Ericsson Wins Palestinian GSM Contract

Wataniya Palestine Telecom (WPT) says that it has started signing agreements with a number of telecommunications and information technologies providers to begin the construction of WPT GSM network in Palestine.

The signing of the agreements comes a few weeks after WPT received the Frequency License from the Palestinian Ministry of Telecommunications and Information technology (MTIT). The allocation of the radio frequencies allows WPT to begin construction of its network, the second GSM network in Palestine, in preparation for its commercial launch in 2009.

The first agreement was signed between WPT and Ericsson, which covers the purchase of network turnkey equipment, including network towers and base stations, network construction and testing in addition to network management services. The agreement also includes the provision of hardware and software documentation, system warrantees and training for WPT's staff.

Additional agreements with Palestinian and International companies will also be signed in the coming weeks to cover the construction of WPT contact center infrastructure, WAN/LAN networks and electrical and mechanical projects.

Ali Eid, Country Manager of Ericsson Palestine, said "This agreement marks an important milestone for telecommunications in Palestine. We're proud to be selected by Wataniya to be the major vendor of its mobile infrastructure and to help them provide best in class service to their customers,"

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). 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.

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: Mobile World - Wataniya Palestine

Posted to the site on 29th August 2008