Private Sector and Digital Divide in Asia

Private sector and digital divide in Asia

by KaiOS Technologies UN Goal Universal Internet Access in 2050 Internet enables seven SDGs How internet benefits to society

Creates digital Increase GDP growth Empower Reduce the services next generation gender gap

Mobile payments 10% broadband increase Create and finance Better access to Digital ID  1.4% increase GDP businesses government services, Welfare services Micro-entrepreneurship financial services, and job Knowledge sharing opportunities for women The lack of Internet amplifies exclusions

40% 40% 23% Less access in rural areas Of adult illiteracy in low income Less access for women countries (975m people)

Source - https://www.gsma.com/mobilefordevelopment/wp-content/uploads/2018/09/State-of-Mobile-Internet-Connectivity-2018.pdf 2.19 billion people in Asia are online

Source: www.internetworldstats.com/stats3.htm#asia 2.04 billion people in Asia remain un-connected

375m 750m Connected population

4.2b 2.19b Population living in areas 7.5b 3.5b Asia- with internet, but are not 1.63b connected 3.3b World Pacific Population Population Population living outside areas covered by internet

Source: www.gsma.com/mobilefordevelopment/resources/the-state-of-mobile-internet-connectivity-report-2019 Infrastructure is ready…

By 2020, 93% of the population is covered by 3G and 69% by LTE

Source: www.gsma.com/mobilefordevelopment/resources/the-state-of-mobile-internet-connectivity-report-2019 Infrastructure is ready and no longer the issue

Source: International Telecommunications Union Main remaining barriers are:

01 02 03 04

Affordability Accessibility Relevance Usefulness makes access and usage of mobile internet a reality for all Smartphones are not affordable 01 Affordable Smartphone ownership requires $14.29 daily income

1.175 billion people 135 million people 196 million people (86% of population) (80% of population) (72% of population)

$8 per day or less

172 million 66 million (84% of population) (61% of population)

Sources: www.gapminder.org ; www.itu.int/en/mediacentre/Pages/2018-PR01.aspx ; www.gsma.com/mobilefordevelopment/wp-content/uploads/2018/08/Accelerating-affordable-smartphone-ownership-in-emerging-markets-2017_we.pdf ; www.tradingeconomics.com/vietnam/poverty-headcount-ratio-at-$5-50-a-day-2011-ppp-percent-of-population-wb-data.html Data cost is still an issue 01 Affordable The ideal threshold for data affordability is not reached everywhere in APAC yet

Papua New Solomon Laos Nepal Mongolia Timor Leste Bangladesh Guinea Islands

1GB as % of 2.49% 7.37% 2.34% 11.27% 14.12% 3.54% 2.35% avg income

— affordable internet is where 1GB of mobile broadband data is priced at 2% or less of average monthly income (A4AI) Enabling affordable phones & data 01 Affordable $13 to 25 Smart Feature Phones with access to internet and apps

What does a phone offer?

The world’s most Voice control popular apps Use voice to open apps, navigate, and type. Including WhatsApp, YouTube, Facebook, and Google Maps.

Battery for days Durability Long-lasting battery life Withstands shock better than touchscreen that can last up to 5 days. phones.

Connectivity Affordability Wi-Fi, 3G/4G/LTE, Smartphone functionalities at less than half VoLTE, and GPS. the cost. Enabling affordable phones & data 01 Affordable

01 Preferred taxation (on devices)

02 Subsidies and financing

03 Create scale (devices and data sales) 02

Accessible Accessible Designed for first-time internet users

Familiar user Voice Localized experience assistant (80 languages) Access to basic services 02 App with curated content and tools to improve user’s lives Accessible

Digital skills

Education

Agriculture

Woman Empowerment

Health

Financial Education Partnerships for more impact 02 Designed for users in emerging markets Accessible

Central African Republic Pakistan

Burkina Faso Uganda

Côted’ivoire Kenya Thailand Ghana Rwanda

Togo Republic of the Congo

Benin Gabon

Nigeria

Cameroon South Africa

Partners Relevant 03 Relevant 56% of the web in English only; only 5% of world population are native English speakers.

Arabic content represents 0.8% and Hindi 0.1% of web content. Localized and relevant content 03 Relevant

1 4

World’s most 2 3 Institutional popular apps partnerships Local Developer “heroes” community 04

Useful Useful

Empower users to grow wealth

• Access to mobile money and banking • Access to micro insurance and credit • Enable communities to create local services and content Empower 04 women Useful

Find a job Learn new skills Financial tools Own business Case study India

506m ~900M people not connected to the internet in 2017.

366m Digitally excluded Not in possession of their first digital device

Mobile, voice & text only Mobile phone users waiting to be converted to data services 478m Connected, Internet citizen Total population Mobile Internet users 1.35 B

Sources: www.timesofindia.indiatimes.com/business/india-business/indians-gorging-on-mobile-data-usage-goes-up-15-times-in-3-yrs ; www.fiercewireless.com/wireless/industry-voices-shah-what-reliance-jio-india-can-teach-other-global-operators ; www.business-standard.com/article/companies/data-tariffs-stabilise-after-2-5-yrs-subscriber-base-grow-for-airtel-voda-119071000227_1.html Remaining barriers were:

01 02 03 04

Affordability Accessibility Relevance Usefulness KaiOS-enabled JioPhone

Free Cost of 1 GB of data with JioPhone

Source: Reliance Jio website Locally relevant content on JioPhone Educate users 01 Local language support

02 Field training / roadshows

Online tutorials & vocational 03 training India is now in the top two mobile data usage worldwide Results: JioPhone effect on data cost in India COST ÷ 44

₹226 USAGE x 25 ($US3+) 10.6GB

₹79 4.13GB

(Jio) ₹19 ₹5.14 1.18GB ($US0.07) 0.4GB

2015 2016 2017 2018 2015 2016 2017 2018

Average data tariff, Rs per GB Data usage per month, GB

Program in 500 rupees Rajasthan State subsidies 14.8 1.1

Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 5 m households 70%+ are women (estimate) in 6 weeks

105 150 million million

KaiOS-enabled by end of year devices now Join us in closing the digital divide Partnerships, content, and other questions

Sebastien Founder & CEO

[email protected] @SCodeville

Miora Director

[email protected]

@Miouri

Website: https://www.kaiostech.com/ Twitter: https://twitter.com/KaiOStech