Batelco attributed a 20 per cent decline in net profits to increasing competition in its domestic market, as well as growing start-up costs for its Indian venture S-Tel. Net profit decreased to BHD 22.3 million (US$59.2 million) from BHD 27.9 million a year earlier, while revenues tightened by 2.4 per cent to stand at BHD 84.8 million.

“Gross revenues did not grow in the first half predominantly due to the entry of the third mobile operator in the Bahrain market,” chairman Shaikh Hamad Bin Abdulla Al Khalifa said in a statement, referring to the entry in March of Viva Bahrain, a subsidiary of Saudi’s STC. Zain is the second mobile provider in the country.

“Reduced market share for mobile and broadband services and strong price erosion adversely affected our revenues and profits,” he added.

Active mobile subscribers surged 47 percent during H110 to reach 6.88 million, while broadband Internet users increased 54 percent to 230,600. The group’s total number of subscribers is 7.3 million.

Qatar’s regulator has announced that Qtel will face a fine and appropriate action in regards to its launching of Virgin Mobile-branded services in May. It was determined by ictQATAR that Virgin Mobile’s services did not constitute a third mobile licensee and therefore breach the terms of Vodafone as second licencee, however, the way it was marketed did deceive consumers as to its genuine nature.

“IctQATAR  has concluded that Virgin Mobile services were represented by Qtel to the public between May 13 and 18 in a manner, which misled or deceived people about who was providing the services. Some people were misled into thinking that Virgin Mobile was a new telecommunications operator or service supplier in Qatar,” a statement by the regulator read.

“This had the effect of distorting competition, as it presented another apparent third operator or service supplier option to customers or potential customers. In reality, there are only two licensed telecommunications service providers in Qatar who are permitted to sell mobile services to the public – Qtel and Vodafone Qatar.”

Vodafone ended the state-owned operator’s monopoly in 2007 when it paid US$2.1 billion for the right to be the nation’s second telecommunications provider.

IctQatar has referred the case to the Office of the Attorney General where an appropriate penalty against Qtel will be settled upon.

On May 17, four days after the launch by Qtel of Virgin Mobile services, the regulator issued orders to Qtel requiring certain changes in the marketing and presentation of Virgin Mobile services, followed by further instructions on May 20 on the same matter. On July 15, Qtel was ordered to “correct any wrong or misleading perception created by Qtel about Virgin Mobile services, and to ensure compliance with the telecommunications law”.

The requirements imposed upon Qtel dealt with branding and naming of the services, the use of logos in advertising materials, the branding and use of retail outlets, call centres and information presented to the public in person and on websites.

Nawras’ long-anticipated home broadband and voice services will be launched this Tuesday July 20, breaking the monopoly of Omantel as Oman’s sole fixed voice and Internet provider. Nawras will operate the Sultanate’s first WiMAX network, which currently covers 54 per cent of households across the Sultanate and which is expected to expand to reach 80 per cent of households during 2011.

Every Nawras broadband Internet customer receives a fixed voice connection at no additional charge

The ‘plug and play’ simplicity of the Nawras home broadband and voice packages allows customers to set up internet access within minutes. The operator has also posted coverage maps on its website so customers can see exactly which services are available within their town or village.

Postpaid packages start from OMR 15 (US$39) per month, which include a 6 GB data allowance with up to 1 Mb/s downlink speed, spend capping to control broadband Internet budgets, and a free-of-charge telephone connection with no extra line charges.

The operator is also introducing the country’s first prepaid Internet service, starting at OMR 5 per week with a 2 GB data allowance and up to 1 Mb/s downlink speed. Alternatively subscribers can choose a monthly plan with the same prices and benefits as the postpaid options. Customers who sign up for a postpaid or prepaid package will receive double data allowances for free, plus 50 per cent off Nawras broadband modems until October 13 as part of the launch promotion.

With the fixed telephone connection, subscribers can take advantage of further discounted international call rates with the option of a unique voice over internet protocol (VoIP) service to India, Pakistan, Bangladesh, Indonesia, Sri Lanka and the Philippines. By simply dialling ‘0902’ before a number, the phone call is automatically switched to VoIP for that call, offering the most attractive call rates to the six Asian destinations.

State-owned Omantel plans to increase its shareholding in Oman Fiber Optic Company from 25.96 per cent to 40 per cent. The firm confirmed on Monday it had received approval from the Capital Markets Authority to make the proposed increase.

The other shareholders in the fibre optic manufacturer include Oman & Emirates Investment Holding and Omani bourse shareholders. In the first quarter of 2010 the Muscat-based firm recorded a net profit of OMR 534,000 (US$1.39 million).

Omantel is currently the only provider of fixed telecoms services in Oman, however will face stiff competition from mobile operator Nawras later this year when it launches its own portfolio of fixed services.

Zain Nigeria, the mobile firm which started out as Econet Wireless Nigeria in 2001 and has since changed its name four times, will be rebranded a fifth time on October 1 as Bharti Airtel Nigeria. India’s Bharti Airtel, which purchased Zain’s African assets last month for US$10.7 billion, has also committed US$600 investment in the Nigerian operator over the next three years.

“Fifty per cent of that amount would come up in the first year. We have looked that the Nigerian telecom industry and have discovered three issues: quality of service, freedom to make calls and affordability of service which we would work on to provide quality service to consumers," commented Bharti Airtel’s Africa group CEO, Manoj Kohli.

Econet Wireless Nigeria was renamed Vodacom Nigeria in 2004 and later the same year to V-Mobile Nigeria. In 2006 Celtel Nigeria took over before it was rebranded Zain Nigeria in 2008. Kohli said the launch of the operator’s new brand name later this year would coincide with the 50th anniversary of independence for Nigeria.

Bharti Airtel is India’s largest mobile service provider with 125 million subscribers across the country. It is also the fifth largest telecoms company in the world. The group’s investment in Africa gives the firm a foothold in Burkina Faso, Chad, the Republic of Congo, Congo, Gabon, Ghana, Kenya, Malawi, Madagascar, Niger, Nigeria, Sierra Leone, Tanzania, Uganda and Zambia.