Ethiopia 2000 (PART II): Role of Emerging and
High-Technology in Supporting Social and Economic Development
Samuel K. Kassegne
San Diego, California
1. Introduction:
Ethiopia’s backwardness becomes more evident while investigating the extent of its
exposure, or lack of it, to emerging and high-technologies. As the integration of a given
country’s economy to the high-tech based global economy of the 21st Century demands a good
infrastructure of such technology, the discussion on this topic is relevant. In this
second paper, the potential emerging and high-technologies carry to advance social,
economic and political issues in Ethiopia will be discussed. The prospects of the country
in getting access to such technology will also be discussed. The main thrust of the paper
is to argue that it is not always necessary to have an extensive infrastructure of basic
technology to have access to emerging technologies. Advances in telecommunications and
information technology provide what could be termed as short-cuts to integrating with some
sectors of the global economy.
2. High-Technology and Related Issues
One of the distinct features of the economies of rapidly-developing countries,
particularly, those of the South East Asian countries like Malaysia, Indonesia, Thailand
and to a good extent India is the very significant part high-tech plays in their
economies. Apart from providing employment to a growing domestic skilled labor and
generating foreign currency, high-tech ventures provide goods and services that improve
the quality of life in these developing countries. Hi-tech is no more a domain of the very
developed countries only. The availability of a growing skilled labor, declining
restrictions in overseas markets, and the quality and affordability of the products have
contributed to the success of high-tech industries in developing countries.
However, economic liberalization and a stable political atmosphere are a pre-requisite
for the proliferation of high-tech industries and it is imperative that any form of
administration in Ethiopia pursue genuinely business-friendly economic policies if the
country is to enjoy any kind of gain from such industries.
Examples of such high-tech industries are satellite and wireless communication,
pharmaceutical industry, computer software and hardware, bio-technology, and
manufacturing.
While the discussion of the positive impact the different forms of high-tech industries
could impart on the economy of an underdeveloped country such as Ethiopia is too broad for
such a basic and short presentation, an attempt will be made here to address only the most
promising ones.
In the following sections, the contribution of emerging and high technology,
particularly, information technology, computing and communications to social, economic and
technological advancement will be discussed.
2.0.a. Communications
The importance of communications for a social, economic and political growth of a
country can not be overemphasized. By most developing countries standard, Ethiopia’s
achievement in this area was, to some extent, quite significant up until the early 80’s.
Most major provincial cities and towns were connected by telephone through micro-wave
links even though the dependence on physical wire links (which are hampered by the
difficult terrain) had put a constraint to the extent of expansion. Satellite
communication that was introduced in the late 70’s much ahead of some other developing
countries was a modest achievement. However, the 80’s and the 90’s have witnessed a
largely counter-progress in telecommunications. The Ethiopian Telephone Authority (ETA)
was largely involved repairing the micro-wave stations and telephone lines that were
constant victims to the civil war. The current status of telecommunications in the country
is, at any rate, very dismal.
With regard to the future, however, a recent paper by the staff of the ETA gives an
indication of what direction the country’s agency for this industry is heading in
preparation to the years ahead [Asfaw Hailemariam et al, 1995]. There are indications that
the country’s telecommunications policy makers have recognized that emerging technologies
like electronic networking and fax have resulted in a modestly growing demand for more
band-width and affordable rates. The ETA is also reportedly working on establishing a
Packet Switched Public Data Network (PSPDN) which will give it more capacity for the
immediate future. However, there is no indication if there is a plan and immediate
intention to introduce the much faster and larger communication protocols and physical
lay-outs.
In the mean time, however, emerging technologies in wireless communication hold a
promising future for expanding telecommunication in backward countries like Ethiopia. The
so-called Low Earth-Orbit (LEO) satellites provide one of the potential areas. The old
“geo-stationary” satellites that orbit the earth at 22,300 miles up in space had
facilitated global communications since the early 60’s. However, they tend to be expensive
to users because of the relatively big receiver satellite dishes. The low earth-orbit
satellites, on the other hand, incorporate modern micro-electronics that drastically
reduce the cost of the total system. In one such system, the palm-size receivers will cost
as low as $100.00 while the whole system will cost an average of $5000.00 [VITA, 1992].
