broadband infrastructure for national development Regional Meeting - PowerPoint PPT Presentation

Cambodia: Leveraging investment in broadband infrastructure for national development Regional Meeting for the Asia-Pacific LDCs Port Vila, Vanuatu - 26 October 2017 Views are those of the presenter and may not necessarily reflect the opinions of UN-OHRLLS

Sustainable Development Goal (SDG) 9C “ Significantly increase access to information and communications technology and strive to provide universal and affordable access to the Internet in least developed countries by 2020 ” Universality Affordability Mobile population coverage 500 MB monthly mobile Internet US$ % GDP pc 2G 3G 4G/LTE 100 10.6% 90 80 70 60 Cheapest in 50 4.7% the world 40 3.9% 30 20 10 0.9% 0 $1.00 $2.77 $8.43 $9.22 Lesotho Rwanda Cambodia Vanuatu Senegal Cambodia Rwanda Senegal Vanuatu 3 rd in LDCs

Data usage per mobile subscriber (GB per month, 2016) 3.0 0.8 0.3 Rwanda Senegal Cambodia Source: Main operator & estimates. ASEAN speeds (Mbps, Sep. 2017) 40 35 Mobile Fixed 30 Source: Ookla 25 20 15 10 5 49 157 19 24 16 21 14 11 13 37 13 15 12 13 11 9 10 8 10 13 0 Singapore Vietnam Malaysia Cambodia Thailand Brunei Phillipines Lao PDR Myanmar Indonesia

Kimchhoy Phong, Lihol Srou, and Javier Solá. 2016. Mobile Phones and Internet Cambodia success factors Foundation, USAID and the Open Use in Cambodia 2016 . The Asia Institute. 33% use 96% own 48% have 2016 mobile for mobile smart Internet phone phone • High level of competition 4G-LTE Operators in Cambodia • Easy market entry Operator Frequency Launch date (MHz) • FDI Smart 1800/2100 Jan 2014 SEATel 850 July 2015 • $ Viettel 1800 Nov 2015 CamGSM 1800 Nov 2015 • No incumbent influence Kingtel 2600 Jan 2016 • No spectrum auctions > Dozen fixed ISPs • Limited regulation

3 national fiber optic backbones Cross-border connectivity to Thailand & Vietnam 2 submarine cables in 2017

.KH Core F F Internet elements Global cache

Internet use R² = 0.5076 50 71% Khmer 6% English (7+, 2013 InterCensus) Internet use (% of population) 40 45% in at least 1 of 8 official or national languages 30 37% French (10+, 2013 Census) Vanuatu Senegal 20 49% Kinyarwanda 74% Bislama 7% English 64% English (15+, 2012 Census) (5+, 2009 Census) 10 Rwanda 0 0 10 20 30 40 50 60 70 80 90 100 Secondary school gross enrollment

Khmer since 2000 Top 10 web sites Rank Site Comment 1 Youtube.com User-submitted videos. 2 Google.com.kh Search engine 3 Google.com Search engine 4 Khmerload.com Entertainment website. Hosted abroad. 5 Sabay.com.kh Entertainment website. Hosted in Cambodia 6 Facebook.com Social network 7 Freshnewsasia.com Breaking news. Hosted in Cambodia. 8 Kbn-live.com Khmer Breaking News. Hosted abroad. 9 Pmhotnews.com Online lifestyle magazine. Hosted abroad. 10 Kohsantepheapdaily.com.kh Online newspaper. Hosted in Cambodia. Adapted from https://www.alexa.com/topsites/countries/KH 3 most important reasons for using Internet Entertainment (music, 74% movies, etc.) • 4 th largest user in LDCs • Most ministries have page & communications Cambodian news 33% via FB messenger • Leading source of news Information on various topics • Anecdotal stories of e-commerce (COD) 30% (health, agriculture, etc.)

