[🇧🇩] ICT Industry in Bangladesh

[Saif]

Estonia keen to collaborate with Bangladesh in ICT sector

Estonia has expressed keen interest in collaborating with Bangladesh in the ICT sector, particularly in e-governance and cyber security.

en.prothomalo.com

Estonia keen to collaborate with Bangladesh in ICT sector
BSS
Dhaka
Published: 18 Oct 2024, 15: 38

Newly-appointed non-resident ambassador of Estonia to Bangladesh Marje Luup pays a courtesy call on Foreign Affairs Adviser Md Touhid Hossain at the foreign ministry in Dhaka on 17 October 2024. BSS

Estonia has expressed keen interest in collaborating with Bangladesh in the ICT sector, particularly in e-governance and cyber security.

It was revealed when newly-appointed non-resident Ambassador of Estonia to Bangladesh Marje Luup paid a maiden courtesy call on Foreign Affairs Adviser Md. Touhid Hossain at the foreign ministry here on Thursday, said a press release on Friday.

During the meeting, both sides also discussed the possibilities of arranging student exchange programmes in the Information Technology Sector.

Foreign Adviser congratulated Luup for her appointment as the Ambassador of Estonia to Bangladesh, and apprised her of the vision and ongoing reform initiatives taken by the Interim government of Bangladesh.

Both the Adviser and the Ambassador exchanged views on Bangladesh-Estonia bilateral relations and expressed willingness to deepen the existing bilateral cooperation further.​

 

[Saif]

The price of data services and the digital divide in Bangladesh

The cost of data services, both wireless and fixed, is a significant factor in the digital divide in Bangladesh.

www.thedailystar.net

The price of data services and the digital divide in Bangladesh
Graphical representation of internet connectivity issues for freelancers.

Illustration: Abir Hossain

The cost of data services, both wireless and fixed, is a significant factor in the digital divide in Bangladesh. As a low-income country, where a substantial portion of the population earns below the poverty line, high internet costs pose a barrier to accessing essential services like education, healthcare, and financial services. This high cost restricts millions of people from gaining affordable access to the digital economy, worsening social and economic inequalities.

How do we fare comparatively?

As per data analysis done by cable.co.uk in 2023 average cost of 1GB data in Bangladesh is $0.23; which is $0.28 in Indonesia, $0.41 in Thailand, and $0.29 in Vietnam. For Fixed Broadband the average rate is $13.53 per month, $28.05 per month, $22, and $8.72 per month respectively.

As per data from theGlobalEconomy.com, Gross Domestic Product Per Capita in 2023 was for Bangladesh $2,529, for Indonesia $4,940, Thailand $7,171, and Vietnam $4,346 (the World Bank, the global economy.com). This shows that Bangladesh faces a disproportionately higher burden of data costs comparing income level.

Some of the factors contributing to high prices and compromised quality

1. High spectrum pricing for mobile network operators

According to GSMA, consumers in Bangladesh spend around 6-7% of their monthly income on mobile data, far above the global affordability benchmark of 2%.

Bangladesh imposes high spectrum prices on mobile network operators (MNOs), which significantly raises operational costs. According to GSMA, spectrum pricing in Bangladesh is among the highest in the region. This forces operators to focus on recovering costs rather than investing in network upgrades.

2. Taxation and revenue sharing

Both MNOs and internet service providers (ISPs) in Bangladesh face a wide range of taxes and revenue-sharing mechanisms, which inflate the cost of data services. The tax burden for telecom providers includes:

Value-Added Tax (VAT): A 15% VAT is levied uniformly across telecom services, affecting both MNOs and ISPs.

Supplementary Duty (SD): An additional 10% SD is applied to mobile services.

Surcharge (SC): A 2% surcharge on total revenue of MNOs adds more financial strain.

In addition to these taxes, MNOs are required to share around 5.5% of their revenue with the government, while ISPs share about 3-5%. Additional revenue-sharing and tax arrangements apply to other layers of the telecom architecture, such as Gateways, Transmission, and Terrestrial layers. These cumulative costs ultimately increase the retail price of data, making it more expensive for consumers.

3. Inefficiencies in the IIG market

Bangladesh's telecom sector suffers from fragmentation due to too many licensed International Internet Gateway (IIG) operators. With around 40 IIGs, the market is highly inefficient, leading to higher latency and routing inefficiencies. This fragmentation discourages global Internet Content companies like YouTube and Meta to invest in Content Delivery Networks (CDNs) in the country. Countries like Vietnam and Thailand have fewer IIG operators and enjoy better-quality data services.

4. High wholesale transmission costs and NTTN market dominance

The Nationwide Telecommunication Transmission Network (NTTN) market in Bangladesh is dominated by a few major players. The BTRC has made efforts to standardize NTTN tariffs, setting rates between Tk 200-300 per Mbps for basic capacity in metropolitan areas. However, these rates remain significantly higher than those in countries like Vietnam, where 1 Gbps (1,000 Mbps) of transmission capacity costs about $20 (Tk 2,400). In Thailand, the same service costs $30 (Tk 3,600), and in the Philippines, it's priced around $25 (Tk 3,000). The disparity is largely due to the competitive markets in these countries and their more efficient utilisation of public infrastructure.