Some of the promising LEO projects with some potential for application in developing
countries like Ethiopia are:
* The Iridium project of the wireless and portable phone giant-Motorola. This system
that is projected to cost Motorola around $3.4 Billion will consist of a fleet of 66 LEOs
that will be used over a large band of radio frequency enabling the transmission of
hundreds of voice conversations to and from wireless telephones [E.L. Andrews, 1993]. The
main advantage of this system is its faster and clearer reception at any spot on the
globe. It also needs no ground stations. However, the down-side is its unit price of
$3000.00 for the hand-set and a charge of $3.00/minute which will make its wide use in
developing countries a very difficult task, if at all possible.
* The LEO system of VITA, an Arlington, VA based private volunteer organization. This
relatively less costly system was started by VITA with a launch of LEO satellite in early
1990. The system has a 5000 square kilometer foot-print thus passing every spot on earth
two times a day giving users two 12-minute windows each day to download or upload up to
250 pages of information per pass [R. Barrett, 1992]. Each station in the VITA system
network consists of a computer or a terminal, a two-way radio, a modem like device called
TNC, a printer and an antenna. The whole unit for a station that could serve a typical
small Ethiopian town costs a bargain price of $4000 – $10,000. The VITA system could be
used for the following [VITA, 1993]:
* Disaster mitigation, prevention and response as in the recent famine in Somalia where
all other communication means were unavailable. VITA also maintains a network in Ethiopia
for use by the Relief and Rehabilitation Commission (RRC) to coordinate relief operations
and food distribution.
* Health education and information through international curriculum development,
distance learning and disease tracking as in the Philippines islands.
* Scientific information gathering and dissemination, i.e., rapid exchange of
information on soil depletion, water erosion, seismic activity or weather patterns. The
Intergovernmental Agency for Drought and Development (IADD), a Djibouti-based agency was
initially established to track drought conditions in the Horn of Africa and uses the
satellites of the VITA-net to collect and share data.
* Administrative and logistic support through timely transfer of files and messages.
Examples of such applications could be found in Sierra Leone, Senegal, Pakistan etc. This
feature is particularly appealing for such countries as Ethiopia where other forms of
conventional communications are unavailable or inadequate, at best.
Low-earth-orbit satellites have also been used in Ethiopia by a not-for-profit
organization called SatelLife which has installed ground stations in over twelve countries
in Africa including Ethiopia [Lishan Adam, 1994]. The ground station at the grounds of the
Black Lion Hospital of the Medical School of the Addis Ababa University started operations
in April of 1994. SatelLife provides technical and financial assistance to the ground
station. In order to improve use of the ground station, a terrestrial network linking
medical professionals in the hospitals, medical schools in Gonder, Jimma and other field
works is under consideration. The SatelLife net is used to share data in the medical
fields.
2.0.b. Computing
The advent of computers in the latter part of the 20th century has span-off a whole new
global industry worth billions of dollars of revenues. However, most developing countries
like Ethiopia are yet to derive any economic returns from this industry. On the other
hand, some other developing countries have been a significant beneficiaries of the
computing industry. For example, India is expected to make $350 million from software
exports alone in 1995 [Jenny Mill, 1995].
Major global microprocessor and hardware manufacturing giants derive an economic
advantage in either setting up their own plants in developing countries that provide cheap
skilled labor or by buying these components directly from small manufacturers at a very
low rate.
Due to the availability and affordability of emerging-technology such as the global
computer network, the Internet, parts or whole of major commercial software in the market
have been written in developing countries. For example, the city of Bangalore in Southern
India which hosts a number of software and hardware global giants like Apple, Texas
Instrument, Motorola and IBM has been the site of developments of major portions of
today’s best-selling database and spreadsheet programs. Apart from generating high-paying
jobs, these global computing ventures bring numerous additional benefits to the host
countries such as reversing the process of “brain- drain”, improving the
telecommunication infrastructure and so on.
Similar ventures are possible in Ethiopia provided that the economic and political
conditions guarantee less interference to business and stability in the country in
addition to providing a modest skilled work-force. Currently, in Ethiopia, there are
merely one or two ventures and proposals to manufacture computer hardware components.
