More government support for broadband proposed

[Bruce551]

More government support for broadband proposed

* Published: 25/11/2009 at 12:00 AM

* Newspaper section: Business, Bangkok Post

Broadband penetration in Thailand could triple the conservatively projected rate of 17% if the government provides subsidies and incentives for broadband-related sectors, says a working group of Chulalongkorn University.

With government support, broadband could reach half the population by 2015, said Prof Craig Warren Smith, director of the Meaningful Broadband Working Group Secretariat.

Support and infrastructure investment, which could top US$7 billion instead of the planned $2 billion, would help stimulate GDP growth to 7% by 2015 from 3% next year, he said. It would also add 1.3 million jobs, instead of just 70,000 jobs projected earlier, he added.

The country's broadband penetration is now only 2% of households.

The group will hold a seminar entitled "A Plan for Thailand" tomorrow to encourage the development of "meaningful broadband". The term refers to a framework or "ecosystem" of broadband deployment for emerging markets, encompassing backbone, last-mile options, devices and content. The event, of which admission is free, will be held at Sasin Graduate Institute of Business Administration of Chulalongkorn University.

Established as a joint venture between the Center for Ethics of Science and Technology and the Digital Divide Institute in February, the working group is now chaired by True Corp president and CEO Suphachai Chearavanont. It has six members: the National Telecommunications Commission, TOT Plc, CAT Telecom, Advanced Info Service, DTAC and True Corp.

Prof Smith said Thais earning 3,000 to 20,000 baht a month account for 53% of population but could not afford expensive smartphones, priced above 15,000 baht.

"We plan to ask the government to provide subsidies for people who wants to buy smartphones or any incentives for operators and new broadband investments," he said.

Prof Smith said he also planned to propose a win-win solution at the seminar on how the local broadband industry and economic development could benefit from broadband growth.

"We need to focus not only on how broadband benefits the business sector, but also [on how] to make sure that broadband is meaningful for mass citizens," he said.

Prof Smith said Chulalongkorn University would call all deans to join the group's meeting on Dec 8 to consider the planned establishment of a research and development organisation for meaningful broadband development.

The group also plans to formulate a web service to provide content including financial services, employment sources, meaningful video games and sources to buy and sell products, he said.

About the author

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Writer: Srisamorn Phoosuphanusorn

Position: Business Reporter