Telecom News

Sunday, April 23, 2006 TELECOM NEWS

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Head Lines

Bid Tender

Qtel Updates its Egyptian GSM License Bid-17 April, 2006

Qatar Telecom, Naeem to Bid for Egypt Mobile Tender-Report- April 13, 2006

Jordan Telecom, three bidders- April 09 2006

Afghan debut for Etisalat-April 11, 2006

Regulatory

ITU working on Internet TV standards- April 13, 2006

New Services

Nawras pilots 3G services in Oman- April 16, 2006

Oman Mobile has roaming in 100 countries worldwide- April 15 2006

Online Qatari directory - April 15, 2006

Etisalat launches 3.5G- April 12, 2006

Etisalat launches HSPDA- April 14, 2006

Wi-Fi boost for Kuwait- April 11, 2006

Omantel to launch new directory info services- 09 April 2006

Oman: Nawras launches pre to postpaid migration service -09 April 2006

Market Watch

Qtel to invest $400m-April 22, 2006

MTC to highlight potential of Egypt's telecom sector at Kuwait in Egypt Week- April 15, 2006

Gulf 3G market 80% by 2009- April 13, 2006

Wataniya, SmartLink to boost wireless Internet penetration in Kuwait- April 11, 2006

New Technology

Mobile Access to Bank Accounts- April 11, 2006

Finance Economic

Saudi Telecom's Q1 profit up 13 pct to $910.7 million- April 17 2006

Etisalat Q1 profit rises 31pc to $364 million-April 20 2006

KSA cuts broadband fees- April 13, 2006

Executive Briefing

2006 Will Be the Year of Mobile Advertising Experimentation- April 11, 2006

Business Partnership

Telecom Firms Form Strategic Partnership – KSA- April 11, 2006

Q-Tel signs MoU with Egypt firm- April 13 2006

MTC, mobile payments- 10 April 2006

World Tele com News

Globacom to invest in Indian telecom sector - April 14, 2006

Now, TV recording on your cellphone- April 11, 2006

Malaysian man hit with $218 trillion phone bill-April 11, 2006

Bid Tender

Qtel Updates its Egyptian GSM License Bid- April 17, 2006

Qatar's Qtel has announced its second partner in the bid for the 3rd Mobile License in Egypt. Qtel says that it has partnered with Naeem Holding, an Egyptian company; one of the fastest growing Investment Banking houses in the region. Qtel has already announced its partnership with ST Telemedia, an information- communications company. Together, Qtel, ST Telemedia and Naeem Holding have formed a consortium, of which Qtel is majority owner, to jointly bid for the 3rd GSM License in Egypt.

Naeem Holding has Private Equity, Corporate Finance, Asset Management and Brokerage operations in the Kingdom of Saudi Arabia, Egypt and the United Arab Emirates and branches in other GCC nations. As consortium partner, Naeem Holding will provide the crucial local expertise and knowledge of the Egyptian market.

Sheikh Mohammed Bin Suhaim Al Thani, Qtel's Deputy Chairman said, "We are very pleased to have added another strong partner like Naeem Holding to our consortium. We are confident that Qtel, Naeem Holding and ST Telemedia's collective operating experience; local, regional and international expertise and market knowledge of various countries in the Middle East, North Africa, Asia Pacific, Europe and the Americas, embodies the right partnership to bid in a dynamic market such as Egypt." - ©Cellular-news

Qatar Telecom, Naeem to Bid for Egypt Mobile Tender-Report- April 13, 2006

CAIRO (Dow Jones)--Qatar Telecom (QTEL.DO), or Qtel, has teamed up with Egyptian Naeem Holding Co. to bid for Egypt's third mobile network license, Al Alam Al Youm newspaper reported Thursday.

The privately-owned business daily said vice chairman of the board of Qtel Mohamed Bin Sohaim Al-Thani had signed a deal with Ahmed Naeem, board member of Naeem Holding.This comes after Qtel signed up with Singapore Technologies Telemedia for the bid last week.

ST Telemedia, a unit of Singapore's state-owned investment company Temasek Holdings Pte. Ltd. (TEMAH.YY), formed a joint venture with Qtel that will be majority owned by the Qatar company.

Naeem Holding Co. operates in Egypt, United Arab Emirates and Saudi Arabia in the field of direct investment, funding and securities.Qtel will continue to hold a majority stake in the partnership after the new deal.The paper also reported that state-owned Banque Misr, Egypt's second largest bank, had teamed up with Turkey's Turkcell (TKC) for the bid.

Another state-owned bank, The National Bank of Egypt, had entered into an alliance with Emirates Telecommunications Corp. (ETISALAT.AD), or Etisalat, a few days ago for the same purpose, reported the paper.

