OVERVIEW 1
Catalyst 1
Summary 1
KEY MESSAGES 2
Economic development provides the impetus behind the rollout of broadband services 2
Broadband rollout is being promoted in order to help bridge the digital divide 2
Broadband makes public services more accessible and government more efficient 2
There are varied approaches to government intervention and its role in building the network 2
Government must play a key role as regulator and developer of broadband strategies 2
New and wide-reaching partnerships that breed innovation will be critical to vendor success 3
Finding the 'killer app' will be key in determining the future of broadband 3
Table of Contents 4
Table of figures 5
MARKET OPPORTUNITY: DRIVERS BEHIND BROADBAND ROLLOUT 6
Economic development provides the impetus behind the rollout of broadband services 6
The availability of high-speed internet is a prerequisite for business development 6
Innovative communities seek to prevent or reverse brain drain 7
There is a correlation between broadband access and gross domestic product 7
Broadband rollout is being promoted in order to help bridge the digital divide 8
There is a significant divide between rural and urban areas 8
Socioeconomic factors play a key role in the digital divide as well 9
Bridging the digital divide will require more than simply providing access 9
Broadband makes public services more accessible and government more efficient 10
E-government, e-health and e-learning are enhanced by the availability of high-speed broadband 11
Public safety applications allow real-time surveillance and crime prevention 12
Public works projects such as automated meter reading are significantly improved through broadband 12
Low-speed access facilitates - and high-speed access enhances - opportunities for teleworking 13
Wireless and mobile networks will allow field workers to perform their job more efficiently 13
Government employees in the field often collect large datasets or high-resolution images and video 14
LTE networks will allow employees to transmit large files from the field directly to government servers 14
The enhancement of networks through broadband capabilities reduce costs and save time for agencies 15
CUSTOMER IMPACT: GOVERNMENT'S ROLE IN THE FUTURE OF BROADBAND 16
Broadband initiatives face challenges around cost and mounting levels of data traffic 16
Cost is the key inhibitor to broadband rollout 16
There is a pressing need to prioritize the mounting levels of data traffic 17
There are varied approaches to government intervention and its role in building the network 18
Government networks were an early model which have generally proven unsustainable 19
Public-private partnerships are an effective approach to build and deploy networks 19
Government-mandated monopolies and duopolies are less frequent but effective 20
Grants, loans and subsidies are gaining traction as an approach 21
Tax concessions help promote private sector involvement in underserved areas 21
Government must play a key role as regulator and developer of broadband strategies 21
National broadband strategies are critical in ensuring long-term viability of networks 21
Successful broadband strategies will require robust interoperability between technologies and networks 22
The most successful ventures will be public-private partnerships 23
GO TO MARKET: STRATEGIC STEPS FOR VENDORS 25
Vendors must ensure widespread stakeholder involvement in the regulation-setting process 25
Vendors must ensure they have a voice at the table in setting regulations for the industry 25
New and wide-reaching partnerships that breed innovation will be critical to vendor success 26
Identifying executive leadership within government is a key factor for success for vendors 26
The digital divide is about more than simply providing low-cost access 26
Stakeholders must have clear, measurable goals as to what the network aims to achieve 26
Finding the 'killer app' will be key in determining the future of broadband 27
The rise of video applications will be a key impetus for pushing broadband access 27
Vendors must gather end-user input to determine applications which will spur adoption 27
APPENDIX 29
Definitions and abbreviations 29
Methodology 30
Further reading 30
Ask the analyst 30
Datamonitor consulting 31
Disclaimer 31
List of Figures
Figure 1: Reasons given for lack of broadband Internet access 8
Figure 2: Correlation between computer access and broadband subscribers in OECD countries 10
Figure 3: As technology has evolved, online services have been signifiancantly enhanced 11
Figure 4: Global mobile connections, 2007-2014 14
Figure 5: Broadband allows governments to enhance a number of functions 18
Figure 6: Broadband subscribers per 100 inhabitants, by country, December 2008 22
Figure 7: Evolution of communications and infrastructure 23