Tuesday, March 29, 2011
AT&T Buys T-Mobile for US$39bil and Becomes Largest US Mobile Telco
Published: Monday March 21, 2011 MYT 8:54:00 AM
Updated: Monday March 21, 2011 MYT 8:55:26 AM
NEW YORK: AT&T Inc. said Sunday it will buy T-Mobile USA from Deutsche Telekom AG in a cash-and-stock deal valued at $39 billion that would make it the largest cellphone company in the U.S.
The deal would reduce the number of U.S. wireless carriers with national coverage from four to three, and is sure to face close regulatory scrutiny. It also removes a potential partner for Sprint Nextel Corp., the struggling No. 3 carrier, which had been in talks to combine with T-Mobile USA, according to Wall Street Journal reports.
AT&T is now America's second-largest wireless carrier and T-Mobile USA is the fourth largest. The acquisition would give AT&T 129 million subscribers, vaulting it past Verizon Wireless' 102 million. The combined company would serve about 43 percent of U.S. cellphones.
For T-Mobile USA's 33.7 million subscribers, the news doesn't immediately change anything. Because of the long regulatory process, AT&T expects the acquisition to take a year to close. But when and if it closes, T-Mobile USA customers would get access to AT&T's phone line-up, including the iPhone.
The effect of reduced competition in the cellphone industry is harder to fathom. Public interest group Public Knowledge said that eliminating one of the four national phone carriers would be "unthinkable."
"We know the results of arrangements like this - higher prices, fewer choices, less innovation," said Public Knowledge president Gigi Sohn, in a statement.
T-Mobile has relatively cheap service plans compared with AT&T, particularly when comparing the kind that don't come with a two-year contract. AT&T CEO Randall Stephenson said one of the goals of the acquisition would be to move T-Mobile customers to smart phones, which have higher monthly fees. AT&T "will look hard" at keeping T-Mobile's no-contract plans, he said.
AT&T's general counsel, Wayne Watts, said the cellphone business is "an incredibly competitive market," with five or more carriers in most major cities. He pointed out that prices have declined in the past decade, even as the industry has consolidated. In the most recent mega-deal, Verizon Wireless bought No. 5 carrier Alltel for $5.9 billion in 2009.
Stifel Nicolaus analyst Rebecca Arbogast said the deal will face a tough review by the Federal Communications Commission and the Justice Department. She expects them to look market-by-market at whether the deal will harm competition. Even if regulators approve the acquisition, she added, they are likely to require AT&T to sell off parts of its business or T-Mobile's business. Verizon had to sell off substantial service areas to get clearance for the Alltel acquisition.
To mollify regulators, AT&T said in a statement Sunday that it would spend an additional $8 billion to expand ultrafast wireless broadband into rural areas. Instead of covering about 80 percent of the U.S. population with its so-called Long Term Evolution, or LTE network, AT&T's new goal would be 95 percent, it said. That means blanketing an additional area 4.5 times the size of Texas. The network is scheduled to go live in a few areas this summer, but the full build-out will take years.
The offer would help the FCC and the Obama administration meet their stated goals of bringing high-speed Internet access to all Americans. They see wireless networks as critical to meeting that goal - particularly in rural areas where it does not make economic sense to build landline networks.
AT&T said its customers would benefit from the cell towers and wireless spectrum the deal would bring. In some areas, it would add 30 percent more capacity, AT&T said.
"It obviously will have a significant impact in terms of dropped calls and network performance," Stephenson said.
AT&T would pay about $25 billion in cash to Deutsche Telekom, Germany's largest phone company, and stock that is equivalent to an 8 percent stake in AT&T. Deutsche Telekom would get one seat on AT&T's board.
Like Sprint, T-Mobile has been struggling to compete with much larger rivals AT&T and Verizon Wireless, and its revenue has been largely flat for three years. Bellevue, Wash.-based T-Mobile USA's subscriber count has stalled at just under 34 million, though it posts consistent profits.
Deutsche Telekom has been looking at radical moves to let it get more value out of its U.S. holding, including a possible combination with a U.S. partner.
There was a big hurdle to a T-Mobile USA-Sprint deal: The two companies use incompatible network technologies. The same hurdle would apply in a Verizon Wireless-T-Mobile USA deal. But the networks of AT&T and T-Mobile use the same underlying technology, so to some large extent, AT&T phones can already use T-Mobile's network, and vice versa.
The deal has been approved by the boards of both companies. Dallas-based AT&T can increase its cash portion by up to $4.2 billion, with a reduction in the stock component, as long as Deutsche Telekom receives at least a 5 percent equity ownership interest in the buyer.
The agreement doesn't leave room for other buyers to jump in with a higher bid, AT&T said.
AT&T would finance the cash part of the deal with new debt and cash on its balance sheet and will assume no debt from T-Mobile. - AP
http://biz.thestar.com.my/news/story.asp?file=/2011/3/29/business/20110329084751&sec=business
Updated: Monday March 21, 2011 MYT 8:55:26 AM
NEW YORK: AT&T Inc. said Sunday it will buy T-Mobile USA from Deutsche Telekom AG in a cash-and-stock deal valued at $39 billion that would make it the largest cellphone company in the U.S.
The deal would reduce the number of U.S. wireless carriers with national coverage from four to three, and is sure to face close regulatory scrutiny. It also removes a potential partner for Sprint Nextel Corp., the struggling No. 3 carrier, which had been in talks to combine with T-Mobile USA, according to Wall Street Journal reports.
AT&T is now America's second-largest wireless carrier and T-Mobile USA is the fourth largest. The acquisition would give AT&T 129 million subscribers, vaulting it past Verizon Wireless' 102 million. The combined company would serve about 43 percent of U.S. cellphones.
For T-Mobile USA's 33.7 million subscribers, the news doesn't immediately change anything. Because of the long regulatory process, AT&T expects the acquisition to take a year to close. But when and if it closes, T-Mobile USA customers would get access to AT&T's phone line-up, including the iPhone.
The effect of reduced competition in the cellphone industry is harder to fathom. Public interest group Public Knowledge said that eliminating one of the four national phone carriers would be "unthinkable."
"We know the results of arrangements like this - higher prices, fewer choices, less innovation," said Public Knowledge president Gigi Sohn, in a statement.
T-Mobile has relatively cheap service plans compared with AT&T, particularly when comparing the kind that don't come with a two-year contract. AT&T CEO Randall Stephenson said one of the goals of the acquisition would be to move T-Mobile customers to smart phones, which have higher monthly fees. AT&T "will look hard" at keeping T-Mobile's no-contract plans, he said.
AT&T's general counsel, Wayne Watts, said the cellphone business is "an incredibly competitive market," with five or more carriers in most major cities. He pointed out that prices have declined in the past decade, even as the industry has consolidated. In the most recent mega-deal, Verizon Wireless bought No. 5 carrier Alltel for $5.9 billion in 2009.
Stifel Nicolaus analyst Rebecca Arbogast said the deal will face a tough review by the Federal Communications Commission and the Justice Department. She expects them to look market-by-market at whether the deal will harm competition. Even if regulators approve the acquisition, she added, they are likely to require AT&T to sell off parts of its business or T-Mobile's business. Verizon had to sell off substantial service areas to get clearance for the Alltel acquisition.
To mollify regulators, AT&T said in a statement Sunday that it would spend an additional $8 billion to expand ultrafast wireless broadband into rural areas. Instead of covering about 80 percent of the U.S. population with its so-called Long Term Evolution, or LTE network, AT&T's new goal would be 95 percent, it said. That means blanketing an additional area 4.5 times the size of Texas. The network is scheduled to go live in a few areas this summer, but the full build-out will take years.
The offer would help the FCC and the Obama administration meet their stated goals of bringing high-speed Internet access to all Americans. They see wireless networks as critical to meeting that goal - particularly in rural areas where it does not make economic sense to build landline networks.
AT&T said its customers would benefit from the cell towers and wireless spectrum the deal would bring. In some areas, it would add 30 percent more capacity, AT&T said.
"It obviously will have a significant impact in terms of dropped calls and network performance," Stephenson said.
AT&T would pay about $25 billion in cash to Deutsche Telekom, Germany's largest phone company, and stock that is equivalent to an 8 percent stake in AT&T. Deutsche Telekom would get one seat on AT&T's board.
