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::INTERNET & TELECOMS

Industry calls for cheaper broadband
Friday, June 21 2002
by Andrew McLindon

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Ireland's digital media sector could stagnate due to a lack of affordable broadband and the government's failure to recognise the industry's potential.

This was the overriding view of delegates at last month's National Digital Media Conference. The delegates also said that the government must do more to ensure that the Irish digital media industry can replicate the success of the country's software sector.

"Despite the diversity of companies represented, concerns raised during industry workshops were very consistent," said Damian Ryan, founder of event sponsors and co-organisers Perfect World. "For example, while the appointment of an e-minister would be welcomed, there was a consensus on the urgent need for a pro-active, effective directorate to harmonise and drive the industry."

Delegates attending the telecommunications and infrastructure workshop at the conference highlighted the lack of flat-rate Internet access or affordable broadband services for Irish consumers, which they felt has led to Internet penetration stalling at 33 percent. Attendees criticised consumer broadband for being too expensive. While Eircom is currently charging a minimum monthly fee of EUR89 for DSL, delegates said it should be closer to EUR30.

Those attending the finance and industry development workshop acknowledged Ireland's reputation as a well-developed and technologically advanced nation with a strong entrepreneurial outlook. But they warned of the need for a co-ordinated approach to funding to jump-start the industry.

The conference report also found that advertising agencies have not been sufficiently informed about the benefits of digital media and have, therefore, shied away from using it. "Although audience measurement for Web sites is extremely scientific and accurate, there is a need for an independent and credible audience research tool that would give advertisers and agencies more confidence in on-line advertising," the report said.

Ryan told ElectricNews.Net that "frustration and disappointment" were the general sentiments of conference attendees. "Ireland has a tremendous opportunity to develop a world-class digital media sector, but it has not been followed through on," he remarked.

Ryan said his view was that leadership was needed from both the industry and the government in order to change the current situation. "The government needs to get behind the digital media sector. It has talked about doing this but has done nothing to make this happen. It needs to start delivering incentives and infrastructure, and do it soon if the digital media industry is to flourish in this country.

"Likewise, the industry needs to take a leadership role and demonstrate that it is capable of moving the sector forward," commented Ryan.

The National Digital Media Conference took place in May and was attended by 270 delegates. The full report of the findings of the conference is available on-line at the NDMC Web site.

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