Commercial MVNO deal close to ratification in Jordan

A deal that would herald the launch of a mobile virtual network operator (MVNO) in Jordan is imminent, according to Jordan Telecom Group’s chief strategy officer Philippe Vogeleer. Speaking to Comm., Vogeleer said there is a particular MVNO that has been able to make a business case for itself, and that Jordan Telecom is in advanced discussions with the party.

“Some MVNOs have launched services in the region, and a great deal of experience has been learnt from it, allowing mobile operators like us to see concretely the benefits of tying up with an MVNO,” Vogeleer said. “We saw one MVNO entering an agreement that targeted Indians in Oman and the MVNO was successful because it had the correct distribution method, establishing a call centre that speaks Hindi and not English. Frankly we don’t have time to develop these things in-house and we believe there is potential for these niches,” he added.

Philippe Vogeleer says MVNOs in the region have grown in experience and stature

Friendi Group and i2 were licensed by Jordan’s TRC about two years ago to introduce reseller services in the country, but the two companies have been unable to secure a commercial agreement with any of Jordan’s three GSM operators. One significant sticking point to reaching such an agreement is the lack of protection offered to network operators should they open their networks up to an MVNO. As the TRC’s position stands at the moment, should a network operator agree to allow one MVNO to operate on its network, it is required to offer other prospective licensed reseller players the same terms, with the onus being placed on the operator to justify not signing up an additional MVNO player.

While Vogeleer is negotiating with the prospective MVNO under a non-disclosure agreement and is thus unable to reveal the party’s identity or the nature of their negotiations, a process of elimination points to Friendi Group, the MVNO that operates in Oman and which in July announced the launch of a programme called Reach Out, allowing customers in Oman and those out of the country to make calls between India and Oman at competitive call rates.