Grameen Telecom founder Muhammad Yunus has been named chief adviser of Bangladesh’s interim government following the resignation and flight of Prime Minister Sheikh Hasina.

Hasina fled Bangladesh on Monday following weeks of protests by student groups. The protests were initially organised in opposition to a government jobs quota system that allegedly favoured Hasina’s Awami League party. The focus shifted towards removing Hasina from office after her government organised a violent crackdown which resulted in around 300 protesters losing their lives.  

Reuters reports that Yunus, who also founded microfinance group Grameen Bank, was appointed on Tuesday 6^th August by Bangladesh President Mohammed Shahabuddin following meetings with student leaders and military chiefs.

Yunus is best known as the founder of microcredit lender Grameen Bank, which provides small loans of under $100 to Bangladesh’s low-income workers, particularly in rural areas. Yunus won the 2006 Nobel Peace Prize for his work with Grameen Bank. In the telecoms sector, he is known for establishing Grameen Telecom, a non-profit that delivers rural telephony services but is also a stakeholder in Grameenphone, Bangladesh’s largest mobile operator.

The leaders of the student protests requested Yunus, 84, as the chief advisor for the interim government. Yunus has expressed support for the protests and a dissatisfaction with the Hasina administration, and his spokesperson confirmed that he has agreed to the appointment.

Shahabuddin dissolved parliament on Tuesday in line with demands from student protest groups to allow the interim government to assume power ahead of new elections. His office has confirmed that Begum Khaleda Zia, former Bangladeshi Prime Minister and current leader of the opposition Bangladesh Nationalist Party, has been freed from house arrest.

In June, Yunus was indicted by a Bangladesh court on charges of embezzlement of around US$2 million from Grameen Telecom’s worker’s fund. Yunus has denied any wrongdoing; he is a well-known critic of Hasina and his supporters claim that the charges are politically motivated. In an interview with Reuters, Yunus described the allegations as “very flimsy, made-up stories », adding that Bangladesh had become a “one-party” state under Hasina. It is currently unclear whether the indictment has been dropped.

News reports from China indicate that a Chinese state-owned enterprise has this week launched the first batch of satellites in a major new constellation.

Reuters say the launch marks an important step in Beijing’s strategic goal of creating its own version of Starlink, the commercial broadband constellation that has launched close to 6,000 satellites via spacecraft manufacturer, launch service provider and satellite communications company SpaceX.

SpaceX started launching satellites for its constellation and internet service Starlink in 2019. The Starlink service is available in over 100 countries with a target user base of consumers, companies and government agencies, mainly in remote areas.

The Chinese launch, led by Shanghai Spacecom Satellite Technology (SSST), took place at Taiyuan Satellite Launch Centre, one of China’s main satellite and missile launch centres, located in the northern province of Shanxi, according to the China Securities Journal.

The eventual plan is to deploy more than 15,000 low Earth orbit (LEO) satellites. It’s a big number but many more of these are required than the higher-altitude geostationary (GEO) satellites to guarantee comprehensive coverage.

However, as Starlink has already demonstrated, they can be mass produced and, as they operate at altitudes of 300 kilometres to 2,000 kilometres, they have fewer issues with latency and offer higher throughput than GEO satellites.

However, China’s project is not just a commercial venture. The country is apparently worried about the use of Starlink in military contexts (such as its deployment in the war in Ukraine). As Reuters notes, the competition to occupy Earth’s lower orbits has military implications, with the potential to affect the balance of power between warring countries.

It says SSST’s plan is to launch 108 satellites this year, 648 satellites by the end of 2025, provide a « global network coverage » by 2027, and reach 15,000 satellites deployed before 2030.

News 

The court ruling reflects the US government’s increasing scrutiny of Big Tech companies’ market power 

US federal judge Amit P. Mehta has ruled that Google, owned by Alphabet, has maintained an illegal monopoly over online searches and search-related advertising. 

Back in 2020, the US Department of Justice (DOJ) sued Google, accusing it of maintaining illegal monopolies through anticompetitive contracts, exclusionary practices, and the preferential treatment of its own services. It highlighted Google’s agreements with other companies to make its search engine the default on devices and browsers, which the DOJ argued harmed competition.  

District Judge Amit Mehta noted that Google’s control of about 90% of the online search market was maintained through these payments. This meant the giant could push out rivals to increase its own advertising revenues.  

