Trade in Telecom

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Information about Trade in Telecom
Science-Technology

Published on December 24, 2008

Author: minges

Source: authorstream.com

TRADE IN TELECOMMUNICATIONS : TRADE IN TELECOMMUNICATIONS Michael Minges Telecommunication Development Bureau Telecommunications and Economic Growth Webster University Geneva 20 September 1996 Topics : Topics Trade in telecommunication equipment Trade in telecommunication services Rules and regulations Global electronic commerce TELECOMMUNICATION EQUIPMENT TRADE : TELECOMMUNICATION EQUIPMENT TRADE Telecommunication equipment exports US$ billions Top telecom equipment vendors : Top telecom equipment vendors Trade-dependent : Trade-dependent How can developing countries pay? Generate enough service revenues Have strong currency Multi-lateral loans (World Bank, EIB) Declining Bi-lateral loans Tied Make own equipment China, Korea Foreign Investment Telecom equipment exports, 1994 Developing 3% TRADE IN TELECOM SERVICES : TRADE IN TELECOM SERVICES Cross-border supply Consumption abroad Commercial presence Presence of natural persons Cross-border supply : Cross-border supply Twenty years of talking International telephone traffic Billions of minutes Developing countries Traffic growth GDP growth Imbalance : Imbalance Growing imbalances creating pressure for reform of “Accounting rate” system Growing call-back exacerbates problem Net telephone traffic Minutes, 1994 Consumption abroad : Consumption abroad Home billing Global System for Mobile Communications (GSM) Global Mobile Personal Satellite Systems Cellular subscribers Western Europe, millions Presence of “natural” persons : Presence of “natural” persons Commercial presence : Commercial presence Liaison office “Watching” function Foreign Direct Investment Privatization Joint ventures International partnerships Foreign Direct Investment : Foreign Direct Investment “Only foreign investors can save Mongolia. We must do everything to attract them.” “Little countries like ours [Zaire] are in desperate need of help in developing infrastructure in things like telecoms, and we’re grateful for whatever can be done. But we mustn’t lose sight of what the world ‘help’ means. We’re not negotiating the carve-up of the world for the benefit of only half-a-dozen countries.” Privatization : Privatization Telefónica del Perú (35%) 1994: US$ 2 billion CANTV (6%) (Venezuela) 1991: US$ 300 million Telefónica de Argentina (21%) 1990: US$ 160 million CTC (44%) (Chile) 1990: US$ 400 million Joint ventures : Joint ventures TELECEL: AirTouch (USA) 23% AIRTEL: AirTouch (USA) 16% OMNITEL: AirTouch (USA) 12% BellAtlantic (USA) 12% Telia (Sweden) 10% BELGACOM MOBILE: AirTouch (USA) 25% Ameritech (USA) 13% TeleDanmark 12% Singapore Telecom 10% NORDICTEL: AirTouch (USA) 51% MANNESMAN: AirTouch (USA) 35% C&W (UK) 5% ONE 2 ONE: US West 50% Foreign investment in Western Europe Cellular Operators Ö CALL: Deutsche Telekom 25% SONOFON: BellSouth (USA) 29% Vodafone (UK) 25% E-PLUS: BellSouth (USA) 21% Vodafone (UK) 17% SFR: BellSouth (USA) 4% Vodafone (UK) 10% NETCOM: Singapore Telecom 17% STET HELLAS: STET (Italy) 75% PANAFON: Vodafone (UK) 45% France Telecom 35% EUROPOLITAN: Vodafone (UK) 19% LIBERTEL: Vodafone (UK) 35% ORANGE: Hutchison (HK) 65% ESAT: TelNor(way) 38% INTERNATIONALREGULATIONS : INTERNATIONALREGULATIONS ITU Equipment standards Numbering Traffic settlement principles Frequency conflicts Policy discussions GATT / WTO Equipment trade barriers General Agreement on Trade in Services (GATS) Annex on Telecoms Negotiating Group on telecoms General Agreement on Trade in Services (GATS) : General Agreement on Trade in Services (GATS) Most-Favored Nation Transparency Domestic regulation Monopolies and exclusive service supply Business practices Market access National treatment Annex on Telecommunications WTO timetable : WTO timetable 1986-1993: Uruguay Round 15 April 1994: Marrakech Treaty 1994 - 1996: Negotiating Group on Basic Telecommunications (NGBT) April 30 1996: “Standstill” on NGBT December 9-13, 1996: WTO Ministerial Conference, Singapore Jan 15 - Feb 15 1997: Reopening of Group on Basic Telecommunications Implementation of agreement on basic telecommunications on January 1 1998? APPLICATIONS: Global electronic commerce : APPLICATIONS: Global electronic commerce Telecommunications for other services Banking, travel, etc. Off shore software development Telecommunications as commerce Voice services Information services Telecommunications as trade facilitator Trade points EDI Communications for other services : Communications for other services Internal networks Banking, airline industry Customer interaction Call centres International freephone Delocalization Off-shore software development SWIFT Messages Millions Banks connected (right scale) Communications as commerce : Communications as commerce Audiotex Videotex On-line services Internet Interactive TV-based services Internet host computers World, 000s Communications as trade facilitator : Communications as trade facilitator Trade points EDI EDI users Estimated distribution

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