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Tech neutrality and the 4G conundrum

| Updated: January 24, 2018 21:38:33


Tech neutrality and the 4G conundrum

The country's telecom regulator has at long last cleared the way for introduction of super-fast net service from  March next.  It has received five applications for licence to roll out fourth generation (4G) internet service that'll ensure at least 20 megabyte per second (mbps) speed even from mobile phone. All the mobile network operators (MNOs), except for state-owned Teletalk, have also applied for joining spectrum auction scheduled for February 13. Teletalk won't attend auction as it already has 25 megahertz of spectrum across three bands, which is good enough to offer 4G service.

Under the terms of the auction, the Bangladesh Telecommunication Regulatory Commission (BTRC) also intends to provide technology neutrality which the MNOs have been demanding for long. But the MNOs will have to pay separately for the technological neutrality of their existing spectrum if they want to offer any service irrespective of 2G, 3G or 4G from any of their frequencies. However, one of the demands of the MNOs was to cut down the price of spectrum for technological neutrality, which they said, will empower them to deliver better service quality. They did also ask for it to be slashed to US$4 million per MHz of spectrum from the earlier proposed figure of US$7.5 million.

The concept of tech neutrality (also technology neutrality or technological neutrality) is one of the key concepts of good regulation in internet, telecommunications and data protection. It means that the same regulatory principles should apply regardless of the technology used and that the regulations should not be drafted in technological silos. Although the term has several distinct meanings, it has become a catalyst that underpins the new regulatory framework for electronic communications networks and services (ECNS) which came into effect across the European Union more than a decade ago.

The BTRC said if any operator wants to make its entire spectrum neutral, it will have to pay four million US dollar for each 900 MHz and 1,800 MHz. And for partial conversion, the charge will be US$7.5 million for each MHz. But 15 per cent value-added tax will be applicable for every segment. Sources in the regulator, however, said that it's not expecting higher earnings from spectrum sale but a significant amount will come from technological neutrality fee.

Rough estimate shows that the government may earn as high as Tk 110,000 million if the entire spectrum is sold out as expected. Although the guideline has been amended at least twice, the MNOs still have some worries over a number of unresolved issues including VAT, fibre optic network and the mandatory speed of 20 mbps as per the guideline.

Former state minister for posts and telecommunications Tarana Halim on September 20 announced the 4G/LTE licensing guidelines. The BTRC in the first week of December announced the roadmap for 4G/LTE licence and spectrum auction in 2,100 MHz, 1,800 MHz and 900 MHz bands after getting the final nod from Prime Minister Sheikh Hasina.

But wireless broadband internet (WiMAX) provider Banglalion Communications Limited late last week filed a writ petition on the advertisement for issuance of 4G licence, terming the BTRC circular in this regard contrary to the broadband guidelines of 2008. A High Court bench later halted the auction process and asked for a BTRC explanation why its circular inviting applications should not be declared illegal in line with the writ petition. The chamber judge of the apex court on the same day stayed the HC order until this week referring the matter for full bench hearing in the appellate division, which virtually cleared the ways this week for auctioning of 4G spectrum for the MNOs.

After all such obstacles, the authorities concerned deserve kudos for paving the way for super-fast internet service --one that is also linked with adoption of and conversion to emerging technologies like artificial intelligence (AI), wearables and internet of things (IoT). Such technologies are expected to evolve here in the days to come and spur the country's economic growth further.

In the latest worldwide ranking titled 'Readiness for the Future of Production Assessment 2018 edition,' Bangladesh has been positioned as one of the poorest performers in adoption of newer technologies. The Switzerland-based World Economic Forum (WEF) in collaboration with A.T. Kearney developed the report that measures how well-positioned 100 countries and economies across all geographies and stages of development are to shape and benefit from the changing nature of production through the adoption of emerging technology.

Bangladesh's overall performance was marked by poor scores in the index components of ability to innovate (97th), internet users (97th), impact of ICTs on new services and products (94th), mobile-cellular telephone subscriptions (94th), FDI and technology transfer (88th) and LTE mobile network coverage (67th), among other things. Hopefully, the latest move to introduce 4G services will help the country improve on many of these fronts in the years to come.

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