In 2021, for example, the company paid out $26.3 billion to ensure that its search engine was the default on various smartphones and devices. Mehta described the default search engine position as “extremely valuable real estate”. 

Separately, the DOJ also sued Google last year, accusing the company of monopolising the adtech market, which focused on the different aspects of Google’s business related to online advertising technologies. 

“Americans deserve an internet that is free, fair, and open for competition,” said the White House press secretary, Karine Jean-Pierre. 

Google disagrees with the ruling, saying it is being punished for outcompeting its opponents. 

“This decision recognizes that Google offers the best search engine, but concludes that we shouldn’t be allowed to make it easily available,” said Kent Walker, Google’s president of global affairs. 

Alphabet is expected to appeal the decision, indicating that the legal process will continue for some time. If the ruling is upheld, the court may impose remedies to address the antitrust violations. These could range from financial penalties to structural changes within Google’s business operations.  

Regardless of whether a penalty is imposed, the ruling represents the increased scrutiny that governments are pushing on tech giants. 

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It’s no secret that AI is driving more than a few infrastructure decisions here and there in the industry right now. Most of what we hear about is in the data center arena as companies build more high density colo in which to put all the necessary racks and servers to scale AI. But now we are starting too see the same AI demand drive new behavior in the fiber sector in order to properly connect it all. … [visit site to read more]

News 

The new government has reevaluated the conservative party’s AI plans as it settles into office 

The newly formed Labour government has scrapped the £1.3 billion AI investment pledged by the Conservatives, despite newly appointed Science Secretary Peter Kyle promising to put “AI at the heart of the government’s agenda to boost growth and improve our public services” just last week. 

The investments included £800 million to build a supercomputer at the University of Edinburgh, which would be able to complete one billion calculations each second, and £500 million to set up an AI Research Resource, which helps to fund computing power for AI. 

However, these AI funding commitments by the Conservative government were “unfunded”, meaning that they were promised without any funds being formally allocated in the budget. 

“The government is taking difficult and necessary spending decisions across all departments in the face of billions of pounds of unfunded commitments,” said the Department for Science, Innovation and Technology (DSIT). “This is essential to restore economic stability and deliver our national mission for growth.” 

New Shadow Science Secretary Andrew Griffith has condemned the decision, saying “it is a terrible blow to the UK tech sector and could be just the start of Labour cuts”.  

“During the election, Labour refused to commit to growing the amount the UK spends on research, yet that’s a core part of growing a modern economy. If DSIT can’t get the funds from the Treasury, this means university research can expect to be hit, too,” he continued. 

The government has recently launched its new AI Opportunities Action Plan, which will seek ways to accelerate the use of AI to better everyday people’s lives. It will also help the UK’s burgeoning AI sector to “compete on the global stage”. 

Speaking to Total Telecom, Lee Myall, CEO of UK telecoms provider Neos Networks, emphasised that the new government must “prioritise these investments to solidify its position as a global hub for AI technology and services, or risk losing ground to other more ambitious nations.” 

Join the conversation around UK AI at this year’s Connected Britain, 11-12 September in London. Get your tickets now!  

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UPDATE: Bangladesh’s Army Chief General Waker-Uz-Zaman has confirmed that he has assumed power following the resignation of Prime Minister Sheikh Hasina, who has now fled the country. At the time of writing, data from NetBlocks indicates that internet connectivity has been restored and remains available in Bangladesh.

ORIGINAL STORY: The Bangladesh government ordered mobile operators to shut down 4G services again on Sunday – just days after services were switched back on – amid a fresh wave of deadly violence as protesters demand the resignation of Prime Minister Sheikh Hasina.

According to various media reports, mobile operators said they received orders from the government to shut off their 4G services. Netblocks confirmed in a post on X (formerly Twitter) that it detected a drop in internet connectivity in Bangladesh on Sunday that was mainly impacting mobile networks. By mid-day Monday, fixed broadband services were down as well. 

Of the over 131 million internet users in Bangladesh at the end of 2023, the vast majority – 118.49 million – are mobile internet users.

Meanwhile, access to social media sites has also been blocked for all internet users by order of the government, after being briefly restored last Wednesday.

It’s the second time in less than a month that mobile internet services in Bangladesh have been shut down by the government. Bangladesh’s mobile internet went dark on July 17, followed by a complete internet blackout on July 18. Fixed broadband connectivity was fully restored on July 24, while mobile internet services came back online on July 28.

