"In many countries, mobile operators have teamed up with social media platforms to offer free access to specific websites or internet services—including news websites. The most well-known of these offerings, Facebook’s Free Basics, has been explicitly pitched as a way to give citizens in develop
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ing countries greater access to news, but Facebook is not the only company touting these so-called “zero-rated” arrangements as a bridge across the digital divide. This report examines whether these arrangements are broadening access to diverse sources of news, as promised, and whether they might have broader consequences for the news market. Little evidence exists that zero-rating alone has been a successful strategy to grow audience reach. Technical hurdles jeopardize news media inclusion, especially for smaller outlets. Zero-rated news is a concern for fair markets and pluralism as it might strengthen the dominance of large internet platforms." (Key findings)
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According to the executive summary "Facebook’s Free Basics program aims to help bridge the digital divide through a mobile-based platform that allows users to connect to a handful of online services free of charge [...] This paper highlights the following findings: Language: Free Basics does not m
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eet the linguistic needs of target users [...] Content and usability: Free Basics features an imbalance of sites and services [...] Net neutrality: Free Basics violates net neutrality principles [...] Privacy: Facebook is accessing unique streams of user metadata from all user activities on Free Basics, not just the activities of users who are logged into Facebook." The Free Basics app was tested in six countries, with programs from five different operators: Colombia (Tigo), Ghana (Tigo), Kenya (Airtel), Mexico (Virgin Mobile), Pakistan (Telenor), and the Philippines (Globe).
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"The study tested the following hypotheses: the use of subsidised services only forms part of data use; people do not move beyond the use of subsidised services; using the internet first through subsidised services leaves people with less of an understanding of the Internet. Using subsidised data fo
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rms one of many strategies to use the Internet, confirming the first hypothesis. However, the second hypothesis was not confirmed, as respondents moved beyond subsidised data. Concerns that zero-rated data, such as Free Basics locks users into one application, because it is fully subsidised were not supported by this research. What was apparent was the lack of awareness of and favour for this free service. Free services, in particular from mobile network operators, are viewed with scepticism, as the perception is that nothing is completely free. In order to understand the ways in which people make use of the Internet (the third hypothesis), the study had to take into account a number of factors, which included the options to access the internet, motivations for Internet use, why they use the Internet the way they do, and how they use it. Context is a stronger determining factor contributing to what respondents use the Internet for than subsidised data. For example, respondents in rural South Africa favour operators that are dominant in the market because of extensive network coverage and the availability of signal; because family and friends are on the same network; and because of the promotions or rewards that come with using the network. The network that offers subsidised zero-rated content and a lower priced, service specific bundle is not used in the rural community, primarily because it is not available or the quality is poor. Most respondents access the Internet to facilitate efficient communication and find information. Only in Nigeria do respondents use the Internet when they have received rewards data (data received as a bonus or extra after purchasing a service) after recharging from their operator." (Conclusion, page 37)
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