Global Trends in Telecoms: Introduction to the work of ITU
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1 Global Trends in Telecoms: Introduction to the work of ITU Tim Kelly, Chief, Strategy and Policy Unit (SPU) & Joanna Goodrick, Editorial Officer, SPU International Telecommunication Union (ITU) The views expressed in this presentation are those of the authors and do not necessarily reflect the opinions of ITU or its Membership. The author can contacted by at
2 Telecoms reinvented: Part 1 Huge growth in investment in late 1990s Billions of lines / subscribers / users Internet users Mobile subscribers Fixed telephone lines Growth rate (right scale) 30% 25% 20% 15% 10% The goal of the 20 th Century was to achieve anywhere, anytime, anyone communications. The goal for the new century should be to achieve everywhere, always-on, everyone communications. 5% 0%
3 Increasing level of competition 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Countries with competitive mobile markets (%) No mobile No competition Competition Source: ITU World Telecommunication Development Report, 2002: Reinventing Telecoms.
4 High rate of technological changes: Some examples 4 From analogue to digital networks From circuit-switched to packet-switched networks From voice to data From narrowband to broadband From 1G, to 2G to 3G mobile Korea HK, China Canada Belgium Denmark Iceland Sweden Netherlands USA Broadband subscribers per 100 inhabitants, September 2002 Source: ITU. 19.8
5 Telecoms reinvented: (Part 2) Over-investment + hyper-competition + Technological change = over-capacity 5 Trillions of US Dollars lost in shareholder value Leading companies in heavy debt or bankruptcy Thousands of jobs lost What does it mean for telecoms development? Falling investment No demand for privatisation share issues Overcapacity Source: Economist, 18 July 2002
6 In 1865, the founders of ITU had already lived through the first cycle of boom and bust in telegraphy
7 ITU in brief UN specialized agency, concerned with the development of telecommunication networks and services worldwide 138 years old 189 Member States; 650+ Sector Members Around 790 staff / 83 nationalities 2002 budget = circa CHF172m (USD 115m) Secretary-General: Yoshio Utsumi (Japan) Deputy Sec-General: Roberto Blois (Brazil) Website: 7
8 ITU structure Radiocommunication World/Regional Radiocommunication Conference (WRC) Radiocommunication Assembly (RA) Radio Regulations Board (RRB Plenipotentiary Conference Council Telecom Standardization World Telecommunication Standardization Assembly (WTSA) World Conferences on Int l Telecoms Development World/Regional Telecommunication Development Conference (WTDC) Advisory Group Study Groups Advisory Group Study Groups Advisory Group Study Groups Secretariat Director Radiocommunication Bureau (BR) Secretary-General Deputy Secretary-General Director Telecom Standardization Bureau (TSB) TELECOM Director Telecom Development Bureau (BDT)
9 9 Who pays what? ITU has 189 Member States plus 650+ Sector Members and Associates! Each chooses to pay a certain number contributory units e.g. US = 30, Malawi 1/16! For Member States, 1 unit = CHF ! For Sector Members, 1 unit = CHF ! For Associates, 1 unit = CHF Main budget = CHF 172m in 2002, of which:! CHF 113m (65.7%) from Member States! CHF 22m (12.8%) from Sector Members & Associates! CHF 14m (8.1%) from sale of publications! CHF 15m (8.7%) from cost recovery, interest, etc! CHF 4m (2.3%) from funds-in-trust (for dev t)
10 According to the International Telecommunication Constitution (Minneapolis, 1998), the role of ITU is: International cooperation in telecommunications Technical assistance to LDCs To promote technical development To extend the benefits of telecoms To promote telecoms for peaceful use To harmonize national policies To promote telecoms in cooperation with other national and regional bodies 10
11 But what does ITU actually do? Spectrum allocation and registration Coordination of national spectrum planning International telecoms standardization Collaboration in international tariff-setting Cooperation in telecoms development assistance Measures for ensuring safety of life Policy reviews, information exchange Extension of universal access 11
12 Little reminder Radiocommunication World/Regional Radiocommunication Conference (WRC) Radiocommunication Assembly (RA) Radio Regulations Board (RRB Plenipotentiary Conference Council Telecom Standardization World Telecommunication Standardization Assembly (WTSA) World Conferences on Int l Telecoms Development World/Regional Telecommunication Development Conference (WTDC) Advisory Group Study Groups Advisory Group Study Groups Advisory Group Study Groups Secretariat Director Radiocommunication Bureau (BR) Secretary-General Deputy Secretary-General Director Telecom Standardization Bureau (TSB) TELECOM Director Telecom Development Bureau (BDT)
13 International Treaties Constitution and Convention of ITU! Two complementary treaties, containing mainly housekeeping details but also some longstanding international commitments (e.g. common carrier tradition)! Major update in 1992; minor updates in 1994 & 1998 International Telecommunication Regulations! Thin (10 Articles) treaty concerning mainly accounting practices. Last update 1988 under review in 2002 Radio Regulations! Thick (> pages) treaty governing use of radio spectrum. Updated every WRC 13
14 World Telecom Development Conference (Istanbul, March 2002) Study Groups Telecommunication Indicators reports and databases Regulatory assistance Technical cooperation Regional offices (11) Director: Hammadoun Touré (Mali)
15 World Radio Conference! Geneva, June 2003 ITU-R Recommendations Stewardship of radio frequency & satellite orbits! Radio Regulations! Master International Frequency Register Safety of life services (Maritime, Aeronautical, etc.) Director: Valery Timofeev (Russia)
16 World Telecom Standardization Assembly! Montreal, Sept-Oct 2000 ITU-T Recommendations Stewardship of international numbering plan! Country codes! Universal International Freephone! ENUM Collaboration with the Internet community (e.g.ietf, ICANN) Director: Houlin Zhao (China)
17 Plenipotentiary Conferences! Marrakesh, Sept-Oct 2002 World Telecom Policy Forum! March 2001, IP Telephony ITU Council ITU News: Support services (e.g. IS, languages) ITU TELECOM (WORLD 2003) Policy, research and workshops (SPU)
18 18 ITU New Initiatives Programme Launched in 1999, under the Strategy and Policy Unit Workshops! Electronic Signatures and Certification Authorities! IP Telephony! Fixed-to-Mobile Interconnection! Regulatory implications of Broadband! Licensing of 3G Mobile! Internet diffusion in ASEAN! Multilingual Domain Names (ITU/WIPO)! IP connectivity in LDCs! Critical Network Infrastructures! Competition Policy in Telecoms! Promoting Broadband (April 2003) Country case studies Website: New topics of a regulatory, policy or other nature of highcurrent interest Council Decision 496
19 19 " A world summit in two phases! First Phase, December 10-12, 2003, Geneva! Second Phase, November 16-18, 2005, Tunis " What are the key issues? " Addressing the digital divide " How can ICTs help to achieve the Goals of the Millennium Declaration? " Pervasive computing and communications " Outputs = declaration and action plan " Website:
20 For more information:
21 While you are here: 21 "ITU Library facilities:!top floor, Montbrillant Building!Open 9am to 5pm!PC-equipped "Research materials (papers, case studies, etc.) online:! "Studies on aspects of the information society:!
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