State Minister for Posts, Telecommunications and ICT Zunaid Ahmed Palak has maintained that last month’s internet blackout was not ordered by the government, but the result of “planned sabotage” by protesters. However, the government has provided little evidence for this, and telecoms experts have questioned whether the damage described by Palak could result in a complete blackout.

The initial internet shutdown occurred after violence broke out amid student protests against a new government jobs quota system that allegedly favored the ruling Awami League party led by Hasina. At least 150 people were reportedly killed in clashes between students, pro-Awami League groups and police.

The latest shutdown comes amid more protests over the weekend in which tens of thousands of protesters demanded Hasina’s resignation, which led to more violent clashes between the same groups. According to media reports, at least 100 people were killed on Sunday.

News 

The group calls for a more equitable access to Openreach’s infrastructure 

Five UK altnets – nexfibre, AllPoints Fibre, Community Fibre, Gigaclear, and the newly merged Netomnia and Brsk – have established a new ‘PIA (Physical Infrastructure Access) Coalition’  to push for fairer access to physical infrastructure operated by Openreach.  

The coalition will call on Ofcom do more to ensure a level playing field for access to Openreach passive infrastructure in its upcoming Telecoms Access Review. 

Combined, the Coalition represents over 5 million premises passed with full fibre, making the Coalition one of the largest users of PIA.   

Alongside the announcement of the Coalition’s formation, the group has also revealed the results of their collective analysis of Openreach’s PIA regulation, showing suggesting alternative operators pay significantly more to access ducts and poles than Openreach charges itself.  

The group warn that, without action, competition and investment in the broadband market will be impacted in the long-term, which will threaten the progress of fibre-to-the-premise rollouts, damaging the UK’s ability to compete internationally.  

“At the moment there is not a level playing field between Openreach and alternative network operators on PIA.  Alternative network operators pay significantly more to access infrastructure compared to Openreach,” said Giles Rowbotham, spokesperson for the PIA Coalition, and General Counsel and Chief Development Officer at nexfibre in a press release. 

“If left unremedied, this disparity risks choking investment, slowing down the rollout of high-speed broadband across the UK, and therefore limiting consumer choice. We’re calling on Ofcom to act in its upcoming market review to ensure a level playing field for all providers and fair and equal access to critical infrastructure,” he continued.  

Ofcom’s upcoming Telecoms Access Review will set the rules for the next few years. The coalition hopes this review will fix the pricing issues, ensuring fair competition and continued investment in the UK’s fibre networks. 

Join the altnets in discussion at this year’s Connected Britain, 11-12 September in London. Get your tickets here! 

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News 

The decision comes after auditors were unable to sign off the MVNO’s 2022 accounts 

Lycamobile has lost a major dispute with UK tax authorities over its unpaid VAT, according to a report from the Financial Times. 

Lyca Mobile is one of the world’s largest Mobile Virtual Network Operators (MVNOs) and provides services using EE’s network in the UK. 

The dispute is related to the unpaid VAT placed on customer “bundles” over the last seven years, amounting to £51 million. 

Earlier this year, the company’s auditor PKF Littlejohn confirmed that it was unable to sign off its 2022 accounts. Lycamobile had claimed that it did not have to pay VAT unless customers had used the bundle packages (e.g. calls, text, and data allowances).  

A tax tribunal, however, has backed HMRC, which argued that the VAT was chargeable at the point of sale, regardless of whether the customer then used the package. 

According to the most recent 2022 company accounts, the company had1.7 million subscribers with revenues of £145 million. It has set aside £99 million to cover the VAT costs, but the actual amount will be decided at a later date. 

“We are pleased with the judgment, which is consistent with the VAT treatment applied across the telecoms sector,” said a spokesperson for HMRC this morning. 

Lycamobile has confirmed that it accepts the tribunal decision, saying the ruling “takes us one step closer to resolution” and the company is “pleased that it found there should be an adjustment to the amount of VAT assessed in relation to some of the products.”  

Lyca will now work with HMRC to apply the ruling, though still has the option to appeal. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter 

Also in the news:
AST SpaceMobile prepares to launch first commercial satellites
nexfibre passes almost 1.3m homes with full fibre
Telstra joins UNESCO’s Business Council to promote ethical AI

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