(Sources: BTRC,ITU, ADB).

In contrast, Bangladesh's NTTN pricing structure is hindered by limited competition and the inefficient use of public assets. The government's licensing policies have prevented offering Info-Sarker infrastructure directly to access network providers, ISPs and MNOs, which could otherwise lower costs. Revisiting these policies and enhancing the use of public infrastructure is essential for reducing transmission costs and ultimately lowering consumer prices.

The path forward

Bangladesh has the potential to lower data prices and improve service quality through regulatory reforms. Lowering spectrum prices, revisiting the tax structure, and improving the efficiency of public infrastructure utilization are critical steps. Addressing the NTTN duopoly and relaxing licensing restrictions for ISPs could foster competition, which would in turn lower prices for consumers.

By reforming these key areas, Bangladesh could significantly narrow the digital divide and enhance the accessibility of digital services across the country.

Abu Nazam M Tanveer Hossain is a telecom policy expert.​

 

[Saif]

IT parks drained away hefty funds

The former ICT state minister, Zunaid Ahmed Palak, had boasted in 2016 that sprawling IT park in Kaliakoir would employ up to a million people over 10 years.

www.thedailystar.net

IT parks drained away hefty funds
15 projects involving Tk 8,500cr fraught with faulty planning, corruption and poor execution

The former ICT state minister, Zunaid Ahmed Palak, had boasted in 2016 that sprawling IT park in Kaliakoir would employ up to a million people over 10 years.

But eight years on and having spent about Tk 600 crore of public funds, the 355-acre Bangabandhu Hi-Tech City has managed to create employment for just 1,500 people. The industrial park remains largely desolate despite incentives like a seven-year tax holiday and duty-free facilities for raw material import.

This is not an isolated case. The Bangabandhu Hi-Tech Park in Sylhet was taken up in 2016 for Tk 324 crore with the ambitious goal of generating 50,000 jobs. Less than 100 people work there. Although long past the deadline, the park is yet to be fully operational.

Out of the 18 companies allotted spaces in the hi-tech park, less than five have started operations and several pulled out even before initiating their business activities.

Till date, Tk 1,473 crore was spent on three hi-tech parks, three software parks and four incubation centres by the Awami League government, which envisioned these establishments as ICT and business innovation hubs that would employ tens of thousands, generate billions of dollars and position Bangladesh as a leading digital nation.

But their returns have been negligible thanks to faulty planning, corruption, poor execution and a lack of supportive ecosystem, found an investigation by The Daily Star involving interviews with over a dozen individuals connected to these parks and an analysis of hundreds of pages of documents.

"Such projects in the name of development in general and with the rhetoric of Digital Bangladesh in particular under long years of authoritarian regime were converted as a licence for partisan political mileage, illicit income and unaccountable wastage of public money," said Iftekharuzzaman, executive director of Transparency International Bangladesh.

Take the case of the Bangabandhu Hi-Tech Park in Rajshahi, which was constructed between July 2016 and June 2024 for Tk 335.5 crore.

At best 500 people are employed across seven investor entities accounting for an investment of Tk 3 crore, said park officials.

Due to petty issues such as rainwater seeping into the buildings, a lack of generator services and other infrastructural challenges, the largest company, Fleet Bangladesh, recently left the park's incubation centre, said its founder Khairul Alam.

"They also promised tax breaks that have yet to be fulfilled," he said.

Over in Jashore, the Tk 253 crore Sheikh Hasina Software Technology Park managed to attract negligible investment.

Despite the abysmally low returns, Palak continued to tout the ventures as successful initiatives, creating the ground for authorising more than 80 such parks all over the country.

He named all the projects after the deposed prime minister Hasina and her family members to expedite approval and shield them from criticism and scrutiny, according to Bangladesh Hi-Tech Park Authority (BHTPA) officials involved with the proceedings.

"Tagging such projects with the names of family members of the fallen head of the government provided added impunity to the multidimensional wastage of mainly borrowed funds, which has also left a huge burden on the people," said TIB chief Iftekharuzzaman, who also heads the interim government's Anti-Corruption Reform Commission.

The parks have been renamed after the district concerned following the fall of the Hasina government on August 5.

At present, another dozen establishments are on the way that would cost about Tk 7,000 crore of public money.

The projects were often undertaken on a whim and almost always without concerted planning.

In similar areas, multiple overlapping projects were approved, including training centres and incubation centres established within hi-tech parks themselves.

For instance, a Tk 66 crore IT training and incubation centre project was initiated in 2019 in Singra, Natore—Palak's constituency.

And yet, less than 30 kilometres away, or a half hour's drive away in Natore Sadar is a similar project, which is now operational.