(2.6% GDP) US$520 m Telecom: 1995 $300 GNI per capita (US$) 2016 1996 $310 Tourism: 1997 $320 exports service 80% of 1998 $290 1999 $300 2000 $300 2001 $310 2002 $320 (0.7% of total) 2003 $350 Computer Telecom+ services: 2004 $400 workers 12,173 2011 2005 $460 2006 $520 2007 $590 2008 $670 2009 $700 2010 $750 2011 $810 2012 $880 2013 $960 2014 $1,020 2015 $1,070 2016 $1,140 ICT & economy Garments: exports 78% of goods

Investment Private investment in infrastructure, 2007-2016 ICT ($ m) per percentage point of mobile broadband ICT as % of total ICT $ per capita coverage Cambodia 19% $39 $9 Rwanda 74% $42 $5 Senegal 49% $129 $40 Cambodia: Private ICT infrastructure not major problem Barrier: availability of low frequency (i.e., <900 MHz) All ~ 14,000 villages to be on fiber backbone New USO

Business use Firms with own web site (%) Firms using email to interact with clients / suppliers (%) Country Total Small Medium Large Total Small Medium Large Cambodia 24 22 31 38 58 54 70 89 (2016) Rwanda 34 24 47 64 77 68 88 97 (2011) Senegal 35 16 59 83 65 50 86 97 (2014) Vanuatu 24 20 29 na 84 77 95 na (2009) Source: World Bank Enterprise Surveys.

UN E-Government Development Index Rank Rank EGDI Rank Country 2010 2016 2016 Change Rwanda (7th) 148 138 0.3390 +10 Senegal (9th) 163 144 0.3251 +19 40 th in Vanuatu (13th) 155 149 0.3078 +6 Online Cambodia (17th) 140 158 0.2593 -18 Service https://publicadministration.un.org/egovkb/Data-Center Component among Starting a Business LDCs Procedures Days Cambodia Vanuatu Senegal Rwanda 0 0 20 4 6 2 18 40 4 60 4 6 5 80 99 8 7 100 10 120 9 http://www.doingbusiness.org/data/exploretopics/starting-a-business

Health

Financial Inclusion Mobile money account only (% age 15+) Account at a financial institution (% age 15+) 45 40 4 35 30 25 6 providers 20 39 38 10 15 4 10 13 12 5 0 Cambodia Rwanda Senegal Vanuatu Global Financial Inclusion (2014) & Vanuatu Financial Inclusion Survey (2016)

Startups & software developers

 MoU with operator for free Internet in schools: Phase I (2009-2015): 500 schools Phase II (2016-2020): 4,000  ICT curriculum for Grades 11 & 12  Content portal  Online practice test for secondary school exam

Out of Cambodia: Data and computer services deficits Online advertising International bandwidth -US$ 168 million 2016 (0.8% GDP) Trade in computer & information services, US$ million $10 $0 2010 2011 2012 2013 2014 2015 2016 $10 Credits Debits $20 $30 $40

These changes are significant for the broader media ecosystem in Cambodia, Reid said. “Last year, Facebook edged ahead of television as the number-one source of news for Cambodians according to one survey. Post Khmer, the Khmer-language Facebook page for the Phnom Penh Post , has the fourth-most likes in the country, and seven out of 10 of the most popular Facebook pages here are news websites or newspapers,” she told me. Cambodia’s news infrastructure experienced a radical change, overnight. And none of the editors I was able to contact, or anyone that they knew, had heard from Facebook about the change before it happened. They just walked into work one day and everything was different.

SWOT Strengths Weaknesses • Highly competitive telecom market • Low level of digital literacy • Lack of ICT vision at highest level of with low prices • High Internet penetration for LDC government (95/139 Importance of ICTs to • Robust backbone government vision of the future) • Limited government investment in ICT • Small but vibrant startup and tech for public e-services (120/139 ICT Use & community Government Efficiency) • Homogenous linguistic market • Lack of low frequency spectrum Threats Opportunities • Growing ICT-related data and services • Business connectivity market • E-government / e-services trade deficit • Computer services exports • Loss of competitiveness • Diversify economy