Digital World Forum WP3 – low-cost broadband access and infrastructure

1. Digital World ForumWP3 – low-cost broadband access and infrastructure Pierre-Yves Danet Orange Labs, France representing Bruno Conquet  bruno.conquet@orange-ftgroup.com

2. Content • The FT-Orange Group: key facts • Overview of DWF/WP3 • Project content • WP3 context • WP3 objectives • Description of tasks • Focus on the Meraka-Orange experiment • Objectives • Modus operandi • Timetable • Perspectives

3. FT-Orange: one of the world’s leading telecom operators • present in 220 countries and territories • 160 million customers around the world • 2007 Revenues: 52.9 billion euros • 6.3 billion euros in net income in 2007 • 191,000 employees one of the world’s leading communication brands

4. FT-Orange's positions in Africa The Group's footprint in Africa is growing steadily, with the ambition of giving our customers access to continuously enriched services that leverage convergence Algeria internet: EEPAD (franchise) Tunisia internet: Planet Tunisie (franchise) Jordan fixed-line: 0.61 million mobile: 1.40 million internet: 33,000 Morocco internet: Maroc Connect (franchise) Egypt mobile: 6.60 million Mali fixed-line: 1,000 mobile: 1.17 million Kenya fixed-line: 0.28 million Senegal fixed-line: 0.28 million mobile: 2.09 million internet: 29,000 Madagascar mobile: 0.64 million internet: DTS (franchise) Guinea Bissau Mauritius fixed-line: 0.14 million mobile: 0.19 million internet: 26,000 Guinea Equatorial Guinea mobile: 57,000 Ivory Coast fixed-line: 0.27 million mobile : 1,75 million internet: 12,000 Botswana mobile: 0.44 million Cameroon mobile: 1.35 million fixed-line mobile internet franchise only customer base as of Dec. 31, 2006 in consolidated companies

5. Orange Labs: an R&D, source of innovation • 3,800 researchers and engineers • 500 inventions patented each year, for a total of more than 8,500 patents • important investments in R&D • 800 million euros, i.e. 1.6% of turn-over in 2006 • a recognized talent: • 2004 : one of the “most innovative European telcos in 2004”, Forrester • 2005 : “Best Innovator” France, category “Innovation & Technology”, AT Kearney • 2006 : featured in a case study in "A French Revolution in Innovation is unfolding", Forrester

6. DWF project content • DigitalWorld's strategic goal is to bring together ICT experts, NGOs and key players from developing countries, through international events and workgroups, with a view to bridging the digital divide in Africa and Latin America. • The project includes 4 work packages: • WP1: mobile web applications • to understand the key challenges to tackle in order to enable the next generation of mobile applications based on Web technologies (the Mobile Web) which would overcome the limitations of the current SMS technology. • WP2: low-cost laptops • to get an understanding and updated scenario of the current state-of-the-art in the sector of low-cost laptop technologies for developing countries. • WP3: low-cost broadband access and infrastructure • to devise a generic approach to the "last mile" issue in developing countries, by assessing each key technological solution in the light of a typology of local contextual factors. • WP4: dissemination and outreach • to create the conditions for future successful implementations of the defined roadmaps in WP1, WP2 and WP3.

7. WP3 – elements of context 1/4typology of access technologies • Wireline: • xDSL, usually in urban areas; technology using high frequencies of the copper telephone line to transport Internet data, VoIP or IPTV, typically 512kbps up to 2Mbps, 8Mbps in projects • Dialup on PSTN, whenever the technological constraints prevent from using xDSL, typically 40kbps up to 80kbps with accelerator • Radio access depends on frequency and spectrum available, density and application for targeted areas: • CDMA1x or EVDO, on extended areas with low density, 115kbps up to 512kbps • GPRS/Edge, GSM data evolution, typically 150/30kbps, usually covering the GSM footprint • HSxPA, based on UMTS 6/1,2Mbps currently available in Egypt • Wimax, used in CAR, Botswana, Mali, Cameroon, Guinea-Bissau; planned in all countries where a wireless alternative to xDSL is required • Wifi: indoor coverage/ hotspots coverage in complement to Edge/WCDMA/HSxPA

8. WP3 – elements of context 2/4Current broadband situation and challenges • Current broadband customers in Africa • Rich individual customers (upper class, 5% of population): target partly reached by xDSL, CDMA2000 and WiMax deployment • Business customers partly reached by these deployments • Existing collective access by cyber centers in urban areas to be expanded • Challenge for ISPs: to increase broadband customers at lower cost beyond high-end customers toward mass market in emerging countries • Action plan to develop the broadband penetration in emerging countries based on collective access offers adapted to these markets • To complement existing xDSL coverage • To launch offers in areas not covered by copper lines • To launch offers in new markets

