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CAT targets 4G service as it looks to strengthen its hand in tough market


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CAT targets 4G service as it looks to strengthen its hand in tough market

Usanee Mongkolporn
The Nation

BANGKOK: -- CAT Telecom has requested a permit from the National Broadcasting and Telecommu-nication Commission (NBTC) to upgrade its 1800MHz and 850 MHz to provide a 4G service.

If the NBTC grants the request, Total Access Communication (DTAC) and True Corp will benefit as they will be able to expand their existing 4G service capacities through their existing collaboration with CAT.

Colonel Sanpachai Huvanandana, CAT chief executive officer, said the spectrum upgrade was part of CAT's new business plan to survive market competition.

As part of the request for the NBTC permit, CAT will upgrade 45 MHz of 50MHz of its 1800MHz, which is being used by DTAC, to provide a wireless broadband service, including a 4G service.

DTAC has already asked for CAT's permission to use 10MHz of this 1800MHz to provide a 4G service to complement DTAC's existing 4G service on 2.1GHz under a NBTC licence.

CAT has partnered with True to offer a 3G service on the state agency's 850MHz spectrum via a wholesale-resale contract. True also provides a 4G service on 2.1GHz under a NBTC licence.

Sanpachai said that if the NBTC granted CAT's request, CAT would withdraw its legal suit against the NBTC's reclaim of its other 1800MHz band so it could be auctioned in November.

CAT granted the 1800MHz band to TrueMove and Digital Phone Co and their concessions expired in September 2013.

Sanpachai said the state agency would request that the Information and Communications Technology Ministry ask for a government permit so it could extend its right to keep DTAC's 1800MHz until 2025, instead of 2018 when DTAC's concession expired.

This request covers only the idled 20MHz of DTAC's 50MHz of 1800MHz.

If the government grants to the request, CAT will wholesale this idled bandwidth to generate revenue.

CAT will seek an agreement from DTAC that would state that before DTAC's concession ends, CAT will be able to use DTAC's network under the concession to wholesale the idled 20MHz bandwidth for a 4G service. Once the concession ends, its network under the concession will be transferred to CAT under built-transfer-operate basis.

Sanpachai added that the state agency would also submit this new business plan to the ministry for it to be considered by the State Enterprise Policy Commission.

The CAT board has officially approved the state agency's plan to set up two joint ventures, Tower JV Co and Fibre JV Co, with DTAC.

DTAC will reportedly be required to inject Bt6.6 billion into Tower JV for a 51-per-cent share.

The move, which was approved the board last Monday, is part of CAT's efforts to settle its legal disputes with DTAC over the ownership of telecommunications towers under the concession.

Source: http://www.nationmultimedia.com/business/CAT-targets-4G-service-as-it-looks-to-strengthen-i-30266696.html

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-- The Nation 2015-08-17

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