31 AUGUST 2005
description
Transcript of 31 AUGUST 2005
PRESENTATIONTO
SELECT COMMITTEE ON LABOUR AND PUBLIC ENTERPRISES
ON THE CONVERGENCE BILL
BYSENTECH LIMITED
31 AUGUST 2005
2DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
TEAM
Specialist: Government Relations Mr Matime Nchabeleng
Specialist: Policy & Licensing Ms Dimakatso Qocha
Specialist: Technology Mr Chris Johnson
Senior Transmitter Manager Mr Frank Creese
Team Leader Mr Peter VamvadelisMr Cameron ValentineMr Johan Scholtz
3DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
TELECOMMUNICATIONS MEANS: ANY TRANSMISSION, EMISSION OR RECEPTION
OF SIGNS, SIGNALS, WRITINGS, IMAGES AND SOUNDS OR INTELLIGENCE OF
ANY NATURE BY WIRE, RADIO, OPTICAL OR OTHER ELECTROMAGNETIC
SYSTEMS.(1)
A BROADCASTING SERVICE MEANS: A RADIO COMMUNICATION SERVICE IN
WHICH THE TRANSMISSIONS ARE INTENDED FOR DIRECT RECEPTION BY THE
GENERAL PUBLIC. THIS SERVICE MAY INCLUDE SOUND TRANSMISSIONS,
TELEVISION TRANSMISSIONS OR OTHER TYPES OF TRANSMISSION.(2)
IT MEANS: ALL THE EQUIPMENT, PROCESSES, PROCEDURES AND SYSTEMS
USED TO PROVIDE AND SUPPORT INFORMATION SYSTEMS (COMPUTERISED
AND MANUAL) WITHIN AN ORGANISATION AND THOSE REACHING OUT TO
CUSTOMERS AND SUPPLIERS.(3)
REF: Source 1&2 ITU Radio Regulations - Articles1 - Edition of 2001
Source Newton’s Telecom Dictionary - The Official Dictionary
of Telecommunications Networking and Internet
DEFINITIONS
4DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
DEFINITION OF CONVERGENCE
THE ACKNOWLEDGEMENT OF THE BLURRING DISTINCTION
OF TELECOMMUNICATIONS, BROADCASTING, COMPUTERS
AND DATA NETWORKS
THE PROVISION OF COMMUNICATIONS SERVICES OVER THE
SAME NETWORK, VOICE AND DATA TRANSMITTED OVER THE
SAME NETWORK
BROADCASTING, TELECOMMUNICATIONS, COMPUTERS AND
INTERNET OVER THE SAME NETWORK
5DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
ASPECTS OF CONVERGENCE
1. LEGAL
2. TECHNICAL
3. COMMERCIAL
1. SINGLE REGULATOR
2. CONVERGENCE FRAMEWORK
(a) POLICY
(b) LEGISLATION
(c) REGULATIONS
REGULATING CONVERGENCE
6DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
ADVANTAGES/BENEFITS OFCONVERGENCE (Digital Technology)
1. DIGITISATION
2. BRIDGING THE DIGITAL DIVIDE
3. INTERNET PENETRATION - PROVIDING INFORMATION,
VIDEO AUDIO, PRIVATE DATA, ETC. - AT MPCC’S , SCHOOLS,
CLINICS
4. INTRODUCING COMPETITION AND CHOICE
5. LOWERING OF PRICES (ECONOMY OF SCALE)
7DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
WHY CONVERGENCE?
• Enables delivery of content on various
platforms and receiving devices
• Triple play: ability to offer bundles of ICT
services (voice, Internet access and
broadcasting services)
• Move from push to pull content delivery
• User demand of content delivery any time
any where any platform
• Create once, distribute many
8DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
WHY CONVERGENCE?
• To remove the inhibitors placed by Telecommunications Act
• Different networks can deliver the same services and content - they must be able to do so
• Increase teledensity
9DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
WHY CONVERGENCE?
• Interactivity requirements (broadcasting)
• Multiple services on single device (eg. DVB on Handheld)
• Lower access cost
• Improved functionality
• More efficient spectrum usage
• Content on demand
10DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
INTERNATIONAL TRENDS
Country Licensing Regime
Australia Carrier licence and carriage service provider
European UnionGeneral authorization regime
India Unified licensing
JapanSimple registration/ notification
MalaysiaConverged licensing for national operators
SingaporeFacilities-based and service-based licensing
11DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
CONVERGENCE MAPPING:LICENSING
CONTENT SERVICES
PROVIDERS
APPLICATION SERVICES
PROVIDERS
NETWORK SERVICES
PROVIDERS
(OPERATORS)
COMMUNICATION SERVICES (Convergence Act)
12DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
SOUTH AFRICAN SITUATION
Need to cater for cultural, social and public interest concerns unique to South Africa
Section 192 of the Constitution
13DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
CURRENT SCENARIO
End Users
TV & Radio Sets
Signal Distribution(Sentech, Orbicom etc.)
