AIS Thailand Offers To Provide Service On Behalf Of CAT

[webfact]

AIS offers to provide service on behalf of CAT

By Usanee Mongkolporn

The Nation

Advanced Info Service (AIS) has proposed to CAT Telecom that it provide cellular service on behalf of the state agency, which could be either on the MVNO (mobile virtual network operator) or reseller basis.

The move came on Thursday, the same day the CAT board approved in principle creating a new contract for TrueMove to resell its cellular service nationwide once TrueMove's parent company, True Corp, concludes talks with Hutchison Telecom to buy the latter's CDMA (code division multiple access) 2000-1 cellular network in 25 provinces.

AIS chief executive officer Wichien Mektrakarn said all telecom operators had to try everything within their means to survive during this period of regulatory uncertainty.

CAT plans to allow TrueMove to resell its cellular service for 14 and a half years. This will give TrueMove a new lease of life when its concession ends in 2013.

The concessions of AIS and Total Access Communications will end in 2015 and 2018 respectively.

A telecom analyst said that if there were an attempt by any party to delay the availability of the 3G (third-generation) licences on the 2.1-gigahertz spectrum for telecom operators until 2015, AIS would be in difficulty.

However, a telecom executive said AIS would definitely ask its concession owner TOT to allow it to lease the network to continue to provide the service after the concession ends in case the 3G licence is not available until 2015. This is one option for continuing the business.

The process of forming the National Broadcasting and Telecommunications Commission will begin in the new year but no one can guarantee when it will be in a position to grant new spectra to telecom operators.

AIS has asked TOT to allow it to roam with the state agency's 3G network to provide service to its 50,000 customers. TOT is expected to give the approval next year.

However, it remains to be seen whether CAT will allow AIS or any telecom operators to be its MVNOs.

The National Telecommunications Commission (NTC) has determined that the MVNO business contradicts Section 46 (2) of the new Frequency Allocation Law.

The law stipulates that licence-holders have to operate their own spectra to provide service on their own. They cannot grant partial or whole rights to others to operate the spectra on their behalf.

The NTC will consult the Council of State regarding the effect of the law on MVNOs that have leased airtime and the network of telecom operators to provide service.

This week, CAT chief executive officer Jirayuth Rungsrithong said either the resale or MVNO option could be undertaken if the CAT brand is used to show that it is CAT that operates the spectrum and service.

-- The Nation 2010-12-25

[Chang_paarp]

The concessions of AIS and Total Access Communications will end in 2015 and 2018 respectively.

Not much incentive to invest in new infrastructure.

I would be reticent in signing any long term contracts with these companies.

[asiawatcher]

The concessions of AIS and Total Access Communications will end in 2015 and 2018 respectively.

Not much incentive to invest in new infrastructure.

I would be reticent in signing any long term contracts with these companies.

The only reason the contracts were signed is because on expiry they are assured to continue!