Budget Broadband

Oct 15, 2008 (LBO) – Sri Lanka’s celcos are looking at ways to sell broadband services in small chunks, to reach cost-conscious customers, who do not need long hours of continuous connectivity, officials said. Sri Lanka’s mobile penetration is now 44 percent and the island’s telecom regulator says the country would hit 50 percent by the end of the year.

Mobile operators say budget customers at the so-called ‘bottom of the pyramid’ went for voice mobile because it gave them utility and saved bigger expenses such as transport costs incurred to meet people.

Hans Wijayasuriya, who heads Dialog Telecom, a unit of Telekom Malaysia, says the same principle can be applied to broadband.

Utility

Instead of visiting a library, a student might get some information through the internet substituting broadband for transportation.

“The applicability to that consumer is in terms of utility,” he told a regional telecom conference in Colombo earlier this year.

Broadband services for internet service could be valuable for people by saving time such as the need for visiting a library when such needs can be accessed via the internet. Broadband would then substitute for transportation.

“We