Ugandan Discussions over Hits Telecom Launch

Uganda's telecoms regulator, the Uganda Communications Commission (UCC) has warned that Hits Telecom risks losing its operating license if it does not commercially launch its network by September. The company was granted a mobile license last March and has eighteen months from that date to start offering services.

The company has built some of its Alcatel-Lucent supplied network and carried out test calls - but the planned launch in the first quarter of this year slipped past without comment.

The company is reported to be planning a media announcement next week though, which may outline the final funding and launch plans for the network.

UCC Director of Communications and Consumer Affairs, Mr Fred Otunnu told the local Daily Monitor newspaper that "when you fail to start with in that time, the commission revokes the licence. We know, they are aware of the license requirements,"

Hits Telecom Uganda major shareholder are based in Abu Dhabi, and the company has been awarded a full telecommunications license, which includes the GSM 900/1800 spectrum, WIMAX broadband, international gateway, mobile virtual network operation and data transmission services.

The country has five mobile operators, the two incumbents UTL and MTN while Zain (formerly Celtel) was licensed in 2005. Warid launched its network in February this year. According to figures from the Mobile World database, the country ended Q1 '08 with some 5.2 million mobile subscribers - representing a population penetration level of 17.4%

Earlier this year, India's Reliance Communications brought Uganda based Anupam Global Soft, a company holding mobile and landline licenses in addition to WiMax and Wi-Fi services in Uganda.
This company has received Spectrum allocation and plans to launch its Mobile services by end of 2008. The company says that following the acquisition - for an unspecified amount - it plans to spend up to US$500 million on building out the telecoms network.

That will bring the country to six active networks by the end of this year - presuming that Hits Telecom is still around.

On the web: Daily Monitor - Mobile World

Posted to the site on 30th July 2008

Posted to: www.cellular-news.com/story/32750.php