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Fair Trade Technology – Tech that Helps the World. Lee Felsenstein, co-founder Fonly Institute 2460 Park Blvd. #1 Palo Alto, CA 94306 lee@fonlyinstitute.com. Lessons from Phon Kham - 1. Farming community unable to feed itself reliably High degree of social cohesion
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Fair Trade Technology – Tech that Helps the World Lee Felsenstein, co-founder Fonly Institute 2460 Park Blvd. #1 Palo Alto, CA 94306 lee@fonlyinstitute.com
Lessons from Phon Kham - 1 • Farming community unable to feed itself reliably • High degree of social cohesion • Taxed selves to improve school • Relocated from Plain of Jars (US bombing) • Resettled in unpopulated valley 85 km from Vientiane • All adults employed, children all in school and helping • Bad 4 km road from hwy. 13, impassable in monsoon • No desire to leave for Vientiane
Lessons from Phon Kham - 2 • Textiles sell for high prices in Japan and west • Prices offered by middlemen are minimal • Laotians overseas need textiles for weddings • Produce prices are low • no way to check competitive prices • Overseas village members led Jhai Foundation to village • Villagers requested telephone capability
Villagers have requested Jhai’s help with communications to improve economic and social conditions • Voice • Trading among five villages • Getting good prices at market towns • Talking with family and friends (like Jhai) overseas for connection, business and remittances • Data(Internet) • Fun and training for students • Accounting and recordkeeping • Telemedicine
Migration to Cities • Not drawn by opportunity but driven by necessity • Disease, prostitution, crime • Political instability • Disconnection from traditional culture
- + Environment as critical element INa OUT INb OUT *slam!* (INa - INb)* 100,000 = OUT (INa - INb) *slam!* OP AMP without feedback – an electronic tantrum
- + Environment as critical element OUT IN OP AMP with unity feedback – a useful component (OUT = IN)
Convergence - Divergence • Stable systems display diminishing response to disturbance • Unstable systems show increasing response • Until something breaks failure disturbance disturbance
Free Trade vs. Fair Trade • “Free trade” – rule of the strongest • No regard for consequences - “externalities” • Economic advantage trumps all other considerations • Resulting in destruction of agriculture in developing countries • Farmers are resources to be mined and discarded • Fair Trade – takes human interactions into account • Sustainable agricultural economy • Low prices come at a cost • Farmer is participant in market economy • Full access to market information
Fair Trade Technologies - principles • Migration by necessity is destabilizing to society • Necessary change involves: • Improvement of rural incomes • Reduction of cultural isolation • Improvement of opportunities to young • Telecommunications are essential factor
Enabling Technologies • Embedded Processors • Open Source Software • VOIP • Wireless Connectivity - 802.11
System Requirements • Village-based system, capable of operation by children • Telecommunication • Local • Internet • 10 year longevity minimum • Localized • General computer capabilities • Web browsing • Word Processing • Spreadsheet • Printing
The Jhai Communications System • 802.11b Wireless network • Linkage among villages • Data and VOIP to Internet • Internet telephony • Linkage to phone system via Open.323 • POTS calls • PABX functionality
Expats – the key to the solution • Expatriates (“expats”) crucial to distribution • Can aggregate cost of village system • Know the village and the players • Will maintain contact • Need closer cultural contact • Children lack knowledge of language • Written language • Stories and lore • Can provide commercial opportunities
Effects of Fair Trade Technology • Brings farmers into market economy as participants • Strengthens connections between community members and expats • Allows expats to assist community economically • Allows expat families to participate in community life • Allows access to world culture and information • Telemedicine • Agricultural information • Education
System Requirements • Rugged design and construction • Long lifespan – software and hardware • Localized – numeric control • Power supply applicable to other needs • Operable by schoolchildren • Minimal consumables – low cost of operation • Assistance through Internet • Ease of repair
Future Prospects • This is an industry in formation • Huge market if costs are low • Many global social benefits • Direct economic benefit to participants • Change in market structure and change in product design is not historically made by existing industry • It'll be fun