Like Sprint, T-Mobile has been struggling to compete with much larger rivals AT&T and Verizon Wireless, and its revenue has been largely flat for three years. Bellevue, Wash.-based T-Mobile USA's subscriber count has stalled at just under 34 million, though it posts consistent profits.
Deutsche Telekom has been looking at radical moves to let it get more value out of its U.S. holding, including a possible combination with a U.S. partner.
There was a big hurdle to a T-Mobile USA-Sprint deal: The two companies use incompatible network technologies. The same hurdle would apply in a Verizon Wireless-T-Mobile USA deal. But the networks of AT&T and T-Mobile use the same underlying technology, so to some large extent, AT&T phones can already use T-Mobile's network, and vice versa.
The deal has been approved by the boards of both companies. Dallas-based AT&T can increase its cash portion by up to $4.2 billion, with a reduction in the stock component, as long as Deutsche Telekom receives at least a 5 percent equity ownership interest in the buyer.
The agreement doesn't leave room for other buyers to jump in with a higher bid, AT&T said.
AT&T would finance the cash part of the deal with new debt and cash on its balance sheet and will assume no debt from T-Mobile. - AP
http://biz.thestar.com.my/news/story.asp?file=/2011/3/29/business/20110329084751&sec=business
Huawei Challenges US to Launch Probe
Saturday February 26, 2011
NEW YORK: China's Huawei Technologies Co has challenged the United States to launch a formal investigation into its business, in an attempt by one of the world's largest telecommunications equipment makers to clear its name from allegations that have blocked US deals.
The highly unusual call follows the outcome of a recent US government foreign investment review that is forcing Huawei to sell assets it bought from 3Leaf, a small US company.
Three years ago, Huawei had to pull back from a bigger proposed investment in 3Com, in similar circumstances.
The company said it had been the victim of misperceptions about its relationship with the Chinese military because its founder, Ren Zhengfei, served in the People's Liberation Army until 1983.
Huawei said the US should investigate any doubts it had so that it could reach an accurate conclusion.
“We're literally willing to do anything the government might ask to give them visibility,” said Bill Plummer, Huawei's US-based vice president for external affairs. “We're open to any type of investigation or audit or review that they feel would address whatever concerns they have.”
Huawei said its ability to do business in the United States had been hurt significantly in the past 10 years by unproven allegations. As well as problems it had with acquisitions, US Republican lawmakers also raised national security concerns about Huawei's bid to supply wireless network equipment to Sprint Nextel Corp last year.
But the company said nobody had proven any links between its business and military technology.
“No one has ever offered any evidence that Huawei has been involved in any military technologies at any time,” the company said in an open letter it posted on its website on Thursday.
Huawei has made huge strides in recent years in the wireless network equipment market, where it has overtaken big players such as Alcatel-Lucent. Reuters
http://biz.thestar.com.my/news/story.asp?file=/2011/2/26/business/8141195
NEW YORK: China's Huawei Technologies Co has challenged the United States to launch a formal investigation into its business, in an attempt by one of the world's largest telecommunications equipment makers to clear its name from allegations that have blocked US deals.
The highly unusual call follows the outcome of a recent US government foreign investment review that is forcing Huawei to sell assets it bought from 3Leaf, a small US company.
Three years ago, Huawei had to pull back from a bigger proposed investment in 3Com, in similar circumstances.
The company said it had been the victim of misperceptions about its relationship with the Chinese military because its founder, Ren Zhengfei, served in the People's Liberation Army until 1983.
Huawei said the US should investigate any doubts it had so that it could reach an accurate conclusion.
“We're literally willing to do anything the government might ask to give them visibility,” said Bill Plummer, Huawei's US-based vice president for external affairs. “We're open to any type of investigation or audit or review that they feel would address whatever concerns they have.”
Huawei said its ability to do business in the United States had been hurt significantly in the past 10 years by unproven allegations. As well as problems it had with acquisitions, US Republican lawmakers also raised national security concerns about Huawei's bid to supply wireless network equipment to Sprint Nextel Corp last year.
But the company said nobody had proven any links between its business and military technology.
“No one has ever offered any evidence that Huawei has been involved in any military technologies at any time,” the company said in an open letter it posted on its website on Thursday.
Huawei has made huge strides in recent years in the wireless network equipment market, where it has overtaken big players such as Alcatel-Lucent. Reuters
http://biz.thestar.com.my/news/story.asp?file=/2011/2/26/business/8141195
Sprint opposes AT&T purchase of T-Mobile USA
Published: Tuesday March 29, 2011
MYT 8:37:00 AM
WASHINGTON: Sprint Nextel is urging government officials to block AT&T Inc.'s planned acquisition of T-Mobile USA from Germany's Deutsche Telekom AG.
Sprint, the third-largest U.S. wireless carrier, said the proposed $39 billion cash-and-stock deal would create a duopoly market for U.S. wireless services dominated by AT&T and Verizon Wireless.
"On behalf of our customers, our industry and our country, Sprint will fight this attempt by AT&T to undo the progress of the past 25 years and create a new Ma Bell duopoly," Sprint said in a statement Monday.
The Justice Department and the Federal Communications Commission could take a year or longer to review the proposed transaction.
AT&T argues that the wireless market would still be "intensely competitive" - with multiple players in most local markets - even with the combination. - AP
http://biz.thestar.com.my/news/story.asp?file=/2011/3/29/business/20110329084751&sec=business
MYT 8:37:00 AM
WASHINGTON: Sprint Nextel is urging government officials to block AT&T Inc.'s planned acquisition of T-Mobile USA from Germany's Deutsche Telekom AG.
Sprint, the third-largest U.S. wireless carrier, said the proposed $39 billion cash-and-stock deal would create a duopoly market for U.S. wireless services dominated by AT&T and Verizon Wireless.
"On behalf of our customers, our industry and our country, Sprint will fight this attempt by AT&T to undo the progress of the past 25 years and create a new Ma Bell duopoly," Sprint said in a statement Monday.
The Justice Department and the Federal Communications Commission could take a year or longer to review the proposed transaction.
AT&T argues that the wireless market would still be "intensely competitive" - with multiple players in most local markets - even with the combination. - AP
http://biz.thestar.com.my/news/story.asp?file=/2011/3/29/business/20110329084751&sec=business
Amazon Launches Online Media Storage Service
Published: Tuesday March 29, 2011 MYT 3:23:00 PM
BY RACHEL METZ,AP Technology Writer
SAN FRANCISCO: Amazon.com wants to be more than a destination for shopping online - it also dreams of being a place where you can store your music, photos and videos and access them any time, from any computer.
The online retailer launched two new offerings late Monday: Amazon Cloud Drive and Amazon Cloud Player.
The first lets you upload and store files like music, videos and photos on Amazon's servers, which you can get to from a Web browser on a Mac or PC.
The second lets you play songs you've uploaded on your computer or on a smartphone that runs Google's Android operating software.
The "cloud" in the services' names refers to the practice of storing content online and streaming it to a computer over the Internet.
Amazon's move is beating Google Inc. and Apple Inc., which are believed to be working on similar services that would allow consumers to access their content when away from their home computer.
While Amazon will charge for the Cloud Drive service, it's offering anyone with an Amazon account 5 gigabytes of free storage.
That's less space than you'd get on the smallest iPod Touch, but it's a move that's likely to woo plenty of users who might later decide to pay for more storage space.
The Seattle-based company, which already runs an online storage service for companies called Amazon S3, decided to roll out a consumer cloud service to make it easier for customers to access digital content no matter where they are, Amazon music director Craig Pape said.
The offerings could also benefit Amazon's bottom line: The company realized customers were hesitant to purchase MP3s at work because they didn't want them tied to their office computer, Pape said, so Cloud Drive and Cloud Player may drive more impulse music shopping.
"At the end of the day we're trying to delight customers, but we're trying to sell more music, too," he said.
The company also wants to sell cloud storage. If your tunes and videos take up more space than the 5 GB Amazon is giving out, you can pay an annual storage fee to use Cloud Drive: The use of 20 GB of storage, for example, will cost $20 (and this includes the 5 free GB). For an undisclosed period of time, however, Amazon is offering 20 GB of free storage to those who buy a digital album from its Amazon MP3 store.
