deploying modern networks and facilitating
      convergence
      Riding the wave as opposed to lagging behind
  - Allowing competition, accelerating adoption of new
       technologies
      Encouraging new technologies and business models to be
      deployed instead of creating barriers to adoption
  - Promoting development and growth of local industry
      Tax rebates, grants for use/promotion of technology
  - Aspiring for universal access as a key priority

                                                                  13
A Holistic Approach is Required
  - Multi-stakeholder consultation and dialogue

  - Adoption of open systems and standards

  - Shared responsibility

  - Ensuring the needs of the user are seen as priority # 1

  - Ensuring the user has the right to exercise choice

  - Ensuring innovation and new business models continue
      to develop




                                                              14
Business Opportunities
 - Network Expansion
    : Cellular, Wireless, Optical

 - Local and Regional Hubs
    : Increased backbone trafc, Transit services

 - Content Development
    : Locally relevant content, Training, Service provision

 - Infrastructure and Hosted Services
    : Host local content, Portals, Applications, Managed VPNs

 - Outsourcing Centres
    : Back-ofce, Data Entry, Customer Support...

 - New Markets & Businesses
    : Information services, Distance learning, e-Commerce,
      Demand for "e-" services, Local service industry


                                                                15
Questions or Comments?


Rajnesh D. Singh
singh@isoc.org
Tel: +1-650-918-6170

InternetSociety.org




                         16

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Isoc Chennai Seminar Open Internet Policies For Business

