The telecom sector in Bangladesh showed a significant growth in mobile dissemination that has exceeded all expectation compare to the other countries. It has certainly a trans-formative impact on the economy in terms of aggregate investment, FDI and productivity level. There is likely to be a whole new wave of innovation and value added services as well as data for telecoms players. The government of Bangladesh’s commitment to a “Digital Bangladesh” is also likely to present major opportunities for the sector.
Technological progression in the field of telecommunication has brought in new generation technologies in the International Long Distance Telecommunication (ILDTS). The VoIP technology succeeded in proliferating popularity due to its low cost and compatibility with a host of different Internet Protocol (IP) based networks.
The vision of Digital Bangladesh of government to ensure the socio economic development by creating new technological revolution and connected to the global community. The government also ensures that the information and communication system is obtainable and affordable to the general people in rural areas in every corner. The new ILDTS Policy will help to renovate the idea for “Digital Bangladesh” into reality. The Government will follow this policy as a part of its pledges to the people to ensure easy entrance to information and technology as one of the means to achieve economic liberation.
As per the information provided in the official web portal of BTRC (Bangladesh Telecommunication Regulatory Commission), there are total 24 International Gateway (IGW) Service providers in Bangladesh including the Govt. owned BTCL. To liberalize and legalize VoIP in the country, the government formulated “International Long Distance Telecommunication Services (ILDTS) Policy 2007” and delegated this to the Commission for implementation. As suggested in the ILDTS Policy, BTRC has successfully issued four International Gateway (IGW) Licenses in 2008. As the sector has comparatively high regulatory issues compare to other business the Threats of new entrance is bare minimum.
The industry consists of 24 (twenty four) licensed
company & IOF members are divided into two group where Tier-2 consist of
Seven members Unique Infoway, Digicon Telecommunication, Mirtel Ltd, Bangla
Trac Communications, NovoTel, Roots Communication and Global Voice telecom --
will now be controlling the common network switch for interconnection and call
termination. The ratio of profits sharing on a ratio of 1:1.9 between tier-1
and tier-2 operators after deduction of the revenue, which means tier-2 operators
get the opportunity to almost double their profits as against those of tier-1
operators. The company will realized revenue equal to all Tier-1 companies.
The use of Viber, Messenger, Whatsapp are increasing day by day. And many other apps are starting voice calling services. The new addition on voice call services provider is Instagram and Sanpchat. They are the major substitute for IGW service Provider Company. From 2015 there is a revaluation among the apps industry which create a negative impact on IGW industry.
Currently BTRC have revised international incoming call termination rates. The minimum rate has been re-fixed at $0.0175 and maximum at $0.0250, according to a letter sent the telecom regulators sent to the mobile phone, IGW and ICX operators. It said the new rates go into effect immediately. The minimum international incoming call termination rate was $0.015 and maximum $0.035 until now. The BTRC letter says state-owned BTCL and all other International Gateway or IGW operators will terminate international calls at maximum rates within the fixed rates. The letter says, it will be considered as a move to bring fewer foreign currencies to the country and the BTRC will take help from the Bangladesh Bank. The mobile-phone operators say the revision of the rates has created more opportunity for the IGW operators to increase their profits.
The government in a report last year said number of daily calls dropped from 110 million to 75 million, causing nearly Tk 20 million in lost revenues. Currently, the BTRC gets 40 percent of the revenue from international call termination, IGW operators 20 percent, ICX operators 17.5 percent ANS receive 22.5 percent.
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