Documents or videos you've uploaded to Cloud Drive will open with programs on the computer you're using, Pape said, while songs in MP3 or AAC files will be playable through the Web-based Cloud Player.
The player offers simple controls - you can play, pause or skip tracks, or build your own playlists. For users who want to listen while on the go, an updated version of the Amazon MP3 digital music-buying app will include Cloud Player, letting users play music they've stored with Amazon's service on their cell phone as well as tunes that are already on their handsets. - AP
http://biz.thestar.com.my/news/story.asp?file=/2011/3/29/business/20110329153243&sec=business
BY RACHEL METZ,AP Technology Writer
SAN FRANCISCO: Amazon.com wants to be more than a destination for shopping online - it also dreams of being a place where you can store your music, photos and videos and access them any time, from any computer.
The online retailer launched two new offerings late Monday: Amazon Cloud Drive and Amazon Cloud Player.
The first lets you upload and store files like music, videos and photos on Amazon's servers, which you can get to from a Web browser on a Mac or PC.
The second lets you play songs you've uploaded on your computer or on a smartphone that runs Google's Android operating software.
The "cloud" in the services' names refers to the practice of storing content online and streaming it to a computer over the Internet.
Amazon's move is beating Google Inc. and Apple Inc., which are believed to be working on similar services that would allow consumers to access their content when away from their home computer.
While Amazon will charge for the Cloud Drive service, it's offering anyone with an Amazon account 5 gigabytes of free storage.
That's less space than you'd get on the smallest iPod Touch, but it's a move that's likely to woo plenty of users who might later decide to pay for more storage space.
The Seattle-based company, which already runs an online storage service for companies called Amazon S3, decided to roll out a consumer cloud service to make it easier for customers to access digital content no matter where they are, Amazon music director Craig Pape said.
The offerings could also benefit Amazon's bottom line: The company realized customers were hesitant to purchase MP3s at work because they didn't want them tied to their office computer, Pape said, so Cloud Drive and Cloud Player may drive more impulse music shopping.
"At the end of the day we're trying to delight customers, but we're trying to sell more music, too," he said.
The company also wants to sell cloud storage. If your tunes and videos take up more space than the 5 GB Amazon is giving out, you can pay an annual storage fee to use Cloud Drive: The use of 20 GB of storage, for example, will cost $20 (and this includes the 5 free GB). For an undisclosed period of time, however, Amazon is offering 20 GB of free storage to those who buy a digital album from its Amazon MP3 store.
Documents or videos you've uploaded to Cloud Drive will open with programs on the computer you're using, Pape said, while songs in MP3 or AAC files will be playable through the Web-based Cloud Player.
The player offers simple controls - you can play, pause or skip tracks, or build your own playlists. For users who want to listen while on the go, an updated version of the Amazon MP3 digital music-buying app will include Cloud Player, letting users play music they've stored with Amazon's service on their cell phone as well as tunes that are already on their handsets. - AP
http://biz.thestar.com.my/news/story.asp?file=/2011/3/29/business/20110329153243&sec=business
Sunday, March 20, 2011
Penang Govt Clarifies That Free WiFi is For All
Published: Sunday March 20, 2011 MYT 4:34:00 PM
Updated: Sunday March 20, 2011 MYT 5:09:33 PM
GEORGE TOWN: The state government has denied reports that it excluded three non-Pakatan Rakyat parliamentary constituencies from its free WiFi initiative.
State Telecommunications Task Force chairman Jeff Ooi claimed that his statement on the matter had been 'twisted.'
“We were only telling the public about the hotline which they can call if they are still unable to log on to the service, but these news reports that came out are blatant lies,” he said at a press conference Sunday.
Ooi, who is Jelutong MP, said if the WiFi initiative was politically-driven, there would not be any hotspots in Bayan Baru where he alleged there were ‘defectors’.
Chief Minister Lim Guan Eng said the state was working on a joint-venture to provide another 750 hotspots for free.
He said the 750 hotspots provided earlier were installed by Redtone which relied on advertising revenue to get a return on their investments and capital outlay.
“They targeted places which would have the greatest number of users and commercial exposure to increase their advertising revenue, and those mainly low coverage were residential areas,” he said.
It was reported that a minister had described the move to exclude the three parliamentary constituencies - Kepala Batas, Tasik Gelugor and Nibong Tebal as “dangerous and childish”.
Minister in the Prime Minister’s Department (Economic Planning Unit) Tan Sri Nor Mohamed Yakcop said the move was dangerous because if Pakatan Rakyat took control of the Federal Government, it might adopt a similar policy and sideline states that supported Barisan Nasional.
http://thestar.com.my/news/story.asp?file=/2011/3/20/nation/20110320164143&sec=nation
Updated: Sunday March 20, 2011 MYT 5:09:33 PM
GEORGE TOWN: The state government has denied reports that it excluded three non-Pakatan Rakyat parliamentary constituencies from its free WiFi initiative.
State Telecommunications Task Force chairman Jeff Ooi claimed that his statement on the matter had been 'twisted.'
“We were only telling the public about the hotline which they can call if they are still unable to log on to the service, but these news reports that came out are blatant lies,” he said at a press conference Sunday.
Ooi, who is Jelutong MP, said if the WiFi initiative was politically-driven, there would not be any hotspots in Bayan Baru where he alleged there were ‘defectors’.
Chief Minister Lim Guan Eng said the state was working on a joint-venture to provide another 750 hotspots for free.
He said the 750 hotspots provided earlier were installed by Redtone which relied on advertising revenue to get a return on their investments and capital outlay.
“They targeted places which would have the greatest number of users and commercial exposure to increase their advertising revenue, and those mainly low coverage were residential areas,” he said.
It was reported that a minister had described the move to exclude the three parliamentary constituencies - Kepala Batas, Tasik Gelugor and Nibong Tebal as “dangerous and childish”.
Minister in the Prime Minister’s Department (Economic Planning Unit) Tan Sri Nor Mohamed Yakcop said the move was dangerous because if Pakatan Rakyat took control of the Federal Government, it might adopt a similar policy and sideline states that supported Barisan Nasional.
http://thestar.com.my/news/story.asp?file=/2011/3/20/nation/20110320164143&sec=nation
Wednesday, March 16, 2011
Rais: Fair and Transparent Bidding for 700Mhz Spectrum
Wednesday March 16, 2011
By LEONG HUNG YEE
hungyee@thestar.com.my
KUALA LUMPUR: A fair and transparent bidding process will be the way to award the 700Mhz spectrum in the future, and with that all parties will have a fair chance to bid for it.
However, Information, Communication and Culture Minister Datuk Seri Utama Dr Rais Yatim (pic) said the process for bidding was not ready yet as the Malaysian Communications and Multimedia Commission (MCMC) still had a lot of more work to do. “I have briefed the economic council chaired by the Prime Minister. The decision of the council is that the bidding has to be via a fair system which enables any contender to bid for the 700Mhz spectrum. This gives all contenders the opportunity to make a bid,” Rais Yatim said after witnessing a signing ceremony between U Mobile Sdn Bhd and China-based ZTE Corp yesterday.
The agreement will see U Mobile extending its 42Mbps mobile network in the Klang Valley, Negri Sembilan and the northern region by the second half of 2011 and the installation of Long-Term Evolution (LTE) platforms which has the potential to achieve 100Mbps.
According to MCMC, under Malaysia's National Spectrum Plan, the 700MHz spectrum band was allocated for broadcasting service and not for LTE. The 700MHz spectrum band is vital to the operation of the 4G high-speed wireless network.
Rais said many parties had expressed interest to bid for the 700Mhz spectrum, hence the Government needed to adopt a fair and transparent method in assigning the spectrum.
“In this respect, the MCMC has already been directed to award all broadband spectrum in a fair and more transparent manner,” he said, adding that the requirements had not been set at the moment.
Rais said an announcement would be made later as to when the spectrum would be open for bidding.
He did not disclose the number of companies which had submitted their applications for the spectrum, when asked.
Previously, Prime Minister Datuk Seri Najib Tun Razak was reported to have called for a meeting with key executives of telecommunications operators in a move to defuse a spat over the 700Mhz spectrum issue.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/16/business/8276687&sec=business
By LEONG HUNG YEE
hungyee@thestar.com.my
KUALA LUMPUR: A fair and transparent bidding process will be the way to award the 700Mhz spectrum in the future, and with that all parties will have a fair chance to bid for it.
