First-mobile world

The mobile phone, a marvelous device that is constantly developing thanks to scientific and technological advances, has changed our lifestyle and greatly improved labor productivity.
Ever since it became possible to connect to the internet through mobile phones, there have been revolutionary changes in the way people work, socialize, create and share information, and coordinate the flow of people, goods and information globally. However, this change is still underestimated because people are not able to fully comprehend the scale of this revolutionary change and transition.
Currently, one fifth of economic growth in developed countries is generated through the internet. Hundreds of millions of people are using social media platforms such as Facebook and Twitter to update personal information, as well as to promote their businesses in an efficient way.
Mobile phones have already become an essential need for us. A Boston Group survey states that 80 percent of Russians would choose their mobile phones over alcohol, whilst 86 percent of Japanese people would give up eating chocolate, 84 percent of Americans would give up satellite navigation, 85 percent of the Chinese would refrain from drinking coffee, 86 percent of the French would stop going to fast food chains, 60 percent of the Japanese would give up exercise, 43 percent of South Koreans would be comfortable not driving, and 56 percent of the Japanese would refrain from sexual relations to keep their mobile devices.
Smartphone penetration, which indicates the percentage of the population using a smartphone, has become a global measurement of potential for economic growth and market capacity.
The Consumer Barometer 2015 survey suggests that the United Arab Emirates uses mobile phones the most, with 91 percent usage, followed by 88 percent in both Singapore and Saudi Arabia, 83 percent in Sweden and South Korea, 80 percent in Spain, 79 percent in Norway and Hong Kong, 78 percent in Taiwan, and 77 percent in Australia.


The mobile phone sector has already become a part of the economy due to the opportunities it creates for industries. Therefore, the term “mobile economy” has come into use.
This sector accounted for 3.4 percent of the global economy, which equals 2.4 trillion USD, in direct (investment, operational expenditure and sales) and indirect (turnover of goods, services, applications, content, and advertisements developed with mobile technology) ways.
The rapid increase in mobile connection, its users, and data flow is having a great influence on socioeconomic development. Many industries are leaning on virtual methods to produce brochures, advertise products, and make sales to reduce costs and give a new experience to consumers. As a result, profitability increases.
A World Bank survey says that a 10 percent increase in the use of mobile phones by developing countries with low to mid income results in economic growth of 1.4 percent.


A 2014 report produced by the Communications Regulatory Commissions of Mongolia (CRCM) concluded that the number of people who actively used mobile phones (for six consecutive months, at least) reached three million. This number exceeded the population, and was 48 percent higher than the year before.
However, 1.6 million of the total population are using smartphones to connect to the internet. It shows that Mongolia’s use of smartphones has reached 55 percent, which comes close to the 57 percent figure of the United States. Forty percent of the people who regularly use mobiles phones in Mongolia receive service from Mobicom, 32 percent from Unitel, 16 percent from Skytel, and 12 percent from G-Mobile.
Approximately 88 percent of Mongolian users have prepaid mobile phone services, while 12 percent use postpaid mobile services. It shows that Mongolia is a developing country with low income, and mobile phone tariffs are clearly high compared to the purchasing power of the people.
The relatively higher price means that Mongolia has limitations to develop the mobile economy, with users having difficulties downloading images and data from the Internet. Although access to information and communications technology costs a lot in a country with large territory, such as ours, it has an important role to play.
The total length of the communications network currently set up in Mongolia is 34,000 km. Half of this is owned by a state-owned company called Mongolian Communications Networks, 7.3 km is owned by Mobicom, 6.9 km by Skytel, 1.4 km by Railcom, and 1.2 km by Gemnet. As they do not have their own networks, mobile operators face high costs to rent channels from others. Therefore, internet tariffs have significant differences in soums, which has become a limitation for the mobile economy to be formed in Mongolia.
The pace of development today requires the regulations set forth by the Mongolian government to support creation of free competition of prices in the mobile communications sector and to introduce technological advances swiftly. While other countries are talking about introducing 5G (the fifth generation mobile network), Mongolia’s CRCM has taken several years to discuss how to make 4G (the fourth generation network) available, without coming to a decision. It has also become a limitation to development and growth.
Introducing a new generation of mobile networking brings all kinds of benefits to users. In order to deliver this new service, all operators need to work together.
In order to create a mobile economy in Mongolia and ensure wider delivery of electronic services, operators need to be able to connect people’s phone numbers to their electronic identity cards, allowing SIM cards to be validated directly. Furthermore, introducing electronic wallets – allowing people to use their mobile phones to make purchases would enrich lifestyles and improve the productivity of businesses. Having an intelligent network that connects all electronic devices would also have the same impact. The time has come to turn mobile phones and devices into the main interface that connects the cyber world.
The cyber future of Mongolia should also be bright.
Trans. by B.AMAR

Short URL: http://ubpost.mongolnews.mn/?p=16347

Posted by on Sep 27 2015. Filed under Opinion. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

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