Nepal Telecom acquires bandwidths via optical fiber network
Jan 06,2007 00:00 by Biz Correspondent
Nepal has procured internet bandwidth using the optical fiber network laid along the East-West highway for the data transmission for the first time.

The use of the information superhighway for cross-country data transfer is expected to be a milestone in the history of the domestic IT sector as it will significantly reduce the price of internet service in the near future, eventually making it more affordable and accessible.

After opening, transfer of data through optical fiber between Nepal and other foreign countries has been commenced.

According to a staff of the Nepal Telecom (NT), NT itself is in an initial phase of establishing this network. NT has purchased 16 Mbps of symmetric bandwidth - 8 Mbps each from the two gateways - at a cost just one-fourth of the amount being paid by other Internet Service Providers (ISPs) in the country.

After the expansion of internet link, NT has upstream bandwidth capacity of 20 Mbps and downstream bandwidth capacity of 34 Mbps. Until now, the state owned telecom had allocated 4 Mbps of its bandwidth for uploading and 18 Mbps for downloading purpose, according to NT.

It is believed that the connectivity will not only be useful to companies requiring high-speed data connectivity and small ISPs, but the symmetric bandwidth that Nepal has purchased will also benefit web hosting companies and other IT firms that have to upload huge amount of data.

BSNL has currently agreed to provide the connectivity at the cost of Rs. 16 million per year, compared to up to Rs. 64 million paid by other ISPs for similar service. In this line, NT has already decided to reduce tariff rates of high-speed data service meant for business purpose by around two thirds.