Internet and e-commerce industry in Bangladesh

Bangladesh is a country in South Asia, bordered by India on all sides except for a small border with Burma (Myanmar) to the far southeast and is bounded by the Bay of Bengal to the south. Being the seventh most populous country Bangladesh is among the most densely populated countries in the world with a high poverty rate. Nevertheless, Bangladesh is listed amid the "Next Eleven" economies, with the capital Dhaka and other urban centers considered as the driving force behind the growth. The country has made significant progress in different spheres of human development that, surely, stipulates ICT progress as well as progress in other spheres of the modern government. So, it gets interesting to find what Bangladesh’s Internet and e-commerce sector look like in terms of poverty on the one hand and progress signs on the other.

The communication sector in the country, including Internet, has changed dramatically within 2 years. The incentives both from government and public sectors have encouraged this sector progress. That can brightly be reflected by the volume of Internet users in Bangladesh. In the year 2000 just 0.1%, or 100,000, of the Bangladesh population gold get internet access, compared to 2007, with 450,000 subscribers, or 0.3%. Currently over 600,000 of Bangladeshis or about 0,5% of the population, use Internet actively. Though the penetration still remains very low, within the country the growth is significant – over 450%. 

The Internet connection appeared in Bangladesh rather late with connectivity only in 1996. Over the last few years Internet market in the country has been growing rapidly, although obviously from a very low base. The government's high internet tariff is hindering the growth of the ICT sector inside the country. Recently the government decided to cut the tariff by 50%.

Though broadband connection is available in the country, it still costs users of high speed connection much more than in other south Asian countries. Internet and e-commerce in Bangladesh is being developed slowly in comparison with other Asian countries. 

By 2005 the total volume Internet Service Providers operating in the country reached 180. Currently even more ISPs exist in the country, including ones providing dial-up, cable and DSL connection listed below:

• Aftab IT - pre-paid and post-paid dial-up, and broadband access along with web and software solutions

Bananinet – cable Internet provider

• Bangladesh Online - offers dialup access

• Bangladesh-web.com - total Internet access

• BD com - dial-up, broadband connection

• Bdcom Online - offers Internet service through pre-paid, post-paid, broadband and leased line. It also offers software products and web solutions

• Bijoy Online.net – offers pre-paid, post-paid and unlimited Dial-up, broadband, lease line Internet access

• BRAC BDMail Network - offers access through PPP, UUCP, lease line. Includes information on it and its products and services like software development and network solutions

• Bangladesh Telegraph and Telephone Board (BTTB) - state owned access provider serves in district level. Also offers .bd domain registration, public telephone, telex and telegraph (gentex).

• ConnectBD - offers access through dial-up, DSL and wireless broadband, includes domain registration, web and software development

• CGS Communication - provides high speed Internet connection through cable modem

• Daffodil Online – offers services like network solution including pre-paid and post-paid dial-up Internet, broadband through DSL, SDSL, ADSL, radio link, VSAT solution and corporate web and software development

• Global Information Services - Internet connection, networking, customized software for clients, data entry and processing, computer graphics design and publications.

• Global Online Services - pre-paid, post-paid and unlimited dial-up, DSL and wireless broadband access provider

• Grameen Cybernet - dial-up and broad band access

• IDS Bangladesh - dialup and broadband Internet, network for office automation, web development and design.

• Intech Online - cable and DSL Internet and broadband connection

• ProshikaNet Online - provides various dial-up services and broadband service through radio link and DSL connectivity

• Speednet - broadband service provider

• Westec - dial up services for home and corporate users with VSAT connection. 

sdnbd.org offers the following ISPs popular in Bangladesh: 

• AB Network 

• Access Telecom  

• Agni Systems 

• Asia Online (BD) 

• Bangladesh T&T Board  

• Bd Corp 

• BG Tech 

• Dolphi Net 

• Drik Online  

• E-Net Communications 

• Information Services Network 

• KLBd Online 

• Link3 Technologies  

• NCLL 

• Pradeshta Network  

• Raspit.com 

• Shapla.net 

• Span Internetworks  

• Spark Systems  

• Spectra Solution 

• SpectraNet 

• Square InformatiX  

• Trans-net System  

• Vas Digital Communications  

All the Bangladesh’s ISPs are regulated by the Bangladesh telecommunication regulatory commission (BTRC).

As for the WiMAX service, it’s now getting available owing to some internet service providers, like WiMAX Bangladesh, Global Access Ltd. However the process of WiMAX Internet service deployment is still very slow. 

Satellite Internet is provided in the country by 6 satellite earth stations. Thus, for instance, TempesTelecom offers Broadband Global Area Network (BGAN) Service, that claims to be the World's most sophisticated satellite Internet service, in Bangladesh. BGAN uses a variety of small lightweight portable satellite terminals which allow travelers and remote users to connect to the internet in places like Bangladesh without the need of infrastructure such as phone lines, cellular networks or Wi-Fi hotspots. 

Internet connection in Bangladesh can also be available via SEA-ME-WE 4 (South-East Asia - Middle East - Western Europe 4) cable - an optical fibre submarine communications cable system that carries telecommunications between Singapore, Malaysia, Thailand, Bangladesh, India, Sri Lanka, Pakistan, United Arab Emirates, Saudi Arabia, Sudan, Egypt, Italy, Tunisia, Algeria and France and is used to carry telephone, internet, multimedia and various broadband data applications. The landing site is Cox's Bazar, Bangladesh.

Country’s Internet country code top-level domain or ccTLD is .bd, administered by the Ministry of Post & Telecommunications of Bangladesh. Two year registration agreement for .bd or .com.bd is very expensive - $399 (http://www.rwgusa.com). Registrations are usually at the third level beneath several second-level labels (com, edu, ac, net, gov, org, and mil), paralleling the oldest gTLDs. Registration is open except gov and mil subdomains registration, which are limited to authorized entities in the Bangladesh government.

Let’s now turn to the e-commerce sector in Bangladesh. Obviously, e-commerce sector commenced developing boosted by Internet penetration growth, however, it’s still on the lowest stage of progress. It’s important that online transaction would boost the GDP growth in such a poor country as Bangladesh. 

Bangladesh’s e-commerce solutions can be represented by among others:

• Bid In BD - marketing itself as the Best Auction Site in Bangladesh

• Hutbazar.com - the largest Bangladeshi online shopping complex

• Bangladeshi Online Megashop

• An online gallery of Bangladeshi arts

• Adhuli.com – online shop providing also offering large gift choice

• ClickBD.com - Bangladesh’s online marketplace.

Bangladesh is definitely one of the countries with the lowest Internet and e-commerce penetration rate. However it strives to keep up with the modern world, aiming to become ICT developed country. So the government needs to work out a realistic e-commerce law. It should also collaborate with the commercial sector, which is much more flexible in accepting new technologies, to ensure a stable and reliable internet connection and successful e-commerce business.