Georgias Argotex Gets Mobile License

TBILISI, April 25 (Prime-Tass) -- Georgia?s Argotex has paid 19.9 million lari for a mobile telecommunication services license, the National Communications Commission said Tuesday.

The license gives a right to its holder to provide third generation (3G) services on the allocated frequencies.

Argotex participated in the auction together with Georgian mobile operator Geocell, the commission said.

The starting price of the license was set at 8.5 million lari.

Argotex received a license to operate in radio frequencies from 1,910 Megahertz (MHz) to 1,915 MHz, from 1,920 MHz to 1,935 MHz and from 2,110 MHz to 2,125 MHz, the commission said, adding that the company has to pay 30% of the price within one month and the remaining sum within 12 months.

The company also has to start providing its mobile services within 12 months, the commission added.

The commission said that Argotex has not been involved in the telecommunications business before.

The commission said Tuesday that it plans to hold another auction of frequencies for 3G mobile services on May 23, adding that it would not provide more than 50% of the 3G frequencies to one company.

The Georgian market is split between two GSM operators and one CDMA operator. GSM operators Geocell and Magticom control about 55% and 44% of the market respectively, while CDMA operator Iberiatel controls about 1%.

Penetration in Georgia, which has a population of about 5 million people, stands at about 20%.

(1.817 lari - U.S. $1)

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Posted to the site on 26th April 2006