Their profitability and survivability is yet to be seen. With regard to the software
industry, at present, the potentials for offering competitive skilled programmers for
global companies looks almost negligible. However, it could change soon if such measures
as introducing a degree or a diploma level computer science program at the country’s
premier higher education centers are taken. Since foreign educated Ethiopian professionals
in the computing industry tend to stay abroad for various reasons, the availability of
locally trained programmers is the only way to guarantee a fair chance to enter this
global market.
The example of Nepal, another developing country with a strikingly similar fundamental
problems as Ethiopia, is very relevant that could be used as a possible model. A group of
Nepalese computer companies and computing enthusiasts have set up a professional
association called CAN (Computer Association of Nepal) which is hoping to establish an
“information technology park” where software will be written by Nepalese
programmers for export [Jenny Mill, 1995]. The center will bring together computer
specialists and provide them with vital resources such as satellite communications link
for telephone, fax and the Internet. The association, CAN, estimates that the labor costs
in Nepal are only a mere 5-10% to that of the US and almost half of that of, its neighbor,
India. An early indication of the success of the software industry in Nepal is best
illustrated by the success of a database software package written by three Nepalese
programmers in their spare time which managed to attract 200 customers mostly from outside
Nepal. When this software, called Nepal-DB, was introduced on the US-based commercial
network, CompuServe, almost 800 users bought it.
The association has also already made remarkable progress with the installation of a
full Internet connection to Nepal in March 1995 using a dedicated-line through a satellite
to a node in Australia. The cost will be covered by the local companies who will pay for
connection time. However, it needs to be mentioned that the major obstacle for these
Nepalese enthusiasts was not the lack of source of fund or the technology but restrictive
government policies. Interestingly, Nepal is currently ruled by a political party called
the United Marxist-Leninist party with little or no record of interest in promoting
citizen entrepreneurial initiatives.
2.0.c. Information Technology (IT)
Some researchers and even policy-makers have zealously advocated that information
technology can help developing countries to “leap-frog” development and hence
narrow the gap between them and developed industrialized countries and as having the
potential to help tackle many social and economic problems. While these kind of sentiments
are rather unrealistic, information technology has a significant potential to help
developing countries in a number of ways [M. Odera et al, 1992]. In this paper, the
discussion of “information technology” will focus on such industries like the
computing industry and telecommunications as they relate to the processing and
dissemination of information and knowledge.
For instance, IT can be of great value in various economic sectors if used for
decision-making. Information plays a major role in economic and social development.
Computer-aided decision- making involves a computer-supported collection and use of
relevant data for the sector of economy of interest. For example, the provision of vitally
needed information such as market news in a timely fashion helps vital decision-making
processes. IT has been used in a number of African countries to, for example, automate
telecommunications system and road safety and planning system [M. Odera et al, 1992].
The Internet which is basically a huge global network of computers is an important part
of the decade’s information technology revolution. It has a tremendous amount of potential
to bring the fruits of the “information revolution” to the developing countries
largely because of its very attractive investment to return ratio and technical and
economic feasibility to install in such countries with little financial resources. It is
this important component of today’s information technology that the rest of this paper
will address. In the recent telematics conference for Africa held in Ethiopia, the cost of
installing Internet for the whole of Africa has been compared to that of one single
fighter jet aircraft.
With regard to the prospects of installing an Internet connection to Ethiopia, there
have been some important developments like the recent telematics conference hosted in
Addis Ababa which brought policy makers and technical experts face to face. The increasing
e-mail user community in Addis Ababa and other parts of the country is already demanding a
full Internet connection with such features as the World-wide web and telneting. All
indications are that at some point in the very near future, there will be an Internet
connection available to Ethiopia. Hence the discussion of the role this connection could
play in stimulating significant social, economic and political issues is relevant.
Here, we shall limit the discussion to what immediate impact the Internet will have,
with particular reference to Ethiopia. The work of Djamen et al on the potential
application of the Internet in Africa provides a very detailed reference on the subject
and the following discussions rely heavily on their paper [J.Y. DJAMEN et al, 1993].
Possible application of the Internet:
(1) Fast, interactive communication between researchers, educators, policy-makers and
citizens. The Internet reduces distances and helps deliver messages and files almost
instantly. It enhances the conception of research and development through the sharing of
resources such as information and computer hardware. Such use of the Internet is
applicable to various fields, including health, education, fundamental and applied
research, data collection, agriculture and management of natural resources, international
relations, etc. In the case of Ethiopia, already one component of the Internet, namely
e-mail, has brought a very significant transformation in the features of conducting
research and teaching at the nation’s premier centers of higher education, particularly
the Addis Ababa University [Ermias Dagne, 1994].
