Exploring the Ways to Increase Broadband Deployments: A Critical Discussion and Possible Breakthroughs for Turkey

Mehmet Bilal Unver, Information and Communication Technologies Authority of Republic of Turkey

Abstract

How to devise and implement a broadband strategy has been figuring on the agenda of many developing countries as well as developed countries for a decade. Broadband strategy hinges upon a number of parameters, i.e. geographical restraints, availability of alternative networks, prevalence of ICT facilities, entry level prices, etc. Whether and to what extent infrastructure-based or service-based competition to be adopted is another discussion which has its repercussions in building a broadband strategy. Turkey, among these discussions, is at the cross-road as to how to build a broadband strategy in face of a number of legal and economic barriers to entry, i.e. lack of authorizations in some areas, e.g. broadband wireless access, WIMAX; judicial breaks deterring competition in a number of services, e.g. cable and local call telephone services; no harmonised policy for rights of way. On the other hand, the aspiration of regulatory authority (ITCA) and the competition authority (CA) to open the existing networks and facilities to third parties prevents new barriers from being erected. Though contributing price competition, this latter aspect of broadband policy of the two agencies stands out as a challengeable attitude as it could adversely affect broadband deployments. As to the governmental policy, an encouragement policy to ensure availability of Internet across the country leaving the market with itself is prominent from the beginning. From this point of view, there is a disaggregated approach in deprivation of long-term analysis on part of policy makers. In this paper, promising access models for offering broadband services as well as the existing ones are examined with the view to envision a well-designed investment-based prospect for Turkish broadband market. After review of the entrenched methods available to ISPs including LLU, the possible breakthroughs that both government and the regulator would aim to achieve are analysed in the paper. It is ultimately proposed that, both infrastructure and service based competitors should be in place in liaison with investment-spurring governmental projects, i.e. allocation of a portion of general budget or universal service funds to broadband deployments, making ample capacities of utilities available to broadband operators, enlargement of tax reductions, introduction of new statutory rules enabling municipalities to build broadband infrastructure. While a variety of measures are put forward, it is found that making a multi-dimensional plan entailing all the relevant parties (e.g. municipalities, universities, public utilities), delegating a task force for implementing the plan, ensuring a level of flexibility nearby creating the necessary funds are the major success factors which Turkey should adapt itself as many of the developed nations have done before. Stronger coordination between governmental bodies, the regulator and the operators, and gradual forbearance from regulation of the entrenched models along with the roll-out of LLU and other emerging broadband platforms like FTTx are the other strategic behaviours suggested hereby. Last but not least, public debate over the broadband strategies and projects should be maintained on the country agenda, attracting more participants to discuss how to build and implement a sound broadband strategy in Turkey.