Egypt is currently receiving offers for its third mobile license bid, which ends May 4. Offers from international companies who have local partners and firms willing to trade a portion of the shares on the Cairo and Alexandria Stock Exchange after two years of operation will be favored, according to the terms.

Egypt currently has two mobile operators - Vodafone Egypt Telecommunications (VODE.CI) and Egyptian Company for Mobile Services, or MobiNil.

Vodafone Group PLC (VOD) owns 50% of Vodafone Egypt while MobiNil's shareholders include Egypt's Orascom Telecom Holding (ORTE.CI) and Orange, which is a unit of France Telecom (13330.FR).

An estimated 19 companies and consortia are vying for Egypt's third mobile telephone license. –

Jordan Telecom, three bidders- April 09 2006

Jordan Telecom is close to selling a 41.5% stake, Privatization Committee chairman Dr. Mohammad S. Abu Hammour told Gulf News. The three bidders are France Telecom, Gulf Finance House and a major investor from Jordan, he said. France Telecom has owned a 40% stake since 2000. – © AME Info

Afghan debut for Etisalat-April 11, 2006

Etisalat is to enter the Afghanistan market with fixed line services, chairman Hassan Omran told Gulf News. He said that an agreement had been reached with Afghanistan, part of Etisalat's plan to become a top 10 global telecoms company within five years.- © AME info

Regulatory

ITU working on Internet TV standards- April 13, 2006

GENEVA, Switzerland, April 13 (UPI) -- Efforts to have international standards for Internet-based television are under way by the International Telecommunications Union.

The Geneva-based U.N. agency said that there are "benefits of worldwide standards for all players in the (Internet Protocol television) value chain" that requires global standardization "to avoid market fragmentation."

"Standards are necessary in order to give service providers, whether traditional broadcasters, ISPs or telecommunication service providers, control over their platforms and their offerings. Standards here will encourage innovation, help mask the complexity of services, guarantee quality of service, ensure interoperability and ultimately help players remain competitive," the ITU said in a news release.

The first meeting on the issue will be held in June.

New Services

Nawras pilots 3G services in Oman- April 16, 2006

MUSCAT — Nawras, the Omani-Qatari Telecommunications Company SAOC, has announced that it has successfully activated 3G (third generation) mobile services in its network in the Sultanate. 3G will be showcased at the upcoming Comex 2006.

The third generation mobile services are being rolled out globally with a promise to customers of higher speeds for mobile broadband and enhanced services such as video calls.

As part of winning the licence for the second mobile operator in Oman in 2004, Nawras was awarded a licence to operate existing GSM services as well as future 3G services.

As the first licensed operator in the Sultanate to activate 3G services, Nawras will be responsible for bringing the next phase of mobile broadband communication to Oman over the next few years.

Following the first 3G video call in Oman in December 2005, Nawras has expanded its 3G network to cover selected areas in main cities of Muscat, Salalah, Sur, Nizwa and Sohar. Nawras is currently trialling 3G with selected number of customers in the Muscat area. Customers are able to make and receive video calls and browse the Internet at high speed. Later on, Nawras will gradually roll out services to more customers. At the upcoming Comex event, all visitors will be able to try 3G for themselves making video calls and going forward a similar possibility will be available in Nawras stores.

Abdulla bin Issa Al Rawahy, Nawras chief technical adviser and one of the most experienced telecommunications executives in Oman, commented: “I am extremely proud that Oman is one of the first countries in the Middle East to have activated 3G services. This has really brought the Sultanate of Oman into the forefront in delivering the latest mobile business solution technology. We have many visitors from other neighbouring countries who are very interested in learning from the experience Nawras have gained the last year”.

“Both Nawras employees and our network partner Ericsson have been working extremely hard to implement 3G services in the network to meet our licence commitments,” Al Rawahy added. The introduction of 3G will further strengthen Nawras position as the clear leader in the local mobile broadband market. Nawras is already the only mobile operator to offer mobile broadband services to all its customers based on the EDGE technology.

Anders Blauenfeldt, Nawras director of business development, commented on the topic: “Attractive customer propositions in the area of mobile broadband are likely to be based around providing basic broadband Internet services in a customer-friendly and reliable way. The customer experience offered by ADSL has stimulated people’s interest and demand for access to broadband Internet. In this regard we envision that Nawras mobile broadband technologies will do the same for Internet access that mobile communications has done for voice communication all over the world — shifting customers from landline technologies towards mobile technologies.”

