Wana wins third mobile licence in Morocco

Alternative telecoms provider Wana Telecom has won Morocco’s third mobile licence, adding to its existing portfolio of limited-range mobile, fixed-line and Internet services across the North African country.

Wana Morocco Morocco’s regulator, the Telecoms National Regulation Agency (ANRT) did not state how much Wana paid for the licence, nor how many other parties bid for the concession.

Wana is owned by Moroccan conglomerate Omnium Nord-Africain (ONA) and said it had committed a “significant investment” as part of its bid. The operator was formerly known as Maroc Connect (MCO) and acquired a next generation wireline licence in 2006.

Morocco’s two incumbents are Maroc Telecom, majority-owned by European entertainment group Vivendi, and Medi Telecom, a joint venture between Spain’s Telefonica and Portugal Telecom.

Morocco had 22.82 million mobile subscribers as of end-2008, representing a penetration rate of 74 per cent, according to the ANRT. Maroc Telecom commands a mobile market share of 63.4 per cent, with Medi Telecom holding 34.7 per cent, and Wana Corporate serving the remaining 1.9 per cent.

Du posts first full-year profit, beating expectations

Du, the UAE’s second service operator has posted its first full year net profit to December 2008, less than two years after it launched in February 2007. Net profit for the year before royalty came to AED8 million (US$2.18 million), up 100.9 per cent from a loss of AED885 million a year earlier.

Du stand at abu dhabi career fair_2Du now enjoys market share in the UAE of 25.5 per cent in mobile and 17 per cent in fixed-line

Revenues for 2008 amounted to AED3.951 billion, a year-on-year increase of 157 per cent from AED1.537 billion.

Active mobile subscribers increased by 104 per cent for the year to almost 2.5 million customers, while fixed-line subscribers grew 72 per cent from 163,000 to 280,000. This equates to a market share of 25.5 per cent for mobile and 17 per cent market share for fixed-line. Du forecast enjoying a 30 per cent market share by its third year of operation.

In quarterly results, revenues for Q408 reached AED1.227 billion, nearly double for the same period in 2007 of AED640 million. Net profit of AED78 million in the quarter was up 151.6 per cent from the third quarter, and up from a net loss of AED147 million a year earlier.

“We start 2009 stronger than ever before, but mindful of potential challenges ahead,” commented Du’s chairman Ahmed Bin Byat. “We are not complacent – either in terms of our market share or the global economic environment. We will continue our focus on innovation and value for money to develop and launch services that our customers want to use. As a result, I feel confident that Du is well positioned to prosper throughout 2009 and beyond.”

Orascom to buy back 7.2 per cent of shares

Egypt-based Orascom Telecom (OT) has filed applications with the Egyptian Capital Market Authority and the Egyptian Exchange to buy back 7.2 per cent of the company’s issued shares over the next three months.

image OT has a potential repurchase plan of London-listed global depository receipts (GDR) and up to 65 million local shares – equating to 13 million GDRs, which have a current market value of EGP1.118 billion (US$201 million).

OT shares stooped on February 5 to their lowest close in more than four years at EGP17.20, down from an all time high of EGP100 in January 2007.

The Cairo-based company has telecoms operations in Algeria, Pakistan, Egypt, Tunisia, Bangladesh, Zimbabwe and North Korea. Through its subsidiary Telecel Globe it also operates in Burundi, the Central African Republic and Namibia, and has a group-wide subscriber base of more than 79 million customers as of September 30, 2008.

MTNL first to launch 3G as public auction placed on hold

State-run Mahangar Telephone Nigam Ltd (MTNL) has become the first mobile operator to launch 3G services in India, as private companies continue to be stalled by ongoing delays in the auction of 3G spectrum.

New Delhi, India 3 - Photographer Ashish Maurya - Source GSMA & Decisive Media MTNL’s 3G service is initially limited to central New Delhi, but will soon be extended to other parts of the city and Mumbai

MTNL’s chairman R.S.P. Sinha told press the operator had invested almost INR4 billion (US$82.3 million) in the network rollout, and he expected about 200,000 3G subscribers within the first two years.

The initial service is limited to central New Delhi, with the service to be extended by vendor partner Motorola to other parts of the city and also Mumbai. Mobile users will need to pay an upfront activation charge of INR500 and a monthly fee of INR599, with mobile TV, video calling, movie downloads and low-cost VoIP-based international calls on offer.

Fellow state-backed operator BSNL is expected to launch 3G services shortly. The companies have gained up to six months’ head start over rivals, with spectrum granted on the condition they pay licence fees equivalent to the highest bidders, when the auction is completed.

The latest auction deferment was due to a proposal by India’s finance ministry to double the reserve prices in 20 of the country’s 22 telecommunications circles where 3G spectrum is being offered. The government is reviewing the proposal and has not announced a decision or a new date; however, analysts suggest it is unlikely the auction will be held ahead of general elections, which must take place by the end of May.

Image courtesy of GSMA & Decisive Media

Alcatel-Lucent results blighted by Q4 write downs

Alcatel-Lucent wrote down the value of assets by €3.91 billion (US$5.1 billion) in Q408, as it posted its eighth consecutive quarterly loss amounting to €3.89 billion. This was a 51 per cent greater loss than reported in Q407. Write downs now total almost €8 billion since the merger of Alcatel and Lucent in 2006.

ALCATEL-LUCENT INNOVATION DAYS 2008Alcatel-Lucent CEO Ben Verwaayen said the company met its targets for 2008 and he was encouraged by its operating performance, top-line, operating margin and cash flow targets

Revenues for the quarter came in €4.95 billion, down 5.3 per cent year-on-year. For the full year 2008, the company reported a loss of €5.215 billion, representing a 48 per cent larger loss than the one reported in 2007.

Revenue declined 4.5 per cent in 2008, which the company attributed to a shift in currency values. Based on constant currency exchange rates, fourth quarter revenue declined, but increased 16.9 per cent from the previous quarter.

Alcatel-Lucent’s CEO Ben Verwaayen said the vendor met its targets for 2008 and he was encouraged by its operating performance, top-line, operating margin and cash flow targets. Operating gross margin came in at 34.1 per cent for the full year.

“With an improving balance sheet, adequate funding, a new strategy in place and a clear roadmap to profitability, we are committed to executing on our plans to deliver better solutions and services to our customers and better returns to our shareholders,” commented Verwaayen.

Alcatel-Lucent expects the global telecommunications equipment and related services market to contract between eight and 12 per cent at constant currency in 2009. The company continues to anticipate an adjusted operating profit around break-even for the coming year.