Still, another project worth over Tk 150 crore was approved in Singra. The project includes infrastructure such as a mini-stadium and a cineplex, reportedly intended for Palak's political events, according to people aware of the proceedings.

Less than 50 miles from Natore Sadar, a Tk 355 crore hi-tech park is already under construction in Rajshahi.

In addition, there is a plan for another IT incubation centre within the Rajshahi Hi-Tech Park, and a separate project is under consideration in Charghat, Rajshahi.

Additional projects have been approved in Natore and Rajshahi's surrounding districts, including Sirajganj, Chapainawabganj, Naogaon, Pabna and Bogura.

In Sylhet, where Tk 336 crore was spent on a hi-tech park, an additional IT park project was approved for over Tk 65 crore. In the same hi-tech park, another Tk 150 crore has been allocated for an IT park.

In Chattogram district, four overlapping establishments have been proposed — an IT park costing Tk 65 crore, another park for Tk 150 crore, a software technology park within the city and the Sheikh Kamal IT Business Incubator Centre at the Chittagong University of Engineering and Technology for Tk 117 crore.

The lack of transparency in the tender evaluation process led to significant corruption within the projects, according to BHTPA officials who spoke on the condition of anonymity.

For instance, an audit into BHTPA by the Office of the Comptroller and Auditor General highlighted six significant irregularities detailing a financial loss of Tk 50.58 crore in fiscals 2019-20 and 2020-21.

Those involved in project design, planning, budgeting, approval and implementation including relevant officials as well as political masterminds must be brought to justice to set examples for the future, Iftekharuzzaman said.

"Officials involved in these projects would face action if found guilty — we are proceeding slowly but surely, and no one will be spared," Shish Haider Chowdhury, secretary to the ICT Division, told The Daily Star.

A committee has been formed to review these procurements.

He acknowledged that most of the projects were undertaken without proper planning.

The projects included large infrastructure in remote areas where there is no business case, he said.

"We are reducing several components of ongoing projects. For instance, if a building was initially planned for seven stories, but four stories are already completed, we are stopping it there. Even then, we remain uncertain if there will be a viable business case after trimming the projects," Chowdhury added.

To lessen further loss, such projects should be frozen until objectively reassessed and appropriately redesigned to ensure value for money, Iftekharuzzaman said.

GSM Jafarullah, the managing director of BHTPA from August 1 last year, had his contractual appointment scrapped on September 3 by the interim government. His successor AKM Amirul Islam could not be reached for comment.​

 

[Saif]

ICT innovation for Bangladesh

Bangladesh stands at the cusp of a historic transformation. With global technology advancing at breakneck speed, the nation has good opportunity to harness the power of Information and Communication Technology (ICT) and transform its economic destiny. If Bangladesh acts swiftly and strategically, i

thefinancialexpress.com.bd

ICT innovation for Bangladesh
Shafi Chowdhury & Mizan Choudhury
Published :
Nov 05, 2024 21:21
Updated :
Nov 05, 2024 21:21

Bangladesh stands at the cusp of a historic transformation. With global technology advancing at breakneck speed, the nation has good opportunity to harness the power of Information and Communication Technology (ICT) and transform its economic destiny. If Bangladesh acts swiftly and strategically, it can train millions of professionals, tackle its unemployment crisis, and establish itself as a global ICT hub.

The future is digital, and Bangladesh has the chance to lead it. A 20-year ICT vision, developed with bold foresight, aims to train 9 million skilled professionals by 2045. These trained professionals will not only fill the demands of the global ICT market but also fuel domestic growth, creating a new era of economic prosperity for the nation. It is a transformative plan that could redefine Bangladesh’s global standing. The time to act is now!

Challenge of Unemployment: Despite Bangladesh’s strong economic growth over the past decade, unemployment—especially among the youth—remains one of the country’s most pressing challenges. According to World Bank data, the unemployment rate sits around 4.2 per cent, but underemployment is a much larger issue, affecting millions of people, particularly the youth. Therefore, based on the unemployment rate of 4.2 per cent and the total labour force of 74.91 million, there are approximately 3.15 million unemployed people in Bangladesh.

Bangladesh’s workforce is expanding rapidly, with two million young people entering the job market each year. Many are struggling to find meaningful employment because the educational system is not fully aligned with the needs of a rapidly evolving global job market.

Most alarmingly, the youth unemployment rate is disproportionately high, with university graduates often unable to secure jobs that match their skills. This mismatch between education and the demands of the digital economy is creating a workforce that is underprepared and underutilised, at a time when global demand for skilled ICT professionals is soaring. According to World Bank, Bangladesh’s young population, approximately 27.96 per cent of the total population, presents a significant demographic dividend. This demographic asset can fuel economic growth and development.

This translates to a substantial number of young people who are entering the workforce or are poised to do so. Based on a total population of approximately 169.8 million, the number of young people aged 15- 29 would be around 47.7 million.

