1. 1 Bandwidth for All Judith Mariscal Mexico City, September 5 th Acorn Redecom Conference 09

2. What is the need for and viability of building an alternate IP backbone network? Panel Discussion

3. 3 ICT development Voice services are now more widely available, yet Internet penetration… Source: ITU (2009)

4. Latin America still lags behind other regions in broadband penetration (2007) Low broadband penetration Source: Multilateral Investment Fund

5. Lack of adequate backbone implies that significant opportunities for economic and social enhancement are lost: Multiplied effects of network externalities (employment growth, productivity, innovation and value chain re- composition). Impact and efficiency of public and private investments. Without adequate broadband: increased digital exclusion. Broadband Importance

6. Mexico: Broadband Penetration Source: OECD Broadband Portal Mexico: 7.2 in broadband penetration

7. Mexico: Broadband Prices Accessability. Mexico: 59.52 USD PPP Source: OECD Broadband Portal

8. Mexico: Broadband Quality Source: OECD Broadband Portal Note: Advertised speeds are typically the theoretical maximum for the employed technologies. Users have lower speeds.

9. 9 62% of homes in Mexico has access to one competitive network (fixed) Infrastructure Deficit Mexico: Fixed networks Source: The Competitive Intelligence Unit

10. Key policy objective is to provide widespread and high quality access to broadband: –Improving connectivity, increasing competition, stimulating innovation / growth and increasing social benefit. Policy Objective

11. Technology: backbone, backhaul, last mile. Funding: Public (Australian case); Public-Private Mix; For Profit. Regulatory Models: –Pure infrastructure provider (carrier of carriers) establishes and leases out the backbone, or –Infrastructure and Service Provider. Regulatory Policy: Ex-ante regulation (minimal): non- discriminatory clause, wholesale network access. Strategic Choices

12. Panel Discussion What safeguards should be in place to promote fair competition under this scenario? And what institutional conditions are necessary to avoid falling into the same oversights that have caused uneven network development and market inefficiencies in the region?