Opportunities Towards Improving NTC MO 07-07-2011

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    Clarity, Transparency, Truthfulness, and Fairness:

    Opportunities Towards the Improvement

    of NTC MO 07-07-2011

    (Minimum Speed of Broadband Communications)

    Engr. Pierre Tito Galla, PECE

    Democracy.Net.PH

    September 16, 2014

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    Background: 2010 - 2011

    Issue of slow internet connection first raised

    publicly in December 2010

    Public outrage because of announcement by NTC to adoptpolicy of data caps, as supported by service providers*

    Stakeholders (telcos, associations, consumers) submitted

    position papers for and against the proposed measure

    NTC committed to the public: Public hearings on slow internet

    Show results of telco audit

    * http://www.gmanetwork.com/news/story/209385/scitech/ntc-s-proposed-data-caps-violate-

    consumer-rights-lawyer-says 2

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    Background: 2010 - 2011

    As a result of public hearings, NTC released NTC

    MO 07-07-2011*

    Heavily criticized** Ambiguity of service quality standards

    Does not provide clear service quality monitoring processes

    Does not provide clear dispute resolution mechanisms

    Is especially unhelpful for prepaid subscribers

    Is the current regulation governing internet connectivity

    subscriber service quality

    * http://propinoy.net/2011/07/29/ntc07072011msbc/

    ** http://propinoy.net/2011/07/29/ampaw-ntcmo07072011-pwe/ 3

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    Background: Present Day

    Grace Mirandilla-Santos, independent ICT

    researcher, participated in a study on internet

    connectivity service quality* for LIRNE Asia. Participants: select South Asian and Southeast Asian

    cities , including Manila

    Study findings first presented at PHOpenIX forum

    of DOST-ASTI

    * http://lirneasia.net/wp-content/uploads/2014/09/BBQoSE-Report_Final.pdf

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    Excerpts from LIRNE Asia Study

    Metrics and methodology

    6 Parameters: Download, Upload, RTT, Jitter, Packet

    Loss and Availability Multiple days: during the week and on weekends

    At six times: 0800, 1100, 1500, 1800, 2000, 2300 hrs (3

    readings per slot)

    Averages of multiple readings for each time slot, takenfrom unannounced, unknown locations

    Varying server locations: ISP domain; International

    domain; National domain5

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    Actual vs. Advertised Speed

    Download from an international server

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    100

    110

    120

    0800 H 1100 H 1500 H 1800 H 2000 H 2300 H

    SMART Bro Starter Plug-it (7.2 Mbps)-Manila,PH*

    Globe Tattoo Prepaid Stick (3.6 Mbps)-Manila,PH*

    Sun Broadband Plan 799 (3.6Mbps)-Manila,PH

    ActualvsAdvertised(%)

    Advertised "Up to" Speed

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    Latency - International

    503 ms

    438 ms437.6 ms

    0

    100

    200

    300

    400

    500

    600

    700

    0800 H 1100 H 1500 H 1800 H 2000 H 2300 H

    Latency

    (RTT)

    SMART Bro Starter Plug-it (7.2 Mbps)-Manila,PH*

    Globe Tattoo Prepaid Stick (3.6 Mbps)-Manila,PH*

    Sun Broadband Plan 799 (3.6Mbps)-Manila,PH

    Lower the better

    300ms

    Philippine ISPs Only

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    Value for Money (kbps per USD)Philippine vs. select SA & SEA ISPs

    0

    50

    100

    150

    200

    250

    300

    0800 H 1100 H 1500 H 1800 H 2000 H 2300 H

    Airtel 3G (4Mbps)-Bangalore,IN

    Tata (3.1Mbps)-Chennai,LK

    Airtel (4Mbps)-Delhi,IN

    Airtel LTE (4Mbps)-Bangalore,IN

    Ooredoo Data 99 (7Mbps)-Male,MV

    Dhiraagu Data 200 (1Mbps)-Male,MV

    Ncell (7.2Mbps)-Kathmandu,NP

    PTCL Evo (9.3Mbps)-Karachi,PK

    Etisalat (7.2Mbps)-Colombo,LK

    Telkomsel Flash Ultima(3.6Mbps)-

    Jakarta,ID

    SMART Bro Starter Plug-it (7.2

    Mbps)-Manila,PH*

    Globe Tattoo 4G Flash(7.2 Mbps)-

    Manila,PH*

    Sun Broadband Plan 799 (3.6Mbps)-

    Manila,PH

    kbpsperUSD

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    Excerpts from LIRNE Asia Study

    Key findings

    21.7% was highest actual vs. advertised speed

    achieved. Best performing PH ISP tested offered >256 kbps

    download speed only 67% of the time.

    All three major ISPs did not meet acceptable levels for

    critical QoSE parameters (i.e., actual vs advertised,latency, jitter.)