The Global ICT Job Boom: Around the world, digitalisation is rapidly reshaping industries. The global demand for ICT professionals is skyrocketing, fuelled by advancements in automation, AI, cyber-security, data science, cloud computing, and smart infrastructure. According to industry reports, 28.5 million new ICT jobs will be created globally by 2045 according to World Economic Forum’s Future of Jobs Report or Gartner’s annual ICT industry reports. The need for skilled talent is immediate and will only grow as technology continues to evolve.

Building a Digital Workforce: By utilising its existing educational institutions—polytechnic institutes, colleges, and universities— the country can gradually scale its training capacity to meet global demand.

The plan is simple but powerful. Bangladesh can expand and modernise its education system, focusing on ICT fields like software development, cyber-security, AI, and cloud computing. Each year, more professionals will be trained and with an 80 per cent success rate, many will secure high-paying jobs in the global market, earning an average annual salary of $100,000. With $504 billion generated annually by 2045, the ICT sector could become a pillar of Bangladesh’s economy. This would represent an enormous leap in the country’s GDP and global economic stature.

By training and deploying its ICT workforce globally, the sector will become a major contributor to the country’s GDP growth. The projected economic impact is staggering, with the ICT sector potentially contributing 37.1 per cent of GDP by 2040. By 2040, the ICT sector could be at the core of Bangladesh’s economic engine, driving growth and creating opportunities for millions if proper steps are taken right now.

The Road Ahead: To realise this vision, Bangladesh must overcome several challenges and take some bold actions immediately.

• Invest in Polytechnic Institutes, Colleges, and Universities: These institutions will be the foundation of the country’s ICT revolution. Expanding their capacity and modernizing their facilities will allow Bangladesh to produce the world-class professionals the global market demands.

• Partner with the Private Sector: Collaborating with global tech companies, offering internships, and providing practical training will bridge the gap between education and employment. Public-private partnerships will ensure that students are job-ready when they graduate.

• Develop Global Certifications: By ensuring that students graduate with certifications such as AWS Certified Solutions Architect, CompTIA Security+, and Certified Ethical Hacker, Bangladesh will ensure its workforce is recognised and in demand worldwide.

• Enhance Digital Infrastructure: Investing in 4G and 5G networks, upgrading data centres, and ensuring uninterrupted power will create the backbone of Bangladesh’s digital economy. This infrastructure will support both domestic growth and international collaboration, attracting foreign investment and enabling local businesses to compete on a global scale.

The aforementioned 20-year vision can elevate Bangladesh to a new level of prosperity. Delay to act risks missing the chance to be a global leader in ICT. By seizing this moment, Bangladesh can not only overcome its unemployment challenges but also establish itself as a hub for global innovation, setting the stage for a new era of economic growth and leadership in the digital age.

Lt Col Md Shafi Chowdhury, PhD, psc is Co-Chairman/Founder and CEO of Alltex International Consultancies and Services (AICS). Mizan Chaudhury, (CCIE) is Co-Chairman/Founder and President of AICS. AICS has office in Dhaka and New York.

www. alltex-intl.com​

 

[Saif]

What future awaits the hi-tech parks?

Hold to account all involved in corruption, mismanagement

www.thedailystar.net

What future awaits the hi-tech parks?
Hold to account all involved in corruption, mismanagement

We are concerned about the future of the hi-tech parks that the ousted Awami League government planned to establish across the country with the goal of transforming Bangladesh into a global hub for information and communication technology. Reportedly, the government invested Tk 1,473 crore on three hi-tech parks, three software parks and four incubation centres, envisioning them as ICT and business innovation hubs that would create tens of thousands of jobs, generate billions of dollars, and position Bangladesh as a leading digital nation. However, an investigation by The Daily Star has found that due to faulty planning, corruption, poor execution and the lack of a supportive ecosystem, these projects have yielded negligible returns, falling far short of expectations.

Former State Minister for ICT Zunaid Ahmed Palak boasted in 2016 that the IT park in Kaliakoir would employ up to a million people over 10 years. Eight years later, after spending around Tk 600 crore, the 355-acre Bangabandhu Hi-Tech City has created only 1,500 jobs. The situation is similar at the Bangabandhu Hi-Tech Park in Sylhet, a project taken up at a cost of Tk 324 crore with the goal of generating 50,000 jobs. Today, fewer than 100 people are employed there. Despite the project being expected to be completed long ago, it is still not fully operational. Similarly, the Bangabandhu Hi-Tech Park in Rajshahi and the Sheikh Hasina Software Technology Park in Jashore have failed to attract significant investment. In the former ICT state minister's constituency, several overlapping projects were also undertaken haphazardly and without proper planning.

Reportedly, despite extremely low returns, Palak continued to promote the ventures as successes, paving the way for the approval of over 80 similar parks across the country. Currently, another dozen projects are underway, with an estimated cost of around Tk 7,000 crore in public money.