“We are excited about our leading position in rolling out the latest generation of mobile technologies and although we believe we will have to be patient we see an interesting potential in 3G and are looking forward to design the future services in close dialogue with our customers,” Blauenfeldt added.

Ross Cormack, Nawras CEO, concluded that “Nawras has a strong commitment to bring the most advanced mobile services to Oman for the benefit of customers. We are very proud once again to be the customer experience innovator in the Omani mobile market, and especially being one of the early operators in the region to pilot these new and exciting mobile broadband services.”

Nawras will expand 3G gradually throughout 2006. For further information about Nawras 3G services visit Nawras stand at Comex 2006, a Nawras store or visit the Nawras website on www.nawras.om.-

Oman Mobile has roaming in 100 countries worldwide- April 15 2006

Oman Mobile, a leading telecommunications company in the Sultanate, has celebrated its position in reaching an agreement with 100 countries for its roaming service.

Subscribers can now enjoy mobile communication services in 100 countries worldwide through 245 operators.

At a press conference held on the Oman Mobile premises at Al Khuwair to announce this latest service, Talal Al Rahbi, manager of market intelligence, Oman Mobile, said: "We are pleased that international roaming agreements were signed with 245 operators in 100 countries to allow subscribers to use their phones in those countries. This is thanks to the company's efforts in providing the best services and staying up to date with fast- paced technology in the telecommunications field."

Regarding the choice of countries in the agreement, Al Rahbi said: "The countries were chosen based on many reasons: by studying the communication market in those countries, the countries that Oman Mobile subscribers frequently visit and knowing the importance of these countries and their geographical location. This is followed by an examination of how subscribers will benefit from the roaming services in those countries.

Currently, agreements are being made with other companies in many other countries."

Al Rahbi added: "On behalf of Oman Mobile Telecommunications Company and all its employees, I take this opportunity to congratulate our valued subscribers for reaching a 100 countries through 245 telecommunication companies worldwide. This proves our subscribers' confidence in us and we promise them to continue presenting all that is new in the world of telecommunication."

Of notable mention is that Oman Mobile has launched more than 24 services for Mada and Hayyak subscribers and introduced numerous value-added services, enabling subscribers to enjoy top-quality services. Oman Mobile, a leading national telecommunications company, will continue to stay true to its slogan with its over one million subscribers by always staying 'Connected with you'- © Times of Oman

Online Qatari directory - April 15, 2006

Doha-based Team Trading Company, a software house and event organizer, has launched an online directory called SmartQatar.com. The website seeks to offer government and private sectors a platform for networking and maximizing their exposure to the outside world. SmartQatar uses technology such as Oracle, SQL and RDBMS. © AME Info

Etisalat, online courses- April 15, 2006

Etisalat has announced a joint venture with the UAE University, called Easylearning, offering downloadable electronic courses for various professional skills. There are over 600 available courses in subjects such as accounts and customer service and each costs Dhs30, www.eacademy.ae/easylearning.- © AME Info

Etisalat launches 3.5G- April 12, 2006

Etisalat officials told Arabcom 2006 delegates that the UAE giant is now equipped to provide services and applications on the 3.5G platform, which provides mobile users with broadband connectivity speeds on their mobile phones. The launch of its Quad Play service that will include voice, video, data transfer and wireless connectivity through one source is also close. © AME Info

Etisalat launches HSPDA- April 14, 2006

UAE telco Etisalat has announced that that its network is now equipped to provide services and applications utilising High Speed Downlink Packet Access (HSDPA) technology.

Etisalat is one of the first operators in the region to launch this service, which will provide mobile users with broadband connectivity speeds on their mobile phones.

In February, Kuwait's Wataniya Telecom opened its HSDPA network, making it the first operator in the Middle East and Africa to offer mobile services beyond 3G. The solution, provided by Nokia, covered Kuwait and enabled Wataniya to offer a wide range of services including audio and visual services.

Etisalat is reportedly looking to develop what it describes as a 'quad play' service that will include voice, video, data transfer and wireless connectivity through one network. - © Dmeurope

Wi-Fi boost for Kuwait- April 11, 2006

Wataniya Telecom, the Red Carpet Company, and Smart Link Telecom today launched a nation-wide Wi-Fi service that will give Wataniya's customers access to broadband Internet from a number of key locations around the country. Various shopping malls, hotels, cafes and restaurants are now equipped with the W-net wireless Internet service. - © AME Info

Omantel to launch new directory info services- 09 April 2006

MUSCAT -- Oman Telecommunications Company (Omantel) recently signed an agreement with Info Line Company to establish an advanced telephone directory information centre at the Knowledge Oasis Muscat. In an attempt to enhance the role of the information centre and provide better and faster services, Omantel plans to add new services, including short text messages and Internet service directory.Subscribers can send short text messages to the centre and receive the required information via mobile phones. So, subscribers will not need to take down information while driving. Subscribers will also be able to request for information from the Omantel website and use the directory's information centre link to get the information.

