Download Digital Agenda (April 2010)

ICT and regional integration in
the EU and ASEAN
EU Centre in Singapore
29 October 2010
ICT in Europe’s economy
ICT sector = 5% of EU GDP / 40 to 50%
of EU productivity growth
Market of + / - 700 billion Euro (electronic
communications sector 350 billion Euro)
Mobile penetration 122% (prepaid 55%,
monthly paid 45%)
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Broadband in Europe
 Broadband penetration 50% of EU households
(best EU countries above 70% - Denmark,
Netherlands, Luxembourg, Sweden)
 Fibre deployment (so far between 2 and 5 % of
BB lines) accelerating / higher if no legacy
(Lithuania, Romania, Slovakia, etc.)
 Increase in BB speed available (2/3 between 2
and 10 Mbps; 23% over 10Mbps)
 Mobile BB progressing rapidly (6% of EU
population)
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Europe’s internal market includes
ICT products and services
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An “internal market” for ICT
implies…
Common standards (GSM, UMTS for
mobile telephony, DVB for digital TV, etc.)
Common rules for ICT-based services
(facilitate business and cross-border
investments, support consumers’ rights)
Remove obstacles to free movement of
ICT-based services (mobile phone
roaming, territorial restrictions on
copyright, etc.)
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How does the EU support
Europe’s ICT internal market?
 EU Telecom regulatory framework introduced in
2002, improved in 2009 (ex-ante regulation to
foster competition against incumbent fixed
operators and arrival of new entrants)
 Specific actions to remove obstacles to free
movement (example: EU Roaming Regulation)
 Broadband policy
 Competition policy (M&A, anti-competitive
behaviors)
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Example of a proactive telecom
policy: the EU mobile Roaming
Regulation
 Introduced 2007 for calls between European
countries = “Euro tariff”
 Voice: cap is 0.39 Euro for calls made – 0.15 for
calls received (1/07/2011 = 0.35 and 0.11) + per
second billing after 30 seconds
 SMS cap: 0.11 Euro
 Mobile data downloading: 0.80 Euro by Mb cap
(wholesale) + automatic cut-off above 50 Euro
 Cost of roaming inside Europe reduced by 70%
since 2007
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“internal market” for ICT also
implies broadband for all
“We must put the interests of Europe’s citizens and business at
the forefront of the digital revolution and so maximise the
potential of ICT to advance job creation, sustainability and
social inclusion”
Neelie Kroes, EU Commissioner for the Digital Agenda
↓
Digital Agenda (April 2010)
 100% EU households with over 30Mbps BB by
2020 (50% over 100 Mbps)
 all key cross-border public services online by
2015
 All European to access health data online by
2015
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EU “broadband for all” policy
 Financial support / solidarity in favor of remote /
less developed areas. Use of EU Regional
funds available + clear rules for state aid
schemes
 Provide legal certainty! European Commission
has just published a Communication (policy
document) on high-speed broadband + a
Recommendation (legal document) on NGA.
 Support competition in telecom sector to
reduce price and attractive content
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What about the ASEAN region?
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ASEAN – EU trade - ICT
products
40
35
30
ASEAN
exports /
mill USD
ASEAN
imports /
mill USD
25
20
15
10
5
0
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Singapore
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07
20
08
 Main ASEAN trade
partners with EU:
Malaysia, Singapore,
Thailand
 ICT is 4th area of FDI
from Singapore to the
world
 Ongoing and forthcoming
FTA negotiations:
Singapore, Vietnam,
Malaysia
11
An ASEAN internal market for
ICT? Yes…
“Increase broadband penetration through, amongst
others, technology neutral approach, affordable
solutions, innovative applications and usage
models as well as relevant content to stimulate
information flow within the region to further the
goal of ASEAN as an inclusive, vibrant and
integrated region”
ASEAN Telecom Ministers – Vientiane Declaration,
October 2009
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But…
Important development gap within ASEAN
(example: broadband penetration: 24% of
population in Singapore / 0.6% in
Indonesia)
De facto protection of local players
ASEAN Secretariat is a small structure (70
staff / EU Commission 23,000)
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EU – ASEAN cooperation on
ICT regulation
 Support of conferences, regulatory dialogue (on
spectrum management, cybercrime, etc.)
 EU as ASEAN Partner in TELSOM process
 New support programme starting 2011:
implementation of ASEAN ICT Masterplan and
spectrum management as priorities
 Low participation of ASEAN players in EU ICT
R&D Programme
 EU - Singapore 2009 ICT Memorandum of
Understanding not implemented so far
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What can be learnt from the EU
experience?
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Key regulatory principles for telecom
regulation in an internal market
Independent Regulatory Authority.
(example: new EU Framework reinforces
legal and financial independence of NRA)
Avoidance of dominant position – Use of
ex-ante regulatory tools (including
wholesale pricing, accounting and
functional separation, etc.)
Consumers’ trust (contractual rights,
privacy, security)
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ICT regulatory news and trends in
the EU - Also issues in ASEAN
countries
Reuse of digital dividend’s
radiofrequencies to accelerate mobile
broadband deployment
Debate on network neutrality
Green ICT as a growing issue
Network and information security
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Using EU experience, the
ASEAN region can build
an ICT internal market by
2015 !
Website
http://ec.europa.eu/dgs/information_society/index_en.htm
My e-mail
[email protected]
Thank You!!!
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