National digital strategies and universal service reform Market Research Report

The concept of universal service needs to evolve with the changing digital environment

. Current policies and practices are already outdated when viewed in the light of technological developments and the dynamic broadband markets around the world. During 200910, Finland, New Zealand, and the US have proposed to reform their universal service obligations (USOs) and/or universal service fund (USF) systems, at the same time as announcing national digital strategies. The European Commission (EC) also proposed reform of the concept of universal service in its March 2010 consultation paper on reviewing the Universal Service Directive (USD).

This report presents some of the national digital strategies announced around the world and explores the evolution of existing universal service systems. It also identifies various barriers to the reform of universal service, and the associated costs and methods to fund it.

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Table Of Contents :

Executive summary

In a nutshell

Ovum view

Key messages

An introduction to universal service

What it is and why it is important?

The EC is to amend the USD

National digital strategies and universal service reform

Digital strategies and universal service reform should be viewed as separate issues

Regulators need to reform universal service now

Radical changes to universal service policies are needed

Priorities for universal service are changing

Benefits of changes: universal broadband in the digital era

The impact of NGA deployment: two stages of universal broadband applied

Challenges for universal service funding reform

Change is required in the financing of universal service

Three complicating factors

The USF is a separate issue to the government's funding of national digital strategies

Country case studies

Finland

New Zealand

US

List of Tables

Table 1: Comparison of national digital strategies and investments by government funds

Table 2: The two stages applied in Finland and Germany

Table 3: Current universal service funding scenarios

List of Figures

Figure 1: Changing priorities for universal service

Figure 2: Roadmap of universal service fund reform in the US

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National digital strategies and universal service reform Market Research Report

By: Visionshopsters

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