broadband strategies handbook.pdf - Khazar University

once networks are available. For this reason, countries with high rates ofbroadband penetration have comprehensive broadband policies that coordinateboth supply- and demand-side actions.In assessing the strategic options for improving broadband build-out andadoption (supply and demand), one must remember that many factors areinvolved and that no two countries have followed identical routes. Nevertheless,it is possible to recognize common elements in national broadbandsuccess stories (table 2.2). In reality, most countries will use a mix of policies,with supply-side policies generally focusing on how to stimulate privatesector investment in networks, especially in the early years, anddemand-side policies being more long term and focusing on how governmentscan help to drive broadband demand and adoptio n.Build I nfrastructure: Promoting the Supply of BroadbandMost developing countries have not yet seen their broadband markets penetratemore than a very small segment of their population. Hence, the government’srole is even more important in promoting and acceleratinggrowth of the broadband market. Promoting the build-out of broadbandnetworks throughout a country will likely require governments to pursuemultiple strategies, depending on local circumstances. As each country hasits own unique history, regulatory structure, economic conditions, socialgoals and expectations, and political processes, the path a country follows toimprove broadband networks and services will necessarily have to reflect itsspecific advantages and disadvantages.Nevertheless, some general policy approaches may be applicable acrossthe world. It is generally accepted that the private sector should be the primarydriver of broadband development in most cases. Particularly whengovernment debt is high and resources are limited, sufficient public moneymay not be available for broadband infrastructure spending. Consequently,policy makers and regulators must consider how best to attract and encourageprivate sector involvement and investment in broadband. This, in turn,will require governments to conduct an honest evaluation of the extent towhich their country represents—or can be made into—a profitable marketopportunity for private sector investors and operators. Questions to beanswered may include the following: Are companies willing to invest? Ifnot, why not? Will such companies drive the broadband market forward ontheir own, or will they need help? What government strategies, policies, andregulations can foster and support private sector initiatives, and what policiesmay hold back investment? Many countries have taken this approach:they have attempted to facilitate and, where possible, accelerate, broadband52 Broadband Strategies Handbook