Omantel's telephone directory information centre answers all queries on phone numbers of government institutions, individuals and companies operating in the Sultanate.The centre is equipped with the latest digital equipment based on the world's state of the art technology, facilitating better and faster services. The waiting period does not exceed 30 seconds, thanks to a well-trained team of 70 employees. The centre works 24 hours a day, providing customers with fixed and mobile phone numbers of non-Hayyak users. The centre receives nearly 23,000 calls a day, or 2,800 calls per hour.

Oman: Nawras launches pre to postpaid migration service -09 April 2006

MUSCAT -- Nawras, the Omani Qatari Telecommunications Company SAOC, has introduced a pre to postpaid migration service in response to the needs and requests of its valuable customers.

The pre to postpaid migration service will allow Nawras customers with a Nawras Mousbak or Nawras MousbakPlus (prepaid) to change their subscription type to a Nawras Ajel (postpaid) and at the same time keep their existing mobile number and SIM card.

The customers, who would like to benefit from the pre to postpaid migration service, can visit one of Nawras's 13 stores across the Sultanate to migrate their mobile service within minutes free of charge.

Hilde Aerts, Nawras product manager, commented: "We always want the best for our customers. I'm happy to introduce this new service because it will give our high usage prepaid customers the opportunity to reduce their call expenses by switching to postpaid and enjoy other postpaid benefits, without loosing their well-known and communicated mobile number."

The migration procedure is designed to be easy and convenient. What the Nawras prepaid customers have to do is to visit one of the Nawras's stores, and present the usual documents (ID card, bank statement or salary slip) required for a normal Nawras Ajel activation. The service even ensures that if the customer has any credit left on his/her prepaid account at the time of the migration, the amount will be credited on the first Nawras Ajel bill.

Nawras Ajel, which is considered the most prestigious, yet the most affordable postpaid product in the market, offers many fantastic benefits such as call rates starting from 19 baisas per minute, the lowest international call and roaming rates in the Sultanate and priority access to customer service through a dedicated free of charge number, 24 hours a day and seven days a week. Furthermore, Nawras Ajel customers enjoy the fastest and most affordable access to e-mails and the Internet through Nawras' mobile broadband network.

Additionally, Nawras Ajel customers can track their usage details through an itemised, free of charge, monthly bill and they can access 'MyNawras' on the Nawras website to look up details relating to their account, bill information and call history. On top of this, Nawras has made it easy for Nawras Ajel customers to pay their bills at over 300 payment channels, ranging from BankMuscat and Oman Arab Bank branches to ATM payment and Internet banking. For further information on the pre- to-postpaid migration service, customers can contact Nawras customer service by calling 1500 or visit a Nawras store.

Market Watch

Qtel to invest $400m-April 22, 2006

Qatar Telecom is to invest $400m in order to upgrade its infrastructure ahead of the Asian Games which Qatar is hosting at the end of 2006, reported Reuters. The money will be spent on introducing new technology such as 3G and video streaming. QTel's Chief Executive Nassir Marafih said that the upcoming games were an ideal opportunity for showcasing QTel's products. - © AMEInfo

MTC to highlight potential of Egypt's telecom sector at Kuwait in Egypt Week- April 15, 2006

Under the auspices of Egypt's Prime Minister Dr Ahmed Nazif, the Mobile Telecommunications Company (MTC) will sponsor the 2nd Kuwait Week in Egypt conference in Cairo from 17-19 April. With Kuwait ranked as the highest Arab investor in Egypt, representing 25% of total Arab investments, the conference will take a closer look at strengthening ties between both countries and the potential of further Kuwaiti investments in Egypt. < fields,? technology information the and sector telecommunications in investment attracting for potential great has market Egyptian>

says Dr Saad Al Barrak, CEO MTC Group. 'The investment structure in this sector enjoys significant growth opportunities and is expected to attract billions of Egyptian pounds. Especially as the mobile penetration rate in Egypt is only currently around 18 percent.'

While MTC is in the process of bidding for Egypt's third GSM licence, Dr Saad commends Egypt's Ministry of Communications and Information Technology for following the correct process of having a regulatory authority, the NTRA, to oversee the bid process. 'It's very healthy and attractive to investors to have such an independent authority,' said Dr Saad. 'From our experience operating in Bahrain, Iraq, and Jordan we would like to see other countries in the region follow the example of Egypt and the Kingdom of Saudi Arabia in establishing an independent Telecom Regulatory Body to lay down the roadmap for telecom development in their countries.'