9. WP3 – elements of context 3/4Why choose a broadband access based on a terrestrial wireless network as a priority • Very high investments necessary to extend fixed networks • Strong presence of deployed mobile networks to support wireless network deployments • Potential upgrade to EDGE, EDGE+, even 3G/HSxPA (with refarming of 900 MHz) • Cost mutualization (acquisition, maintenance, exploitation of sites) of access networks • Backhauling capacity (existing or not) • Possible leverage of existing WiMax deployments (Active, Pilots or forecast networks) • License acquisition • Potential xVNO agreements • Do not single out one radio access technology, but to analyze different solutions and access modes depending on local conditions • To promote local content distribution at lower cost (no systematic international connectivity contrary to satellite solution) • In time, potential cause of decrease of costs related to IP transit based on satellite and submarine cables

10. WP3 – elements of context 4/4Deployment projects of optical fibers and sub-marine cables in Africa EASSy project An initiative to connect countries of Eastern Africa via a high bandwidth optical fiber to the rest of the world Continental deployments of optical fibers

11. WP3 objectives • The goal of the work package is to devise a generic approach to the "last mile" issue in developing countries, by assessing each key technological solution in the light of a typology of local contextual factors. The expected outcome is a set of recommendations (technological roadmap) for initiatives to be considered in the domain. • Modus operandi: • To study each technological solution relatively to local socio-economic conditions and to specific constraints and costs (like power supply or international Internet connectivity) • To define a set of optimal technology/context mixes, by focusing on a limited – yet representative – number of sub-Saharan African countries • Deliverables: • D3.1 State-of-the-art analysis of the broadband access and infrastructure domain (June, 2008) • D3.2 Workshop on wireless access and infrastructure in Africa (October, 2008) • D3.3 Access and infrastructure roadmap (December, 2008)

12. WP3–task 1: state-of-the-art study 1/2Orientations • The aim of this task is to work out a thorough evaluation of existing or emerging wireless technologies which can be used to serve the local loop in developing countries: • WiFi and WiFi mesh, • WiMax, • Edge, Edge+ • CDMA, • 3G/HSxPA, … An additional workstream will be dedicated to the analysis of the first commercial offerings currently available in Africa. • Expected outcomes: the document is expected to provide a state-of-the-art study of the relevant technologies (including available CPE per system), identifying key players in the domain (manufacturers, service providers, and carriers), existing local initiatives in broadband market and potential EU stakeholders to be involved in the future initiatives. • Methodology: both in-lab work and field work will be conducted. The bulk of "back-office" investigations are being carried out within Orange Labs, as other in-house research capabilities can be leveraged in this respect. Field interactions will take the form of joint research projects between Orange Labs and local Orange business units in Africa, and interactions with local research institutes and NGOs. Target delivery date: June 27, 2008

13. WP3–task 1: state-of-the-art study 2/2Modus operandi • Research currently conducted within Orange Labs is distributed among 6 sub-WPs: • Access networks and architecture • performance of each access technology and network architecture deployment • cost of network infrastructure and user terminal • CPEs for emerging markets • benchmark of CPEs with wireless infrastructures • Use cases • collective uses, B2B2C, individual... • Transit IP / backhaul / transmission • solutions to cut costs of transmission / backbone / transit • Business analysis and solutions • benchmark of ICT players (Nokia, Microsoft, …) in emerging countries • Low-cost terminals • coordination with DWF WP2 • Availability ofinternal key deliverables: • 1st version of "use cases" document released on Apr. 14 • see focus on the experiment planned in Botswana in the 2nd part of this presentation • Benchmark of CPEs with wireless infrastructures: Apr. 30 • Benchmark of ICT players (Nokia, Microsoft, …) in emerging countries: May 31 • "Performance and architectures of radio access networks" study: Jun. 15 • Presentation of the state-of-the art study in Brussels: Jun. 27.

14. WP3 – task 2: workshop on wireless access & infrastructure in Africa • The objective is to set-up an event organized locally to verify the main findings gathered in stage 1 and enrich them with additional interactions with local actors. The event should gather actors involved in the production of the state-of-the-art study, and other relevant local institutions and organizations. • We expect the workshop to generate the following outputs: • refined view (as compared to that generated in stage 1) of existing and emerging technologies, local initiatives, and players • identification of research tracks previously unexplored • expansion of the DigitalWorld ecosystem in the field of access/infrastructure • Methodology: Participants will be recruited among actors mobilized in stage 1, other DigitalWorld contributors and local relevant organizations. The meeting will naturally take place in Sub-Saharan Africa as the project focuses on this region; the precise location has yet to be defined, however the host organization is likely to be a DWF partner or an Orange business unit for practicality. Target date for the event: mid-Oct., 2008