The e-mail conferences that have been held on the Ethiopian E-mail Distribution Network
(EEDN) also provide a relevant example where the Internet has helped to bring about fast
and interactive communication between Ethiopian professionals and scholars working in
different parts of the world.
(2) Promotion of new ideas and novel activities. The Internet facilitates access to the
public. Its impact ranges from mass education to specialized training with applications
such as using the network for education and training, tele-consultation,
tele-conferencing, tele-browsing, and information retrieval. The Internet could help for
establishment of new industries and provides access to new markets.
(3) Lifting of trans-national borders and breaking man-made barriers within a country.
The Internet enhances the disappearance of national frontiers by integrating the back and
forth flow of information between countries. In cyberspace, the concept of man-made
national boundaries have less relevance as information located at any point on the globe
can be accessed by users at any other point in the globe in a matter of seconds.
Along similar lines, Internet could serve as a medium that speeds up social, economic
and political integration of various ethnic and social groups within a given country.
(4) Increasing citizen participation in governance. The Internet provides a convenient
and irresistible medium where citizens can express their opinions, argue social and
political issues and bring to the attention of a wider audience their concerns of local or
national governance.
However, it needs to be mentioned that there are fundamental issues that needs to be
addressed when one advocates the wisdom in providing all these tools of IT. One of these
issues is the need to provide a universal or at least equitable access to the Internet for
citizens of a given community. Information is an important tool in today’s economy and
those that have a ready access to this tool are in a better position to occupy a
significant place in the socio-economic strata. Whereas, on the other hand, citizens with
no access to these tools will be left out. This results in widening of the already
existing gaps between the “haves” and “have-nots”.
3. Conclusion
In the presence of conducive economic and political atmosphere, emerging and high-
technology have an immense potential to support social, economic and political advances in
developing countries. While such technology will not help these developing countries
“leap-frog” development, it will however, help them in such areas as exporting
software, creating jobs and increasing citizen participation in day to day affairs of the
country. The down-sides of such emerging technology is that it has the potential to give
rise to new economic and political classes between those that possess the new technology
and those who don’t. Government policies and strategy should come to play to lessen the
gap by providing such services to the majority that can not afford it.
4. References
1. Asfaw Hailemariam & Zerfu Dimd (ETA), “How Can Telematics for Development
be Realized in Ethiopia”, African Regional Symposium on Telematics for Development,
3-7 April 1995, Addis Ababa, Ethiopia.
2. Lishan Adam, “Regional Network Initiatives that Target Ethiopia”, The
First EthCITA E-Mail Conference on Community-Wide Networking Strategy, Ethiopic Software,
and Role of Information Technology, On-board EEDN, October 1994.
3. Ermias Dagne, “Role of E-Mail in Supporting Research at Addis Ababa
University”, The First EthCITA E-Mail Conference on Community-Wide Networking
Strategy, Ethiopic Software, and Role of Information Technology, On-board EEDN, October
1994.
4. M. Odedra, M. Lawrie, M. Bennett, S. Goodman, “Information Technology in
Sub-Saharan Africa”
5. M. Odedra, “Information technology transfer to developing countries: Cases from
Kenya, Zambia and Zimbabwe”, PhD thesis, London School of Economics, September 1990.
6. Jean-Yves DJAMEN, Dunia RAMAZANI, Stephane SOTEG SOME “Networking in Africa; An
unavoidable evolution towards the Internet”, Universite de Montreal, Departement
d’Informatique et de Recherche Operationnelle, C.P. 6128 Succursale CENTRE-VILLE Montreal,
Quebec, H3C 3J8.
7. Jenny Mill, “Online to Kathmandu”, New Scientist, February 4, 1995.
8. VITA, “Capability Statement”, March 1993, Arlington, VA.
9. Edmund L. Andrews, “FCC Acts on a New pager, Stretching Reach of Phone”,
The New York Times, January 15, 1993, NY, NY.
10. Randy Barrett, “Selling for the Future”, Washington Technology, September
24, 1992, Washington, DC.