Dr. Saad explains that MTC considers Egypt as one of the most important markets in the Middle East and Africa in terms of its distinguished status among Arab countries and the link it represents between the countries of this region.

'MTC enjoys vast experience in operating mobile telecommunications in both Arab and African markets, through our presence in six Arab countries and 13 African countries with a customer base of over 15 million active customers and MTC is considered one of the biggest investors in the African Continent with an investment of over 5 billion USD in its 13 operations,' he said. 'We would like to enter the Egyptian market not only to serve as a hub for our operations, but to offer the experience and technical know-how we have gained over the past 24 years in those markets, which we will be addressing this week at the Kuwait Week in Egypt conference.'

MTC is considered today to be the 4th largest mobile operator in terms of geographic footprint and hopes to continue its global expansion. © AME Info

Etisalat joins HSDPA wireless club- April 14, 2006

DUBAI- Etisalat is the latest company to launched HSDPA wireless service in the Middle East.

The telecom company based in the United Arab Emirates can now offers its wireless phone subscribers access to broadband Internet connectivity as well as audio and video services.

Etisalat joins Kuwait's Wataniya in offering High Speed Downlink Packet Access service in the Middle East- Africa region, Digital Media Europe said Friday. © Copyright 2006 United Press International, Inc.

Gulf 3G market 80% by 2009- April 13, 2006

The 3G handset market will grow from 42% of sales this year to more than 80% by 2009, 3G equipment supplier FVC told Arabcom 2006, reported Gulf News. Officials said that is swift uptake of 3G services around the GCC would result in 60% market penetration by 2009 against 20% today. - © AME Info

Wataniya, Smart Link to boost wireless Internet penetration in Kuwait- April 11, 2006

Wataniya Telecom, the Red Carpet Company, and Smart Link Telecom W.L.L, Kuwait's leading Wireless Provider, today launched the nation-wide Wi-Fi service that will give Wataniya's customers access to broadband Internet from a number of key locations around the country. Various shopping malls, hotels, cafes and restaurants are today equipped with the W-net wireless Internet service, which allows customers to be instantly connected simply by sending an SMS. Wherever customers see W-Net logo in hotspots, they'll be able to access and enjoy wireless internet.

'Wataniya is becoming an active player in pushing internet penetration in Kuwait" said Harri Koponen, GM & CEO, Wataniya Telecom.

"One of our main objectives for this year is to create a comprehensive portfolio of services that ensure faster broadband Internet access to our customers, as the demand for 'anywhere connectivity' is growing significantly,'.

'Wataniya is ongoing in boosting wireless connectivity toward new dimensions first with W-Net card and now with Wi-Fi which we believe will match customers' need for a non stop connectivity.

From any of the Wataniya 'hotspots' in Kuwait, customers can send an SMS with '1' to the number 1505, to get one hour of Internet access, worth KD1. For five hours of access worth KD3, customers can send an SMS with '3' to the number 1505. Customers will then receive their login name and password, which they can use to access the wireless Internet available from the location they are in. The payment for the access will be processed through their mobile phone.

'With this milestone deal, Wataniya and Smart Link have effectively ended the need for Internet scratch cards for Kuwaiti users,' said Mazen A. Khatib, General Manager, Smart Link Telecom. 'We've been very active in pushing solutions to realize the concept of mobility both in Kuwait and around the region. Through our partnership with Wataniya, we're now taking this to the next level, providing wireless access over the most advanced mobile network in the Middle East. The predicted uptake of this service is huge. - © AME Info

Middle East Information Technology market worth $15bn: 09 April 2006

DOHA: Qatar Chamber of Commerce and Industry (QCCI) chairman Mohammed bin Khalid Al Mana yesterday inaugurated the Second Communications and Information Technology (Comit-2006) exhibition being held at the Qatar International Exhibition Centre. Also present at the inauguration were International Fairs and Promotions Qatar Ltd (IFP) chairman Rashid Al Sraiya Al Kaabi and general manager Fadi Jreissati.

The show will be on until April 11 and is open to visitors from 4pm to 10pm. The exhibition is show open to students from 9.30am to 1pm on all days. According to Rashid: "The Middle East market for computers and IT applications is worth $15bn. With a growth rate of around nine per cent, more than double the world average, the IT and telecom sectors are creating vast opportunities for investment and trade in the region, especially Qatar."

He added: "By hosting the World Telecommunication Development Conference 2006, Qatar is becoming a major contributor to the development of these sectors."

According to Jreissati, the Qatar government's moves to opt for total e-governance will lead to increases in hardware and software sales.

