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Commercial Internet Connectivity in every village - Towards Doubling Rural GDP in India

Commercial Internet Connectivity in every village - Towards Doubling Rural GDP in India. Ashok Jhunjhunwala TeNeT Group, IIT Madras, Chennai, India ashok@tenet.res.in. The Dream. Current Rural GDP in India = Rs 650 Crore For a Population = 65 Crore people GDP / Person = Rs 10000.

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Commercial Internet Connectivity in every village - Towards Doubling Rural GDP in India

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  1. Commercial Internet Connectivity in every village- Towards Doubling Rural GDP in India Ashok Jhunjhunwala TeNeT Group, IIT Madras, Chennai, India ashok@tenet.res.in

  2. The Dream Current Rural GDP in India = Rs 650 Crore For a Population = 65 Crore people GDP / Person = Rs 10000 Rural Prosperity DOUBLING Rural GDP Rs 20000 / Person

  3. Agriculture Trade & Commerce Animal Husbandry IT-Based Services Agricultural Processing Industry Rural Wheel of Prosperity - The Wealth Creators

  4. Rural Wheel of Prosperity – The Enablers Agriculture Trade & Commerce Animal Husbandry • Finance • Commerce • Training & Information IT-Based Services Agricultural Processing Industry

  5. Agriculture Trade & Commerce Animal Husbandry IT-Based Services Agricultural Processing Industry Enabling Finance, Commerce and Training and Information The Key Enabler is Communications

  6. How does one connect Rural India • India has 600,000+ villages • 650 million people • can Rural India afford Connections? • Need • Technology • Sustainable Business Model • Organisation which can think and act Rural

  7. Serving people with incomes ofless than a dollar a day Rs spend per month on Telecom by HH assuming 4% of income can be spent on Telecom 120 360 520 720 1040 1680 2600 7000 • 75% rural households can spend barely Rs 120 per month on telecom

  8. To PSTN • 35/70 kbps Internet plus simultaneous telephone • Rs 8000 per line price • 1 million lines in 03-04 To Internet n-Logue uses innovative Technology to connect Rural India • BSNL has fibre connectivity to most Talukas • CorDECT WLL developed at IITM • provides a telephone line and Internet connection in 30 Km radius • can connect 85% of Indian villages • start-up costs very low

  9. Aggregate Demand • Entrepreneur-driven telephone booths (STD PCOs) introduced in 1987 • night-time long distance charges reduced by a factor of 4 • Today • 950,000 STD PCOs covering every street of smallest town • generate 25 % of total telecom income • 300 million people use these PCOs

  10. Organisations with Innovative Business Models • N-Logue :A Rural Service Provider • aggregate demand into a kiosk using • Rs 50000 (including taxes) per Kioskproviding telephone, Internet, multimedia PC with web-camera, printer and power back-up for PC • plus Indian language software, video conferencing software, training and maint • set up by a village entrepreneur on the line of STD PCOs • needs only Rs 3000 per month to break even

  11. A Computer • With Speakers and Microphone • A Web Camera • Printer • An Internet Connection • A Power Backup • Local Language Applications • At under Rs 50,000 1] - Equipment

  12. Telephone Backbone Application & Content Providers Internet Backbone • Scope: • 1 –3 Talukas • 25 Km radius, 2000 sq km • 4 – 500 K population • 2 - 5 towns • 300 -400 villages 500 + Connections (at least 1 in each village) ACCESS CENTRE • Connections: • Individuals • Government • schools and PHCs • Kiosks LSP Banks $ 1000 / Kiosk KIOSK OPERATOR Banks Micro Finance Organisations n-Logue Deployment Strategy

  13. Word-processor in Indian Languages

  14. Multi-lingual Office Package IITM - Chennai Kavigal

  15. Video-conferencing from OOPS/IITM Communicating with the Communications Minister (Shri Thirunavakarasu)

  16. Before After In a Village in Madurai, the Lady’s Finger (Okra) crop was turning white The Agricultural Expert is no longer far away … The problem was sent to the experts at the Department of Rural Extension, Madurai Agricultural College and Research Centrewho diagnosed it as “Yellow Mosaic disease”

  17. Saving to farmer - Rs 1.5 Lakhs Cost of Information - tens of Rupees The Farmer’s Field Savings

  18. This goat had a wound near its mouth and could not eat for a week • The advice from the doctor cured its problem in 2 days The Vet is On The Net …

  19. Emergencies are no longer Calamities … In the village of T Pudupatti, all hens are dying one by one. The symptoms for these hens are: First, their weight reduces and finally, their necks shrink. At this stage they die immediately. Until now, 300 hens have died in this way. How do we stop this? Please give us a solution immediately. From A. Sakkarai"

  20. A visit from the Government Veterinary Officials to vaccinate all hens … because Help is at Hand

  21. Epidemics can be prevented with a Doctor on Call • A potential epidemic of Chicken Pox was halted by a simple email to the right people • Instant response from the Government Doctors

  22. This is Veeramani - a man with disabilities • His job was to operate the pump for the Village Overhead Tank • The Village Head removed from his job and gave the post to one of his relatives • Through the kiosk, he sent an email petition to the Chief Minister’s Cell, attaching a photograph of himself Ordinary People have a Voice …

  23. 58276 In response to the CM’s letter, the BDO sent instructions to the Village Head that he given back his job - permanently A letter came back from the CM’s Cell asking that he be reinstated Even the Chief Minister is not far away …

  24. An email is sent to the Aravind Eye Hospital with a photograph attached • The patient is told that her problem was not serious and could wait for some time • The Benefits? • She saved a visit to the hospital • She knows she has to make that visit after 2 months Eye Care

  25. Online Consultations

  26. General Health – An Online Clinic with a Doctor

  27. Talking to an Agricultural Expert

  28. Video-conferencing (6 kiosks in conversation)

  29. Bridging the Digital Divide – Computer Education for Rural Children

  30. Digital Studio – Low cost Photography Photograph taken with a Web Camera Photograph at Printing

  31. Can Kiosks become Micro-banks? • TeNeT and n-Logue working with ICICI Bank • Remote Bill Payment • Rural ATM • Micro-finance • Remittance • Credit and Product Marketing is one of the biggest requirement of Rural India

  32. Knowledge and Training • Another Driver of Rural Prosperity • Information Dissemination and Knowledge Enhancement • Need a Virtual University in every Districtto enable this • Basic Structure would • Consist of a Central Hub • And Knowledge Extension Centres in every village

  33. The Extension Centre • Virtual Extension of the University • Located in Every Village • Enhanced Village Internet Kiosk equipped with • Computer(s) • Internet Connection • Web Camera and Multimedia • Power backup • Local Language Software • Run by a local person who is trained to facilitate the learning process There will about 1000 such Extension Centres in Every District

  34. To Sum Up • Doubling of Rural GDP will change India • Finance, Commerce, Training & Information are key • Wireless Internet can enable these • Internet in Rural Area is the key Infrastructure for a prosperous India

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