Tag: Auction

CPIT: “big achievement” on CAT Telecom’s Project

Signing Ceremony

“CAT Network Valuation Consulting Project”

CPIT Co., Ltd. and Sofrecom (Thailand) Co., Ltd., one of the world leaders in telecommunication consulting, led by Mr. Clement Pelletier, Managing Director of CPIT Company with executive team and CAT executive team, led by Khun Kajornsak Singhaseni, Senior Executive Vice President – Legal and Business Partner, have held a ceremony to celebrate the signature of a contract for a major consulting project.

Clement Pelletier (left) and Khun Kajornsak Singhaseni (right)

CPIT has been trusted by CAT to provide consulting services to proceed to the network assessment and valuation of the assets that True Move Co., Ltd. and Digital Phone Co., Ltd. have transferred to CAT in accordance with the concession agreements of Digital PCN 1800 as well as to propose the most beneficial solutions for asset management to CAT.

 

India Telecom Conference looks towards the future of this giant market

India Telecom 2010

The fifth series of India Telecom conference was held in New Delhi last December. This was the opportunity to have a closer look at this enormous emerging market for Telecoms.

The Indian telecom and specifically the mobile market has been one of the biggest growth stories of the last decade. Such has been its meteoric growth that the mobile share of telecom revenue increased from a meager 34% in 2004 to more than 76% of overall revenues in 2009.Telecommunications network grew by over 40 per cent during 2010 with addition of 216.13 million connections. With 700 million connections, Indian Telecom Network is now the largest wireless network in the world.

However, the theme of India Telecom 2010 was ‘Broadband for All’ for a good reason: There is a dire need of stable policies as the broadband draws long term investment. So far, Broadband penetration in India is  not even reaching 1%, one of the lowest in the worldIn addition to these problems, the spectrum bids for both 2G and 3G have been tainted by dysfunctions and delays, generating many losses and discouraging many investors.

Indian Telecom offers without question an amazing potential growth for the investors and is likely to participate actively in the profound changes of Indian society, but it also comes with uncertainties which represent a risk for the investors this country is looking for.

Thai Government revives telecom pool plan

From The Bangkok Post

The government has revived a “pool” concept to further develop telecommunications after the collapse of the 3G auction plan last week.

The concept floated three years ago by the Surayud government envisions a single national network handling call traffic from private operators who would manage marketing and customer services. ICT Minister Juti Krairiksh said when he took office in June he would check on the plan. The government has now resurrected the proposal and dubbed it the “national broadband project”, appointing Mr Juti’s deputy, Trairong Suwannakhiri, to oversee its implementation.

The government plans to submit the proposal to the cabinet for consideration on Oct 12.

The idea has drawn a mixed reaction from operators and telecom experts. Sittichai Pookaiyaudom supported the telecom pool idea when he was ICT minister in the Surayud government in 2007. He said state telecom agency TOT Plc should serve as a network provider for the industry. All state enterprises with telecom networks should then be combined into “one single network” to serve as a national telecom highway to be leased to private companies.
But Mr Sittichai conceded the plan would be almost impossible now given the many state agencies and the different laws and ministerial authority. TOT and CAT Telecom also hold concessions with private companies. They would need mutual agreements to carry out any such activities.
Mr Sittichai said the ICT Ministry should draft a new law to govern the project to simplify the process.

Advanced Info Service CEO Wichian Mektrakarn agreed with the idea to establish a telecom pool as it would pave the way to eliminating redundant investments in network infrastructure. But he said the state must set up at least two Stock Exchange of Thailand-listed companies to operate and manage the telecom pool services to prevent monopoly problems from arising.

The Finance Ministry should hold no more than 49% in the two entities with the rest being held by private mobile operators together with other state enterprises such as the Electricity Generating Authority of Thailand. State enterprises would bring their assets and turn them into equity in the new companies.

An independent selection committee should be set up to choose qualified executives to manage the two companies. A service level agreement, a contract between network service providers and customers, should then be drafted to specify the service terms.

Suphachai Chearavanont, president and chief executive of True Corp, said the telecom pool model was a good idea as it could lower industry costs and encourage free market competition.

Pooling could include the sharing of infrastructure such as transmission towers or excess fibre optic wiring, where operators in need of higher capacity would draw on pooled resources. Or pooling could refer to network systems in active use, where operators share in backbone infrastructure. Pooling might also be done at the “last mile”, a reference to infrastructure tying homes and offices to the main networks.
It would require endorsement from the National Telecommunications Commission, which means the state would need to withdraw the court case on the NTC’s authority to move the project forward.

“This is still a chicken and egg question,” Mr Suphachai said.

Anuparp Thiralarp, an independent telecom expert, said a single national broadband network was a good idea but “just a dream”.

Implementation of the project would be difficult as it required cooperation from state enterprises under different departments and ministries.

Meanwhile, TOT plans to resubmit its 3G investment plan to the cabinet today.