However, Information, Communication and Culture Minister Datuk Seri Utama Dr Rais Yatim (pic) said the process for bidding was not ready yet as the Malaysian Communications and Multimedia Commission (MCMC) still had a lot of more work to do. “I have briefed the economic council chaired by the Prime Minister. The decision of the council is that the bidding has to be via a fair system which enables any contender to bid for the 700Mhz spectrum. This gives all contenders the opportunity to make a bid,” Rais Yatim said after witnessing a signing ceremony between U Mobile Sdn Bhd and China-based ZTE Corp yesterday.
The agreement will see U Mobile extending its 42Mbps mobile network in the Klang Valley, Negri Sembilan and the northern region by the second half of 2011 and the installation of Long-Term Evolution (LTE) platforms which has the potential to achieve 100Mbps.
According to MCMC, under Malaysia's National Spectrum Plan, the 700MHz spectrum band was allocated for broadcasting service and not for LTE. The 700MHz spectrum band is vital to the operation of the 4G high-speed wireless network.
Rais said many parties had expressed interest to bid for the 700Mhz spectrum, hence the Government needed to adopt a fair and transparent method in assigning the spectrum.
“In this respect, the MCMC has already been directed to award all broadband spectrum in a fair and more transparent manner,” he said, adding that the requirements had not been set at the moment.
Rais said an announcement would be made later as to when the spectrum would be open for bidding.
He did not disclose the number of companies which had submitted their applications for the spectrum, when asked.
Previously, Prime Minister Datuk Seri Najib Tun Razak was reported to have called for a meeting with key executives of telecommunications operators in a move to defuse a spat over the 700Mhz spectrum issue.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/16/business/8276687&sec=business
U Mobile to Expand Base Stations
Wednesday March 16, 2011
By LEONG HUNG YEE
hungyee@thestar.com.my
KUALA LUMPUR: U Mobile Sdn Bhd will be expanding its base stations to cover 85% to 90% of the population nationwide in the next 12 to 18 months.
Chief executive officer Dr Kaizad Heerjee said it currently had some 1,000 base stations and would roll out 2,000 to 3,000 more base stations. He did not disclose the amount of investment needed for the roll-out.
“Based on our assumptions, 4,000 stations should cover 85% to 90% of the population. Since we have a domestic roaming arrangement with Celcom Axiata Bhd, we would basically cover 100%,” Heerjee said after an agreement signing ceremony between U Mobile and China-based ZTE Corp to build a 100Mbps wireless network in Malaysia.
Also present at the signing ceremony were Information, Communication and Culture Minister Datuk Seri Utama Dr Rais Yatim, China Ambassador to Malaysia Chai Xi, ZTE Corp Asia-Pacific region president Zheng Bang and U Mobile chairman Tan Sri Vincent Tan.
From left: Datuk Seri Utama Rais Yatim, Zheng Bang, Dr Kaizad Heerjee, Tan Sri Vincent Tan and Chai Xi at the agreement signing.
Heerjee said U Mobile might swap some of its current base stations and upgrade its network from the current 3G to HSPA+ and beyond.
To a question, he said it currently had less than 1% market share and was looking at increasing it to 3% to 5% this year with more new products and better service.
On the agreement, ZTE will provide end-to-end solution including hardware and equipment to support latest technology to U Mobile including long-term evolution (LTE).
The agreement will see U Mobile extending its 42Mbps mobile network in the Klang Valley, Negri Sembilan and the northern region by the second half of 2011 and the installation of LTE platforms which have the potential of achieving 100Mbps.
“U Mobile and ZTE have successfully conducted a LTE pilot run in our lab. It is ready to be rolled out,” Heerjee said.
However, the LTE or 4G roll-out will depend on the spectrum award by the Malaysian Communications and Multimedia Commission.
“We have submitted our application for the spectrum in January. We are hopeful to get something,” he said.
Meanwhile, Zheng said Malaysia was an important market for ZTE in the Asia-Pacific region, “ZTE is committed to working with U Mobile to offer the fastest speed mobile broadband service in Malaysia and make U Mobile a showcase through our state of the art technology and solutions.”
He said the cooperation would also enhance bilateral trade between the two countries.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/16/business/8276201&sec=business
By LEONG HUNG YEE
hungyee@thestar.com.my
KUALA LUMPUR: U Mobile Sdn Bhd will be expanding its base stations to cover 85% to 90% of the population nationwide in the next 12 to 18 months.
Chief executive officer Dr Kaizad Heerjee said it currently had some 1,000 base stations and would roll out 2,000 to 3,000 more base stations. He did not disclose the amount of investment needed for the roll-out.
“Based on our assumptions, 4,000 stations should cover 85% to 90% of the population. Since we have a domestic roaming arrangement with Celcom Axiata Bhd, we would basically cover 100%,” Heerjee said after an agreement signing ceremony between U Mobile and China-based ZTE Corp to build a 100Mbps wireless network in Malaysia.
Also present at the signing ceremony were Information, Communication and Culture Minister Datuk Seri Utama Dr Rais Yatim, China Ambassador to Malaysia Chai Xi, ZTE Corp Asia-Pacific region president Zheng Bang and U Mobile chairman Tan Sri Vincent Tan.
From left: Datuk Seri Utama Rais Yatim, Zheng Bang, Dr Kaizad Heerjee, Tan Sri Vincent Tan and Chai Xi at the agreement signing.
Heerjee said U Mobile might swap some of its current base stations and upgrade its network from the current 3G to HSPA+ and beyond.
To a question, he said it currently had less than 1% market share and was looking at increasing it to 3% to 5% this year with more new products and better service.
On the agreement, ZTE will provide end-to-end solution including hardware and equipment to support latest technology to U Mobile including long-term evolution (LTE).
The agreement will see U Mobile extending its 42Mbps mobile network in the Klang Valley, Negri Sembilan and the northern region by the second half of 2011 and the installation of LTE platforms which have the potential of achieving 100Mbps.
“U Mobile and ZTE have successfully conducted a LTE pilot run in our lab. It is ready to be rolled out,” Heerjee said.
However, the LTE or 4G roll-out will depend on the spectrum award by the Malaysian Communications and Multimedia Commission.
“We have submitted our application for the spectrum in January. We are hopeful to get something,” he said.
Meanwhile, Zheng said Malaysia was an important market for ZTE in the Asia-Pacific region, “ZTE is committed to working with U Mobile to offer the fastest speed mobile broadband service in Malaysia and make U Mobile a showcase through our state of the art technology and solutions.”
He said the cooperation would also enhance bilateral trade between the two countries.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/16/business/8276201&sec=business
No Impact on Axiata From Licence Revocation by Punjab
Wednesday March 16, 2011
By B.K. SIDHU
bksidhu@thestar.com.my
PETALING JAYA: The issue over India's Department of Telecommunications (DoT) cancelling the 2G licence for the Punjab circle will not have an impact on Axiata Group.
This was because the licence was never operational, said Axiata group in response to queries from StarBiz.
India's Idea Cellular, in which Axiata Group has a 19.3% equity stake, has 60 days to explain to the DoT as to why the 2G licence for Punjab circle should not be cancelled.
Even Etisalat DB has been asked to defend its licences in Delhi and Mumbai service areas, while Idea will have to defend its licence in the Punjab service area. The reason for the cancellation is over the failure to meet network rollout requirements, media reports from India said.
That also explains why OSK Research, in its report, said that Idea's existing licence for the Punjab circle was not at risk; rather it is the inherited licence belonging to Spice Telecom.
After the demerger of Spice and Idea, the overlap in licences did occur, Axiata said.
This is in addition to the five other overlapping licences it has for Maharashtra, Delhi, Andra Pradesh, Kartanaka and Haryana. It inherited all the licences following the demerger but Idea is required to surrender them as part of the conditions imposed by DoT.
Last November the Telecom Regulatory Authority of India (TRAI) had proposed the cancellation of 69 of the 127 licences issued since 2006 for failure to meet rollout obligations.
The OSK report said implicit in TRAI's proposal was DoT's guidelines, which stipulated that a telco holding more than a 10% stake in another telco operating in the same circle must surrender their common licences.
