Egypt’s interim authorities will activate a licence allowing mobile operators and fixed-line operators to access each other’s networks by 30 June.
Telecoms minister Atef Helmy said during an industry event in Cairo yesterday that details of the…
Egypt’s interim authorities will activate a licence allowing mobile operators and fixed-line operators to access each other’s networks by 30 June.
Telecoms minister Atef Helmy said during an industry event in Cairo yesterday that details of the licence will be revealed at a news conference on 26 March, according to a Reuters report.
In essence Telecom Egypt (TE), the 80% state-owned landline telco, is expected to be granted a virtual licence, enabling it to use its rivals’ network to provide mobile services.
In return, the three current wireless players – Vodafone, Orange’s Mobinil and Etisalat – will get access to TE’s copper network.
But Vodafone Egypt, in which TE has a 45% stake, has been concerned that the new licence would unfairly favour the fixed-line monopoly and create a conflict of interest.
Earlier this year, the UK-owned operator forwarded its concerns to the Egyptian authorities. Today, Vodafone reiterated that, depending on the response, it could consider international arbitration “to protect our shareholders’ interests”.
Last year, there was speculation that, once TE launches its own mobile offering, it may decide to offload its shareholding in Vodafone Egypt. However in November, a TE spokesperson said that gaining an MVNO licence would not require it to sell its stake and that the company was not looking to exit Vodafone.
TE, Etisalat and Orange could not be reached for comment.