15. WP3 – task 3: construction of an access and infrastructure roadmap • The objective is to come up with a technological "toolbox" that can be used in most developing countries. For any given "market profile", our goal is to identify the best suited technology, or possibly a combination of technologies in some cases. • Expected outcomes: the document is expected to provide a synthesis of main findings generated in stages 1 and 2, and a set of recommendations for appropriate initiatives to be undertaken at EU level. • Methodology: putting together the outputs of the workshop and the main findings collected in task 1, Orange Labs, jointly with local partners, will first strive to identify homogeneous market profiles. The following task will consist in equating a given technology to a set of local parameters, so as to work out a matrix view likely to describe most market situations. Target delivery date: Dec. 15, 2008

16. Focus on the Meraka-Orange experiment 1/5Objectives • "Raison d'être" of the proposed field experiment: to give the technological roadmap a credibility boost by incorporating the feedbacks of potential users. • The proposed approach is a 2-stage one: • Capitalization on experimentations currently deployed or co-deployed by the Meraka Institute with a focus on "collaboration@Rural"/C@R: local network relying on existing mobile infrastructure (eg GPRS), with a pivotal role of Infopreneurs in the provision of social/business information, • Based on inputs collected in stage 1, establishment of a new experimentation facility in Orange footprint, with: • attention to professional usages • expansion of the C@R approach to the broadband domain

17. Focus on the Meraka-Orange experiment 2/5Modus operandi: main lines • The experimentation stage is scheduled to be undertaken over a period of 3 months. • It should be designed around a narrow use case which allows for testing the impressions of users about the following issues: • cross subsidization or sponsorship of access to broadband infrastructure amongst business users; • appropriateness of services that encourage collaborative business activities. • For practicality, the experiment ought to take place in an English-speaking country (so as to easily leverage existing Meraka materials) located within Orange footprint: • Botswana is a perfect candidate for the first instance… • … with a possible subsequent replication of the experiment in Kenya, with Telkom Kenya's support… • … and Ghana (leadership: DWF partner OneVillage Foundation). work in progress

18. Focus on the Meraka-Orange experiment 3/5Modus operandi: the key role of Infopreneurs • The following ICT-empowering package could be deployed on 4-5 so-called "Infopreneurs": • 1 laptop • EDGE access • VoIP • networked apps • The Infopreneur model has been developed by the Meraka Institute as a means of addressing staffing and sustainability problems experienced at community level service centers: • Infopreneurs are self-employed “social” entrepreneurs utilizing ICTs to enhance the range of their service offering. They are ideally based at community centers that aim to service small medium & micro enterprises (SMMEs) and ordinary citizens; these centers usually lack the human capacity to successfully deliver on their mandate. • In order to achieve the relevant skills, Infopreneurs are put through appropriate training programs. work in progress

19. Focus on the Meraka-Orange experiment 4/5Modus operandi : target use case • An exemplary use case is the collaborative replenishment of stock amongst shop owners in rural villages as is being implemented in the FP6 project C@R. The background of the use case is as follows: • Most rural villages in South Africa are about 30km away from towns, where wholesalers are located; • For a shop owners to replenish stock, they have to travel to town to make the purchase and arrange transport to deliver the stock back to the village; a shop owner can make up 2 to 3 trips per week to town as they buy in fairly low quantities: transport is therefore a very significant cost factor in the operations of such shops; • In the c@R project, a solution is being tested to allow shop owners to place orders for goods through mobile phones (e.g. SMS); • These orders are agglomerated by an Inforpreneurwho places the orders with wholesalers and, where possible, arranges for joint delivery of the stock. • This use case could be adopted in the envisaged experiment provided similar circumstances are encountered in the targeted user community. Otherwise some adaptations may be made or a similarly simple use case will have to be designed. work in progress

20. Focus on the Meraka-Orange experiment 5/5provisional work plan • Week 7 - 15: iterative brainstorming sessions between the Meraka Institute and Orange Labs to evolve the experimentation scenario • Week 16 - 19: coordination meetings between the Meraka Institute, Orange Labs and Orange Botswana (involvement of OVFG for information) • Week 20: 1st Meraka preparatory mission in the field • Week 22: finalization of the experiment (joint Orange-Meraka mission) • Week 23: inception of the experiment • Week 35: end of the experiment • Week 40: main results of the experiment are made available work in progress

21. Perspectives • All remarks, reactions, contributions, relevant to DWF / WP3 are welcome! • bruno.conquet@orange-ftgroup.com •  +33 1 45 29 45 01 • DWF / WP3 is but the first of many such cooperative actions that the FT-Orange Group wishes to undertake in the years to come: • We are open to partnerships of all kinds with organizations who want to address the "North-South divide" from an ICT perspective • Please feel free to contact us!

22. thank you!