Broadcast Content
Broadcasters
BROADCASTING (Broadcasting Act, IBA Act, ICASA Act, Sentech Act)
DESTINATIONTRANSPORTORIGINATION
End Users
Computers &Data Terminals
Telecommunication Networks(Telkom, SNO, Sentech, WBS, USAL’s)
Information Services
VANS,ISP, etc
ENHANCED DATA SERVICES (Telecommunications Act, ECT Act, ICASA Act)
Mobile / Wireless Networks (MCOs, Sentech, USALs)
End Users
Voice / Data Terminals
Fixed Networks (Telkom, SNO, Sentech, USALs)
Voice / Data / Video
VOICE / DATA CONVEYANCE SERVICES (Telecommunications Act, Icasa Act)
14DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
COMMON CARRIER STATUS
Common carrier status is in the public interest
Need to migrate to digital broadcasting
Universal access to broadcasting services
Economies of scale
Likelihood of cherry picking
15DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
INHIBITORS IN SENTECH’s LICENCES
The Bill must remove all inhibitors & restrictions imposed on Sentech :
Prohibition on carriage of switched voice (Multimedia Services Licence)
Restriction on the provision of international services directly to end users (Carrier of Carriers Licence)
16DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
RadioChannel
TVChannel
EnhancedServices
On-lineservices
VideoStreaming/ PPV/VoD
Multiplex
Subject to contentregulation
MU
LT
IME
DIA
SE
RV
ICE
SB
RO
AD
CA
ST
ING
SE
RV
ICE
S
Converged DeliveryMedium, e.g. DTT, DTH, IP
SIGNAL DISTRIBUTION
Radio
DVBDecoder
DVBDecoder Television
GSM & DVB-H /DAB
Video/Audio/Data Streaming
Cell Phone
DVB PCICard
Video& IP
Streaming
DVB PCICard
Video& IP
Streaming
REGULATORY DISTINCTION BETWEEN BROADCASTING AND MULTIMEDIA
17DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
REGULATION OF ANTI-COMPETITIVE CONDUCT
Regulatory imbalances must be addressed -
Licenses must be technology neutral
Level playing field
Special licence terms & conditions for operators with significant market power
18DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
REGULATION OF COMPETITION
ICASA responsible for ex-ante regulation Regulation of access, interconnection
and facilities leasing obligations, including pricing
Regulation of charges and imposition of cost orientated charges and rates on SMP licensees
Imposition of special licence terms and conditions on licensees with significant market power
19DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
REGULATION OF COMPETITION
Competition Authorities responsible for ex-post regulation -
Abuse of dominance
Horizontal prohibited practices
Vertical prohibited practices
Specific rules need to be formulated for the communication sector
margin squeeze, discriminatory and exclusionary conduct
20DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
ICASA OR COMPETITION AUTHORITY?
Competition Authorities and ICASA must be jointly responsible for the regulation of mergers –
Competition Authorities responsible for competition
ICASA responsible for licensing
21DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
FUNDING THE REGULATOR
• Independence• Proposal• Maximum of 1% of annual turn-over
• USF
22DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
THE EXECUTIVE – POLICY
The Minister authorised to make policies and the following is in the public interest and is not unconstitutional -
Policy
Setting of framework for individual licence applications
Determination of radio frequency spectrum policy
23DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
TRANSITIONAL PERIOD
During transition Inhibitors to convergence contained in
the Telecommunications Act and any licence should be of no force and effect
90 days license re-application period
imposed on existing licensees must be removed Licensees should not required to re-
apply
24DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
TRANSITIONAL PROCESS
Transitional process must cater for -
Status of existing regulations
Status of pending litigation or complaint proceedings before ICASA or the courts
Continued validity of type approvals, supplier registrations and other similar authorisations
Status of pending licence applications
25DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
GENERAL
• Assignment of broadcasting radio frequencies to the signal distributor under a digital environment
• Resellers and content services must not be licensed – light touch!
26DD/mr/Select Comm-Labour & Public Ent –31 Aug 2005
Thank you