“We note that Punjab's circle accounts for some 5% of Idea's subscribers base and 18%-20% of the company's revenue,'' OSK said, adding that it was maintaining its forecasts for Axiata. It still has a “buy” call on the stock.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/16/business/8276988&sec=business
By B.K. SIDHU
bksidhu@thestar.com.my
PETALING JAYA: The issue over India's Department of Telecommunications (DoT) cancelling the 2G licence for the Punjab circle will not have an impact on Axiata Group.
This was because the licence was never operational, said Axiata group in response to queries from StarBiz.
India's Idea Cellular, in which Axiata Group has a 19.3% equity stake, has 60 days to explain to the DoT as to why the 2G licence for Punjab circle should not be cancelled.
Even Etisalat DB has been asked to defend its licences in Delhi and Mumbai service areas, while Idea will have to defend its licence in the Punjab service area. The reason for the cancellation is over the failure to meet network rollout requirements, media reports from India said.
That also explains why OSK Research, in its report, said that Idea's existing licence for the Punjab circle was not at risk; rather it is the inherited licence belonging to Spice Telecom.
After the demerger of Spice and Idea, the overlap in licences did occur, Axiata said.
This is in addition to the five other overlapping licences it has for Maharashtra, Delhi, Andra Pradesh, Kartanaka and Haryana. It inherited all the licences following the demerger but Idea is required to surrender them as part of the conditions imposed by DoT.
Last November the Telecom Regulatory Authority of India (TRAI) had proposed the cancellation of 69 of the 127 licences issued since 2006 for failure to meet rollout obligations.
The OSK report said implicit in TRAI's proposal was DoT's guidelines, which stipulated that a telco holding more than a 10% stake in another telco operating in the same circle must surrender their common licences.
“We note that Punjab's circle accounts for some 5% of Idea's subscribers base and 18%-20% of the company's revenue,'' OSK said, adding that it was maintaining its forecasts for Axiata. It still has a “buy” call on the stock.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/16/business/8276988&sec=business
TM Unit to Maintain Menara KL
Monday March 14, 2011
KUALA LUMPUR: Telekom Malaysia Bhd's subsidiary Menara Kuala Lumpur Sdn Bhd (MKLSB) will be signing a 10-year concession agreement with the Government.
MKLSB will sign an agreement with the Government for the operation, management, and maintenance of Menara Kuala Lumpur (MKL) and MKL land which comprises five lots of Federal lands held by the Federal Land Commissioner.
Under the concession agreement, MKLSB will be responsible to amongst others, operate, manage and maintain the MKL and MKL land and to ensure that MKL and the land is kept in good condition in accordance with acceptable prevailing building maintenance practices.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/14/business/20110314120814&sec=business
KUALA LUMPUR: Telekom Malaysia Bhd's subsidiary Menara Kuala Lumpur Sdn Bhd (MKLSB) will be signing a 10-year concession agreement with the Government.
MKLSB will sign an agreement with the Government for the operation, management, and maintenance of Menara Kuala Lumpur (MKL) and MKL land which comprises five lots of Federal lands held by the Federal Land Commissioner.
Under the concession agreement, MKLSB will be responsible to amongst others, operate, manage and maintain the MKL and MKL land and to ensure that MKL and the land is kept in good condition in accordance with acceptable prevailing building maintenance practices.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/14/business/20110314120814&sec=business
Saturday, March 12, 2011
It Doesn’t Have to Cost A Bomb to Use Mobile Internet
Saturday March 12, 2011
By LEONG HUNG YEE
hungyee@thestar.com.my
PAYING your mobile phone bill can sometimes put a dent on your wallet. Worst still, if you have recently travelled abroad and fell victim to the exorbitantly high roaming charges.
“I learnt it the hard way. Once I forgot to switch off my data roaming while travelling. I ended up forking more than a thousand (ringgit) and the telco wouldn’t give me any discount,” says a young executive who uses a smartphone.
A simple postpaid voice package coupled with an unlimited data plan can easily cost about RM100 a month. Of course, there are more affordable packages in the market for other smartphones.
The flood of smartphones entering the market which offer features such as access to social networking sites or built-in GPS for map usage have led users to opt for unlimited data package as accessing Internet on the phone can cost a bomb.
The vast availability of WiFi enables easy access to the Internet.
Anne Cordelia Tan, a BlackBerry user pays an average RM195 a month for a voice and data package. She does not mind paying the amount so long she gets the Internet access at all time and need not have to look for an Internet hotspot.
In contrast, iPhone user Jenny Teo says the vast availability of WiFi enables her to access Internet for free. “Why do you want to pay so much for data package? There are lots of cafe that provide free WiFi access. I pay for the basic package and monitor my usage so I do not go over the allowed quota,” she says.
However, given the wide diversity of packages offered by telcos these days, it is easy for consumers to get overwhelmed when making the best choice.
“If you don’t want to pay for a higher rate plan, simply monitor your minute or data usage. If your usage is trending higher than what you get every month, then stop using your phone. It’s that simple,” she says.
With that, the big question is – how can one save on mobile or Internet bills?
Some suggest that bills can be lowered by opting for prepaid packages but others swear by post-paid. Different strokes for different folks, they say. But the key determinant really depends on extent of usage and budget.
Theoretically, the best way to control your bill is to opt for prepaid but the charges are generally a little higher as the network operator would rather tie you in for the long term.
The best way to save on your mobile bill is to choose a plan that is suitable for you and not what’s being promoted by the telco. Be it a higher minute plan or unlimited data access, choose one that caters to your needs most.
Many of us do not call as much as we chat on WhatsApp or BlackBerry Messenger which require users to have a data plan.
There is an assumption that adding data to the plan will bring bills up, but keep in mind that your per-kilobytes usage is probably a lot higher than what it costs to get unlimited data access.
Users must also be careful with what they are subscribing to,especially third party applications such as ringtones, music, games or horoscope as the charges could be quite high. It could be as little as 20 sen a day for horoscope but the bill will come up to RM6 a month.
Mobile phone and Internet users should take advantage of the waiver given by telcos for those who subscribe for email delivery of their itemised paper bill.
The waiver may not be a lot but it will save you some RM5 a month and that’s RM60 a year. Remember, a dollar saved is a dollar earned.
Users can also save some money by making calls to friends during off-peak hours.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/12/business/8186195&sec=business
By LEONG HUNG YEE
hungyee@thestar.com.my
PAYING your mobile phone bill can sometimes put a dent on your wallet. Worst still, if you have recently travelled abroad and fell victim to the exorbitantly high roaming charges.
“I learnt it the hard way. Once I forgot to switch off my data roaming while travelling. I ended up forking more than a thousand (ringgit) and the telco wouldn’t give me any discount,” says a young executive who uses a smartphone.
A simple postpaid voice package coupled with an unlimited data plan can easily cost about RM100 a month. Of course, there are more affordable packages in the market for other smartphones.
The flood of smartphones entering the market which offer features such as access to social networking sites or built-in GPS for map usage have led users to opt for unlimited data package as accessing Internet on the phone can cost a bomb.
The vast availability of WiFi enables easy access to the Internet.
Anne Cordelia Tan, a BlackBerry user pays an average RM195 a month for a voice and data package. She does not mind paying the amount so long she gets the Internet access at all time and need not have to look for an Internet hotspot.
In contrast, iPhone user Jenny Teo says the vast availability of WiFi enables her to access Internet for free. “Why do you want to pay so much for data package? There are lots of cafe that provide free WiFi access. I pay for the basic package and monitor my usage so I do not go over the allowed quota,” she says.
However, given the wide diversity of packages offered by telcos these days, it is easy for consumers to get overwhelmed when making the best choice.
“If you don’t want to pay for a higher rate plan, simply monitor your minute or data usage. If your usage is trending higher than what you get every month, then stop using your phone. It’s that simple,” she says.
With that, the big question is – how can one save on mobile or Internet bills?
Some suggest that bills can be lowered by opting for prepaid packages but others swear by post-paid. Different strokes for different folks, they say. But the key determinant really depends on extent of usage and budget.
Theoretically, the best way to control your bill is to opt for prepaid but the charges are generally a little higher as the network operator would rather tie you in for the long term.
The best way to save on your mobile bill is to choose a plan that is suitable for you and not what’s being promoted by the telco. Be it a higher minute plan or unlimited data access, choose one that caters to your needs most.
