Morning all, Today is Day 1 of our deliberation and would like to give a general overview that would constitute our working document for the rest of the deliberations. Please go through it and I welcome general reactions, comments, clarifications or objections as we set the background for the rest of the workshop. We have 24hrs on this before tomorrow when we shall go deeper into the issues of International and Domestic bandwidth. My (personal) summary of the report based on the official copy @ http://www.cck.go.ke/internet_market_study/ follows:- ~~~~00000~~~~~~~~~~ CCK commissioned Netcomm Information Systems (the Consultant) to undertake a study to establish amongst others, the following Internet indicators within the Kenyan Market: 1. The Internet service diffusion and usage patterns in different sectors of the Kenyan economy 2. The general Internet service costing mechanisms employed by operators and service providers 3. The key factors that hinder Internet market development 4. The vertical and horizontal relationships of the Internet market in the country In carrying out its terms of reference, the Consultant held several roundtable meetings with key stakeholders selected from the Government, Telco-operators, Internet Service providers and Consumers. The Consultant administered questionnaires which revealed the following key findings -categorised under Network Infrastructure, Internet Affordability and Dispersion as described below: Network Infrastructure: This indicator establishes the structure and quality of the International and National (domestic) internet backbone across the country. It was found that following the liberation of the telecom sector to allow more players at the International Internet Gateway Operator (IGO) level, there has been a steady increase in the International Bandwidth capacity-currently at 1G and representing over 10% growth since 2004. However, the domestic Internet capacity continued to register limited growth, despite the availability of the local Internet Exchange Point (KIXP). Internet Tariffs & Affordability: This indicator establishes the capacity of consumers to afford the Internet Services. It is taken as a factor of the gross national income, in other words, the average cost of 1 month Internet access measured against the average monthly salaries. It was found that internet service via mobile phone was much more affordable (costing 8% of average monthly incomes) as compared to via fixed lines (costing 200% of the average monthly incomes). This was despite the falling rates of International Internet Bandwidth occasioned by competition at that level. Dispersion: This indicator establishes geographic reach and sectoral absorption of the Intenet Service. In essence it describes the e-Readiness status of the economy or for the Country. It was found that even though ISPs were present in all the 8 Provinces, they were hardly present at the districts level covering only 30% of the districts in Kenya. In addition, of the three key stakeholders, Government, Educational and Commercial, the Commercial sector had the bulk of the existing Internet Connectivity (80%) while the Education Sector had the lowest (less than 2%). Finally, of the estimated 2.8 Million Internet users in the country, 80% are in the capital city Nairobi, 9% in Mombasa and the rest (11%) are spread across the country. In attempting to improve the above bleak indicators, the Consultant made the following key recommendations: Network Infrastructure: That the Government and the Operators make a deliberate effort to extend the domestic Internet backbone through out the country. In addition, that the current license separation between the Internet Gateway Operators (IGOs) and Internet Service Providers (ISPs) be dissolved by combining their services into one license-the Data Communication Network Operator (DCNO) license. Finally, that the Regulator should publish and enforce quality standards in the provision of the Internet Services. Internet Tariffs & Affordability: That the Regulator, introduces competition in the Fixed Telephone line service and a flat-rate tariff or volume-based model for dial-up internet services. Also, that despite the relatively cheaper Mobile internet services, further competition be introduce within the sub-sector to further drive down the rates. Dispersion: That the Regulator reviews and implements the Universal Access strategy, enabling Operators to extend Internet Broadband services to non-economical rural areas in order to serve in particular educational and health institutions. That the Universal Access fund be utilised in promoting and creating local content in order to stimulate demand and usage. Finally, that the Regulator promotes Consumer Awareness programmes while the Government concludes and enacts the necessary legislative framework for supporting eCommerce uptake. -summary ends--- Plse, the floor is open for your reactions and a copy of the 10 day program is copied here as a reminder. Internet Study-Background Concepts/Overview 1day Internet Study-International & Domestic Bandwidth Usage 1day Internet Study-Hierarchy of Providers (IBP,ISP) 1day Internet Study-The Statistics on Infrastructure 1day Internet Study-The Statistics on Affordability 1day Internet Study-The Statistics on Dispersion 1day Internet Study-The Impact of the Recommendations-3days What is the way forward/Conclusions 1day walu. __________________________________________________ Do You Yahoo!? Tired of spam? Yahoo! Mail has the best spam protection around http://mail.yahoo.com