Chinese telecoms equipment maker ZTE recorded a 48 per cent rise in net profits in 2009 on the back of massive 3G demand from local operators. Profit increased to CNY2.46 billion (US$360.4 million) from CNY1.66 billion a year earlier. The telecoms regulator in the world’s largest market awarded 3G licences in early 2009, thus swelling domestic requirements for network infrastructure.

ZTE’s revenues grew 36 per cent to CNY60.27 billion from CNY44.29 billon. The proportion of revenues from within China surged 75 per cent to CNY30.3 billion, while foreign markets grew 11 per cent to CNY29.97 billion.

The vendor, which is listed in Hong Kong and Shenzhen, is expected to take advantage of additional 3G expenditure in its home market during 2010, however weaker spending than the previous year has been forecast by analysts.

Palestinian operator Paltel saw steady growth during 2009 with consolidated revenues rising 5.36 per cent over 2008 to reach US$444.41 million. Operating profits reached US$147.19 million during the period compared to US$138.84 million a year earlier, an increase of 6.01 per cent. The firm posted net profit of US$99.21 million.

The operator’s subscriber base grew by 30 per cent to reach 2,263,120 customers by year end, compared with 1,744,433 the previous December. Mobile accounted for 1.8 million subscribers, followed by 370,638 fixed line users and 92,482 ADSL connections.

The general assembly approved the board of directors’ recommendation for a cash dividend equivalent to 35 per cent of the shares par value (US$1.41), totalling US$64,977,080.

"We will continue to improve efficiency and optimise operations focusing on our core business and relying on outsourcing for non-core services,” stated CEO of Paltel Group Ammar Aker.

“Our operational indicators demonstrate more promise to enhancing our mobile operation, increasing our fixed line subscriber base and forging ahead with added attention to data and broadband communications. That is the future direction of the industry, and our Group is positioned to sail confidently into the new market horizons.”

Mozambique’s government has opened a tender to licence a third mobile operator, with bids due by July 6. The communications authority will then have 60 days to evaluate the tenders with the winner expected to be licenced by year end. A fee of US$25 million is applicable once the successful bidder has received the licence.

Bidders are required to have a bank guarantee of US$2 million before they can acquire tender documents, which will be refunded to unsuccessful bidders. Participating parties must also prove they have at least US$30 million worth of net assets and annual revenues exceeding US$50 million.

M-Cel currently leads the market in Mozambique with 66 per cent market share and four million subscribers. Vodacom follows with an additional two million customers to make a total of six million mobile connections. The country has a population of approximately 21.7 million.

China Mobile will invest US$300 million in its Zong mobile operation in Pakistan during 2010, the largest stated by an operator in the country this year. To date the Chinese firm has invested US$1.66 billion and helped generate 1700 direct and more than 40,000 indirect jobs during two years of operation, the company said in a statement.

Zong is the fifth operator of six in the South Asian country with a subscriber base of almost seven million as of January 2010, according to statistics from the Pakistan Telecommunication Authority.

Orascom’s Mobilink leads the market with 31 million subscribers, followed by Telenor with 22.6 million, Ufone with 18.6 million and Warid with 16.2 million. Instaphone lags way behind with a base of a mere 1,000 customers, down from a peak of 536,000 in 2004.

Pakistan has a mobile penetration rate of 58.2 per cent as of January this year.

Mobile phone retailer Cellucom has closed all its outlets across the UAE as it faces liquidation and a court case with its majority shareholder Al Rostamani Group. The company had more than 25 retail stores in the UAE as part of a network of 500 shops in the Middle East, Africa and India.

Stores outside of the UAE have not been affected by the legal dispute

Al Rostamani Group holds a 51 per cent share of the retail firm and said it had filed for liquidation of Cellucom FZCO and Cellucom LLC in June 2009.

“Having reviewed Cellucom’s business and financial affairs, Al Rostamani Group concluded that the Cellucom companies could no longer sustain themselves as going concerns,” a statement said.

Al Rostamani’s application is awaiting a ruling from the Dubai Courts.

Cellucom has operations in Bahrain, Oman, Kuwait, Saudi Arabia, Qatar, India, Kenya, Namibia and Tanzania. According to the UAE’s National newspaper, the firm’s chief executive left the UAE in March last year and is currently in Tanzania “continuing to expand the business”.

“More or less, the operation is closed down and it is in court now,” Sudhir Kamat, accounts director at Cellucom was quoted as saying.

Al Rostamani Group is based in Dubai and has an employee base of more than 5000, with companies in the automotive, travel and leisure, financial, real estate, engineering construction, environment, general trading and IT and communications sectors.