Many of us do not call as much as we chat on WhatsApp or BlackBerry Messenger which require users to have a data plan.
There is an assumption that adding data to the plan will bring bills up, but keep in mind that your per-kilobytes usage is probably a lot higher than what it costs to get unlimited data access.
Users must also be careful with what they are subscribing to,especially third party applications such as ringtones, music, games or horoscope as the charges could be quite high. It could be as little as 20 sen a day for horoscope but the bill will come up to RM6 a month.
Mobile phone and Internet users should take advantage of the waiver given by telcos for those who subscribe for email delivery of their itemised paper bill.
The waiver may not be a lot but it will save you some RM5 a month and that’s RM60 a year. Remember, a dollar saved is a dollar earned.
Users can also save some money by making calls to friends during off-peak hours.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/12/business/8186195&sec=business
Acer and YTL Comms In Joint Promotion
Published: Friday March 11, 2011 MYT 4:25:00 PM
Updated: Friday March 11, 2011 MYT 4:26:01 PM
KUALA LUMPUR: Taiwanese PC maker Acer and YTL Communications, which operates the Yes 4G mobile broadband service, have embarked on a partnership.
Under a joint promotion, PC users in the country are being offered Acer Aspire notebooks that come with a month's free access to the service.
The package includes 150 minutes of free calls to all networks, 150 free SMS to all networks and a 018 mobile number.
Users can make phone calls and send SMSes to any number in Malaysia and the world, from these Acer notebooks, in addition to surfing the Web at speeds up to 5x faster than on a 3G (third generation) network, the companies announced.
The promotion is for the Aspire 4750G-2414G50, priced at RM2,249; Aspire 4743-382G50, priced at RM1,849; and Aspire 4743ZG-622G32, priced at RM1,749. All three come with the Yes Go 4G Dongle with a 3.5GB data cap, and the freebies mentioned.
"We are proud to partner YTL in offering speedy 4G connections with Acer notebooks powered by the latest Intel Core processors, enabling users to experience the best in mobile computing and connectivity," said Ricky Tan, general manager of Acer Malaysia.
Wing K. Lee, CEO of YTL Communications, added that his company sees the deal as yet another avenue for bringing amazing experiences in mobile communications to Malaysians.
http://techcentral.my/news/story.aspx?file=/2011/3/11/it_news/20110311163522&sec=it_news
Updated: Friday March 11, 2011 MYT 4:26:01 PM
KUALA LUMPUR: Taiwanese PC maker Acer and YTL Communications, which operates the Yes 4G mobile broadband service, have embarked on a partnership.
Under a joint promotion, PC users in the country are being offered Acer Aspire notebooks that come with a month's free access to the service.
The package includes 150 minutes of free calls to all networks, 150 free SMS to all networks and a 018 mobile number.
Users can make phone calls and send SMSes to any number in Malaysia and the world, from these Acer notebooks, in addition to surfing the Web at speeds up to 5x faster than on a 3G (third generation) network, the companies announced.
The promotion is for the Aspire 4750G-2414G50, priced at RM2,249; Aspire 4743-382G50, priced at RM1,849; and Aspire 4743ZG-622G32, priced at RM1,749. All three come with the Yes Go 4G Dongle with a 3.5GB data cap, and the freebies mentioned.
"We are proud to partner YTL in offering speedy 4G connections with Acer notebooks powered by the latest Intel Core processors, enabling users to experience the best in mobile computing and connectivity," said Ricky Tan, general manager of Acer Malaysia.
Wing K. Lee, CEO of YTL Communications, added that his company sees the deal as yet another avenue for bringing amazing experiences in mobile communications to Malaysians.
http://techcentral.my/news/story.aspx?file=/2011/3/11/it_news/20110311163522&sec=it_news
Jaring Appoints New CEO
Friday, March 11, 2011, 02.20 PM
Published: 2011/03/09
JARING Communications Sdn Bhd has appointed Nik Abdul Aziz Nik Yaacob as its new chief executive officer, succeeding Dr Mohamed Awang Lah, effective March 1, 2011.
Nik Abdul Aziz, 42, will spearhead Jaring in enhancing the nation’s network infrastructures and services to meet the constantly evolving applications and rapidly growing number of Internet users – as the nation gears up into becoming a fully developed nation by 2020, it said in a statement here today.
He was a senior director in charge of Strategic Information Systems, and an EXCO member of the Malaysian Communications and Multimedia Commission (MCMC) from 2008 to 2010 and had, prior to that, been heading major IT formulation and development projects in his capacity as a senior vice president with Khazanah Nasional Bhd from 2005 until 2008. -- BERNAMA
Read more: Jaring appoints new CEO http://www.btimes.com.my/Current_News/BTIMES/articles/20110309144509/Article/index_html#ixzz1GH4MaElU
Published: 2011/03/09
JARING Communications Sdn Bhd has appointed Nik Abdul Aziz Nik Yaacob as its new chief executive officer, succeeding Dr Mohamed Awang Lah, effective March 1, 2011.
Nik Abdul Aziz, 42, will spearhead Jaring in enhancing the nation’s network infrastructures and services to meet the constantly evolving applications and rapidly growing number of Internet users – as the nation gears up into becoming a fully developed nation by 2020, it said in a statement here today.
He was a senior director in charge of Strategic Information Systems, and an EXCO member of the Malaysian Communications and Multimedia Commission (MCMC) from 2008 to 2010 and had, prior to that, been heading major IT formulation and development projects in his capacity as a senior vice president with Khazanah Nasional Bhd from 2005 until 2008. -- BERNAMA
Read more: Jaring appoints new CEO http://www.btimes.com.my/Current_News/BTIMES/articles/20110309144509/Article/index_html#ixzz1GH4MaElU
Kuwait’s Baraka to Invest In Mobile Hub In Malaysia
Friday March 11, 2011
By LEE KIAN SEONG
lks@thestar.com.my
KUALA LUMPUR: Baraka Telecom Sdn Bhd, a unit of Reach Telecom Holding KSCC of Kuwait, will invest RM50mil to set up a mobile virtual network enabler (MVNE) hub here.
The MVNE will be launched on March 17 to offer services to mobile virtual network operators (MVNOs) across Asia, Baraka Telecom said in a statement yesterday. (MVNO refers to a company that provides mobile phone services but does not have its own licensed frequency allocation of radio spectrum).
It was reported recently that Maxis was on the final leg of negotiations with Baraka on a three-year MVNO agreement.
Analysts said the impact from this deal to provide telecommunication services to Baraka in Malaysia would be negligible.
“We see the impact of the potential tie-up as being negligible for Maxis, given the niche focus of Baraka whose target markets are Islamic mobile and data services. In addition to Baraka, we understand that Maxis has an existing MVNO arrangement with another undisclosed local service provider,” said an analyst from a local investment bank.
Maxis was reportedly close to securing a three-year deal to provide telecommunication services to Baraka. Both were said to be finalising the deal which will mark Baraka's return to the MVNO business in Malaysia.
Without specifying the parties it is in talks with, Maxis told StarBiz: “We are in active discussions with various parties in the MVNO and MVNE space and will make the necessary announcements at the appropriate time.”
MVNE is a company that provides services to MVNOs.
The development surprised analysts as Baraka had earlier aborted its commercial launch after having terminated a similar MVNO agreement with DiGi last year.
“We gather from our source that the parties behind Baraka had wanted to consider more options, including a revisit of its business model in light of the extremely competitive mobile landscape in Malaysia and the challenges faced by MVNOs,” he said in a recent report.
An analyst from a local securities company viewed the deal as possible since Maxis had the capacity to provide such services, and that its rival Celcom was getting more aggressive in MVNO services.
“The profit contribution to Maxis will not be as big as their consumer business due to the niche offerings and the business is small. However, most MVNO players make good margins from their service, thus Maxis might benefit from it,” the analyst said.
Maxis' net profit rose 21.3% to RM610mil for the fourth quarter ended Dec 31, 2010 from RM503mil previously due to increased contribution from the non-voice segment and a bigger subscriber base.
Its revenue rose to RM2.31bil versus RM2.21bil previously.
Its EBITDA (earnings before interest, taxation, depreciation and amortisation) margin for the fourth quarter was lower at 50.6% against 51.4% in the preceeding quarter.
