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[Satellite News 10-14-08] The rebuilding of Iraq’s communications infrastructure topped the agenda at Iraq Telecoms 2008, and satellite is one of six main areas the Iraqi government is focusing on as it looks to rebuild the system.

    Fixed line and mobile telephony penetration rates are still low, and with a lack of a comprehensive network, there are opportunities for multiple technologies, including satellite to play a critical role in the building of a new communications infrastructure, ,” Iraq’s Minister of Communications Farooq Abdulqadir Abdulrahman said Oct. 13 in London “Everyone knows that building new (communications) infrastructures is easier than upgrading existing infrastructures. We have pumped blood into the veins in terms of communications infrastructures. There is a big digital divide in Iraq. This is one of the main challenges for the Communications Ministry, reducing this divide.”

    Satellite technology already plays a key role in the country, particularly on the military side. U.S. Air Force Brig. Gen. Steven Spano, Multinational Forces Iraq/CCJ6, said that the military coalition was “dependent on satellite communications, [but] capacity was becoming saturated.” One of the issues facing the U.S. military is what will happen to the satellite capacity when the U.S. downscales its presence in Iraq.

    “We want to slowly transition some of these leasing costs,” Spano said. “We recognize that we are spending $300 million in leasing satellite costs. There is a strong military need for satellite communications. The Earth stations will ultimately go back to other areas where the military needs it. The Iraqi Security Forces will begin to have a need. Our goal is to help build terrestrial capacity. You need to get the right dependence. We have tried to push terrestrial communications, so we can free up satellite capacity. Satellite communications is limited.”

    One of the questions to come out of the show is whether Iraq actually needs its own domestic satellite network. While there are plans to bring a more up to date fiber-optic network, this is expensive and will take time to develop. Satellite could step into the breach, although as yet, there appears no plans to develop its own satellite network.

Investment

    Outside the oil industry, information communications technology is the largest growth sector in Iraq, and its growth over the next few years could also power the Iraqi economy. “We in the mobile industry have put a lot of blood and sweat into this industry,” said Ali Al Dahwi, CEO, Zain Iraq, one of the country’s largest mobile operators, commented,  We are in the largest business in Iraq. We should be the guiding light. We have 8.5 million customers. We have pumped $4.25 billion into the Iraq economy. We are not going to get a return immediately. We came to Iraq to stay in Iraq and are committed to Iraq.”

    However, issues such as having an effective independent telecoms regulator in Iraq are yet to be solved. “Conditions need to be right to attract investment,” said Sami Al Basheer Al Morshid, director telecommunication development bureau, ITU. “We believe the government needs to create an environment to encourage investment. The increasing use of wireless services means an effective spectrum wireless policy is needed. Iraq is in a period of transition. There is no time to be lost. The development of a robust [information communications technology] infrastructure is vital for security as well as the economy. We need to provide a secure infrastructure. Things such as e-government solutions can help. Human capacity building is essential. E-learning has proved to be an effective solution. The solutions that [information communications technology] can provide are limitless. The ITU is pushing ahead. Public and private partnerships have been an effective tool in terms of telecoms development. Now, is the time to build on the progress that has already been made. The time has come for the [information communications technology] industry to lead the way in Iraq and bring the country forward.”

    Phillipe Dongier, sector manager, global[information communications technology department, World Bank, said Iraq stood “at a historical moment” when it came to infrastructure. “When discussing infrastructure, you need to get all the pillars in place. The regulatory framework is critical,” he said. “Iraq has successfully attracted private investors in cellular and international services, in spite of country risk. There is a very strong base to build on. Having clear guidance is needed. The Ministry of Communications needs to be strong in terms of policy.”

    However, solving regulatory issues could be easier said than done. “We all to need to recognize there is a clash of cultures,” said Spano. “There has to be a strategy to build the confidence to bring the private sector in. The digital world means a new way of thinking. There is a lack of clarity in policy and governance. This is the most important sector within Iraq. It transcends every sector.”

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