TOTState-owned telecommunications company TOT is reportedly in talks with two European mobile operators to provide 3G wireless services as Mobile Virtual Network Operators (MVNO). As reported by BP, Panthep Chamrasromran, Chairman, TOT has said that they have held discussions with the operators regarding their business plan and strategy, and are likely to arrive at a decision next month.

He added that the operators are looking to tie-up with TOT if the Thai operator continues with its nationwide 3G network coverage plan. Further, while the names of the two operators have not yet been disclosed, Chamrasromran has revealed that one operator is from Norway.

The Thai operator is currently involved in regrouping its MVNOs into three categories: strategic partners, conventional MVNOs and resellers.

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CAT Telecom and TOT have reportedly postponed the launch of their 3G wireless-broadband services in Bangkok due to floods in the country. According to reports, CAT plans to launch its 3G wireless broadband service by next month, under the brand ‘My’, across provinces which have not been affected by the floods.

As per sources, CAT and True Corp group collaborated in order to develop the 3G-High Speed Packet Access (HSPA) service using the 850 MHz spectrum. Reports suggest that BFKT, a subsidiary of True Corp., had installed HSPA (High Speed Packet Access) network equipment for CAT.

Reports reveal that Anont Tubtiang, President, TOT said that the flooding has delayed the state agency’s rollout of its nationwide 3G network in some areas, prompting it to re-evaluate its plan to fully launch the service in 18 provinces this month.

Further, sources claim that TOT has already launched the service in some areas and also offers certain customers access to 3G services on AIS’s (Advanced Info Service) network while roaming outside its coverage area.

 

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According to reports, Wichian Mektrakarn, CEO, Advanced Info Service (AIS) expects to offer their customers 3G roaming services on state-owned TOT company’s 3G network by the end of this month. He said that the number of AIS subscribers who would be able to roam on TOT’s network would be based on TOT’s 3G network capacity. Reports suggest that AIS initially expects to offer roaming to 500,000 customers on TOT’s network, with a maximum capacity of 2 million customers as compared to the previously agreed 60,000 initial customers with a maximum capacity of 1 million.

Sources claim that TOT plans to set up 3,500 base stations in 18 provinces, including Greater Bangkok by next month. Further, TOT reportedly expects the numbers of 3G users on its network to go up from the 200,000 to 1.2 million users by this year, and upto 7 million by 2015.

 

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TOT drops case against AIS (Thailand)

The board of TOT has decided not to take legal action against Advanced Info Service (AIS) over the concession amendments.

Authorities had calculated that the illegal concession amendments cost the firm over US$2.38 billion.

As per the committee looking into the matter of compensation for the concession amendments, it is examining proposals from operators and expects to need one more week. The committee will also ask TOT and CAT to provide more details on their damage claim calculations.

 

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­Thailand’s Samart Corp. has won the bidding to build TOT’s forthcoming 3G network following a public auction.

The action was nearly delayed after protests from Ericsson who claimed they had been unfairly dismissed from bidding, but a court order last night permitted it to go ahead.

The reserve bid for the network tender was set at US$561.30 million, and there were 17 bids during the auction.

The Samart consortium – which is made up of Samart, Loxley, Nokia Siemens Networks and Huawei – won with a minimum bid of US$527 million, which was 6.59% below the reserve price. The formal contract is expected to be signed next month with a limited service launch from April.

The state-owned TOT will then expand its 3G coverage of over 5,000 base stations nationwide within this year.

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Ericsson and ZTE have complained about the tender process being accomplished by Thailand’s state-owned telco, TOT over its US$650 million 3G network contract. The TOT had issued a preliminary statement that ruled the two companies out of the bidding.

Ericsson was barred from bidding for seemingly failing to submit catalogues for antenna-related products and concerns that any dispute would have to be resolved in a Swedish court as opposed to the local Thai legal code. ZTE was reportedly disqualified for providing unrealistic financial calculations, which could relate to its claim that it could offer to deploy the network for under US$500 million.

An auction to formally award the tender is due to take place on the 28th January, with the contract expected to be signed in the middle of February.

According to Joacim Damgard, the President and Country Manager of Ericsson (Thailand), the missing catalogue is simply a minor issue based on the fact that we submitted more than 100,000 pages of documents for this project. It should not be a major reason for disqualification. They think the results will limit TOT’s opportunity to ensure a competitive auction in the next stage for the best commercial and technical solution.

ZTE plans to petition Prime Minister Abhisit Vejjajiva and stated that it will fight to the end if it does not receive fair treatment from the state-owned company.

Two groups have qualified to participate in an auction for the contract to supply and install US$570 million worth of 3G equipment for Thai state-owned TOT’s national mobile network expansion.

The two qualifiers are: a consortium comprising Samart Corp, Loxley, Huawei Technologies and Nokia Siemens Networks; and the grouping of United Communication Industry, Advanced Information Technology and Alcatel-Lucent.

According to reports, two other consortia which submitted applications failed to meet TOT’s technical specifications for the online auction scheduled for 28 January. The telco hopes to sign a contract for the W-CDMA/HSPA expansion around 15-18 February.

Thailand’s state-owned telecommunications company TOT PCL has stated that four groups have submitted applications to participate in an electronic auction for the supply of US$568 million worth of equipment and an installation contract for its 3G mobile phone network.

According to TOT Senior Executive Vice-President Arnon Tubtiang, the first consortium comprises United Communication Industry PCL, Advanced Information Technology PCL, and Alcatel-Lucent (Thailand); the second includes Samart Corp PCL, Loxley PCL, Huawei Technology (Thailand), and Nokia Siemens Networks; the third comprises Forth Corp PCL and ZTE; and the fourth consortium includes Ericsson (Thailand) and AS Associate.

TOT will take around one week to look into the qualifications of the bidders before conducting an e-auction scheduled on Jan. 28 and it planning to sign the contract with the winner around Feb. 15-18.

­A new research report has revealed that despite the delayed auctioning of 3G spectrum in Thailand, mobile operators are moving forward with their 3G plans as data services continue to be the main driver of growth.

According to sources, operators have moved forward with 3G implementation in two ways: 1) receiving approval to upgrade networks to HSPA, and 2) signing MVNO agreements with TOT. These solutions would serve as stopgap measures before the 3G auction, which could happen by early 2012.

TOT is currently the only 2.1GHz 3G operator, serving the greater Bangkok region. TOT plans to invest $648 million in HSPA to cover 50 percent of the population by mid-2011, giving TOT a head start over the competition. Data services have been the main driver of growth in the mobile market this year, which is why operators are eager to forge ahead with 3G before the auction.

According to the report, smartphone sales grew strongly at 18% from 2008 to 2010, and are expected to grow at an even higher 30% CAGR from 2010 to 2015. Along with this growth, usage of data applications like email, video, and Internet browsing will grow, as well. Data cards will exhibit the highest growth at a 63% CAGR, as 3G networks, which currently are only operated by TOT and only cover the Bangkok area, are extended to cover 50% of the population by June 2011.

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TOT resumes talks with AIS (Thailand)

Thailand’s telco TOT has resumed talks with the country’s largest cellco by subscribers, Advanced Info Service (AIS), to discuss a deal under which AIS may join the existing resellers offering 3G services over TOT’s Bangkok W-CDMA/HSPA network.

AIS, which already offers 3G in the UMTS-900 band in selected areas of the country, would operate as a mobile virtual network operator (MVNO) under a six-month contract if a deal went through, as TOT wants to get the first stage of its national 3G network project under way not expected until around April 2011 before it signs new three-year contracts with additional MVNOs.

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