Wataniya Palestine has threatened to seek a return of its licence fee and other financial compensation if radio frequencies required for it to launch service are not released by September 15.

Last September, Palestine’s telecoms regulator, the Palestinian National Authority (PNA) advised Wataniya Palestine that spectrum would be allocated, allowing the licensee to launch commercial operations after repeated delays since March 2007.

At the time, the Palestinian Ministry of Telecommunications and IT (MTIT) confirmed an agreement had been reached with the PNA, which would provide the staged release of radio frequencies over several months.

The latest deadline set by Wataniya expires a month before the operator’s proposed launch date.

Wataniya Palestine said it had been provided with frequencies that fall below the minimum needed to launch the network. “In the event that minimum radio spectrum is not allocated to meet the launch schedule, Wataniya Mobile must pursue remedies that may include demands for refund of its licence fee payment and other damages,” a statement from the company read.

Palestinian minister of communications, Mashhour Abu Daqqa, told news wires the Palestinian Authority would ask international powers to press Israel to cover financial costs that would result from a possible Wataniya withdrawal from the deal.

“The Israeli side, as usual, is stalling in fulfilling its commitments. The Israeli side should pay for the financial costs, and we will demand that they do so,” Daqqa said.

He said the Palestinian Authority asked Israel to release some 4.8 MHz in frequencies but it only agreed to the release of 3.8 MHz.

Wataniya is said to have so far invested some US$270 million in infrastructure, as well as an additional US$140 million in licensing fees to the Palestinian Authority.

Wataniya signed a licence agreement with the Palestinian Authority in 2007 after bidding JD 251 million (US$354.3 million) to build and operate a new mobile network.

India’s largest mobile operator Bharti Airtel (Bharti) and Africa’s largest mobile operator by subscriber numbers, MTN Group (MTN) have extended for the second time exclusive merger talks, agreeing on a new deadline of September 30.

Merger talks between the two entities resumed in May and the companies had earlier extended the exclusive talks till August 31 from July 31. A year earlier previous talks broke down between MTN and Bharti over who would control a merged entity.

MTN Group CEO Phuthuma Nhleko is a firm supporter of the deal with Bharti, believing it would offer both companies strong exposure to emerging markets

As per the latest deal on the table, Bharti could acquire 49 per cent of MTN while the South African firm and its shareholders would pick up a combined 36 per cent stake in the Indian counterpart. The deal involves both paper and cash, and under the proposed arrangement, which is valued at around US$23 billion, MTN would pay US$2.9 billion and shares equivalent to 25 per cent of its share capital to Bharti in return for a 36 per cent stake in the Indian firm.

Bharti in turn would acquire a 36 per cent stake in MTN, controlled by the Mikati family and a trust representing senior management and employees. The Mikati family gained a 10 per cent stake in MTN through the acquisition of their telecom company Investcom by MTN for US$5.5 billion in 2006. Bharti’s offer represents R86 (US$10.44) and 0.5 Bharti share for each MTN share acquired through a global depository receipt (GDR) listing on the Johannesburg Stock Exchange. Together with the earlier 25 per cent crossholding in MTN, Bharti Airtel would end up owning 49 per cent of MTN’s enlarged capital.

While MTN would be the primary vehicle for both Bharti and MTN to pursue further expansion across Africa and the Middle East, Bharti would be the primary vehicle for both companies to pursue further expansion in India and Asia.

Bharti expects the tie-up to give it substantial participatory and governance rights in MTN, enabling it to fully consolidate the accounts of MTN while MTN would also have representation on the Bharti board. However the structure and terms of the potential transaction may be adjusted.

China’s ZTE Corporation today announced its interim results to end-June, recording revenue of RMB27.7 billion (US$ 4.05 billion) in the first half year of 2009, representing an increase of 40.4 per cent year-on-year. Net profit amounted to RMB780 million, representing year-on-year growth of 40.5 per cent.

With the benefit of the full-scale construction of 3G networks in China, ZTE reported operating revenue of RMB14.95 billion in the domestic market in H109, representing a year-on-year growth of 111.7 per cent. The performance of the company’s wireless products, factoring in the network tenders of China Unicom and China Telecom held during the first half of the year, was in line with expectations. On the back of its cost advantage and customisation capabilities, ZTE achieved significant breakthroughs in the coastal provinces and other growth opportunity regions.

ZTE’s revenue from its international operations grew 0.7 per cent to RMB12.76 billion in H109 and accounted for 46.0 per cent of its total operating revenue. Second-generation (2G) network construction and capacity expansion in key developing markets, coupled with the demand for bandwidth upgrades and innovative services in developed countries, formed the cornerstones for the development of the vendor’s international market.

ZTE registered year-on-year revenue growth of 46.2 per cent for carriers’ networks, 29.8 per cent for handset products and 29.2 per cent for telecommunication software systems, services and other products during the reporting period.

The UAE’s second telecoms provider Du continues to target the business and post-paid segment in the country, having earlier this month announced the launch of the Business Super Plan, a new mobile tariff for small and medium enterprises (SME). The Business Super Plan provides flexibility, transparency and performance with benefits including the freedom to call anywhere in the world, anytime, for effectively AED1 per minute (US$0.27) as part of an included international minutes bundle. The package also offers one rate on all incoming calls while roaming; a BlackBerry offer in the UAE; a 50 per cent discount on calls within a business; and per second billing on all outgoing calls from the UAE.

Du offers two Business Super Plan options tailored to varied levels of mobile usage:

Business Super 150: Customers pay AED150 per month and receive AED150 in international minutes and AED150 in national minutes, every month.

Business Super 300: Customers pay AED300 every month and receive AED 300 in international minutes and AED300 in national minutes.

Du broke down its subscriber additions for the first time for the Q209 period, reporting that just three per cent of its overall base of 2.9 subscribers was post-paid at the end of June. However according to Comm. calculations, post-paid subscriber growth rate was almost five times higher than prepaid over the period, with the number of post-paid subscribers rising by 24 per cent in Q209 compared to a growth rate of just over five per cent for prepaid users.

Jordan’s Telecommunications Regulatory Commission is reported to have granted a 3G licence to the Jordan Telecom Group (Orange Jordan), having reportedly rejected an offer by Zain Jordan which is said to have asked for more incentives and exemptions.

The TRC floated a public 3G tender in March and by the tender’s deadline in late May, Jordan Telecom Group was the sole bidder. However, the TRC rejected the group’s bid in June, saying its technical offer did not meet the commission’s standards.

Thus, the regulator continued to solicit offers, and Jordan Telecom Group and Zain were ultimately the only companies to submit tenders.

According to TRC chief commissioner Ahmad Hiyasat, 3G services are expected to be introduced in six months as Jordan Telecom already has the required infrastructure.

Other mobile operators will be allowed to introduce the service after one year of exclusivity to Jordan Telecom, provided that they meet the same conditions set in the original tender.

Hiyasat stated that Jordan Telecom agreed to pay JD50 million (US$70 million) for 10MHz of 3G spectrum.

Jordan Telecom has allocated JD100 million in investments for the provision of 3G services and said it was keen on providing 3G services.