The question is, what future awaits these costly hi-tech projects? Since all these initiatives were riddled with corruption, the interim government must conduct thorough investigations into them and hold accountable all involved in the design, planning, budgeting, approval and implementation of these projects. The government should also assess whether the completed projects have any potential for new job creation. With the country grappling with high unemployment, the ICT sector could provide valuable job opportunities for our youth if managed with efficiency and transparency.

However, the government should also make prudent decisions regarding the incomplete projects. Such ventures should be frozen to prevent further losses until they are objectively re-evaluated and properly redesigned to ensure value for money, as Dr Iftekharuzzaman, head of the interim government's Anti-Corruption Reform Commission, has suggested.​

 

[Saif]

Policy reforms urgent to boost ICT sector dev: experts

Experts on Saturday said that a lack of integrated planning and supportive policy reforms remained as a significant obstacle to the growth of Bangladesh’s information and communication technology sector and...

www.newagebd.net

Policy reforms urgent to boost ICT sector dev: experts
Staff Correspondent 09 November, 2024, 23:38

Experts on Saturday said that a lack of integrated planning and supportive policy reforms remained as a significant obstacle to the growth of Bangladesh’s information and communication technology sector and so urgent reforms were needed to turn this sector into one of the country’s leading industries.

Speaking at a seminar titled ‘Reform for ICT Industry Growth’, organised by the Dhaka Chamber of Commerce and Industry, experts from various sectors highlighted the need for cohesive strategies, infrastructure development and accessible financing to realise the sector’s potential.

Ashraf Ahmed, president of DCCI, emphasised the need for policy reform and workforce development to enable Bangladesh’s ICT sector to compete on the global market, which is valued at nearly $3 trillion, according to a press release.

‘Our IT industry, with nearly $2.5 billion in revenue, occupies a small segment only despite having one of the largest pools of IT-related workers in the world,’ he noted.

The DCCI president urged for short-term, mid-term and long-term strategies, calling for investments in skills development, logistics and education to address skill gaps and advance Bangladesh’s ICT capabilities.

The seminar underscored the challenges local ICT entrepreneurs faced, particularly in accessing low-cost finance.

Mir Shahrukh Islam, managing director of Bondtein Technologies Limited, shared that over 2,600 IT companies currently operated in Bangladesh, yet they struggled with stringent collateral requirements for financing.

‘ICT entrepreneurs are struggling to get easy access to low-cost finance due to a lack of friendly regulatory policies and stringent collateral requirements,’ Mir Shahrukh explained while presenting the keynote paper, adding that incentives for semiconductor industry could spur growth in this emerging sector.

Lutfey Siddiqi, chief adviser’s special envoy on international affairs, addressed the importance of streamlined policies and accurate data for effective planning.

Siddiqi noted, ‘The present government is working in a changed environment, which needs to be considered by all. If the existing policies are properly implemented, it will be easier to do business activities along with citizen services.’

Experts highlighted the need for an ICT-friendly academic curriculum and industry-academia collaboration to enhance graduates’ practical skills.

Bangladesh Bank executive director (ICT) Muhammad Zakir Hasan proposed forming a steering committee to oversee coordinated development across the ICT sector, emphasising that ‘integrated planning’ and ‘industry-academia coordination’ were vital to create skilled graduates.

The seminar concluded with recommendations to expand export incentives, update telecommunication policies and strengthen data privacy laws, as stakeholders urged collaborative efforts between public and private sectors.

DCCI senior vice-president Malik Talha Ismail Bari moderated the discussion, with other DCCI officials present in the seminar.​

 

[Saif]

Govt to introduce satellite internet to bridge up digital divide

The present government is on its way to introduce satellite internet as the telecom regulator has sought public opinion for finalization of the draft guidelines so the country could reap the sacrifice of martyrs in July-August mass uprising.

en.prothomalo.com

Govt to introduce satellite internet to bridge up digital divide
BSS
Dhaka
Published: 15 Nov 2024, 22: 00

The present government is on its way to introduce satellite internet as the telecom regulator has sought public opinion for finalization of the draft guidelines so the country could reap the sacrifice of martyrs in July-August mass uprising.

Officials familiar with the process said the move might unleash new opportunities for bridging digital divides alongside backhauling, disaster management and customer data utilization as it could pave the way for world leading companies like Elon Musk's Starlink and others to enter the Bangladesh market.

The telecom regulator -Bangladesh Telecommunication Regulatory Commission (BTRC) - on 29 October uploaded the draft regulatory and licensing guidelines for NGSO Satellite Service Operator on its website, seeking opinion by 18 November to finalize the guidelines.

Meanwhile, the mobile phone operators and other stakeholders have welcomed the move of opening doors for satellite internet as it would revolutionize data services in the country. They said the initiative might unlock new opportunities for bridging digital divides.

The draft guidelines said that proprietorship, partnership and companies registered under “Registrar of Joint Stock Companies and Firms” under the Companies Act 1994 are eligible to apply for the license to build, own, maintain and operate NGSO Satellite systems and services in Bangladesh.