Comit Qatar 2006 highlights the latest technologies in IT solutions, e-commerce, e-government, security and transport technology as well as digital appliances, including cameras and cellphones.

There is a high-tech shopper area at the exhibition site which offers the latest in global computer technology. The information and communication technology industry (ICT) is well-represented at the exhibition, including the likes of Malaysia's Multimedia Super Corridor, Xerox, Fujitsu, Siemens, LG, NEC and Motorola among others.

Batelco, holiday discount- 09 April 2006

On the occasion of Prophet Mohammed's birthday, Batelco will charge all international calls at off-peak rates, giving customers a discount of up to 28%. The offer applies to all international calls made through fixed lines, prepaid cards, public phones, and mobile phones. Off-peak rates will also be applied to all mobile local calls made during the set period. © AME info

Executive Briefing

2006 Will Be the Year of Mobile Advertising Experimentation- April 11, 2006

As advertisers and operators seek out the best business model, 2006 will be a year of experimentation for the emerging mobile advertising market according to a report from Vision Gain. The next five years will see a shift by major brands from simple SMS mobile marketing to more sophisticated multimedia advertising. By 2007, brands will know what works and mobile advertising will become mainstream by 2008.

From 2005, when the nascent market garnered US$255 million in Europe and the United States, mobile marketing and advertising in these two geographical areas will grow to exceed US$1 billion in 2009, according to vision gain.

The increasing availability of multimedia content is opening a large opportunity for sophisticated forms of mobile advertising. As content that already incorporates advertising - like live TV programming - makes its way to mobile handsets, brands and entertainment content providers are beginning to see the value of presenting full multimedia ads with programs.

Players across the value chain are developing their strategies and positioning themselves in this space. Operators in the U.S. and Western Europe are currently either testing various forms of advertising with 3G services or are allowing ads to be served on their portals. A number of multimedia companies will launch advertising in 2006 within their multimedia offering. Furthermore, the entry of large online search engines into the mobile world opens up new advertising opportunities in the shape of context-based mobile search.

"The mobile phone is a very personal device that most people carry with them 24 hours a day. It affords advertisers an opportunity to present very targeted and time-sensitive information that is of interest to the user. That is a key advantage. With customer permission, advertisers can collect valuable demographic and behavioural information to hone the marketing message," says visiongain analyst and the report's lead author Marcia Kaplan.

"3G technology enables the delivery of richer content to mobile phone users, but there is a limit to how many additional charges and subscriptions mobile phone users will accept. At some point, content will have to be sponsored or partially subsidised by advertising. We are also seeing the emergence of ad-subsidised MVNOs, which plan to offer free airtime in exchange for targeted advertising to subscribers," adds Kaplan.

The report notes that certain elements need to fall into place before mobile advertising can establish itself as a viable medium. Issues to be resolved include business models and revenue share, the type, length and frequency of ads, consumer attitudes and many others.

Operators will have to walk a fine line between maximising the revenue potential of advertising, while at the same time not risk alienating subscribers and increasing churn by doing so.- © cellular-new

New Technology

Mobile Access to Bank Accounts- April 11, 2006

The UK based bank, HSBC and its online subsidiary, First Direct will be the first banks to offer customers a new mobile phone banking service later this year when their services go live on the MoniLink network, a new UK mobile banking platform from the UK's cash machine network, LINK.

For the first time consumers, will be able to get 'on demand', 24 hour secure access to banking services including mini statements and balance enquiries through their mobile phone. They will also be able to top-up their own or somebody else's prepay mobile. To use the service, consumers need only download an application onto their phone. As with online banking, once registered and authenticated people will have secure access to their accounts - wherever they are.

The service complements internet and phone banking pioneer first direct's text message banking service - a UK first at its launch in 1999. This existing service offers weekly or monthly mini-statements plus 'event-based' texts which can, for example, tell customers when their salary arrives.

MoniLink has been developed over the past three years by LINK and IT development firm Morse. MoniLink was recently recognised by the World Economic Forum as a 'technology pioneer' which can have a 'life changing impact on a global scale'.

Alastair Lukies, MoniLink's chief executive, added: "Having worked with mobile operators and banks for over three years to develop this network we are excited to have one of the world's largest and most innovative banks leading the service to market. The UK is a centre of excellence for banking and mobile technology, so it's fitting that we are launching our first network in the UK with industry leaders that have global reach. We are also developing similar platforms in other countries through our partners." - ©cellular-new

Finance Economic

Saudi Telecom's Q1 profit up 13 pct to $910.7 million- April 17 2006

Saudi Telecom (STC) <7010.SE>, the kingdom's second-largest listed firm, posted a first-quarter net profit of 3.42 billion riyals ($910.7 million) on Monday, up 13.4 percent from the same period a year ago.

