Section 2 | FOUNDATIONAL FACTORS report, the communications applications Facebook and Viber were referenced repeatedly as being generally popular in Myanmar and examples of the narrow use of features. In the words of one entrepreneur who regularly uses social media to connect with his customers, in Myanmar “the meaning of internet is only two things, Facebook and Viber. The rest they don’t know, they don’t care.”125 Third, despite vast reductions in the cost of digital devices and SIM cards in the past five years—for example, from $1,500 for a SIM card in 2010 to $1.50 in 2015126—affordability of data remains a major reason for the broad bottom of the digital skills pyramid (see figure 10 above). With GNI per capita at $1,270, the 26 percent of the population living on less than $1 a day—millions of potential subscribers—cannot meet the UN Broadband Commission’s target of entry-level broadband at less than 5 percent of household income.127 For those in the lower third of the pyramid, a 2G feature phone or SIM card may be obtainable, but it does not follow that data plans are. In addition to actual cost, there is great variation in the perceived benefit of the more expensive features available with a smartphone and data plans. Key informants highlighted the fact that in rural areas, which have high illiteracy rates, and conflict zones with unreliable connectivity, residents are less likely to perceive an adequate return on their investment in devices or connectivity costs that provide greater access to information and online services, reducing their ability to develop more advanced digital skills informally. It was also noted that women, who have lower rates of labor force participation and compensation, are less able to afford extensive internet usage and skills development for themselves and less likely to prioritize purchasing mobile data from household funds they manage. These observations echo recent research on ICT use in Myanmar, including a disconnect between increased smartphone ownership and extensiveness of use, including data services and apps.128 Facebook Free Basics, which allows users free mobile Internet access via the Facebook app, launched in Myanmar in late 2016. It was not mentioned by key informants as a factor narrowing perceptions of the benefits of Internet access. 126 GSMA and LIRNEasia, Mobile Phones, Internet and Gender in Myanmar. 127 Alliance for Affordable Internet, Case Study: Delivering Affordable Internet in Myanmar (Washington, DC: Alliance for Affordable Internet, 2015; ADB, Basic Statistics 2016. 128 GSMA and LIRNEasia, Mobile Phones, Internet and Gender in Myanmar; Galpaya et al., Mobile Phones, Internet, Information and Knowledge. 125 Ending the Gender Digital Divide in Myanmar: A Problem-Driven Political Economy Assessment | 41

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