TABLE OF CONTENTS
List of Figures — 2
List of Tables — 2
Foreword — 3
Who We Are and What We Do — 5
Overview of General Performance — 8
Establish a broadband society to facilitate the digital economy — 9
Promote development of radio & television and protect the rights of audience — 14
Ensure prompt international coordination and enhance internet governance — 18
Construct an environment of ubiquitous convergence — 21
Update the legal framework for digital convergence and encourage innovation — 23
Upgrade cyber security systems and strengthen the communications environment — 26
Outlook and Vision — 29
In response to the development of communications convergence and global regulatory reforms, the Fundamental Communications Act and The National Communications Commission Organization Act were promulgated in 2004 and 2005 respectively. Consequently, the responsibility for overseeing telecommunications and broadcasting was combined, which led to NCC being officially established on Feb. 22, 2006.
NCC is an independent agency established under the Basic Code Governing Central Administrative Agencies Organizations, dedicated to exercising its functions and responsibilities pursuant to laws independently. By referring to the experience of the management of communications in advanced countries, the Executive Yuan integrated the responsibilities of the Directorate Genera l of Telecommunications and Government Information Office to oversee telecommunications and broadcasting and ensure that an independent regulatory agency could govern the communications sector. Consequently, NCC is responsible for the formulation of policies, regulatory oversight, market competition, management of resources and consumers' rights, adhering to values such as professionalism, diversity and efficiency, as well as for establishing a sound environment for the communications sector and upgrading digitization.
In light of the cross-industry convergence of communications being facilitated by the digital transformation, interconnectivity, and the development of technologies such as the cloud, big data, Internet of Things (IoT) and 5G on broadband networks, the competition among industries has steadily been shifting focus to one of providing innovative application services; consequently, a new industrial ecological environment has been emerging.
In order to apprehend changes in the communications industry and respond to regulatory trends and the needs of all individuals, civil groups, industries and academic entities to access information regarding development in the communications industry, and in accordance with Article 13 of the Fundamental Communications Act, NCC publishes annual performance reports along with specific recommendations for improvements concerning its core duties: the sound development of communications; protection of citizens’ rights and consumer interests; promotion of diversified cultures; protection of the minority's rights and interests; and the provision of universal services.
This report consists of three main sections. Chapter I Who We Are and What We Do explains the role played by NCC in the communications industry in terms of NCC's organizational framework and operating model.
Chapter II Overview of General Performance highlights how in 2018, NCC, through various policies, amendments of laws and regulations, and application of the DIGI+ and progressive infrastructure development programs along with various ministries/departments, promoted the development of communications and the protection of the public's rights, boosting the digital economy and thereby bringing benefits of digital convergence to all.
With regards to specific communications policies, various changes have taken place. NCC has reduced both wholesale and retail telecommunication fees, strengthened power backup systems of mobile communications base stations, encouraged 3G subscribers to adopt 4G, completed the basic and operational management regulations for development of IoT, and also encouraged the innovative development of related application services supported by the high-speed and rapid broadband services at a fair price. Meanwhile, the commission continued to process the radio station licensing and promoted the complete digitization of cable TV. It has also encouraged operators to increase the broadcasting of locally-produced programs, engaged in cross-ministerial discussions about the development of new media services, enhanced the self-regulation mechanisms of media enterprises and continued to determine how to best improve the quality of audio-visual contents and protect the interest and right of consumers in Taiwan.
Turning to the areas of international participation and digital inclusion, NCC continues to actively participate in key international conferences and strengthen bilateral coordination with the aim of mutually benefiting from the strengths of digital convergence and the digital economy at both home and abroad. One of the main highlights was organizing APEC TEL 58, in which nineteen economies and eleven international organizations, a total of 340 domestic/foreign representatives, were invited to attend, promoting the visibility of Taiwan on a global stage and strengthening ties with peers and experts across the region. Turning next to digital inclusion, by increasing access to broadband and accessibility of websites for the disabled and disadvantaged in remote areas, NCC, along with various ministries/ departments, has strived to ensure access to telemedicine services and distance learning so that local communities can also benefit from digital convergence.
Turning to the update of legal framework for digital convergence, NCC has promoted the draft bills of the Telecommunications Management Act and Digital Communications Act, and added (amended) related radio and television rules in order to ensure laws and regulations remain updated. On May 31, 2019, the Telecommunications Management Act was passed by Legislative Yuan after the third reading. Accordingly, the broadband network environment and innovative communications services have become more well-founded, thereby resulting in increased development and growth of the digital economy.
With view to security systems, NCC continued to maintain the National Communications and Cyber Security Center, and supervised operators to fulfill and enhance their responsibilities and abilities in this area. Meanwhile, by virtue of the annual security system plan, NCC assessed the telecommunications business's disaster prevention and security management readiness with the objective of weakening the possibility of security incidents.
Chapter III Outlook and Vision describes that as Taiwan moves forward into the age of a digital economy, NCC is committed to strengthening communications infrastructures, which was demonstrated when the commission assisted the Executive Yuan in promoting comprehensive development of Gbps fixed network broadband, the acceleration of 5G development, smarter links, and innovative application services. In order to prevent emerging services from conflicting with existing laws and regulations and policies, NCC shall continue to urge the draft of the Digital Communications Act to be passed by the Legislative Yuan after the third reading, and amend radio and television regulations to encourage willingness of operators to invest in such areas as the construction of high-speed broadband network in remote areas, the proportion of locally-made programs, or provision of the 4K or 8K fine-quality contents.
With a strong foundation of information communications and comprehensive digitization, the ICT industry in Taiwan will be equipped for competitiveness and progress. Asides from encouraging the application of cloud, big data, AI and 5G across numerous industries and services, a key concern is improving quality of content and cross-disciplinary cooperation of the communications industry. In response to the transformation of existing business models and market structures brought by emerging technologies and services, and in order to improve policies and regulations and to promote an innovative infrastructure in Taiwan, NCC plans to continue to remain informed of the most recent developments in communications markets of other countries especially in regards to supervision and reform with the expectation that innovative digital services will be a key factor in boosting growth of the economy in Taiwan.