Will Reducing Internet Import Costs Benefit Consumers?

The Bangladesh Telecommunications Regulatory Commission (BTRC) has recently amended a provision in the guidelines for International Internet Gateways (IIG) and International Terrestrial Cables (ITC). This change aims to create parity in bandwidth supply and revenue sharing between six ITC companies imported from India and the state-owned Bangladesh Submarine Cable PLC (BSCCL). However, the pressing question remains: how will these changes benefit consumers?

Expectations of Cost Reduction

Market analysts suggest that this amendment could lead to an annual savings of approximately $12 million. Additionally, government revenue is expected to increase by around 1.08 billion Taka. But will these savings reach the consumers? This is a critical question, as it largely depends on the willingness of Internet Service Providers (ISPs).

Potential Benefits for Consumers

Lower Internet Costs: If the reduction in import costs leads ISPs to decrease their service prices, consumers could enjoy lower internet expenses.
Enhanced Services: A decrease in bandwidth costs may allow service providers to improve their service quality, such as offering faster internet speeds and better customer support.
Adoption of New Technologies: Affordable bandwidth could lead to increased use and innovation of new technologies, benefiting consumers with more convenient options.

Caution and Challenges

However, it remains uncertain whether the full benefits of these savings will reach consumers. The actual impact will largely depend on the goodwill and initiatives of the ISPs.

Additionally, BTRC has indicated plans to reduce bandwidth imports from India to 30%, while simultaneously aiming to increase submarine cable supplies through BSCCL to 60%. The remaining 10% is expected to be supplied via satellite.

A New Horizon of Possibilities

These changes could open up new avenues for Bangladesh’s internet sector, strengthening the country’s digital infrastructure and enhancing its competitiveness in the international market. It is crucial for service providers to leverage these savings for the benefit of consumers.

Overall, while reducing costs in internet imports is a positive step, the realization of benefits for consumers will depend on the proactive efforts and commitment of ISPs.