    PH ISPs has lowest value for money among all ISPs

    tested (highest average: 22 Kbps per USD)9

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    Background: Present Day

    At the invitation of the Senate, Democracy.Net.PH

    submitted proposed improvements to NTC MO 07-

    07-2011 Submitted proposal is improved version of MO proposal

    submitted to the NTC in 2011 by various public

    stakeholders

    Improved MO taken up for consideration by TWG ofCommittee on Trade and Industry, for submission for NTCs

    consideration as part of Senates power of oversight

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    Rationale of MO Proposal

    Proposed Memorandum Order

    Anchored on clarity, transparency, truthfulness, and

    fairness Proposed order consists of:

    Thirteen (13) parts

    Thirty-eight (38) rules

    Thirty-two (32) subordinate rules Service quality metrics and measurement methodologies

    Service quality standards

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    Proposal Principle:

    Clarity

    The proposed MO emphasizes clarity of rules,

    standards, and processes

    Definitions of terms, alignment with ITU definitions Service quality standards are metricized and

    methodologies to calculate quality metrics are provided

    explicitly

    Processes for standards implementation, consumercomplaints handling and dispute resolution, service

    provider compliance, and NTC enforcement are set out

    in detail

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    Proposal Principle:

    Transparency

    The proposed MO promotes transparency in the

    enforcement of standards and processes

    Service information is to be made clear on offers to thepublic and on contracts/ service level agreements

    Common reference/ source of evidence for actual

    service quality is established between NTC, consumer,

    and the service provider Periodic service quality reports mechanisms, and on-

    demand service quality reports mechanisms, are also

    created for common benefit and reference

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    Proposal Principle:

    Truthfulness

    The proposed MO requires truthfulness from all

    stakeholders NTC, consumers, and service

    providers alike Truth in advertising is promoted by the proposed MO

    Truthfulness of complaints is also promoted by the

    proposed MO

    Processes ensure that objective, measurable facts will

    be the basis for decisions regarding dispute resolution,

    service standards adjustments, and compliance

    measurement14

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    Proposal Principle:

    Fairness

    The proposed MO mandates fairness between

    consumers and service providers, to be fairly

    enforced by the NTC Service providers are ordered to give subscribers their

    rightful due, especially on complaints and required

    rebates, whether prepaid or postpaid subscribers

    Consumers have the responsibility to act fairly towardsservice providers, especially on complaints and issues

    NTC is mandated to provided fair treatment for both

    and between consumers and service providers15

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    Salient Points:

    Quality of Service and Offers

    In offers to the public, specify minimums, allow

    the specification of maximums (up to) of:

    broadband/ internet connection data rates data rate reliability

    service reliability

    overall reliability

    Quality of service metrics, calculation methods,

    measurement methods, and service quality standards

    are provided.

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    Salient Points:

    Best Efforts and Fair Use

    Service quality standards for best efforts

    services are provided.

    Fair use policies are provided guidance as to theirpresentation to the public and their implementation.

    Data volume capping, should service providers use

    such a network management method, is given specific

    rules to follow.

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    Salient Points:

    Prepaid Service Offers

    Prepaid service offers are allowed to have

    different services rates, provided there will be no

    difference in the implementation of service qualitystandards between prepaid and postpaid services.

    Prepaid subscribers are given higher consumer

    protection for service delivery, as higher is the

    likelihood that their credits are consumed before

    any substandard service is detected, disputed, and

    resolved.

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    Salient Points:

    Disputes, Refunds, and Rebates

    A common source of objective evidence will be

    used by NTC, service providers, and consumers in

    the resolution of disputes. Processes for refunds and rebates are made clear

    that it shall not be unreasonably difficult for a

    subscriber to collect a rightful refund or rebate

    from a service provider.

    There will be no discrimination in the processing

    of prepaid and postpaid subscriber disputes.19

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    Salient Points:

    Service Standards Adjustments

    Service providers are provided mechanisms to

    request the adjustment of service standards,

    should there be legitimate business reasons,particularly the inability at present to comply with

    service quality standards.

    Upon compliance with MO requirements, there is

    no barrier to reducing service quality standards

    for a limited period, after which compliance must

    be with the appropriate service quality standards.

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    Salient Points:

    Transparency and Compliance

    Information for purposes of ensuring the

    compliance of service providers is to be gathered

    by and acted upon by the NTC. Subject to reasonable processing fees to be

    collected by service providers, subscribers are

    given the ability to request service quality

    information regarding their subscribed service.

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    The Larger Picture

    The proposed MO, implemented as is, is a step towards better

    service quality of internet connectivity in the Philippines.

    Upgraded laws, such as SBN 1091 (the Magna Carta for

    Philippine Internet Freedom, filed by Sen. Bam Aquino; SBN53 by Sen. Miriam Defensor-Santiago), including amendments

    to RA 7925, will help in the longer term.

    Through the support of consumers, service providers,

    government stakeholders, and the general public, longer-termimprovements can be made.

    That said, a journey of a thousand miles begins with a single

    step. We encourage the NTC to adopt the proposed MO.

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    A. Definitions

    B. Rules on Offer Information

    C. Rules on Measurement and

    Metrics

    D. Rules on Service Standards

    for Standard Broadband

    Connectivity Offers

    E. Rules on Best Efforts Offers

    F. Rules on Data Volume

    Capping

    G. Rules on Fair Use

    Guidelines

    H. Rules on Prepaid Service

    Offers

    I. Rules on Refund or Rebate

    J. Rules on Requests for Service

    Standards Adjustments

    K. Rules for Transparency and

    Compliance

    L. Rules for Non-Compliance

    M. Other Rules

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    MO Proposal Outline

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    Q & A

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    Appendix.

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    END.

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