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Tech entrepreneurs and freelancers have demanded uninterrupted internet access during crises, citing significant commercial losses after the government deployed internet shutdowns and network disruptions in a bid to quell quota reform protests, reports bdnews24.com.
The tech sector argues that while social media may need regulation during times of chaos or severe threat, completely disabling the internet causes irreparable damage to the technology industry.
“It is time to develop guidelines for keeping business via the internet operational even while social media is restricted. BASIS will provide such a guideline,” said Russell T Ahmed, president of the Bangladesh Association of Software and Information Services, BASIS.
"We will provide our opinions on network topology and internet protocols. We are preparing a proposal to present to the authorities on how we can continue working without being disconnected."
Internet services were disrupted nationwide on Jul 17, following violent clashes related to the quota reform movement.
Mobile internet services were suspended that night, with broadband internet also being cut the following night.
The shutdown severely impacted tech entrepreneurs, businesses, and freelancers, leading to financial losses and job insecurity.
The blackout created difficulties in mobile financial transactions, prepaid card recharges, and even ATM operations.
E-commerce and various industries, including the apparel sector and port operations, faced standstills.
AKM Fahim Mashroor, a former BASIS president, told bdnews24.com: “Foreign investments in many startups were lined up. Given the current situation, there is great uncertainty about whether such investment will come.”
“The lack of internet has created major concerns in two areas. First, exports will decrease. Second, it will be challenging to secure ongoing investments or attract new foreign investments.”
Mashroor, the chief executive of Bangladesh's largest online job site Bdjobs.com, said: “The direct loss from not being able to export is significant, but the larger issue is the potential long-term loss of business opportunities and clients.”
“The opportunity for future clients who might have provided work over the next 4-5 years has been lost; moreover, the path to acquiring new clients has also been blocked.”
“The reputation that the country’s IT sector had built is now gone,” he added.
THINKING OF SETTLING ABROAD
During the internet shutdown, many companies were forced to send employees abroad to continue their operations on a limited scale.
An official from a local company providing software services in Europe and the US said, due to the situation, they sent several developers to Nepal.
Many Bangladeshi developers are now contemplating settling abroad due to the bitter experience of internet disruptions.
Describing his experience, a freelancer told bdnews24.com: “I work for a foreign company as a contractual logistics and supply chain consultant. My decisions are quite significant for the company.”
“Due to the internet shutdown, I missed the deadline for a project. Moreover, because we couldn’t make timely decisions, we had to airship the product from China to Germany, causing significant losses for the company.”
“After getting broadband internet back after five days, I found myself in a rather embarrassing situation. During discussions with the company, I decided to terminate the contract,” said the freelancer.
“It’s not that I’ve suffered severe economic damage, but it has created a bad reputation in the industry.”
“I’ve seen many acquaintances having to travel to Dubai or Nepal for emergencies. I consider this a major obstacle for the country’s emerging IT sector.”
Former BASIS president Mashroor believes that entrepreneurs will be compelled to take alternatives due to internet disruptions.
He told bdnews24.com, “Many will keep a few people in Dhaka to maintain their business while sending a larger portion abroad. This process is not easy and will significantly increase business costs.”
“Furthermore, many who used to work for foreign clients from home will no longer stay in the country. There will be increased brain drain.”
HOW MUCH OF THE LOSS CAN BE RECOVERED
Bdjobs.com CEO Mashroor thinks that compensating for the damage caused by the internet shutdown will be extremely difficult.
He told bdnews24.com, “There are about 5,000 to 10,000 companies or businesses in Bangladesh involved in the IT sector and export markets, and several hundreds of thousands freelancers.”
“Most of their work is online and requires constant internet connectivity.
“While a 1- or 2-hour outage can be explained to clients, it is challenging to justify five days of internet disruption,” he said.
“Moreover, even with the internet restored, many are still unable to work effectively. Small companies have already lost 20-30 percent of their clients, and many may not have their contracts renewed in the future.”
Regarding the extent of the loss during the internet shutdown, BASIS President Russell said: “In the export market, being live at all times is crucial.”
“Even a single second of downtime means a second of loss. These services are valued by the hour.”
He continued, “Now that the internet is back, we will try to create a way to recover from the situation. However, the concern is whether those clients will stay or reduce their business with us.”
“Beyond that, there is the scope of our business in the local market.”
He noted that the e-commerce sector, which handles transactions worth Tk 350 million daily, was entirely shut down.
“Another major area is e-commerce, which includes businesses built on the Facebook platform - known as F-commerce,” said the BASIS president.
“Even if the internet is restored, if F-commerce remains shut down, the impact will still be felt.”
Describing the internet as ‘oxygen’ for the IT sector, Brain Station 23 Limited CO-Founder and CEO Raisul Kabir said: “Without it, nothing in this sector is possible.”
“The extent of the damage we’ve suffered is beyond explanation.”
He said many companies have lost trust in them, raising concerns about whether they will continue to receive future work.
Kabir suggested, “In the future, we must initiate partnerships with foreign companies to ensure we can deliver work even under such circumstances.”
“However, this would involve revenue sharing, affecting our foreign currency earnings.”
Regarding the BPO sector’s losses, the president of Bangladesh Association of Contact Center and Outsourcing, or BACCO, Wahidur Rahman Sharif told bdnews24.com: “The damage to our IT-dependent business due to the internet shutdown has been significant. All our services were halted.”
“Even now that the internet is back, it will take time to understand how many clients we can retain. Rebuilding our image and branding will also be time-consuming.”
Wahid said the primary challenge after resuming work is to reassure international clients that such disruptions will not happen again, or if they do, there will be proper preparedness.
“We need to sit with policymakers to develop comprehensive guidelines or procedures.”
He continued, “Online business relies on trust, and if that trust is questioned, continuing business becomes difficult. We need to rebuild that trust.”
“Daily exports worth two million dollars have been affected, and the extent of damage to the local market is still being assessed,” he added.
CALL FOR ‘DEDICATED’ INTERNETIn response to the recent disruptions caused by the internet blackout, industry leaders are advocating for dedicated business internet to prevent future occurrences.
Emdadul Hoque, president of the Internet Service Providers Association of Bangladesh, or ISPAB, told bdnews24.com: “Creating a separate backup pool for the corporate sector is not an impossible task.”
“This is something we, as ISPAB members, can handle.”
“We already have the facilities for such a setup. We have learned a lesson and will consider this approach in the future.”
Russell, BASIS president, also pledged full support for the implementation of ‘Business Internet’ to ensure uninterrupted connectivity.
The issue was discussed at a meeting with business leaders at the Biniyog Bhaban in Dhaka on Sunday.
Salman F Rahman, prime minister’s advisor on private industry and investment, State Minister for Power, Energy and Mineral Resources Nasrul Hamid, State Minister for Commerce Ahasanul Islam Titu, and State Minister for ICT Zunaid Ahmed Palak were present at the meeting.
Palak told reporters: “Many have suggested creating a private intranet for business operations in case internet connectivity is disrupted.”
“We are weighing this idea and will develop a plan for the future.”