Operating income reached 8.52 billion riyals at the end of March, a rise of 7.5 percent from the same period in 2005, Saudi Arabia's main telecoms operator said in a statement. Shares in the company gained 1.53 percent on Monday, bucking a general downward trend in the market, having risen 6.3 percent on Sunday.

"The results are generally in line with expectations," said Faisal Hasan, senior financial analyst at Global Investment House. "But growth in net profit in 2006 will not be as (strong) as in 2005," he added, predicting growth of around 20 percent.

Full-year net profit rose 34 percent to 12.45 billion riyals in 2005, but annual revenue growth fell to 7 percent in 2005 from 12 percent the previous year because of fresh competition in the mobile phone business.

STC, which has a monopoly on fixed-line services, faces competition this year in the mobile phone sector from newcomer Ettihad Etisalat (Mobily) <7020.SE>, which started operating a 12.9 billion riyal second mobile network licence in May. Mobily, a joint venture between Saudi and United Arab Emirates investors, has rapidly expanded its subscriber base. STC said it would pay shareholders a dividend of 1.25 riyals, or a total 2.5 billion riyals for the first quarter. © Reuters 2006. All Rights Reserved.

Etisalat Q1 profit rises 31pc to $364 million-April 20 2006

Emirates Telecommunications Corporation (Etisalat) has reported a net profit of Dh1.337 billion ($364 million) for the first quarter of this year, a rise of 31 per cent over the same period last year.

The company’s operating profits increased to Dh1.216 billion, it said.

Mohammed Al Qamzi, CEO of Etisalat, said: "The performance of the corporation in the first quarter of 2006 brings us even closer to our ambition of being among the top 10 telecom operators in the world. The increase in uptake of our services has motivated us to not only maintain the excellent standards that our customers expect, but to also improve on our range of services."

Al Qamzi stated that mobile services witnessed a 23 per cent growth in the first quarter of 2006, compared to the same period last year. Mobile subscribers now number 4.76 million, a penetration rate of over 100 per cent.

"Internet subscribers, including broad band connections, reached 570,000, a record growth of 31 per cent over 2005. Fixed lines subscribers number 1.25 million, up by 4 per cent compared to the same period last year", Al Qamzi added.

Etisalat has recently taken over management of Pakistan Telecommunications Company Limited (PTCL), and is also preparing to bid for the third GSM license in Egypt.

Etisalat has signed an agreement with the Government of Afghanistan to provide mobile phone services, and is currently in talks to provide fixed line services too. The corporation is also holding talks with as yet unnamed Indian telecom operators to purchase stake. - © Trade Arabia

KSA cuts broadband fees- April 13, 2006

With the objective of signing up 1m high speed broadband internet customers by end of 2007, Saudi Arabia has announced a 37% reduction of DSL connection and subscription fees, according to a report in the Arab Press Digest. - © AME Info

Business Partnership

Telecom Firms Form Strategic Partnership – KSA- April 11, 2006

RIYADH, 11 April 2006 — In a major development in the telecom industry, three major telecom companies have formed a strategic partnership to lay the latest fibre optic network at a cost of SR1 billion. The 12,000 km-long project will be implemented in two phases over the next two years and will cover most of the country.

Etihad Etisalat (Mobily), Integrated Telecom Company and Bayanat Al-Oula for Network Services have entered into a partnership to build, deploy, and operate the state-of-the art fiber optic network. The partners have assigned a foreign specialized company for implementing the project for which a contract will be signed in Riyadh within the next two weeks.

Initially, the proposed network will extend to Riyadh, Jeddah and Dammam during its first phase and subsequently to other areas in its second.

"The highly sophisticated telecom network will enable the three companies to enhance their advanced services," Humoud Al-Ghobaini, manager corporate communications and media relations of Mobily told Arab News. He added that the new network would expand the telecom infrastructure and facilities to meet the growing future demand.

"The network will represent a strategic option for Mobily, since it enables its mobile services to provide additional services with sophisticated technologies.

"Through this network, Bayanat Al-Oula for Network services and the Integrated Telecom Co. will be able to provide high speed and cost effective data services to all sectors including institutions, companies, enterprises and individuals in the Kingdom."- © Arab News

Qtel signs MoU with Egypt firm- April 13 2006

DOHA: Qtel yesterday announced its second partner for the 3rd Public Land Mobile Network licence in Egypt. Qtel has now partnered with Egyptian firm Naeem Holding, an investment banking house. An MoU was signed between Qtel Deputy Chairman and Head of Qtel's Investment Committee Sheikh Mohammed bin Suhaim Al Thani and Naeem Managing Director Ahmed Naim Badr.

