ISPs urge government to open WiMAX to Bangladeshi firms

July 09, 2008

Internet service providers Tuesday asked the government to open up WiMAX licensing to the Bangladeshi organizations which will qualify on merit.

Bangladesh Telecommunication Regulatory Commission (BTRC) will provide three licenses for WiMAX through bidding, with floor prices for each at Tk 25 crore in acquisition fees which will increase thanks to the bidding.

“So, local ISPs will probably lag behind in the bidding. We ask BTRC to issue licenses to local companies on the basis of qualifications,” Internet Service Providers Association of Bangladesh (ISPAB) said in a statement.

WiMAX, the Worldwide Interoperability for Microwave Access, is telecoms technology that provides wireless data in a variety of ways, from point-to-point links to full mobile cellular type access.

In a press conference at Dhaka Sheraton Hotel, ISPAB general secretary Russell T Ahmed spoke of “contradictory telecoms policies”.

The government’s ILDTS (International Long Distance Telecommunication Services) policy bars any foreign investment, but the draft WiMAX policy leaves scope for foreign investors with up to 60 percent stakes in entities to bid for WiMAX licences, Russell said.

“This is a contradictory policy.”

Russell suggested an arrangement where the government can evaluate ISPs’ business plans on WiMAX technology to issue licenses on merit.

A higher license acquisition fee will create pressure on consumers, Russell said.

“Which means it will not be possible to lower internet charge for end users,” added the ISP association leader.

On “unlicensed or illegal” ISPs mainly catering to home- users, Russell said there are more than 500 such providers operating across the country.

“We are not against them. But since they are liable to none, they do not maintain the quality of services. The government is not getting revenues from their businesses either.”

Recognizing contributions by unlicensed ISPs, Russell said such operators should be brought under a regulatory framework.

On call-centre operations, the ISPAB leader said the government has barred call centres from operating through regular internet connections and made IPLC (International Private Leased Circuit) connections mandatory for them.

“An IPLC connection is very expensive and requires being a client of foreign gateway service providers. For instance, if someone runs a call centre of a British company then he would have to buy services from companies like Telstra,” Russell explained.

ISPAB president MA Salam told reporters that though the government opened up VoIP business through licensing, the process of granting licenses for IP telephony was delayed for some “unknown reason”.

-BDnews24

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