Dear Participants,

The ATCnet view regarding the cost of bridging the digital divide may be
at odds with some of the participants in this group, and indeed many of
the experts in the development community.

First of all, cost is of vital importance because for an equal amount of
output or outcome, a lower cost input is better than a higher cost
input. The development community has argued that cost is not important
and the net result over a period of decades is very high cost
development with lower and lower expectations about outputs and
outcomes ...... until eventually we have ended up with a development
systems that hardly works at all. If resources are scarce, as they
always are, then it is essential to think in terms of costs.

By ridiculing cost control and making it irrelevant in the field of
development has made it possible for a whole array of inappropriate
behavior to take place. By costs being a low priority in analysis and
oversight review, corrective action has not taken place, and the result
of failed development is now very evident.

But the participants who are saying that it does not really matter what
the aggregate cost is, that we should just get the job done, have a very
valid point. ATCnet's position is that at the project level low cost is
better than high cost for the same output and outcome. And we also say
that it is essential for progress to be made in tangible activities done
now as fast as  possible, rather than using scarce resources simply for
studies and analysis and studies and analysis ad infinitum.

The impression we have at the moment is that the development experts are
studying and measuring failed development more and more accurately as
the years go by, but are doing almost nothing to change the paradigm and
the performance of development.

The ATCnet mindset is clear. Telecenters need to be established as fast
as possible. They should be as low cost as it is possible to establish
them, and provide the products and services that are needed and
priority for the community. In our work we are very clear about how
costs must be minimised so that the products and services are
affordable. And we are also very clear about the role that technology
plays and the role that people play, and the costs of these different
elements. We are also very clear about the need for a low cost of
capital.

But we are also very clear about the need for the telecenter to be
worthwhile for the community. Does the telecenter have the potential to
do something of value for the community. This is absolutely critical,
and value is not what  ATCnet might think as the promoter of the
telecenter, but what the community thinks as the user of the
telecenter.

If anyone would like further clarification of the ATCnet argument
regarding cost and performance of telecenters, I would be pleased to go
into more detail off-list.

With regards

Peter Burgess

______________
T. Peter Burgess
VP and CFO ATCnet
New York USA
Tel 212 772 6918 Fax 707 371 7805
website: www.atcnet.org 
email:   [EMAIL PROTECTED]




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