For the full financial year ended Dec 3, Maxis' net profit stood at RM2.3bil on revenue of RM8.87bil.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/11/business/8205616&sec=business
By LEE KIAN SEONG
lks@thestar.com.my
KUALA LUMPUR: Baraka Telecom Sdn Bhd, a unit of Reach Telecom Holding KSCC of Kuwait, will invest RM50mil to set up a mobile virtual network enabler (MVNE) hub here.
The MVNE will be launched on March 17 to offer services to mobile virtual network operators (MVNOs) across Asia, Baraka Telecom said in a statement yesterday. (MVNO refers to a company that provides mobile phone services but does not have its own licensed frequency allocation of radio spectrum).
It was reported recently that Maxis was on the final leg of negotiations with Baraka on a three-year MVNO agreement.
Analysts said the impact from this deal to provide telecommunication services to Baraka in Malaysia would be negligible.
“We see the impact of the potential tie-up as being negligible for Maxis, given the niche focus of Baraka whose target markets are Islamic mobile and data services. In addition to Baraka, we understand that Maxis has an existing MVNO arrangement with another undisclosed local service provider,” said an analyst from a local investment bank.
Maxis was reportedly close to securing a three-year deal to provide telecommunication services to Baraka. Both were said to be finalising the deal which will mark Baraka's return to the MVNO business in Malaysia.
Without specifying the parties it is in talks with, Maxis told StarBiz: “We are in active discussions with various parties in the MVNO and MVNE space and will make the necessary announcements at the appropriate time.”
MVNE is a company that provides services to MVNOs.
The development surprised analysts as Baraka had earlier aborted its commercial launch after having terminated a similar MVNO agreement with DiGi last year.
“We gather from our source that the parties behind Baraka had wanted to consider more options, including a revisit of its business model in light of the extremely competitive mobile landscape in Malaysia and the challenges faced by MVNOs,” he said in a recent report.
An analyst from a local securities company viewed the deal as possible since Maxis had the capacity to provide such services, and that its rival Celcom was getting more aggressive in MVNO services.
“The profit contribution to Maxis will not be as big as their consumer business due to the niche offerings and the business is small. However, most MVNO players make good margins from their service, thus Maxis might benefit from it,” the analyst said.
Maxis' net profit rose 21.3% to RM610mil for the fourth quarter ended Dec 31, 2010 from RM503mil previously due to increased contribution from the non-voice segment and a bigger subscriber base.
Its revenue rose to RM2.31bil versus RM2.21bil previously.
Its EBITDA (earnings before interest, taxation, depreciation and amortisation) margin for the fourth quarter was lower at 50.6% against 51.4% in the preceeding quarter.
For the full financial year ended Dec 3, Maxis' net profit stood at RM2.3bil on revenue of RM8.87bil.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/11/business/8205616&sec=business
Saturday, March 5, 2011
Apple iPad Now Cheaper in Malaysia
Business Times Malaysia
With the launch of the new Apple iPad 2 at the same starting price as the first version, it was only natural that prices for the older models to drop. In Malaysia, prices for the first generation iPad has been reduced by RM350 for the iPad with Wi-Fi and by RM400 for the iPad with Wi-Fi + 3G.
According to the Apple Store Malaysia, prices for the Wi-Fi only model now start from RM1,199 for the 16GB iPad, while the 32GB model and the 64GB model are now priced at RM1,499 and RM1,799 respectively.
Meanwhile, the iPad with Wi-Fi + 3G start at RM1,599 for the 16GB model, while the 32GB model is priced at RM1,899 and the 64GB model is priced at RM2,199.
Apple earlier launched the newest iPad 2 with some significant improvements over the first generation model and prices for the new model is expected to be the old price for the first iPad.
Among the differences between the iPad and the iPad 2 is the thickness and weight. The iPad 2 is thinner, even thinner than an iPhone 4, and weighs slightly less.
The iPad 2 also has a faster dual-core A5 processor, a VGA front camera and a HD rear camera with FaceTime and PhotoBooth available. It also runs on the new iOS 4.3 operating system.
For more information, you can go to the Apple Store Malaysia website.
Read more: http://gadgets.emedia.com.my/product.php?id=1372&title=Apple_iPad_now_cheaper_in_Malaysia/Article/index_html#ixzz1FisrVKhz
With the launch of the new Apple iPad 2 at the same starting price as the first version, it was only natural that prices for the older models to drop. In Malaysia, prices for the first generation iPad has been reduced by RM350 for the iPad with Wi-Fi and by RM400 for the iPad with Wi-Fi + 3G.
According to the Apple Store Malaysia, prices for the Wi-Fi only model now start from RM1,199 for the 16GB iPad, while the 32GB model and the 64GB model are now priced at RM1,499 and RM1,799 respectively.
Meanwhile, the iPad with Wi-Fi + 3G start at RM1,599 for the 16GB model, while the 32GB model is priced at RM1,899 and the 64GB model is priced at RM2,199.
Apple earlier launched the newest iPad 2 with some significant improvements over the first generation model and prices for the new model is expected to be the old price for the first iPad.
Among the differences between the iPad and the iPad 2 is the thickness and weight. The iPad 2 is thinner, even thinner than an iPhone 4, and weighs slightly less.
The iPad 2 also has a faster dual-core A5 processor, a VGA front camera and a HD rear camera with FaceTime and PhotoBooth available. It also runs on the new iOS 4.3 operating system.
For more information, you can go to the Apple Store Malaysia website.
Read more: http://gadgets.emedia.com.my/product.php?id=1372&title=Apple_iPad_now_cheaper_in_Malaysia/Article/index_html#ixzz1FisrVKhz
YTL Comms Keen to Launch 4G Network in Sabah, Sarawak
Saturday March 5, 2011
KUALA LUMPUR: YTL Communications Sdn Bhd has expressed interest in rolling out its fourth-generation (4G) network to Sabah and Sarawak.
Its executive director Datuk Yeoh Seok Hong told reporters yesterday that the company would like to roll out its 4G services there, pending spectrum license approval from the Malaysian Communication and Multimedia Commission (MCMC).
He was speaking at the company's launch of new 4G mobile Internet service packages and devices. YTL Communications' 4G service is known as Yes and was launched last November in Peninsular Malaysia.
Since the launch, Yes had achieved one million voice minutes, 670,000 text messages and more than 104 terabytes of data traffic, said YTL Communications chief executive officer Wing K. Lee.
He said YTL Communications' 4G service was three to five times faster than any network and had had some 100,000 active users sign on since the launch last year.
“The coverage now spans the length of the North-South Expressway. We also launched our sales network in Penang last week, the first major market outside the Klang Valley,” he added.
Penang will have its first Yes Store in the Northern region, opening in April this year.
YTL Communications had invested RM2.5bil into its Yes 4G infrastructure and had 1,800 base stations built in Peninsular Malaysia with 65% of the population covered, said Yeoh. The aim is to have 80% coverage by year-end.
The company also launched two new Yes Valuepacks, which are effective next month, priced at RM68 and RM150 for 3.5GB and 10GB of data respectively. These plans are also inclusive of a set number of talktime and text messages.
It currently offers a pay-as-you-go rate of nine sen for 3MB (megabit) data, one-minute call or one short-messaging service but decided to come up with unbinding plans for consumers after listening to users suggestions.
Along with the new plans, YTL Communications also launched two new devices Yes Buzz, which is a 4G mobile phone and Yes Zoom, an all-in-one communications solution with built-in WiFi.
YTL Communications executive chairman Tan Sri Francis Yeoh said YTL's 4G network allowed for real facetime.
He said that given the rising trend in mobile data demand, the effectiveness of applications like mobile video conferencing relied on bandwidth.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/5/business/8192735&sec=business
KUALA LUMPUR: YTL Communications Sdn Bhd has expressed interest in rolling out its fourth-generation (4G) network to Sabah and Sarawak.
Its executive director Datuk Yeoh Seok Hong told reporters yesterday that the company would like to roll out its 4G services there, pending spectrum license approval from the Malaysian Communication and Multimedia Commission (MCMC).
He was speaking at the company's launch of new 4G mobile Internet service packages and devices. YTL Communications' 4G service is known as Yes and was launched last November in Peninsular Malaysia.
Since the launch, Yes had achieved one million voice minutes, 670,000 text messages and more than 104 terabytes of data traffic, said YTL Communications chief executive officer Wing K. Lee.
