Page 15 - IB July 2020
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ICT                                                                                                    ICT


        2019 financial year saw ATH’s group revenue grow by 14% (to   or Huawei about the sale of Solomon Telekom following the
        F$524 million) over the 2018 results, with approximately 22%   signing of a Telecommunications MOU between the govern-
        of this revenue coming from non-Fiji operations. ATH antici-  ments.
        pates this will grow to more than 50% in coming years, par-  Many Pacific Island nations have signed up to China’s Belt
        ticularly given the potential that acquiring Digitec presents to   and Road initiative and some have forged close relationships
        deploy a telecommunications network in Papua New Guinea.    with China. Now western partners fear that the ‘digital Silk
         Pre-COVID, Vodafone Fiji (which ATH has a 51% stake in) had   Road’ and China’s aspirations to become a ‘cyber superpower’
        started a F$160 million capital expenditure program to ensure   will not only compromise national security in the Pacific,
        that its network capacity and coverage is able to satisfy vastly   but also individual privacy and prevent interoperability and
        increasing broadband consumption. Data and Internet revenue   integration.
        is the main contributing income stream for the group and
        in ATH’s most recent annual report,  CEO Ivan Fong says the   ICT in action
        company is looking at how it can leverage synergies across the   Engagement with China is happening in other spheres.
        businesses to improve pricing through pool purchasing, and   In mid-March, more than 100 Pacific Island health officials
        rationalising and aligning IT and support systems.  and medical experts participated in a digital discussion with
                                                            Chinese counterparts to discuss pathology, transmission,
         Geopolitics                                        prevention and control as well as clinical treatment for
         The World Bank, Asian Development Bank, Australia and   COVID-19, Chinese Foreign Ministry’s spokesperson Geng
        New Zealand have been the big investors in submarine fibre-  Shuang said. Tele-health is an area of immense potential for
        optic cables in the Pacific. However several nations have   Pacific countries, where there are still far too few medical
        expressed concern over the potential of Chinese financial and   personnel to service widespread populations. The Internet
        technical involvement. The US has deemed Chinese companies   is also being harnessed in the Pacific’s fledgling COVID-19
        Huawei and telco ZTE as ‘security threats’ and  banned fed-  contact tracing apps, such as careFIJI, which is already in use,
        eral agencies and their contractors and suppliers from using   and CookSafe, which is undergoing trials.
        equipment and services supplied by them. Australia stopped   At the end of 2018, mobile internet penetration in the
        Huawei from implementing its National Broadband Network   Pacific Islands was the lowest of any region in the world, at
        (NBN) back in 2012,  and more recently said Huawei gear   just 18% of the population.  Now the World Bank projects
        cannot be used in its planned 5G mobile network, prompting   that improved internet connectivity is expected to generate
        Chinese Ambassador to Australia,  Cheng Jingye to declare   more than US$5 billion in GDP growth and 300,000 jobs in the
        the ban “discriminatory and politically motivated.” As we   Pacific region by 2040.
        were going to the print, the UK made a similar announcement   Improved connectivity, by cable or satellite, forms the
        excluding China from its 5G roll-out, after flip-flopping on the   cornerstone of many Pacific island nation development plans.
        issue. India has recently banned Chinese-owned and run apps   Governments aspire to move services online to reduce double
        like TikTok, and America’s secretary of state said earlier this   handling, reduce leakage, and improve efficiency.
        month that the US government is considering a similar ban   The Federated States of Micronesia is reportedly the least
        of TikTok, which is beloved of dancing Pacific Island teenag-  connected country in the Pacific with only 21 per 100 citizens
        ers who’ve brought their unique comedic sensibilities to the   subscribing to a mobile telephone service, and 52% of the
        platform.                                           population unconnected to digital communication technology.
         Huawei provides infrastructure (such as cables) and hard-  FSM President David W. Panuelo says improved access would
        ware. Last year it shipped an estimated 270 million handsets.    lead to the democratisation of knowledge and promotion of
        It does not have a big profile in the Pacific, although Australia   national unity, through the broadcast of news and government
        did fund and finish laying of the Coral Sea Cable in Solomon   addresses. An enthusiastic user of digital media before his
        Islands and Papua New Guinea, a project which Huawei had   election, Panuelo regularly posts updates on government ac-
        expressed interest in delivering to Australia’s consternation.  tivities from his official account. Other Pacific leaders to har-
         In December 2019,  PNG media reported that bmobile and   ness the power of their social media channels include Prime
        Huawei PNG had signed a plan to roll out a 5G trial in PNG’S   Minister PNG James Marape who recently wrote he uses social
        capital, Port Moresby this year. However the status of this   media because “my words are read raw as I write, sending
        plan is unclear, as some political figures appeared to balk over   messages from the people’s office”. Samoa’s Prime Minister
        perceived 5G safety concerns. Australian media also specu-  Tuilaepa Lupesoliai Neioti Aiono Sailele Malielegaoi frequently
        lated this year that China Mobile was looking into bidding   addresses Facebook followers from behind his desk, and Fiji’s
        for Digicel’s assets in Papua New Guinea.  However Digicel   Voreqe Bainimarama’s more generic posts from official en-
        Regional CEO, Pacific Markets, Shally Jannif rejected this, say-  gagements are punctuated with insights into his family life.
        ing: “We can categorically state that there is no basis to this   In the early days of the COVID-19 pandemic, UNDP with
        whatsoever and that no approach has been made to us.”  Japanese government assistance,  bought online meeting
         In neighbouring Solomon Islands last year,  opposition leader   platform licenses for Samoan government ministries, and
        Matthew Wale suggested the Government was talking to China   most government ministries in Niue and Tokelau so they could


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