1. Center for Information and Communication Technologies Technical University of Denmark IP migration’s implication for the concept of Universal Service and Consumer Protection Knud Erik Skouby, Professor & Reza Tadayoni, M.Sc.E.E., Ph.D. CICT, Technical University of Denmark skouby@cict.dtu.dk & reza@cict.dtu.dk ITU March 25, 2006 skouby@cict.dtu.dkreza@cict.dtu.dk

2. Center for Information and Communication Technologies Technical University of Denmark Based on a infoDev/ ITU project New technologies and their impacts on regulation Universal Service Concept The NGN concept IP migration IP migration and Universal Service Changes in the concept of Universal Service Conclusion Overview

3. Center for Information and Communication Technologies Technical University of Denmark Telephony services -Access to basic telephony service -The rationale behind Political objectives -Access to predefined communication services -Regional development programs Affordability TV/Radio broadcast -Public service/public interest Access dimension -Certain level of coverage Content dimension -Certain requirements on content Internet -No universal service/access obligations But… The Universal Service Concept EU:..minimum set of services, of specified quality to which all end-users have access, at an afforable price in the light of national conditions, without distorting competition

4. Center for Information and Communication Technologies Technical University of Denmark Technological trends

5. Center for Information and Communication Technologies Technical University of Denmark The NGN Concept Chapter 4 Problem Analysis NGN: Loosely defined term for changes in network infrastructure NGCN – Related to the backbone network NGAN – Related to the Access networks

6. Center for Information and Communication Technologies Technical University of Denmark IP migration I

7. Center for Information and Communication Technologies Technical University of Denmark Characteristics of IP -Separation between network technology and services -End-to-End architecture, and extension of intelligence from the core to the edge of a network -Scalability -Distributed design and decentralised control Emergence of triple/Multi play services -Internet -VoIP -IPTV Broadband as the platform for materialisation of Convergence IP migration II

8. Center for Information and Communication Technologies Technical University of Denmark Consumer benefits Potentially enhanced competition/ many new players Broader range of traditional services Choice of services/ technologies New services – also addressing ’barriers and bottlenecks’

9. Center for Information and Communication Technologies Technical University of Denmark Non circuit switched voice services equals the telephony/ POTS from a functional user point of view -Access -Affordability -Quality of Service Modified by IP migration/ competition? -To a certain extent in certain areas, but accompanied by new issues associated with the ‘Information Society’ IP migration and Universal Service (US)

10. Center for Information and Communication Technologies Technical University of Denmark The ’IP-based Society’ Internet plays a major role in the information Society. -Dial up has played a major role -Broadband is becoming more important Development of telephony to remote areas can be connected to development of broadband -VoIP -Voice over broadband IP networks are used more and more for distribution of TV and radio service. This requires: -High speed broadband, Or -Combined broadband IPDC networks

11. Center for Information and Communication Technologies Technical University of Denmark The world becomes increasingly reliant on ICT connectivity Access to ICT is a key factor for individuals’ participation in Society Access to ICT is a key factor for nations’ participation in the International division of labor Access to ICT is an efficient way for bringing basic communication services like Voice to unserved areas Access to ICT, a key enabler for, e.g., better health care and inclusion of disabled in the society -Today there are about 550 mio disabled persons worldwide -Disabled are a minority when it comes to social status and power -Huge potentials in ICT for Inclusion of disabled: text to speech, speech to text,… Social Inclusion

12. Center for Information and Communication Technologies Technical University of Denmark US and Consumer Protection US – the basics remains Access Affordability Quality of Service -A new setting – the concept matters Consumer Protection – new issues related to new services/ new structures -Anonymity -Security -Privacy -Interoperability -Wide applicability -Transborder reach

13. Center for Information and Communication Technologies Technical University of Denmark The US concept has to move from narrowband PSTN world US cannot be related to a specific technology (‘Technology neutrality’) – must be adaptive change enabler: -VoIP -VoDSL, etc -US should include Internet Access (cf. EU position) Requirement on dial up capability of telephony services can have a restrictive effect Broadband has to be considered (cf. EU position: only 6,5% take up)) Broadening of US must be mirrored by increased consumer protection Consensus is gone -Diverging consumer interests Changes in concepts

14. Center for Information and Communication Technologies Technical University of Denmark A definition of US that includes only voice becomes less relevant as voice is delivered in combination with a host of other services The design of Universal Service must still address the communication needs IP plays decisive role for participation in society Universal Service should reflect the broadband- IP-converged-world Consumer protection becomes more complex Conclusion: The concept matters

15. Center for Information and Communication Technologies Technical University of Denmark Conclusion: The Concept US is determined in a dynamic social context -Separate from industrial policy -Socio-political communication needs A global minimum? -IP connectivity delivering VoIP