Bonik Barta photo Three mobile operators of the country have recently obtained licenses
to provide fixed wireless access (FWA) service. With this, Grameenphone, Robi
and Banglalink are going to enter the market of internet service providers
(ISP) worth Tk 100 billion. Till now, ISPs have been running the show. However,
the inclusion of the mobile operators has made the ISPs worried, as it will be
difficult for them to survive the competition with the mobile operators that
are way more stronger in terms of capacity.
Bangladesh Telecommunication Regulatory Commission (BTRC)
provided FWA license to three mobile operators in February. At present, this
service can only be provided by ISPs through cable connection. With the
inclusion of the mobile operators now, broadband internet business will see a
change.
According to BTRC statistics, there are 2,897 licensed ISP
operators in the country. Of them, there are 118 at national level, 341 at
divisional level, 149 at district level and 2,289 operators at upazila or thana
level. Besides, about 3,000 entities conduct illegal internet business across
the country.
Internet Service Providers Association of Bangladesh (ISPAB)
say that the annual income of its members stands at Tk 100 billion. More than
3,000 businesses are run by providing internet service. Most of them have small
and medium investment. And, 500,000 to 600,000 people are employed in these
businesses.
As per ISPAB, the annual turnover of top ten ISP providers is
nearly Tk 10 billion. These ten companies invested in the market hugely. The
annual income 300 mid-level operators stands at Tk 54 billion. The income at
upazila/Thana and district levels is over Tk 30 billion. Besides, more than
3000 illegal operators earn Tk 10 billion annually.
ISPAB President Emdadul Hoque fears that mobile operators will
take away at least 40-50 percent of the FWA market. “ISP operators are
currently going through a distressing time. The operators have to import 90
percent of the equipment. The import cost has gone up significantly due to inflation,
devaluation of taka against dollar and world economic instability. And now, our
businesses are being harmed through FWA service. Many of us will be out of
business,” he said.
“Some 25-40 percent of our market will be affected. If the
foreign operators capture the market, the local entrepreneurs will not be able
to survive the competition,” he added.
BTRC has recently published a licensing guideline for the
country’s telecom operators. Fourteen types of services are mentioned in
guideline titled ‘Regulatory and Licensing Guideline for Cellular Mobile
Service in Bangladesh’. FWA is one of the services through which telecom
operators can provide high-speed internet in a particular place.
Cellphone operators argue that broadband operators will not be
harmed by the FWA service. They provide service through cable connection while FWA
service is wireless. Consumers will accept the best services. ISP providers
will have to offer new services to keep customers.
About issuing licenses to mobile operators to provide FWA
service, Professor Dr BM Mainul Hossain, director of Institute of Information
Technology at Dhaka University, said, “Several hundreds of thousands of people
are employed at about 3,000 ISP operators across the country. This will have to
be taken into consideration. This is a competitive market. They will have to
survive by providing satisfactory service. And, it is not that mobile operators
will always be able to provide the desired service. In some places, ISPs are
the only solution.”
“ISPs must be innovative. We should think if ISPs will only
provide internet service or they will deliver contents as well. An environment
should be created in which everyone can run their businesses providing quality
service. And, it is the responsibility of BTRC to ensure that,” he added.
BTRC Commissioner Sheikh Reaz Ahmed said, “We have given the
telecom operators the opportunity to offer FWA service. But, it does not mean
that we have interrupted the service provided by ISPs. BTRC always believes in
creating an ecosystem. There will be competition in the market and everyone
will run their business in their way. Although it looks same, Wi-Fi service and
FWA service by the mobile operators are different in nature.”
“ISP operators must work in the modernization of technologies
to survive in the competition,” he observed.
Bonik Barta sent emails to media departments of Grameenphone,
Robi and Banglalink for their comments in this regard, but their replies were
not received as of filing the report on Friday night.
