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VAS would play ‘vital role in country\'s IT sector’ [ Trade & Market ] 2012-06-01
VAS would play ‘vital role in country's IT sector’
IT stakeholders think that VAS (Value Added Service) would play an important role in country's potential IT sector and the licence for the service should be given to local entrepreneurs to protect interest of both parties, operators and vendors.

Mobile operators and different IT stake holders put forward their suggestions at a roundtable on VAS licensing issue in the city and decided to work together.

Six associations jointly arranged the programme at BASIS auditorium on Wednesday.

The associations are: Bangladesh Association of Software and Information Services (BASIS), Bangladesh Computer Samity (BCS), Internet Service Providers Association of Bangladesh (ISPAB), Content Providers and Aggregators Association of Bangladesh (CPAAB) and Bangladesh Association of Call Center & Outsourcing (BACCO) and Bangladesh Mobile Phone Importers Association (BMPIA).

Apart from 'voice service' provided by mobile operators, other services on information, entertainment, health, education, livelihood, agriculture, finance etc maintained through mobile network are called VAS.

BASIS senior vice president and Chief Executive Officer of bdjobs.com AKM Fahim Mashroor gave a presentation on VAS in the programme while BCS president Faizullah Khan was in the chair.

Most of the participants said that the major portion of revenue that comes from VAS should be given to its providers, but now operators are enjoying most benefit out of the service.

They cited example of American 'apple market' where content providers, even Bangladeshis, get 90 per cent credit of their products and the rest 10 percent goes to the service providers. Operators said they invested huge amount of money in the telecom sector and they have to invest more for 3G mobile phone service, so separation of VAS from operators will face problem in respect of business sustainability.

President of Content Providers and Aggregators Association of Bangladesh (CPAAB) Sayeeful Islam gave assurance that the operators' revenue will not be reduced if the licence is issued to local entrepreneurs.

"We should concentrate on increasing traffic of the service then all of us will be benefited more," he said.

President of the Nordic Chamber of Commerce and Industry (NCCI) Arild Klokkerhaug opined that VAS should be kept open to all. He said if multinational company 'Apple' says that only American will give product in their market then Bangladeshis or others would not be able to enter the market. He also said telecom operators should have freedom to choose investment destinations.

Shahadat Khan, CEO of Progoti System, said the operators have built a platform so that they can fix a uniform charge for trafficking of other's products.

The business volume will increase if the mobile operators give up their control, he added.

Secretary General of Association of Mobile Telecom Operators in Bangladesh (AMTOB) Abu Saeed Khan said ownership structure should not be a topic of discussion, rather we should discuss ways how the sector could flourish.

"Participation of all is necessary for developing the sector," he opined.

Director of Grameenphone Md Munir Hasan said VAS is the next potential service for mobile operators. So it will help them for a long time sustainability as they invested money for next 15 years. He mentioned that his company's 70 per cent revenue come from voice service and the rest 30 per cent from other services.

BASIS president Mahboob Zaman said mobile operators have a lot of contribution to the telecommunication sector development in the country.
 

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