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Tuesday, January 20, 2009

Indian ISPs have been charging exorbitantly high prices, with no quality, or speed in return. Interestingly, there is this option of free internet coming soon J ! Now, Indian government plans to give out free internet all across the country by 2009!! Thanks to the visionary we have, our Honorable Respected Prime Minister Dr. Man Mohan Singh! Of course, you must be having many questions about this all, but a detailed news article in ET has all your answers.

The hows and whys are explained somewhat in the news report.

But, think of this, why internet? Forget free, isn’t at least reducing the price and providing a better speed a need of the hour? Today’s is the Information Age: the world will be able to tell the rich from the poor not by GNP figures, but by their Internet connections. The internet is surely one of the important tools behind globalization, or in other words, ‘A Flattener’ which causes flattening process of the globe. Can you guess which place has the maximum business and allied transactions in world?

Even if the oil prices are low and hovering at $46 or so, no one knows when will demand go up or the supply goes down. Remember that oil producers are all authoritarian regimes and it’s up to their wish regarding the supply. More the processes go online; lesser people have to travel, lesser they have to hit the roads and use a vehicle. More use of Internet will reduce dependency on oil; however, this is not a permanent solution to oil demand and traffic jams/congestions. But, meanwhile getting majority of the things done online can also help. It will surely save your time and money on petrol/diesel. India is already the 6th largest consumer of oil!

It is sure to spearhead economic progress with a higher speed. When we are famous for software/IT industry, and boast about the no. of engineers churning out, shouldn’t the Net be highly penetrated?

Also, the Indian e-commerce industry hasn’t witnessed a boom, and more penetration of internet also means an increase in the Services industry. India’s growth is mostly driven form services sector and we still have space to grow. Currently, Indian services sector accounts to around 60% of the economy. Most of the developed countries have services sector at 75%.

A key difference between India and China is the fact that India has much higher quantity as well as quality of entrepreneurs. There are many Indian entrepreneurs willing to jump into startups in the online space. The reduction of internet prices and better speeds is going to help businesses the most, apart from many other households. The more and more companies start plying into the online space; that’s for sure, is going to generate more employment.

Another key difference between India and China is the fact that India has a large English speaking population. It is this tool that helped us in getting a pie in outsourcing and the profits would be maximized even beyond outsourcing in case we open up more to the world; of course I mean with more internet access. In these times of recession, many surviving companies are looking for cheaper costs and there is on destination better than India in this regards, at least as of now.

Internet is also one great tool to ensure equality of opportunity. Free internet will help effectively to those in rural India as well. Access to all of world’s information to rural Indians will prove out a great tool to help millions out of them come out of poverty; the same way it has helped a developing country like India to bring millions into the middle class.


China has recently reached the top. If you observe, this is somewhat also the list of the top 10 economies! The more internet-friendly a country, stronger is its economy. By number though India, China may seem ahead but they are pathetic in terms of penetration.

India, one of the world leaders in IT and software has a pathetic 5.2% internet penetration, well below the global average of 22%!

I can’t stop to compare this with the Liberalization – Privatization -Globalization (LPG) of 1991 when Man Mohan opened up the Indian economy to the world. Yes, this is the time when we need to open up, get connected with the world faster and there is no need to say reducing Internet prices (or making it free) is the way to go! So, will 2009 be that great next landmark? Fingers crossed…

“Technology is only as powerful as it is accessible.
Broader access brings education, information, and
a sense of community that can help combat AIDS,
malnutrition, ignorance and neglect. The power of
a connected and enlightened world community
is just beginning.”

– Hector Ruiz, Chairman of the Board
and President of AMD

4 Comments leave one →
  1. dailyearthnews permalink
    Tuesday, January 20, 2009 7:24 pm

  2. Thursday, January 22, 2009 11:16 am

    Very interesting material. Podskazhiet pozhaylutsa how to subscribe to your new material, we do not want to miss something fresh. Thank you

    Sincerely George

  3. Monday, January 26, 2009 5:14 pm

    Hi George,
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