Wataniya Expects to Launch Palestinean Network by Year-End

Kuwait's Wataniya has finally been given details of when it will be awarded the necessary radio spectrum to launch its network in the Palestinian Territories - and expect to launch the network by the end of this year.

"They gave us 2.4 Megahertz and they will give us a similar amount before the end of this year," Mohammad Mustafa, head of the Palestine Investment Fund (PIF) told Reuters. The PIF owns 30% of Wataniya's Palestinian operations.

The spectrum should be sufficient to support around one million subscribers.

The Palestinian Ministry of Telecommunications and Information Technology (MTIT) awarded a GSM/3G license to Wataniya in 2006, after it agreed to pay JD251 million (US$354 million). It was reported late last year that the Israeli government had finally allocated the radio spectrum, but the company has still not managed to launch its network.

Wataniya Mobile officials estimate the phone network would draw about US$650 million in foreign investment to the West Bank and create as many as 2,500 jobs in the first two years.

Due to the current monopoly and high prices, many Palestinians actually use phone networks from the Israeli operators where they leak across the borders.

The incumbent operator is Jawwal. The Mobile World subscriber database notes that Jawwal is estimated to have just over 1 million subscribers. Within the Palestinian Territories though, some 1.7 million mobile phones are in use. This is due to the Israeli networks "leaking" over the borders and providing service to Palestinians.

Wataniya International has established a new company in Palestine which is 40% owned by Wataniya International, 30% will be offered to the Palestine Investment Fund (PIF) and 30% owned by the general population through an IPO.

On the web: Reuters - Mobile World - Wataniya Mobile

Posted to the site on 22nd May 2008