In a move to further the facilitation of mobile payment services in the country, Sweden’s mobile operators – Telenor, Tele2, 3 and Telia, have reportedly formed a joint venture, which is expected to commercially launch its services next year.

The penetration of m-payment services in Sweden have shown considerable growth with an increasing number of customers using their mobile handset to pay for regular activities such as parking and public transport among others.

The joint venture will reportedly help extend the variety of services that can be carried out by a customer through the mobile handset. Further, sources claim that for users the venture will ensure uniformity amongst the services offered by the operators.

 

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VimpleCom, the third largest telecom operator in Russia, has reportedly said that any consolidation in the telecom industry in Russia will have to involve Tele2 as there will be no consolidation among the top three wireless operators of the country.

Mobile TeleSystems is the leading operator in the country followed by MegaFon and VimpleCom. Tele2 is currently the fourth largest player serving over 20 million customers. As per sources, Jo Lunder, CEO, VimpleCom said that the outcome of the 4G spectrum auction would be crucial in deciding the future performance of the operators.

He added that VimpelCom’s biggest operational challenge is to improve its performance in its Russian home market. As per reports, the CEO also said that the focus of the firm, which also has operations in parts of Asia and Africa, as well as in Italy and Canada, is more on cash generation and less on building subscriber and revenue market share.

According to reports, Lunder also said that they are very optimistic with regards to Wind and the Italian market, having secured good spectrum for 4G in Italy, and expect it to develop into an advanced data market.

 

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Sweden based telecom firm, Tele2 is reportedly looking for acquisition opportunities in Central Asia, in an attempt to better compete with rival operator TeliaSonera. According to reports, Tele2 had acquired a majority stake in Kazakhstan’s wireless operator NEO, in March 2010.

As per sources, Lars Nilsson, CFO, Tele2 has said that countries in the vicinity of Kazakhstan can always be of interest as long as the market is not too small. He added that the target markets need at least 1 million potential customers for Tele2 to make an investment worthwhile. Further, reports suggest that Tele2 has more than 1 million Kazakh customers and expects to reach as many as 2.5 million by the end of 2012.

TeliaSonera currently operates in the regions of Azerbaijan, Georgia, Moldova, Tajikistan and Uzbekistan. As per reports, it is looking to increase its stake in partially owned companies and is currently investing more in Kcell.

Sources claim that Telenor has been focusing on India and regions in Southeast Asia for opportunities in the emerging markets. According to reports, Richard Olav Aa, CFO, Telenor said that he expects Indian authorities to create more transparent rules for mergers and acquisitions within the next three years, and the company would be able to engage in mergers if it meets its 2013 breakeven goal.

 

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Tele2 plans to re-launch its mobile services in Kazakhstan on April 24.

The operator will start the coverage in the Aktobe region under the Tele2 name and cover Astana and Almaty, the Western Kazakhstan region and some areas in the northeast of the country in Q2. Equipment from Huawei was used for deployment of the network in Kazakhstan. Tele2 also plans to invest almost US$217 million in Kazakhstan this year.

 

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Tele2 Estonia has expanded its 3.5G internet network coverage with the addition of UMTS 900 base stations in various locations across the country.

The operator has launched the base stations in Narva, Kohtla-Jarve, Sirgala, Pussi, Langa, as well as in other locations. The 3G base stations in the 900MHz band enable services within a 30km radius.

 

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Tele2 expanding 3G coverage (Latvia)

Tele2 Latvia has revealed that it has begun construction of a new type of base station in its regions of operation.

According to the company, it has started to launch the new equipment, which includes remote radio units, across a number of districts, with the first five up and running in: Aizpute, Bikstos, Mersraga, Roja and Ugale. It will look to extend the reach of its 3G network in the Kurzeme region, and has claimed that the new hardware will allow it to speed up the extension of its footprint while also allowing for significant cost savings.

Tele2′s UMTS network currently offers customers access to downlink speeds of up to 10.2Mbps, while upload rates are capped at 2Mbps.

During the coming year the cellco aims to boost download speeds on the wireless network to 21Mbps, while 3G coverage is expected to reach 90% by end-2011.

