Policies for
Mobile
Broadband
ICT Sector Unit
World Bank
Broadband
Expansion and
Economic
Impact
Broadband has a Positive
Impact on GDP Growth
0.60%
1.00%
1.50%
1.80%
0.00%
0.50%
1.00%
1.50%
2.00%
Fixed Broadband Mobile Broadband
Low impact High Impact
Impact on GDP of 10% increase on
penetration
Source: Multiple sources – see references
Mobile Allows for Faster
Expansion of Broadband
Mobile and Fixed Broadband
Subscriber Growth
-
400
800
1,200
1,600
2,000M
ar-0
4
Dec
-04
Sep
-05
Jun
-06
Mar
-07
Dec
-07
Sep
-08
Jun
-09
Mar
-10
Dec
-10
Sep
-11
Jun
-12
Mar
-13
Mill
ion
s
Fixed
Mobile
Source: Telegeography (mobile broadband)
Some Countries are
Growing Faster…
Mobile and Fixed Broadband
Subscriber Penetration
60.09%
10.34%
2.79% 2.24%
0%
10%
20%
30%
40%
50%
60%
70%
Egypt Morocco
Mobile
Fixed
Source: Telegeography
Policies to
Facilitate
Broadband
Diffusion
Economic Impact:
Supply- and Demand-Side
SUPPLY
DEMAND
ABSORPTIVE CAPACITY
Pulls
Demand Pushes
Supply
Supply-Side
Policies
Availability of Spectrum and
Removal of Restrictions
Brazil
Ecuador
Venezuela
2005 2006 2007 2010
Chile Uruguay
Paraguay
Egypt Saudi
Arabia
Tunisia
Jordan
Costa Rica
Expansion of Network vs.
Maximization of Proceeds
0
0.5
1
1.5
2
2.5Ju
n-0
7
Oct
-07
Feb
-08
Jun
-08
Oct
-08
Feb
-09
Jun
-09
Oct
-09
Feb
-10
Jun
-10
Oct
-10
Feb
-11
Jun
-11
Oct
-11
Feb
-12
Jun
-12
Oct
-12
Feb
-13
Mill
ion
s
Claro Chile Entel PCS Telefonica Chile (Movistar)
Expansion of Mobile Broadband Coverage
with Reverse Auctions in Chile
Source: Subsecretaria de Telecomunicaciones (SUBTEL), Chile
Backbone Networks and
Infrastructure Sharing
Burundi national backbone
cooperative development
Demand-Side
Policies
Affordability of Devices
and Services
22%
37%
61%
0% 10% 20% 30% 40% 50% 60% 70%
Tablet
Netbook
Smartphone
4%
7%
14%
37%
0% 10% 20% 30% 40%
Dongles
Tablets
Featurephones
Smartphones
Mobile Devices Used to Access
Internet (Past 12 months)
Mobile Devices Offered by LTE
Operators
Source: Accenture, Mobile Web Watch 2012 Source: Wireless Intelligence
Foster Development of
Broadband Applications
0 3
10
28
80
98
-
200
400
600
800
1,000
1,200
1,400
1,600
1,800
-
20
40
60
80
100
120
2008 2009 2010 2011 2012* Mar-13
Mill
ion
s
Bill
ion
s
Apps downloads Mobile broadband connections
Mobile apps as a driver of demand
Source: Telegeography (mobile broadband) and Apple and Google (Apps
downloads) through statista.com / * (Jan 2013)
Co-Creation of Services
and Applications
Thank you
Victor Mulas [email protected]
ICT Sector Unit
World Bank
References:
• Thompson, H. & Garbacz, C. (2011) Economic impacts of mobile vs. fixed broadband
• Deloitte, GSMA & Cisco (2012) What is the impact of mobile telephony on economic growth?
• World Bank (2011) Broadband Strategies Handbook
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