Low-population density infrastructure solutions - CTO Forum 2015, Nairobi Professor Knud Erik Skouby, Working Group Chair, Wireless World Research ...
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Low-population density infrastructure solutions CTO Forum 2015, Nairobi Professor Knud Erik Skouby, Working Group Chair, Wireless World Research Forum and Director, Centre for Communication, Media and Information technologies, Aalborg University, Denmark
WWRF’s role • Develop future vision of the Principles of Operation wireless world • Global • Inform and educate on • Open to all trends and developments • Not • Enable and facilitate the translation of the vision into • standards body reality • research funding body • Bring a wide range of parties • A typical research together to identify and conference overcome significant • Based on membership roadblocks to the vision • All can attend meetings and make contributions Page 2
Membership 70 member organisations Manufacturer Current Working Groups Network operator Industry organization Africa Academic institute A User Needs & Requirements in a Secure B Services, devices and Research Environment in different Socio- organization Americas service architectures Government Economic settings agency Individual Asia C Communication D Radio Communication architectures and technologies Technologies Europe WWRF outputs • WWRF Outlook – published version of White Paper • WWRF Library – proceedings of each meeting • WWRF – Wiley and River book series Page 3
WWRF - 2020 Vision in a nutshell • 7 trillion wireless devices • serving 7 billion people • All people will be served with wireless devices • Affordable to purchase and operate • Calm computing: technology invisible to users • Machine to machine communications • Sensors and tags: e.g. in transport and weather systems, infrastructure, to provide ambient intelligence and context sensitivity • All devices are part of the (mobile) internet Wireless – The Way to Future
Some facts behind the Vision • It is estimated that mobile industry contribute over 6% of Africa’s GDP • The industry has created 3.3 billion Jobs in the region and contributes US$ 21billion to Africa
The Rural Communication Challenge access to cheap and reliable communication is a self- enforcing enabler for creation of wealth and higher standards of living The farmer can get higher prices for his crops The local doctor can access lifesaving knowledge and provide better information for patients Majority of this large Education becomes easily accessible population group is living in rural areas in Africa, India, China and South America More than 1,5 billion of the world’s population is still without access to the most basic modern communication Existing Telco operators are facing steep challenges when addressing the rural area installations: Lack of power supply High cost deployments Lack of a clear business case
Examplary Business Model • India has 37,000 villages without connectivity. • Totally unconnected villages generally be among the smaller ones. A fair average size will be 750 persons. • An average family has 6.5 members. • These villages are generally among the poorest - the average income per person is between 1 and 2 USD: 1.5 USD. • Poor people are prepared to pay a high share of their income on telecommunications: 5-10% ~ approx 10 USD/y • ‘Mature’ situation: 1 terminal per household 9
Basic model economics • A terminal will costs app. 10$. It will be used for 5 years – with an average annual cost of 2 $ (external investment) • 15% will have 1 low entry mobile. • Every family in the village has, in average, 6 US$ for daily living. • A family is on average willing to spend 5-15% of their daily earnings for communication. We use 10%. • Mobile operators sales cost 10% of revenue. • Price per base stations of USD 16,544 • 2 base stations per village with a 5 year depreciation period. • The network (WLL) cost per year per user is US$ 10 + up-grade every 5th year. (US$ 14 per user). • Maintenance on telecom equipment is 20% per year. • Satellite; fiber backbone connection costs per year is US$ 2,500 for each connection. (Microwave/ cable solution costs are very dependent on local conditions) • 10
Economic results • Based on the assumptions above we estimate the revenue from one rural village to be US$ 25,269 a year • The business value is most sensitive to: – The percentage of the daily income that citizens are willing to spend on communication. – The number of mobiles per family as we assume the total mobile consumption will increase with the numbers of mobiles – Looked Sustainable! • Blue Town decided to realize the ideas 11
BlueTown End-to-End Solution MESH OF VILLAGES: • Connecting to existing telco data tower and center • Access to VoiP, internet and content • The Micro Wave Link use case enables the BlueTown solution to operate up to 25 km from an existing backend • The Micro Wave Link solution can be repeated numerous times hence extending the reach to numerous villages
Three connection possibilities CONNECT TO THE FOLLOWING: • Satellite • Micro Wave Link • Direct Attached Fiber Backbone The core system is the same in each use case and the three connection types can easily be combined
A Rural Digital Eco System Outlined by
Implementations Pilot in Kerege, Tanzania, being extended to further locations Pilot being established in India in collaboration with • BSNL ”I can use the internet to learn new ways to be an • Railtel ”As agriculture is the most important effective teacher, and motivate the kids to learn more, activity in the village, the quality of in a school with limited resources”. services from my office, is key to Remigi Reginald Mrema, Teacher increase the socio-economic status of the people living in the village.” Rehema Hassan Suleiman, Agricultural Officer A successful university/ industry collaboration promoted by WWRF ”We use the internet a lot to communicate with specialists, get valuable information about diseases, and how we can prevent disease development to the citizens”. Mbusro Onoka Okeng’o, Clinic Manager
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