He said YTL Communications' 4G service was three to five times faster than any network and had had some 100,000 active users sign on since the launch last year.
“The coverage now spans the length of the North-South Expressway. We also launched our sales network in Penang last week, the first major market outside the Klang Valley,” he added.
Penang will have its first Yes Store in the Northern region, opening in April this year.
YTL Communications had invested RM2.5bil into its Yes 4G infrastructure and had 1,800 base stations built in Peninsular Malaysia with 65% of the population covered, said Yeoh. The aim is to have 80% coverage by year-end.
The company also launched two new Yes Valuepacks, which are effective next month, priced at RM68 and RM150 for 3.5GB and 10GB of data respectively. These plans are also inclusive of a set number of talktime and text messages.
It currently offers a pay-as-you-go rate of nine sen for 3MB (megabit) data, one-minute call or one short-messaging service but decided to come up with unbinding plans for consumers after listening to users suggestions.
Along with the new plans, YTL Communications also launched two new devices Yes Buzz, which is a 4G mobile phone and Yes Zoom, an all-in-one communications solution with built-in WiFi.
YTL Communications executive chairman Tan Sri Francis Yeoh said YTL's 4G network allowed for real facetime.
He said that given the rising trend in mobile data demand, the effectiveness of applications like mobile video conferencing relied on bandwidth.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/5/business/8192735&sec=business
Afzal Needs Better Arsenal to Fight the Fibre-optic War
Friday March 4, 2011
Friday Reflections - By B.K. Sidhu
IN four days Afzal Abdul Rahim covered all the booths that he could find in six halls at the recently concluded Mobile World Congress (MWC).
You may wonder what was the head honco of a fixed line company doing at a mobile congress?
Spying, would be the obvious answer.
Others from the fixed world were also there but he stopped at every booth, found out what he wanted before moving to the next. This is the congress where geeks, vendors and techo guys meet every year to craft the future of the industry.
It is also a showcase of future technology, applications and devices. MWC is also the base where jobs are negotiated as a lot of CVs are circulated.
I guess he had to pay for excess baggage for carrying nearly 20 kilos of brochures he brought back. But knowing him, and his witty self, he may have gotten across for free.
And after getting around through the halls he had time to find some Indian restaurants for thosai and tandoori.
I am talking about Barcelona and he is the CEO of Time dotCom Bhd (TDC). This man can't resist mamak, Indian food and teh tarik.
He was there to find out what the future trends were so that TDC could arm itself to tap the areas of opportunities.
From the congress it is clear that data rules, and voice is down.
Data is growing and will grow at a faster pace as more people become comfortable with socialising, buying, selling and doing transactions online.
Since fibre can carry a lot more data, it will play a bigger role going forward and that is why the two bigger celcos are already working closely with Telekom Malaysia Bhd (TM).
To recap, TDC was a company with big ambitions, big plans, but nothing materialised. It was bleeding for years since its listing in 2001 and many people lost a lot of money investing in this stock.
Its balance sheet had been flawed with red ink and in 2007 it reported RM160mil net loss. Afzal joins the group in late 2008.
Today TDC is a different creature.
From merely owning fibre, TDC has shaped up to have a data centre, a global IPT network, an equity in the Trans Pacific Cable System - running from Singapore to Japan and onto the United States in which Google is also a partner. It now carries some traffic from Thailand to Malaysia and onto the US.
It is carrying digital TV content for Astro and has 30,000 buildings wired up. It is fiberalising DiGi's network.
After Barcelona he sprang a surprised - TDC delivered triple growth in net profit to RM107mil for FY10. Revenue was up 27% - percentages never heard of previously - to RM317mil.
All this was led by higher contributions from data, particularly wholesale and global bandwidth segment. But its market share is only a meagre 5%, incumbent TM has the rest.
He is tough and results-orientated and wants the market share to rise to 10% and his aim is for TDC to be a regional wholesale player. This is another big ambition!
It will be tough as he is up against TM, and also the mobile boys, which are beefing up operations to ride the big data boom and they are all out for the same small and medium enterprises and corporate market.
TDC also has its share of problems. Deployment is its biggest issue, bureaucracy a hurdle, it is a capital intensive business and there is no common utility planning.
It is also not on analyst radar screens and by market capitalisation it is no where near TM, whose market cap is seven times bigger than that of TDC. It is RM14.2bil versus RM1.92bil.
Afzal is the 14th CEO of TDC. Perhaps TDC has finally gotten its acts right.
And no doubt Afzal has delivered seven quarters of profit, the journey is far from over as the war of fibre has yet to be fought. Its advantage - being small it has control over cost and pricing and can be as competitive as the bigger boys.
With the better results, Afzal has already waved his magic wand, perhaps he now needs a better instrument to fight the fibre war.
Deputy news editor B.K. SIDHU finds Afzal very witty.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/4/business/8187328&sec=business
Friday Reflections - By B.K. Sidhu
IN four days Afzal Abdul Rahim covered all the booths that he could find in six halls at the recently concluded Mobile World Congress (MWC).
You may wonder what was the head honco of a fixed line company doing at a mobile congress?
Spying, would be the obvious answer.
Others from the fixed world were also there but he stopped at every booth, found out what he wanted before moving to the next. This is the congress where geeks, vendors and techo guys meet every year to craft the future of the industry.
It is also a showcase of future technology, applications and devices. MWC is also the base where jobs are negotiated as a lot of CVs are circulated.
I guess he had to pay for excess baggage for carrying nearly 20 kilos of brochures he brought back. But knowing him, and his witty self, he may have gotten across for free.
And after getting around through the halls he had time to find some Indian restaurants for thosai and tandoori.
I am talking about Barcelona and he is the CEO of Time dotCom Bhd (TDC). This man can't resist mamak, Indian food and teh tarik.
He was there to find out what the future trends were so that TDC could arm itself to tap the areas of opportunities.
From the congress it is clear that data rules, and voice is down.
Data is growing and will grow at a faster pace as more people become comfortable with socialising, buying, selling and doing transactions online.
Since fibre can carry a lot more data, it will play a bigger role going forward and that is why the two bigger celcos are already working closely with Telekom Malaysia Bhd (TM).
To recap, TDC was a company with big ambitions, big plans, but nothing materialised. It was bleeding for years since its listing in 2001 and many people lost a lot of money investing in this stock.
Its balance sheet had been flawed with red ink and in 2007 it reported RM160mil net loss. Afzal joins the group in late 2008.
Today TDC is a different creature.
From merely owning fibre, TDC has shaped up to have a data centre, a global IPT network, an equity in the Trans Pacific Cable System - running from Singapore to Japan and onto the United States in which Google is also a partner. It now carries some traffic from Thailand to Malaysia and onto the US.
It is carrying digital TV content for Astro and has 30,000 buildings wired up. It is fiberalising DiGi's network.
After Barcelona he sprang a surprised - TDC delivered triple growth in net profit to RM107mil for FY10. Revenue was up 27% - percentages never heard of previously - to RM317mil.
All this was led by higher contributions from data, particularly wholesale and global bandwidth segment. But its market share is only a meagre 5%, incumbent TM has the rest.
He is tough and results-orientated and wants the market share to rise to 10% and his aim is for TDC to be a regional wholesale player. This is another big ambition!
It will be tough as he is up against TM, and also the mobile boys, which are beefing up operations to ride the big data boom and they are all out for the same small and medium enterprises and corporate market.
TDC also has its share of problems. Deployment is its biggest issue, bureaucracy a hurdle, it is a capital intensive business and there is no common utility planning.
It is also not on analyst radar screens and by market capitalisation it is no where near TM, whose market cap is seven times bigger than that of TDC. It is RM14.2bil versus RM1.92bil.
Afzal is the 14th CEO of TDC. Perhaps TDC has finally gotten its acts right.
And no doubt Afzal has delivered seven quarters of profit, the journey is far from over as the war of fibre has yet to be fought. Its advantage - being small it has control over cost and pricing and can be as competitive as the bigger boys.
With the better results, Afzal has already waved his magic wand, perhaps he now needs a better instrument to fight the fibre war.
Deputy news editor B.K. SIDHU finds Afzal very witty.
http://biz.thestar.com.my/news/story.asp?file=/2011/3/4/business/8187328&sec=business
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