  • 1. Open Internet Policies Fostering Economic Growth Rajnesh D. Singh Asian Regional Bureau singh@isoc.org ISOC Chennai Seminar Chennai, India May 2010
  • 2. About ISOC • Founded in 1992 by Internet pioneers • Dedicated to ensuring the open development, evolution and use of the Internet for the benefit of people throughout the world • International not-for-profit organisation • Offices located in Washington and Geneva • 5 Regional Bureaus Africa, Asia, Europe, Latin America & Caribbean, North America • 90+ Organisational Members • 28,000+ Individual Members • 85+ Chapters worldwide 2
  • 3. ISOC Programs • Trust and Future of the Internet • User Centric Internet • Internet Governance leadership • Internet Policy • Preserving the ability to connect, speak, innovate, share, choose and trust • Regional Policy Advisory Groups • Interconnectivity and Standards Development • IETF, IESG, IAB • ISOC Fellowships: IGF, IETF, Chapter Fellowships • Next Generation Leaders Programme (NGL) • Membership and Chapter Development • ccTLD/Technical workshops • Conferences and Events: INETs, NDSS 3 • Publications and Orientation/Briefing Papers
  • 4. ISOC Chapters in Asia Pacific • South Asia • East Asia and Pacific • Bangladesh • Hong Kong • India - New Delhi • Japan • India - Chennai (Madras) • Korea – Republic of (South) • India - Kolkata • Taiwan • Nepal • Australia • Pakistan • Pacific Islands • Southeast Asia • West Asia (partial) • Cambodia • Bahrain • Malaysia • Philippines • Thailand ISOC Membership is free in the “Global Member” category. For details see: http://www.isoc.org/membership/ 4
  • 5. ISOC Initiatives‫‏‬ Enabling Access - Technical Capacity Building - Policy, Regulation, and the Access Environment - Developing Communities of Practice and Multistakeholder Participation InterNetWorks - Global Addressing - Common Internet - Security & Stability - AlterNetives Trust and Identity - Architecture and Trust - Current Problems/Solutions and Trust - Identity and Trust 5
  • 7. Discussions on the future of the Internet Have become mainstream in the last 7 or so years - Impact on society - Impact on the economy - Governance issues - Discussed in various fora WSIS, IGF, UN agencies (ITU, UNESCO), OECD, UNESCO, ICT4D community, Regional Multilateral organisations, Non- traditional fora... - Push for broadband access is key issue Because wherever it exists, the Internet permeates every part of life today 7
  • 8. Why Broadband Access? Broadband networks are an increasingly integral part of the economy. As the technology evolves and bandwidth increases, the scope for broadband to act as an enabler of structural change in the economy expands as it affects an increasing number of sectors and activities. Direct effects result from investments in the technology and from rolling out the infrastructure. Indirect effects come from broadband 's impact on factors driving growth, such as innovation, firm efficiency, competition and globalisation. Broadband facilitates the development of new inventions, new and improved goods and services, new processes, new business models, and it increases competitiveness and flexibility in the economy. - from OECD study http://www.oecd.org/dataoecd/62/7/40781696.pdf 8
  • 9. Data Suggests Broadband has Measurable Impact Various research studies indicate that the deployment and use of broadband has a positive measurable impact on the economy - In a study conducted by CEGR (2003 ) for the Broadband Industry Group on the impact of broadband on the UK economy, it estimated that: By 2015 , the productivity benefits of broadband could be as much as 2.5% resulting in an annual increase to the UK Gross Domestic Product (GDP) of £21.9 billion Additional benefits that could be realised by 2015 were an annual estimated increase in UK fixed expenditures of £8 billion and an increase in annual net exports of £11 billion InfoDev study: http://infodev-study.oplan.org/the-study/folder.2006-02-02.6117616300/3-2-recognition-of-broadband-for-economic-development/ 9
  • 10. “The results support the view that broadband access does enhance economic growth and performance , and that the assumed economic impacts of broadband are real and measurable . We find that ... communities in which mass-market broadband was available ... experienced more rapid growth in employment, the number of businesses overall , and businesses in IT- intensive sectors, relative to comparable communities without broadband at that time” - Report by Academics from Massachusetts Institute of Technology and Carnegie Mellon University http://www.eda.gov/ImageCache/EDAPublic/documents/pdfdocs2006/mitcmubbimpactreport_2epdf/v1/mitcmubbimpactreport.pdf 10
  • 11. How about ICT Infrastructure and Foreign Direct Investment (FDI)? .. the greatest risks to investing in Africa generally [are] political instability at the top of the list (77 percent of respondents ), followed by insufficient public infrastructure (69 percent ), low workforce skill level (58 percent), poor IT infrastructure (58 percent) and bureaucratic overhead (54 percent). - A.T. Kearney 's Foreign Direct Investment Confidence Index for 2007 http://www.atkearney.com/shared_res/FDICI_2007.pdf 11
  • 12. So...is the Solution... - Install Telecommunications towers everywhere for seamless connectivity? - Deploy a national fibre optical network across the country? - Provide every metro area with Fibre to the Premises? - Provide broadband connectivity to every village? - Provide every child with an OLPC-type laptop? - Ensure redundant, efficient infrastructure, including IXPs, multiple international gateways,...? - Reduce the cost of access so every person can afford it? 12
  • 13. Overall Policy Environment is Key - Harmonised policy and regulatory frameworks That are open and promote growth and progress - Fostering public-private partnership and private sector investment To make the best use of available resources and expertise - Deploying modern networks and facilitating convergence Riding the wave as opposed to lagging behind - Allowing competition, accelerating adoption of new technologies Encouraging new technologies and business models to be deployed instead of creating barriers to adoption - Promoting development and growth of local industry Tax rebates, grants for use/promotion of technology - Aspiring for universal access as a key priority 13
  • 14. A Holistic Approach is Required - Multi-stakeholder consultation and dialogue - Adoption of open systems and standards - Shared responsibility - Ensuring the needs of the user are seen as priority # 1 - Ensuring the user has the right to exercise choice - Ensuring innovation and new business models continue to develop 14
  • 15. Business Opportunities - Network Expansion : Cellular, Wireless, Optical - Local and Regional Hubs : Increased backbone trafc, Transit services - Content Development : Locally relevant content, Training, Service provision - Infrastructure and Hosted Services : Host local content, Portals, Applications, Managed VPNs - Outsourcing Centres : Back-ofce, Data Entry, Customer Support... - New Markets & Businesses : Information services, Distance learning, e-Commerce, Demand for "e-" services, Local service industry 15
  • 16. Questions or Comments? Rajnesh D. Singh singh@isoc.org Tel: +1-650-918-6170 InternetSociety.org 16