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Case Study: Wireless Internet in the Khumbu Region of the
Nepalese Himalayas
Background
Nepal is home to some of the highest mountains in the world. This gift from nature attracts thousands of trekkers and hundreds of climbers every year, especially to the Khumu region of the Himalayas, home to Mount Everest. Getting to the base camp of Mount Everest involves a 4-day trek from Lukla, which has regular flights to Kathmandu, the nation’s capital. During the climbing season, which lasts a total of 5 months every year, the area is full of tourists. The local Sherpas earn good money from the tourist trade.
Even though this region earns considerable foreign exchange for the Nepalese government, there is no functional telecommunications infrastructure. Tourists bring their own satellite phones for voice and data communications. The local Sherpas are completely deprived.
The Problem
Needless to say, lack of telecommunications in such an important part of the country poses a serious problem. Tourists need the service to remain in contact. The locals need it for development.
The rough mountainous terrain makes the deployment of any infrastructure extremely difficult and costly. It is just not possible to lay cables. Wireless Internet is the only viable solution. Thanks to advances in voice-over-IP, the same infrastructure can be used for voice and Internet access.
The Goals
The goal of this project is to link Namche (the first major settlement on the trek from Lukla) to the Everest base camp using wireless Internet. In the process, small villages, monasteries and tourist spots will also be inter-connected. The network will be connected to the global Internet using satellite.
The network will be used for Internet access, voice, distance education and telemedicine.
Describe Available Solutions
It is possible to establish the network using VSAT terminals at each location. However, this would be very expensive, both in terms of initial investment and operating costs.
Business Model
The project is both social and commercial. The idea is to charge tourists for Internet and voice services, and use the profits to support local use of the infrastructure during the months when tourism is down.
The technology being used is inexpensive 802.11b wireless Ethernet. Currently, we are using Cisco Aironet 350 radios donated by Cisco.
Project Economics
The RF equipment, including 802.11b radios are being donated by Cisco. Intel has donated notebook PCs. Sponsorships for more notebook PCs are being solicited. Yahoo! UK & Ireland has made a donation of 2,500 pounds. Implementation is being carried out by WorldLink Communications free of charge.
The major cost component is power. Most of the areas do not have utility power. Solar power systems have been used. But, these are very expensive (around US$10,000 per site).
For connectivity to the Internet backbone, VSAT terminals have been installed in Namche and the Everest base camp. The one in Namche is a 3m C-band terminal costing around US$18,000. The base camp one is a 1.2m Ku-band terminal costing around US$8,000. The monthly bandwidth cost for both terminals is US$2,500 per month.
During the tourist months, users are charged US$1 per minute for Internet use. During the previous tourist season (March 15 to June 1, 2003), the project raised US$17,532. After deducting US$6,250 for Internet bandwidth and US$1,250 for wages and miscellaneous expenses, the profit was US$10,032. This is sufficient to pay the operating costs till September 15, when the next tourist season starts.
The above figures are from operations at Namche and base camp only. As the network is expanded to other tourist spots, the revenue will increase.
How the project is being deployed
The first stage of the project was completed on April 1, 2003. The goal was to provision Internet access services in Namche and the Everest base camp, operate the setup for one tourist season, and assess financial and operational feasibility.
Financially, the project is viable, as discussed above. Operationally, there are several issues. Logistics, electricity and manpower are the major constraints. Since the area is very remote with almost non-existent infrastructure, logistics is a nightmare. For the same reason, trained manpower from the urban areas are reluctant to spend extended periods in this region. Provisioning solar power is expensive, and maintaining the solar power system is difficult. Extreme variations in temperature drastically reduce the life of the batteries. The manpower problem is being handled by training local Sherpas. Only
