Zain Iraq awarded 3G spectrum by CMC

Atheer Telecom Iraq (Zain Iraq) has entered into an agreement with Iraq’s Communications and Media Commission (CMC) to secure authorisation to utilise 2100 MHz spectrum for 3G services across Iraq. Zain Iraq recently paid the first instalment fee amounting to US$76.75 million representing 25 per cent of the overall 3G spectrum fee of US$ 307 million.

In anticipation of receiving the 3G spectrum licence, Zain Iraq commissioned three leading global technology solutions providers, namely Ericsson, Huawei, and Nokia Networks to expand and upgrade the network with single-RAN technology, thus allowing Zain Iraq to quickly roll-out 3G commercial services across the country.

The operator is targeting being commercially operational by January 2015.

Today, data related revenues (excluding SMS and value added services) represent only four per cent of Zain Iraq’s total revenues reflecting an annual growth rate of 12 per cent.

Zain, together with the other three 3G licensees will settle the remainder of their total licence fee payments in four installments over the following 18 months.

There will be a two-month testing period before the commercial launch of 3G, according to the CMC.