
--
Currently 11 Billion USD is Languishing Unused in Universal Service Funds, With 4.1 Billion USD Sitting in India's Fund Alone
New Delhi: Following extensive research, the GSMA today called for governments and regulators to reassess their approach to Universal Service Fund (USF) levies. In a new report issued today, the GSMA concludes that most funds are not succeeding in delivering their stated goal of widening access to telecommunication services and that alternative market-based solutions are more effective.
The report estimates that more than one-third of the 64 funds surveyed have yet to disburse any of the contributions they have collected and that more than 11 billion USD remains undisbursed, money that could otherwise be used to extend rural coverage or lower the cost of mobile ownership. In India, the Universal Service Obligation Fund (USOF) continues to impose approximately a five per cent levy on operator revenues, despite the fact that is contains over 4 billion USD of accumulated funds. India is not alone as regards the collection of substantial amounts of money from the mobile industry, for example in Cote D'Ivoire and Paraguay, the USF represents in excess of 0.6 per cent of the countries' GDP.
Our research shows that, despite the fact that there is an ever-increasing amount of money sitting unused in these funds, governments continue to collect still more from the mobile operators. The situation needs urgent government review and attention, as the money collected to date far exceeds the amount that is needed to ensure universal access, said Tom Phillips, Chief Regulatory and Government Affairs Officer, GSMA. The reality is that these funds have become a convenient form of taxation on the telecommunications industry and in the majority of cases, they should be closed down and the balance of monies held used to extend access to mobile services to those unable to afford them, or those groups that live in particularly remote areas.
Key findings of the research:
Out of the 64 funds surveyed, less than an eighth of them are achieving their targets;
Funds are not always allocated in a competitively and technologically neutral way;
There is no evidence that Universal Service Funds are an effective way to achieve universal service goals and in fact they may be counter-productive, as taxing commercial investors in such a way makes rural investments less likely; and
Alternative solutions, for example private/public partnerships such as those established in Finland, have been able to deliver better and more effective outcomes.
Of all the funds surveyed globally, Colombia offers an outstanding example of best practice in the administration of USFs. The Colombian authorities have recently restructured the USF approach to reduce the burden placed on operators. They have structured it to be financially autonomous, and money for projects is granted in a highly transparent manner via a public bidding process open to all interested parties. The research reinforces the fact that market-based solutions have shown themselves to be the most effective way in bridging the digital divide'.
The liberalisation of markets, private sector investment and mobile operator innovation has opened up telecommunications services to a significant proportion of the global population. With the number of mobile subscribers standing at 3.2 billion, nearly half of the people in the world now use mobile communications1. It is expected that a further 700 million subscribers will be added by 2017 and the 4 billion-subscriber milestone will be reached in 2018.
Phillips concluded, The GSMA calls on individual governments to implement an immediate moratorium on the collection of more money for universal service funds and to launch a re-think of their future role.
The report can be found at: www.gsma.com/publicpolicy/tax/research-and-resources.
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
04/08/2026
Live production in the cloud is a growing trend across the industry, and Major L...
04/08/2026
LAFC co-managing owner will succeed Don Garber on Jan. 1, 2027, as league prepar...
04/08/2026
In 2022, when the PGA TOUR was breaking ground on its new, state-of-the-art broa...
04/08/2026
Provided by POVORA, the new camera angle offers a dealer's-eye view of the c...
04/08/2026
Spiideo will provide the camera setup, with NEP handling broadcast integration and off-site video operations...
04/08/2026
Production team streamed more than 750 youth rugby matches using ATEM switchers,...
04/08/2026
Agreement gives KTC early access to NDI's Advanced SDK for integration across commercial displays, digital signage, and interactive panels...
04/08/2026
Twelve projects across four categories recognize collaborative work in productio...
04/08/2026
Multi-year agreement will introduce SkeleTRACK, semi-automated offside, automate...
04/08/2026
Three mc 56 consoles, dual A__UHD Core engines, RAVENNA networking, and HOME management supported live sound, monitoring, and international broadcast production...
04/08/2026
New contribution products support ultra-low-latency video transport across fixed, remote, and mobile production environments...
04/08/2026
Company will showcase updates across PRIME, Chyron LIVE, Paint, virtual production, newsroom workflows, and venue control...
04/08/2026
Exhibit will feature SilverBack, VersaBrix, VersaFrame, VF-9100, and FiberSaver-10G platforms...
04/08/2026
Platform updates target cloud-based production, high-density ST 2110 monitoring,...
04/08/2026
LMG will take control of Gravity Media's U.S. mobile-unit fleet as the compa...
04/08/2026
Amp-modelling rigs get major upgrade
HeadRush have recently released a major firmware update that brings some powerful new features to their Prime, Core and...
04/08/2026
Generate a choir from a single voice track
Following years of development, Am I Audio have just officially launched their debut plug-in. Created in collabor...
04/08/2026
Official EMT-endorsed reverbs now available to all
Two more of Universal Audio's renowned UAD plug-ins have just gained new native versions that can be ...
04/08/2026
SBS helps Australians understand why every Census counts
Media releases
As Australia prepares for the 2026 Census on Tuesday 11 August, SBS is helping ensur...
04/08/2026
Canada invests in the future of HF communications with Rohde & Schwarz solutions After selection by the Canadian Department of National Defence (DND) as the p...
04/08/2026
Blendkit Expands Beyond Blender
Brie Clayton August 4, 2026
0 Comments
Popular 3D Asset Library Launches Alpha Plugins for Maya, Godot, and Rhino
Blend...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Ikegami has chosen the 11-14 September 2026 International Broadcasting Convention in Amsterdam as the European market launch venue for additions to its UNICAM p...
04/08/2026
Appear (IBC2026 booth 1.C61) will showcase new X & VX Platform capabilities that extend broadcast-grade performance from venue to cloud
Appear ASA (OSE: APR), ...
04/08/2026
LiveU, the global leader in live IP-video solutions, today highlighted the crucial role its EcoSystem played in Broadcast Management Group's (BMG) successfu...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/08/2026
Homecoming Artist Spotlight: Dreion The singer, songwriter, and producer talks about finding his village at Berklee ahead of his Homecoming performance on Sep...
04/08/2026
Tuesday 4 August 2026
Sky Sports agrees deal with SANZAAR for international rugby rights 2026 - 2030
The deal means Sky will have exclusive rights to the inau...
04/08/2026
Kill Tony Launches on Supercast, Giving Fans Premium & Ad-Free Access to Comedy&...
04/08/2026
More details coming soon....
04/08/2026
More details coming soon....
04/08/2026
More details coming soon....
04/08/2026
Surging AI demands are driving the need for massive datasets and context windows that burst past the confines of system memory.
But rising needs aren't me...
04/08/2026
For robotaxis and other autonomous vehicles (AVs), the hardest problems aren'...
04/08/2026
Members of the Open Secure AI Alliance - now more than 120 organizations strong - are developing new guidelines to strengthen agentic AI cybersecurity as the an...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
03/08/2026
SVG's annual TranSPORT conference returns to New York City for a full day of sessions focused on the current state of live-sports-transmission technology. S...
03/08/2026
A five-time Emmy winner, this esports vet has built a production career on live storytelling, audience connection, and meeting viewers wherever they are
The sp...
03/08/2026
Live production in the cloud is a growing trend across the industry and Major Le...