It also mentioned that 100 per cent FDI or Foreign Partnership or Joint Venture or investment from Non-Resident Bangladeshi (NRB) is permitted to build, own, maintain and operate NGSO Satellite systems and services.

According to the draft guidelines, the license will be valid for five years.

It adds that the licensee is authorized to provide the following NGSO satellite services: broadband internet services, intranet services (domestic data communications), Internet of Things and machine-to-machine communication, earth station in motion service, earth exploration satellite service, remote sensing/meteorological services and any other services approved by the BTRC.

However, operators aren’t authorized to provide direct-to-home (DTH) services, broadcasting services, satellite IMT-based services or telecommunications services.

The application/processing fee has been set at Tk 500,000, with an acquisition fee of $10,000 and an annual fee of $50,000. Additionally, an annual station/terminal fee per terminal is set at $20.

The licensee will also have to share 5.5 per cent of its annual audited gross revenue with the BTRC. Another 1 per cent of the gross revenue must be paid as part of the "contribution to space industry development and management".

The licensee must establish at least one gateway system within Bangladesh before commencing services. However, the BTRC encouraged the licensee to establish additional gateways.

Any user terminal placed within Bangladesh's geographical boundary must be authenticated and served through this local gateway. All traffic from these terminals must be routed through this local gateway for services within Bangladesh, according to the draft.

The NGSO gateway shall connect to international internet gateways to handle international internet data traffic.

Talking to BSS, Shahed Alam, chief corporate and regulatory officer of Robi Axiata, said, “We welcome the initiative to introduce satellite internet in our country, recognizing its potential to revolutionize data services.”

He noted that this advancement could pave the way for new opportunities in areas such as backhauling, disaster management and customer data utilization.

Taimur Rahman, chief corporate and regulatory affairs officer at Banglalink, said, "The regulator’s initiative to conduct a public consultation before introducing this new service is commendable, which we appreciate.”

He continued, “We’re confident that this process will provide essential insights to help shape its future direction.”

Sharfuddin Ahmed Chowdhury, Head of Communications, Grameenphone, said, "Grameenphone welcomes any new technology that brings positive change to people's lives, society, the economy, and the country as a whole.”

However, the introduction of any new license should ensure non-discriminatory treatment that promotes market competitiveness among all players, including existing ones, across the entire value chain, he added.

Internet Service Providers Association of Bangladesh (ISPAB), a platform of firms engaged in providing internet services to the customers, is also ready to welcome any new technologies. But, it emphasized to identify the necessity of this technology first before moving to it.

ISPAB President Md Emdadul Hoque told BSS that they always welcome new technologies if those are suitable for the country and industry as a whole.

“We’ve no objection to welcoming new technologies, but priority should be considered first whether the technology is suitable for the country and its people,” he said.​

 

[Saif]

How regulatory hurdles keep internet price high and speed low

The Bangladesh Telecommunication Regulatory Commission (BTRC) has implemented a number of policies over the past 16 years that, according to internet service providers and users, have made Bangladesh pay higher prices for slower internet speeds compared to its neighbours.

www.thedailystar.net

How regulatory hurdles keep internet price high and speed low
internet price regulation in Bangladesh

The Bangladesh Telecommunication Regulatory Commission (BTRC) has implemented a number of policies over the past 16 years that, according to internet service providers and users, have made Bangladesh pay higher prices for slower internet speeds compared to its neighbours.

With those moves, they say the BTRC has turned into a "money-making machine for the government" rather than a facilitator of connectivity.

Take the BTRC's 2021 order to remove cache servers from small and medium sized internet service providers (ISPs) for example.

That meant ISPs were not allowed to store content locally, forcing users to travel longer distances to access it.

Consequently, ISPs incur increased costs and internet users experience slower speeds, according to industry insiders and experts.

"Globally, cache servers are managed by last-mile service providers to ensure quick access to content for users," said Md Emdadul Hoque, president of the Internet Service Providers Association of Bangladesh (ISPAB).

Industry insiders claim that ISPs have to pay an additional Tk 80 to Tk 120 per Mbps of internet compared to mobile operators due to these rules. This disparity puts ISPs, especially in rural areas, at a competitive disadvantage

"Now we pay Tk 25-60 per Mbps for this service. This has added an unnecessary layer of costs and impacts the quality of service."

Without discussing the nitty-gritty, global internet supply broadly passes through several stages to reach households and offices.

It first reaches Bangladesh via submarine or terrestrial cables at landing stations.

International Internet Gateways (IIGs) then handle the data, passing it to the National Telecommunication Transmission Network (NTTN), which distributes it across the country.

ISPs deliver internet directly to homes and businesses through local distribution networks, while mobile network operators (MNOs) receive internet from the IIGs.

However, both MNOs and broadband service providers claim that the IIG layer is unnecessary and that they could directly obtain supply from the NTTN.

