Steadfast operation

The prognosis for the major equipment suppliers in 2009 is not good, but despite this Motorola’s Ali Amer and Noel Kirkaldy consider the vendor’s prospects for the year ahead in the Middle East and Africa positively. LTE, WiMAX and FTTx are amongst the reasons why Motorola believes its has made the right technology bets, from which it will weather the global economic storm

image In his many years in the telecoms sector, Ali Amer, vice president for the Middle East and Africa for Motorola’s home and mobility business unit, has never seen a global economic slump set to have such an impact on the telecoms sector. He takes some consolation in the belief that the effects of the slowdown will be more heavily felt in North America and Europe than they will be in the Middle East and Africa region. That is not to say Amer believes the MEA region will be without its very real challenges.

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Feeling the squeeze

The annual GSM-3G Middle East conference brings together the region’s stakeholders in an atmosphere of honest information exchange and strategic reflection. While this year’s event was somewhat muted by the ongoing financial crisis, insights were offered into broadband, branding and the requirement to know the needs of one’s customer better at this point than at any other time in the past

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Etisalat’s chief corporate affairs officer Nasser Bin Obood believes it is time for the UAE’s telecoms regulator, TRA to allow the operator to exercise greater flexibility with respect to the setting of competitive tariffs. Given Etisalat’s incumbent position in the UAE, the telco is deemed to have significant market power and as such has its pricing plans and tariffs heavily regulated by the TRA.

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Prudence is the name of the game

At the time of going to press, Nortel had not yet officially responded to the notice it received from the New York Stock Exchange with respect to what the Canadian vendor was going to do about its depressed share price, which has traded below US$1.00 in value for several months, against NYSE rules. While some of Nortel’s problems are quite specific to the vendor, others are more general to the telecoms equipment manufacturing sector, and Comm. reviews the level of trouble for other suppliers

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Nortel CEO Zafirovski is under pressure and running out of time as his options to keep the vendor afloat appear to be narrowing rapidly

Beleaguered telecoms vendor Nortel continues to fight for its survival, having been forced to review its stock market listing on the New York Stock Exchange (NYSE), given its depressed stock price. In an email to Nortel staff seen by Comm., Ronald Alepian, the vendor’s vice president of corporate communications confirmed last month that on December 10 the vendor had received notice from the NYSE that Nortel’s stock had fallen below the continued listing standards.

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Predicting the future

When writing our predictions for 2009, there is no way of avoiding relating my predictions to the new reality that has emerged due to the international financial crisis. At Strand Consult we make a living out of viewing events objectively, but on the other hand we are also realistic, so we know that the international recession that large parts of the world is currently experiencing will also influence an industry that primarily does business by delivering a basic service like good old-fashioned telephony – we are in a commodity industry.

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An editorial by Strand Consult. The company analyses mobile markets and developments, publishes reports, conducts executive workshops, and helps telecoms industry participants focus on their business strategies. Strand Consult is based in Copenhagen, Denmark.

How will the mobile market develop in 2009? There will be some main trends that will dominate the 2009 mobile market. This will be the year where almost all the world’s mobile operators will primarily focus on mobile broadband. This market will grow, but competition may be so tough that it will result in very low prices in most markets. These low prices will result in operators over time having five choices of how to continue to do business. Reduce subscriber acquisition costs; reduce customers’ consumption; launch a number of premium products; bundle services with a mobile broadband product; or launch premium billing on mobile broadband.

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Profiting from good

When Roshan launched mobile services in Afghanistan in 2003, its goals extended beyond achieving a profit and satisfying shareholders. Today, the country’s leading GSM operator provides indirect employment to 25,000 citizens and takes a pioneering position in improving the development of economic, educational and social services. Proving it is possible to do ethically-sound business in Afghanistan and make a tangible social difference, CEO Karim Khoja shares how corporate social responsibility has not stood in the way of Roshan becoming a viable commercial operation. Michelle Mills reports

image Just five years ago, if a local wanted to make a phone call in Afghanistan, he either used one of the 30,000 Thuraya satellite phones that were available and which cost US$12 per minute to use, or he walked to a neighbouring country,” recalls Roshan’s CEO Karim Khoja.

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News

Batelco provides nationwide 5G coverage in Bahrain

Batelco has successfully activated 5G coverage across Bahrain, which is available in all four governorates, covering 95% of the nation’s population. The telco’s launch of the network makes Batelco the first operator to provide national 5G coverage in Bahrain.

Omantel extends managed services deal with Ericsson

Omantel has renewed and expanded its managed services agreement with Ericsson for a further five years, with the renewed agreement being more outcome-based and customer-centric.

MTN Group CEO opts to depart after expiry of fixed contract

South Africa-headquartered MTN Group CEO Rob Shuter will step down from his role at the end of his fixed four-year contract in March 2021, having given no explanation why he would not seek to stay on beyond that date.

Nokia CEO, Rajeev Suri to step down as vendor considers its options

Nokia CEO and president, Rajeev Suri, is set to step down from his position later this year, to be replaced by Pekka Lundmark, currently CEO and president of energy company Fortum. The move comes as Nokia struggles to keep pace with the global shift to 5G.

Batelco introduces 5G roaming with du in the UAE

Following Zain Group’s regional milestone announcement in November 2019 that its operations in Kuwait and Saudi Arabia had successfully launched the first 5G roaming service across the MENA region, Bahrain telco Batelco has announced partnering with the UAE’s du to deliver 5G international roaming services in the UAE.

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