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Tele2 AB (Tele2), today announced that it has decided to exit its partnership with QSC in joint venture Plusnet GmbH & Co KG (“Joint Venture”). Tele2 Germany will pay in net approximately SEK 280 million to get an early termination of the Joint Venture agreement and to sell its 32.5 percent ownership to QSC. Completion of the transaction is expected following approval from the national regulatory authority.

Tele2 Germany currently develops its network independent service portfolio for the residential market and has yearly paid an operational expenditure of approximately SEK 160 million and a capital expenditure of approximately SEK 20 million to the Joint Venture. By exiting the joint venture agreement Tele2 will save a total of approximately SEK 600 million, offsetting the cost for terminating the agreement early. As a result of the completion of the transaction Tele2 Germany will enter into a new vendor agreement based on commercial terms with QSC for xDSL and telephony services.

Henrik Ringmar, Market Area Director Western Europe, comments: “In order to provide our German customers with the best deal over the coming years we are convinced that the right way forward for us in Germany is to act as a pure service provider. Through the exit of the network company Plusnet, we achieve this objective while being able to enjoy the cost savings that the transaction will bring us. We are also very satisfied with the wholesale prices that QSC has offered us.

The transaction will result in a negative one-off item of approximately SEK 220 million.

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­Nokia Siemens Networks has supplied its Evolved Packet Core (EPC) to Sweden’s Tele2 for the launch of its LTE network. Besides providing its EPC, Nokia Siemens Networks has deployed its market leading Subscriber Data Management and Subscriber Repository platforms based on the One-NDS solution, also including HSS (Home Subscriber Server) and EIR (Equipment Identity Register) functionality, which consolidates the subscriber data.

As per the contract, Nokia Siemens Networks is also upgrading the existing core network to support advanced redundancy functions and enable a clear path towards an all IP network. The contract also encompasses implementation and maintenance services for these systems.

According to Christian Fredrikson, head of sales for Network Systems, NSN, with smart device users and the demand for data services increasing, Tele2 Sweden was looking to scale up its network. Their EPC prepares the operator for high-speed data services. It also eliminates the need for additional elements in the transport network and achieves an optimized IP-based network architecture that secures the operator’s investments in the long run.

Tele2 Russia upgrades the core network

Russian mobile operator Tele2 Russia has started an upgrade of its core network. The project is being carried out by Russian integrator Tekhnoserv, using the equipment supplied by Orckit Communications.

Orckit, a leading Carrier Ethernet + Transport (CE+T) networking vendor, will use its CM-4000 products to enhance Tele2′s mobile backbone network. Work is already in progress in St Petersburg, and will commence in Omsk and Krasnoyarsk by end-2010. Completion of the network upgrade across a further ten regions is scheduled for 2011.

According to Ritvars Krievs, Chief Technical Officer at Tele2 Russia, Tele2 Russia continues to scale up its regional coverage, number of subscribers and network capacity. Their network upgrade includes MPLS technologies that can carry existing TDM services together with growing packet services at low equipment and operational costs.

Tele2 and Telenor Sweden launch LTE

Tele2 Sweden and Telenor Sweden have launched commercial LTE mobile broadband services using their joint network venture Net4Mobility, initially in Stockholm, Gothenburg, Malmo and Karlskrona.

According to Telenor, users can expect wireless data connection speeds of 20Mbps-40Mbps in particularly favorable conditions, with maximum potential speeds of 80Mbps. Both cellcos are offering Huawei dual-mode modems which operate on both their 4G and 3G networks. Telenor Sweden’s new Mobile Broadband 4G Large data package costs US$92 per month, but is offering six months free for those signing a 24-month contract, while the 3G/4G modem is included at no extra cost in contracts of 18 or 24 months.

Tele2 has announced a goal to cover 99% of the population with 4G by the end of 2012, and published a rollout plan for January-March 2011 taking in: Gotland, Helsingborg, Jonkoping, Knivsta, Lidingo, Linkoping, Norrkoping, Nykoping, Trelleborg, Uppsala and Vellinge.

The build-out is set to speed up over the remainder of the year, with Tele2 listing around 200 locations to be covered by the end of 2011.

As per Telenor, the 4G network will be expanded to over 100 locations next year. There are now three LTE network operators active in Sweden, following the world’s first launch of services by TeliaSonera last December.

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