Beruflich Dokumente
Kultur Dokumente
Scott Minehane
(scott.minehane@windsor-place.com)
Windsor Place Consulting
Agenda
1.
2.
Competition Issues
3.
4.
1.
2.
Competition Issues
3.
4.
1.
2.
Competition Issues
3.
4.
Competition (1)
Roadmap must take into consideration state of competition in the
market.
Different markets will be at different stages of development. This can
affect level of competition and priorities for development of roadmap.
Level of competition affected by:
Competition (2)
If competition is inadequate, licensing of additional mobile operators
may be required.
If competition is adequate, government/regulator can refocus
roadmap on driving to meet or exceed coverage, broadband targets,
affordability etc.
Consider two (very broad) cases:
Competition is inadequate
Competition is adequate
[Here we are assuming that adequate competition is a indicator of
consumer welfare]
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Competition (3)
Roadmap where competition is inadequate
Milestones based on ICT Masterplan and other regional and national
plans, incorporate Broadband Commissions targets.
Priority is for introduction of additional cellular mobile operator(s) to
take place perhaps with the release of additional spectrum (i.e. 700
MHz)
Roadmap where competition is adequate
Milestones based on ICT Masterplan and other regional and national
plans, incorporate Broadband Commissions targets.
Priority is commitment to technology neutrality to ensure best use of
spectrum. For example, MVNO rules may be implemented if regulator
believes competition is resulting in inefficiencies (e.g. spectrum
hoarding). And focus on secure additional spectrum like the Digital
Dividend.
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1.
2.
Competition Issues
3.
4.
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13
1.
2.
Competition Issues
3.
4.
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Xanadu (1)
Learning objectives from the case study exercise
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Xanadu (2)
Introducing the Republic of Xanadu
The Republic of Xanadu is a newly
constituted sovereign nation in the
South East Asia region.
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Xanadu (3)
Sanskrito
KHAROO
Old border
Gweilo
Nirvana
REPUBLIC OF XANADU
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Xanadu (4)
Demography
Xanadu has a population of approximately 30 million people, with 20
million living in the south and 10 million in the north. In the south
there is the national capital of Nirvana - a bustling metropolis of 4
million people - and the trade city of Gweilo. In the north there is the
city of Sanskrito along with the mountainous Kharoo region, which
contains a number of disparate farming communities.
There is signifant wealth discrepancy between the two regions. GDP per
capita in the south is approximately USD 32,000 per capita, while in
the north it is approximately USD 3,500.
There are three languages spoken in Xanadu: In the north Fortran is
spoken almost exclusively, while in the south around half the
population speak only Cobalt while the other half speak both Cobalt
and Fortran. Pascal is a minority language spoken by only 1 million
people throughout Xanadu.
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Xanadu (5)
Market
There are three operators in Xanadu. XanTel is the government owned
operator and the largest of the three. Before Xanadu was formed,
XanTel was the monopoly provider in the south, with Xanadu Telecom
and Post (XTP) the monopoly provider in the north. After Xanadu was
formed, XTP was incorporated into XanTel and now provides services
across the whole of Xanadu.
The other two operators are ELO, the second largest, and Pear, the new
start-up operator, both of which operate in the south only. While
competition is adequate in the south, the question is whether a new
entrant should be introduced to compete with XanTel in the north.
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Xanadu (6)
Possible Market issues to consider:
Is a new entrant required in Xanadus telecommunications
market? Why?
How would the entry of a new operator best be facilitated? What
is the most effective way to allocate additional spectrum to the
new operator?
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Xanadu (7)
Spectrum arrangements
Currently the south of Xanadu has access to 3G services at 900 MHz,
but no 4G services have yet been introduced. It has a high level of
teledensity and good geographic coverage.
The south currently uses VHF and UHF spectrum for terrestrial
broadcasting and must consider arrangements for migrating to digital
television.
21
Xanadu (8)
By contrast the north operates on a 2G network and does not have UHF
television. It has a much lower teledensity and the mountainous terrain
and more sparsely populated areas in the north make it more difficult
to achieve adequate coverage.
Possible Spectrum issues to consider:
What are the arguments for early switchover to digital TV? How
would digital dividend spectrum be allocated to the incumbent
mobile operators?
What are the most appropriate technologies to consider for the
north and south regions? What opportunities are there for each
region?
22
Xanadu (9)
Connectivity
There is a single submarine cable that lands in Gweilo and connects the
south of Xanadu to the continent. Xanadu has only one neighbour to
the north, and the regulator is responsible for coordinating frequencies
to avoid interference. Xanadu is also a part of a regional gateway
initiative and hopes to provide greater connectivity with the rest of
Asia. The south of Xanadu is also considering rolling out a fibre network
to provide high-speed broadband to the home.
Possible Connectivity issues to consider:
How can greater international connectivity be facilitated? Are
there any potential bottlenecks?
What are the arguments for and against a high-speed fibre
network for Xanadus south?
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Xanadu (10)
Telecoms Regulation in Xanadu
The Xanadu Telecommunications Agency (XTA) is responsible for
overseeing the telecommunications sector, the issuance of spectrum
licenses and the allocation of frequencies. While it has some delegated
powers, it is controlled by the Ministry of Telecommunications.
The current Telecommunications Act allows the XTA to issue spectrum
based on any method prescribed by the government. Currently,
spectrum is issued every five years based on qualification and
subsequent beauty contest. There is also a coverage requirement of
90% of the population, which the three operators have met.
The Telecommunications Act is pre-convergence legislation and licenses
are technology specific. The government is in the process of reviewing
its current regulatory framework and wants to see higher levels of
investment in the telecommunications sector.
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Xanadu (11)
Possible Regulatory issues to consider:
What steps should Xanadu take to improve its current regulatory
framework?
Is the current market structure in Xanadu adequate?
What is the best process for introducing an additional network
operator?
What other steps can the government take to reduce costs and
increase investment in the sector (e.g. infrastructure sharing
arrangements)?
25
Xanadu (12)
Content and applications in Xanadu
Content in Xanadu is at an early stage, despite a number of innovative
applications that have been developed predominantly for
entertainment. The majority of content is developed in the south where
access to wireless broadband is higher. The government of Xanadu
recognises that encouraging the content sector is vital to grow demand
for wireless broadband across the country.
In particular Xanadu wants to encourage content in the health and
education sectors. It has begun work on its own government portal that
will provide citizens of Xanadu with information on government affairs.
While progress is being made, the vast majority of content is in
English, and currently unicode characters are only available for the
Cobalt language.
The people of Xanadu are keen to see more content that reflects their
culture and way of life. The government is keen to establish a technical
university focused on computing and information technology.
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Xanadu (13)
Possible Content issues to consider:
What initiatives, direct and indirect, can the government
undertake to encourage the development of content in Xanadu?
How can the government promote more culturally rich content?
How can encourage the adoption of skills and training needed to
develop content for the online world?
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Xanadu (14)
Task for Each Group:
1.
2.
3.
4.
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