Bharti Airtel plans to terminate all calls made and received from UTL to its Uganda unit, owing to failure of repayment of debts. Uganda Telecom owes Airtel a sum of approximately $3.5 million in outstanding fees and court fines. Sources claim Mr Ruhakana Rugunda, the minister of Information and Communication Technology (ICT), summoned Airtel’s managing director Mr V.G Somasekhar, in an attempt to stop Airtel from terminating these calls.

Airtel had already filed three court cases against UTL in December last year. Reports suggest that Mr Joseph Kanyamunyu, Airtel’s spokesman said the Indian-owned firm will not lift the termination until UTL clears the debt. In the event that communication is suspended between Airtel and UTL, a subscriber base of at least 4.5 million users will be affected on both networks.

 

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MTN Uganda has warned to stop accepting phone calls from its network to Uganda Telecom (UTL) over claims of unpaid bills for termination charges. The company claims it owes US$8.4 million from its commercial rival.

According to MTN, calls between the two networks could be severed as early as next week if the debt is not paid. MTN customers will therefore be unable to place direct calls to UTL subscribers and vice-versa.

As per Fatuma Nalubawa, a Uganda Telecom spokesperson, the company is looking into the matter and will deal with it appropriately. It was a small disagreement but it will be sorted out.

UTL has also been in dispute with Warid Telecom and Airtel Uganda over unpaid termination fees.

 

www.WirelessFederation.com/news: A case has been filed against Uganda Telecommunications Ltd (UTL) by MTN Uganda in the Kampala High Court’s Commercial Division for unpaid interconnection fees, seeking UGS7.2 billion (USD3.55 million).

UTL has been accused of breach of contract by MTN which claimed that February 2001 its management entered into an agreement with UTL to interconnect their respective networks, as required by their respective telecoms licences awarded by the Uganda Communications Commission.

According to MTN, in accordance with the interconnection charges that were detailed in the agreement its management issued invoices to UTL, but that the state-owned telco failed to pay them. MTN has asked for a court order compelling UTL to pay the owes plus interest, damages and costs.

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MTN in Uganda has raised USD 100 Million for network expansion with Absa Capital as the lead arranger.

Stanbic Bank, Standard Chartered, Kenya Commercial Bank, Barclays, DFCU and Orient bank participated to raise the amount.  Isaac Nsereko, chief marketing officer of MTN Uganda confirmed the development to Reuters.

Uganda has a total of 6 telecom players: Uganda Telecom (UTL), Zain, Orange, Warid, I-Telecom and MTN. MTN is the largest with 60% market share and just under 5 million subscribers, according to Isaac Nsereko.

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www.WirelessFederation.com/news: Uganda Telecom has introduced a solar-powered mobile phone in the market. The new phone is named Kasana, that runs on solar-powered mobile phone after an initial charging on electricity grid power. According to Uganda Telecom, it agreed an exclusive distribution deal for the phone with its designer ZTE. The handsets are manufactured from recycled materials and has a built-in solar panel that charges the phone using the sun’s rays. After an hour of exposure to the sun, the solar phone provides up to 12 hours of talk-time. It comes with a travel charger.

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