Intel's advice for ICT growth

Intel's general manger for Asia-Pacific, Navin Shenoy, proposed that expenditure be sourced from the Thai Khemkhaeng project.

He said the government should invest "smartly" in education to allow children throughout the country to have equal access to ICT, to enhance their learning experience.

An improvement in the national digital infrastructure would help small- and medium-sized enterprises (SMEs) by giving them a better chance to improve their business competitiveness. Investment in the correct technology would help to bridge the digital divide by giving people living in rural areas an equal chance to access knowledge.

Shenoy said that WiMax, short for Worldwide Interoperability for Microwave Access, was a technology suitable for current investment that would help Thailand to move forward quickly.

He said the government's new infrastructure investment should include investment in ICT infrastructure at the same time.

Thailand could also benefit from lower WiMax-investment costs because many countries in the region have been investing in the technology, including the Philippines, Malaysia, Singapore, Vietnam, and Indonesia. This will bring the cost of WiMax infrastructure and equipment down dramatically, he said.

"Rural broadband is a fundamental need for the country's improvement as a whole, and WiMax can play a key role in bringing broadband to the rural areas of Thailand with effective investment," Shenoy said.

However, to make rural broadband a reality, the government first had to make the WiMax spectrum available, with a clear directive. Then, private organisations could build business plans.

"WiMax could be a key factor to drive an increase in Thailand's broadband penetration rate. Every 1 per cent of broadband penetration equals one per cent of gross-domestic-product growth. Broadband will deliver the utilities [services] that everyone deserves," Shenoy said, adding that the country's economy will be larger if a WiMax infrastructure is laid down throughout rural areas.

"There is an opportunity gap upcountry, and you can see it in the fact the most PC growth is upcountry," he said.

Shenoy suggested that the Thai government could play an important role in making a rural broadband network available in the not-too-distant future by introducing policies, tax incentives and government purchases.

"The availability of broadband infrastructure both in the cities and rural areas would improve Thailand's education by giving students equal access to ICT, would improve the country's competitiveness and bridge the digital divide."

To get things moving, Intel has launched a mission it calls "5 by 10", which aims to push Thailand to achieve 5 million broadband ports before the end of 2010. The aim is consistent with the government's goal to increase the PC penetration rate for students from 40:1 to 20:1 in the next three years.

Shenoy said Intel would support the government's investments with its knowledge, experience and technology transfer. It is not yet committed to any financial investments.

To date, Intel Capital has invested in WiMax in four Asian countries: Taiwan, Japan, Australia and Malaysia. Its investment totals between US$20 million and $50 million (Bt675.67 million and Bt1.68 billion).