Under the terms of the MoU, both Qtel and Naeem agree to cooperate in the bid for the 3rd Egyptian license and jointly work with ST Telemedia of Singapore to provide the necessary resources and expertise in order to build, manage and operate the mobile network in Egypt, a Qtel release said.

Together Qtel, ST Telemedia and Naeem have formed a consortium, of which Qtel is majority owner, to jointly bid for the licence. Naeem Holding has private equity, corporate finance, asset management and brokerage operations in Saudi Arabia, Egypt and the UAE with branches in other GCC states.

Sheikh Mohammed bin Suhaim said: "We are very pleased to have added another strong partner like Naeem Holding to our consortium. We are confident that Qtel, Naeem, Holding and ST Telemedia's collective operating experience; local, regional and international expertise and market knowledge of various countries in the Middle East, North Africa, Asia-Pacific, Europe and the Americas, embodies the right partnership to bid in a dynamic market such as Egypt."

Naeem Holding MD Badr said: "We are very pleased with our partnership with Qtel and ST Telemedia in forming such a strong team for the bid on the 3rd mobile licence in Egypt. Being a regional investment bank with a strong foothold in Egypt, Naeem Holding would be the catalyst in the local market by devoting all its resources to win the bid."- © AME Info

MTC, mobile payments- 10 April 2006

Mobile Telecommunications Company of Kuwait has announced a partnership agreement with Mpay and Knet to allow MTC customers to transfer funds directly from their bank accounts through their mobiles phones for recharging pre-paid services or to settle monthly bills. © AME info World Tele com News

Mobile sniffer software still awaits patent - April 12, 2006

MUMBAI: Called the Lost Mobile Tracking Solution (LMTS), the e-sniffer which can track lost mobiles, is awaiting a patent. It was created with an investment of Rs 50 hundred thousand, of which half has already been recovered in the four months of its launch in the Indian market.

It would be safe to say that thousands of phones are stolen and lost in India every day, left behind in cabs, washrooms, restaurants and shops.

In 2005, 20,000 cases of stolen mobiles (worth Rs 300 crore) were reported with the police. About eight crore mobile handsets were retailed in India in the same year. This software allows the owner of the lost mobile to track the exact location of the handset and the number of the new SIM (subscriber identity module) card that has been inserted.

The code, downloadable at Rs 200 to Rs 300 a year on most handsets from Micro's website.

Sekhar said that when a phone is stolen, the thief generally sells the device in the grey market. When a new SIM card is inserted, the solution embedded in the phone will send an email or voice message to the original owner notifying him of the number on the new SIM card and the location of the phone. In this situation the third party has to return the gadget procured from the grey market.

Sekhar, who plans to market this solution worldwide in the next two months, is in dialogue with five of the largest mobile manufacturers as well as the police, who say that lost mobile complaints are on the rise.

He estimates that the market for such a solution could go up to Rs 30-40 crore within the next three years. The LMTS solution is currently restricted to GSM phones in which the SIM card is detachable.

The solution is retailed in India through Micro Technologies’ large dealer and distribution networks and will soon be pushed through the mobile manufacturer route as well. - ©Times of India

Optical networking market hits $11b- Apr 10, 2006 The global optical networking market grew 17% in 2005 to reach $11 billion. Ovum-RHK said that in the fourth quarter of 2005 alone, the market posted $3 billion in revenue, up 7% from the same period the year before. Leading the market were France's Alcatel and China's Huawei, with both registering growth of more than 30% in the fourth quarter and revenue of more than $1 billion for the entire year.

Geographically, all regions grew more than 10% in 2005, marking continued strong growth in North America and EMEA (Europe, Middle East, Africa) and a return to growth in both Asia Pacific and CALA (Caribbean and Latin America).- ©Telecom Asia Now, TV recording on your cellphone- April 11, 2006

SAN JOSE: TiVo subscribers will soon be able to program television recordings straight from cell phones using the Verizon Wireless network.

An agreement with Verizon Wireless, to be announced Tuesday, expands on TiVo Inc.'s strategy to bring the digital video recording pioneer's capabilities beyond its set-top-boxes and the television, and directly to cell phones for the first time.

Dubbed TiVo Mobile, it's also the latest feature the Alviso, California-based company is introducing to help differentiate itself from the growing number of rival DVR offerings from cable and satellite TV operators.

A DVR records TV programming onto hard disks and gives viewers the ability to pause live TV and fast-forward through commercials. - © Economic times