In 2008, the BTRC granted the first private IIG licence. Taimur Rahman, chief corporate and regulatory affairs officer at Banglalink, said: "It is another layer that does not add any value."

The BTRC also imposed restrictions on ISPs, prohibiting them from sharing physical resources like fibre-optic cables and active network equipment such as switches, routers and optical line terminals.

In simple terms, if an ISP leases 1 Gbps of capacity from the NTTN but can only use half, it cannot lease the remaining capacity to other ISPs.

But if allowed sharing, this could have reduced operational costs of the small net providers. Besides, shared infrastructure could have minimised overhead cables, especially in densely populated areas.

However, the ban on resource sharing has forced individual ISPs to incur higher expenses, which are ultimately passed on to consumers, making internet services pricier.

Some providers allege that the restriction on active sharing is intended to favour the NTTN.

The ISPAB has been advocating for active sharing of infrastructure for years. In a letter to the BTRC, ISPAB said ISPs should be allowed to share active network resources in their access networks. This would not only reduce overhead cables but also enhance the aesthetic appeal of urban areas and improve service quality.

Current ISP licensing guidelines limit ISPs to installing optical fibre within a 3-kilometre radius in metropolitan areas and 6 kilometres in non-metropolitan areas.

The BTRC has also implemented a regulatory framework that sets fixed buying and selling prices for ISPs while mobile operators are exempt from such pricing mechanisms. This policy has created an uneven playing field in the internet service sector.

Industry insiders claim that ISPs have to pay an additional Tk 80 to Tk 120 per Mbps of internet compared to mobile operators due to these rules. This disparity puts ISPs, especially in rural areas, at a competitive disadvantage.

The fixed rates and higher transmission costs lead to higher internet prices in rural areas compared to cities.

"The additional costs incurred by ISPs in rural regions are often passed on to end users, further widening the digital divide," said Syed Almas Kabir, former president of the Bangladesh Association of Software and Information Services (BASIS).

He said that although transmission prices for wholesale internet should have decreased due to increased usage, these tariffs have not been readjusted in a long time.

According to BTRC documents, the commission set tariffs for transmission services in September 2021.

Aminul Hakim, president of the International Internet Gateway Association of Bangladesh, said the association recently proposed a 15 to 25 percent reduction in wholesale internet prices to the BTRC.

Another obstacle that has pushed up internet prices is the BTRC's complex and widespread revenue-sharing system.

Last year, the BTRC introduced a 1 percent revenue-sharing requirement for ISPs to contribute to the Social Obligation Fund (SOF).

ISPAB President Hoque said that under the "one country, one rate" policy, ISPs sell the internet at a fixed price with very limited profit margins. "If we have to contribute another 1 percent of our revenue to the fund, many ISPs may not survive."

Fahim Mashroor, former president of BASIS, said the BTRC has almost become an extension of the National Board of Revenue (NBR), which is not its intended role.

"They should act as regulators or facilitators, not as a money-making machine for the government," he said.

"As the government receives huge revenue from the BTRC every year, it is reluctant to make any changes," he added.

Meanwhile, Syed Almas Kabir advocated for eliminating intermediaries in the internet ecosystem, allowing ISPs and mobile operators to purchase internet directly from the wholesale market.

When contacted, Major General Md Emdad ul Bari, chairman of the BTRC, said the commission is reviewing different licensing regimes and working on various issues to reduce internet prices.

Nahid Islam, the adviser for posts and telecommunications, told The Daily Star that they are currently discussing with stakeholders to find ways to lower internet prices.​

 

[Saif]

Bangladesh needs to boost cybersecurity skills

Bangladesh and many other countries are prone to eroding their progress in cybersecurity systems if they do not provide support for enhancing cybersecurity skills and awareness-raising initiatives...

www.newagebd.net

Bangladesh needs to boost cybersecurity skills
Taufiq Hossain Mobin 22 November, 2024, 22:12

Bangladesh and many other countries are prone to eroding their progress in cybersecurity systems if they do not provide support for enhancing cybersecurity skills and awareness-raising initiatives, according to International Telecommunication Union report.

The report titled ‘Global Cybersecurity Index 2024’ published by the ITU, a specialised agency of the United Nations, said that cybersecurity had increasingly become a pressing financial priority for the whole world as global average cost of a data breach now exceeds $4.45 million.

Experts said that emerging economies like Bangladesh faced dual challenge of securing critical sectors and building cyber-resilient infrastructures, as inadequate cybersecurity measures could jeopardise burgeoning ICT exports and digital transformation goals.

According to the report, Bangladesh held Tier 1 rank amongst the countries in the Asia and the Pacific region, while the neighbouring countries Bhutan and Nepal remained in Tier 3. India also achieved a Tier 1 position, highlighting its significant strides in cybersecurity.

A Dhaka University professor highlighted the country’s impressive cybersecurity ranking but noted that this success belied significant challenges on the ground.

