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The Government may be forced to take action in levelling the playing field for cable-based high speed Internet service, according to Phillip Paulwell, Minister of Commerce, Science and Technology.
"Cable operators have not delivered on their promise of high speed Internet access through cable modems, and the ADSL access provided by Cable and Wireless (C&W) is approximately US$93 per month," Mr. Paulwell told the House of Representatives on Wednesday.
The Minister, who was making his contribution to the 2004/2005 Sectoral Debate, argued that the C&W service charge was too expensive.
He added: "The limiting factor really is still the monopoly on submarine optical fibre connecting Jamaica to the rest of the world. We recognise that one of the basic inputs for affordable Internet access is competitive submarine fibre optic connectivity to the regional Internet hub."
Currently, companies offering Internet services are forced to go through the C&W network to connect local customers with the rest of the world. C&W is the only local company which has already laid cables from country to country along hundreds of miles of ocean floor, an initiative that costs US$millions.
LIMITED RANGE
It has been suggested within the sector that cable operators have also hesitated in implementing the service because the limited range of their licences do not allow for a viable customer base.
Currently there are nine cable operators licensed to provide Internet service locally. But a highly-placed official indicated yesterday that none, if any, have started supplying the service.
Paulwell's dissatisfaction with the slow pace at which cable operators have moved dates back to 2002. At that time, more than a year after the liberalisation of the telecommunications sector allowed cable operators to provide Internet service, the Technology Minister complained that only one company had latched on to the offer.
On Wednesday, he said: "The Government is encouraging and supporting companies which have shown interest in making this investment. Government participation in the venture might also be necessary in order to stimulate investor interest and assure adequate capacity at reasonable prices to public institutions."
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