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Archive for the ‘Communications’ Category

Thailand – Official has accused DTAC of violating the foreign ownership law

[the nation] Deputy Commerce Minister Alongkorn Ponlaboot today said Total Access Communication (DTAC) has breached foreign business law.

Alongkorn also recommended the Business Development Department to file charges against seven corporate shareholders of DTAC, believed to hold shares in DTAC on behalf of foreigners.

Alongkorn did not specify the names of the companies. On the shareholders’ list as of December 2010, corporate shareholders of DTAC included Telenor Asia (Singapore) and Thai Telco Holdings Co Ltd. Holding shares in Thai Telco Holdings included Bolero Co Ltd, Abaroni Co Ltd and Sandalwood Holdings Co Ltd.

Banyong Limprayoonwong, director-general of the Business Development Department, said at a press conference today that Alongkorn could just give the recommendation given that he is a caretaker minister who has no authority in this case.

Banyong added that the Business Development Department, which enforces the Foreign Business Act BE2542, would stick to the original schedule: to decide within 7 days whether to file charges against “nominees” or to forward the investigation to the police.

DTAC reiterates its high commitment to do business in Thailand with high standard of good corporate governance.

In a statement, it said “we are in full compliance with the Thai laws and regulations. The company is willing to cooperate with the authorities and sincerely hope that the investigation process will be fair, transparent and not discriminatory. DTAC affirms that its customers, partners and all stakeholders as well as its business operations will not be affected by the ongoing entity investigation process.”

DTAC breaches foreign business law: Alongkorn

Fiji-Tonga undersea cable – This is to be funded by the Asian Development Bank

[fiji times] THE Asian Development Bank (ADB) will assist in Tonga’s high-speed Internet access by financing the development of a submarine cable system.

The ADB board of directors on Tuesday approved grant funds of $18.9million to help finance the establishment and operation of an 827 km submarine cable system from Tonga to the Southern Cross Cable in Fiji which will provide widely accessible information and communication technology (ICT) services.

“The new ICT services the cable will bring will improve Tonga’s economic performance and delivery of public services,” ADB said in a statement.

“The Tonga to Fiji Submarine Cable Project aims to improve existing businesses’ efficiency and create new business opportunities, especially in the ICT sector.

“The cable technology will boost telecommunications, computer, information, maintenance and repair services.

“It will also allow ICT-based education, health, and government services to overcome the small island country’s challenges – distance and scarce human resources.”

The project is estimated to cost $61m and is being co-financed by the World Bank Group and Tonga Cable Limited.

The fibre optic cable will connect Tonga to the Southern Cross Cable, the main trans-Pacific link between Australia and the United States.

It will generate economic opportunities and social benefits starting mid 2013 when the cable is in place.

“The project aims to deliver good quality, affordable broadband Internet to Tonga’s population of 100,000,” said Robert Wihtol, director general of ADB’s Pacific Department.

“In addition to the positive socioeconomic impact of the initiative, the project will contribute to regional integration.”

The cable will increase the frequency and quality of communications among countries in the region, encouraging trade in services and will allow the region to form a sizeable market for digital products and services.

Tonga’s Ministry of Finance and National Planning will be the executing agency for the project, which should be completed by 2016.

ICT project to link Tonga to the world

Mobile – Networks are almost full requiring significant investment in upgrading to cope with demand



Traditional network management practice says that network element usage level should not exceed 70% of its capacity. If it does – it is time to do something – buy more or manage it better. So, according to a recent Credit Suisse report – it is time to do something for wireless networks, globally. For North America, where current utilization at peak time reaches 80% it is even urgent.

Survey mobile networks are near full

Mobile – Analyst challenges the view that smartphones generate enough revenue to pay for network investments

[fierce wireless] The gospel in the wireless industry the past few years has been that increasing smartphone penetration will deliver immediate and significant benefits to carriers: higher ARPUs and stickier customers.

However, in a research note entitled “The Dark Side of Smartphones,” Credit Suisse analyst Jonathan Chaplin challenges that conventional wisdom. Chaplin argues that ARPU growth has been disappointing, smartphone-driven costs are rising faster than ARPU, pressuring margins, and capital expenditure requirements are rising, again due to smartphones.

Chaplin said three things need to happen for the smartphone situation to improve: competitive intensity needs to return to pre-Verizon (NYSE:VZ) iPhone levels, carriers need more spectrum to blunt capex costs, and there needs to be industry consolidation.

Some carriers are clearly feeling the “dark side” effects of smartphones. For example, MetroPCS (NASDAQ:PCS) said it will increase capex this year from a previous estimate of $700 million to $900 million to a new target of $900 million to $1 billion. On the company’s earnings conference call, CEO Roger Linquist said, according to a SeekingAlpha transcript, that the increase is “primarily driven by an increase in capacity expenditures for future subscriber and data growth driven by the popularity of our Android handset offering.”

Are smartphones worth the cost to carriers?

Pakistan – Regulator has suspended 11 service providers for non-payment of regulatory fees

[the news - Pakistan] Pakistan Telecommunication Authority (PTA) has suspended licences of 11 service providers’ for a month due to non-submission of audit accounts and non-payment of annual regulatory dues in the last couple of years.

“PTA is curbing the menace of grey traffic and willing to punish heavily all the defaulters. These operators have been given show cause notices but they are yet to deposit their dues to the regulator. Hence PTA comes with a harsh action by suspending licences of eleven operators,” sources in the PTA said.

Reliable sources disclosed that the Standing Committee of the Senate on Telecommunications and Information Technology is putting pressure on the PTA to put a hard hand on the defaulters and grey traffickers. The suspension of licences of these operators which came after continuous monitoring, shows the commitment and persistent efforts of the Authority.

The Authority had also asked operators to pay annual licence fees, which has been calculated on the basis of their annual gross revenues, along with late payment at the rate of 2 percent of the outstanding amount. However the operators failed to comply with the instructions and the Authority had to issue them show-cause notices under section 23 of Pakistan Telecommunication Authority (Re-organization) Act 1996.

PTA has directed all LDI, fixed line and cellular operators to suspend all telecommunication services, extended to these service providers under any agreement, with immediate effect till further orders.

The regulator said the licences of all the operators shall stand terminated in case of non-compliance upon expiration of one month after the date of issuance of suspension order. Moreover it may recover its outstanding dues as arrears through land revenue without any further notice and initiate recovery proceedings under section 30 of the Company Act.

The suspended operators are:

Ace Connect (Pvt) Ltd, ASCUL (Pvt) Ltd, Brogstelling Technologies (Pvt) Ltd, e-World (Pvt) Ltd, Gujjar Communication (Pvt) Ltd, Live Line Broad Band (Pvt) Ltd, Nom Communication (Pvt) Ltd, Samsung Voice Call (Pvt) Ltd, Vision Soft Technologies (Pvt) Ltd, Zain Business Empire (Pvt) Ltd and Eagle Technologies (Pvt) Ltd.

PTA suspends licences of 11 defaulting service providers