According to BM Mainul Hasan, director of Institute of Information Technology at the University of Dhaka, the nation has historically not prioritised cybersecurity measures, leaving gaps that are becoming increasingly apparent.

‘Those of us working directly with cybersecurity issues are witnessing that the overall situation is not good at all,’ Hasan said, highlighting the disconnect between rankings and real-world preparedness.

He pointed out that Bangladesh had only recently begun digitising many government and private services, which necessitated early stages of developing robust cybersecurity systems.

‘We have just started to transform many government and private services digitally. So, the process to build cybersecurity systems has just started,’ he added.

Hasan stressed the urgency of addressing these deficiencies, saying, ‘Neither do we have enough manpower, nor do institutions in our country give sufficient importance to protecting cyberspaces. It is high time our country built cybersecurity systems that align with international standards. Otherwise, we could face unrecoverable financial losses in the future.’

The ITU in its report said that continued investment was imperative to maintain momentum and close gaps in organisational strategies and international cooperation.

The report said that capacity development was key to building a robust cybersecurity ecosystem.

‘While the cybersecurity workforce grew 8.7 per cent from 2022 to 2023, the gap between the workers needed and the numbers available has also grown by 12.6 per cent,’ it said.

The report further added that to ensure that a domestic cybersecurity industry could flourish, countries needed to ensure that the variety of educational opportunities available at different ages sufficiently prepared students and professionals for their careers.

The fifth edition of the Global Cybersecurity Index or GCI explored the current level of cybersecurity commitment among 193 member states and the state of Palestine.​

 

[Saif]

It’s time to forget Silicon Valley formula and build our own

The world has long been captivated by Silicon Valley: the land of endless innovation, where founders start in garages and build tech giants. It is a formula that many have tried to emulate, but it’s time for Dhaka to write its own recipe—one that works for our unique context, strengths, and...

www.thedailystar.net

It’s time to forget Silicon Valley formula and build our own

The world has long been captivated by Silicon Valley: the land of endless innovation, where founders start in garages and build tech giants. It is a formula that many have tried to emulate, but it's time for Dhaka to write its own recipe—one that works for our unique context, strengths, and challenges.

The allure of Silicon Valley is undeniable. But when we try to replicate this formula in Bangladesh, we quickly learn that Dhaka isn't Palo Alto, and it doesn't have to be. Dhaka has its own rhythm, strengths, and potential. We are a city bursting with energy, full of entrepreneurs who innovate out of necessity. We do not need another Silicon Valley: we need a Dhaka Valley.

To create the Dhaka Valley Recipe, we must embrace our context. In Bangladesh, startup founders don't have access to abundant venture capital or deep talent pools. Instead, we scale through resourcefulness, frugality, and community. When funding is sparse, we need to become profitable faster. When talent is scarce, we need to invest in people and focus on turning potential into excellence. Our founders often wear multiple hats—from sales to HR to operations and product management—roles that would be divided among many in Silicon Valley. This necessity breeds a kind of leadership that is nimble, empathetic, and deeply connected to the realities on the ground, making our founders agile and uniquely effective leaders.

A key ingredient of the Dhaka Valley Recipe is managing growth and ensuring sustainability. We cannot afford to fail before attracting large foreign investors. This means carefully managing growth and creating a solid foundation that draws global interest. Bangladesh often falls at the bottom of investors' priority lists (even within emerging markets), so our funding funnel must adapt accordingly.

The power of collaboration is also critical. In Silicon Valley, competition is often the driving force. Here, the power lies in collaboration—not just among founders but with customers, government bodies, and educational institutions. Our success stories are rooted in ecosystems where everyone benefits.

We must also embrace our people-centric approach. Silicon Valley focuses heavily on technology, often with a "move fast and break things" mindset. In Dhaka, we must focus on people—on the communities we serve, on the employees we nurture, and on the families we impact. The work we do must create real value for people's lives. Empowerment is not just a buzzword; it is the foundation of our businesses—one that can lift millions from informal, unrecognised work into structured and sustainable livelihoods.

Our growth in Bangladesh must be sustainable and inclusive. We cannot build for a handful while leaving millions behind. Instead, our growth must bring real economic change to those who need it most.

Finally, we need to understand the dynamics of attracting venture capital. Venture capitalists need a return, and they are willing to make bold decisions if your business shows extraordinary potential to become a billion-dollar enterprise. We need to give them confidence that they can expect 10-20X returns—so that even in the worst-case scenario, they see a 2-3X return.

The Dhaka Valley Recipe isn't about abandoning Silicon Valley's inspiration; it's about adapting it. Our challenges are different, and so are our strengths. We need solutions that work in our soil, crafted with our own ingredients. We need policymakers who foster innovation, investors who value impact, and founders who believe in this country's potential. If we can do that, we won't just create startups; we will create stories, change lives, and build an ecosystem future generations will be proud of. It's time for Dhaka to stop chasing the Silicon Valley dream and start living on its own.

The writer is the founder and CEO of Sheba Platform Limited​