Press Clippings: June 2007

Major Industry items you might have missed

Saturday, June 30, 2007

AT&T is buying Oklahoma-based carrier.

Source: NYT.

AT&T, the wireless carrier, has agreed to acquire the rural wireless provider Dobson Communications Corporation for US$2.8bn. in cash.
The offer of US$13 a share adds about 1.7m. customers to AT&T’s nearly 62m. at a time when some analysts have questioned how much larger carriers can grow in a wireless market that is saturated.
Dobson, based in Oklahoma City, does business under the Cellular One brand in rural and suburban markets in 17 states and has provided roaming services to AT&T since 1990.

Posted by Judith — 2:57 AM

Friday, June 29, 2007

Berlin-Brussels conflict.

Source: TeleGeography.

The EU Commission has confirmed that it has filed a formal complaint against Germany at the European Court of Justice related to Germany’s new Telecommunications Act, which exempts DT from having to provide access to its new fibre-optic VDSL network to competitors until such time as DT is able to recoup its investment, which is forecast to reach EUR3bn. (US$4bn.) by the time the infrastructure is completed.

Posted by Judith — 4:51 AM

SingTel buys 30% of Warid for US$758m.

Source: TeleGeography.

SingTel has agreed to buy a 30% stake in Warid Telecom, Pakistan’s third largest cellco by subscribers, for US$758m. The deal gives Warid, which is owned by UAE-based Abu Dhabi Group, an enterprise value of US$2.9bn. Industry sources said SingTel beat rivals MTN of South Africa and Britain’s Vodafone for the Warid stake.

Posted by Judith — 4:48 AM

US mobile video flying.


According to research, revenues for mobile videos in the US totalled US$146m. in the first quarter, an increase of 198% year on year.
There were 8.4m. mobile video subscribers at the end of the first quarter with penetration doubling to nearly 4% since the same period last year.

Posted by Judith — 3:48 AM

Cricket inks contract with Alcatel-Lucent.

Source: TeleGeography.

Cricket Communications - a wholly owned subsidiary of Leap Wireless International - has signed a five-year agreement with Alcatel-Lucent for the provision of up to US$126m. worth of equipment, services and software. The deal includes the deployment of CDMA2000 1xEV-DO Rev A.

Posted by Judith — 2:54 AM

Thursday, June 28, 2007

Qwest asks for increased rural broadband funds.

Source: TeleGeography.

Reports from the US say that Qwest is asking federal regulators to move approximately US$500m. from a wireless subsidy fund to support high speed internet projects in rural areas across the country. Qwest - whose 14-state territory includes large rural areas - has commented before that it feels it hasn’t received a fair share of funds to cover the high cost of rural area phone service

Posted by Judith — 4:52 AM

Nokia sees new rivals emerging in China.

Source: Reuters.

Nokia is seeing small local rivals entering the Chinese market, filling a gap left by Motorola, the Finnish firm’s regional head said on Thursday. He stated that last year Motorola was aggressive, but not any more, so this year Chinese rivals have been taking advantage of this chance.

Posted by Judith — 4:25 AM

F.T.C. urges caution on net neutrality.

Source: NYT.

The chairwoman of the FTC has recommended against additional regulation of high-speed Internet traffic.
Deborah Platt Majoras said policy makers should proceed cautiously on the issue of ‘net neutrality’ which is the notion that all online traffic should be treated equally by Internet service providers.
The comments provide support for telecommunications companies like AT&T and Comcast, which oppose so-called net neutrality regulation.

Posted by Judith — 4:14 AM

Wednesday, June 27, 2007

T-Mobile expands fixed-mobile service nationwide.

Source: TeleGeography.

T-Mobile USA has expanded its ‘Hotspot @Home’ combined cellular and Wi-Fi service to all its 8,500 wireless LAN hotspots nationwide. Until now the service has been undergoing trials with a limited number of users in Washington state.

Posted by Judith — 5:17 AM

Visa and Wells Fargo to trial new mobile payment scheme.

Source: BWCS.

Credit Card company Visa and US bank group Wells Fargo are to jointly trial a new system of mobile phone payments in the US. As part of the trial, 50 bank employees will be given phones equipped with pre-loaded credit card details, which they can use to pay for goods and services at retail outlets. Should the initial pilot scheme prove successful, the two companies say they will widen the trial to include a further pool of 300 to 500 bank customers.

Posted by Judith — 5:10 AM

Vodafone shareholders want Verizon action.

Source: TeleGeography.

A group of Vodafone shareholders are increasing the pressure on the company to spin off its 45% stake in the second largest US cellular operator, Verizon Wireless. Activist shareholder group Efficient Capital Structures (ECS) has put forward a resolution for Vodafone’s annual general meeting on the 24th of July which would see the Verizon stake spun off into a listed security.

Posted by Judith — 5:00 AM

Telus quits BCE race - for now.

Source: Globe and Mail.

The roller-coaster race for control of BCE Inc. took another surprise turn when its biggest rival, Telus Corp., pulled out of the bidding with a stinging rebuke that criticized “inadequacies” in the sale process.
The surprise last-minute retreat by Telus may force BCE’s board of directors to take more control of the takeover negotiations and extend Tuesday’s deadline for takeover bids. Telus was widely regarded as the lead suitor and its planned merger with BCE would have created a telecommunications player that dominated markets across Canada.

Posted by Judith — 4:03 AM

Tuesday, June 26, 2007

European Court of Justice rejects VAT rebate claims.

Source: TeleGeography.

British 3G licensees may not reclaim billions of euros in what they say they paid as value-added tax when they bought UMTS licences, according to a ruling by the European Union’s highest court. Vodafone, O2, T-Mobile, Orange and Hutchison argued that VAT was levied by the government, but the UK tax authorities maintained there was no VAT component in the fees for the licences, which were sold in 2000. The operators had hoped to reclaim GBP3.3bn.(US$6.6bn.) from a total bill of GBP22.5bn.

Posted by Judith — 5:56 AM

India - fastest growing base for mobile manufacturing.

Source: BWCS.

From a slow start, mobile manufacturing in India is beginning to take off and may soon rival China as a base for low-cost handset production. According to US research group Gartner, in the last 12 months alone, the number of units produced in India has soared by 68%. The subcontinent is forecast to have the highest growth in mobile manufacturing again this year.
In 2006, India produced nearly 31m. mobile phones, with a street value of US$5bn.

Posted by Judith — 5:05 AM

Cellco for sale?

Source: TeleGeography.

Oklahoma-based rural wireless operator Dobson Communications is considering a possible sale. The firm, which has a market capitalisation of around US$1.8bn. and debts of US$2.67bn., serves almost 1.7m. subscribers across 17 states. It offers services under the Cellular One brand, predominantly in rural areas.

Posted by Judith — 4:59 AM

French government to cut FT stake.

Source: TeleGeography.

France’s Finance Ministry has revealed plans to reduce its stake in France Telecom by as much as 7% in order to reduce public debt. Depending on demand the state could sell between 130m. and 180m. shares, corresponding to 5% and 7% of the company. The sale would cut the governmen’s stake to between 25.5% and 27.4%, and could raise as much as EUR3.8bn. (US$5.1bn.)

Posted by Judith — 4:48 AM

Sprint ups WiMAX spectrum.

Source: TeleGeography.

Sprint Nextel is to acquire additional broadband wireless spectrum, paying Bell Industries US$13.5m. for its 2.5GHz frequencies. The deal is still subject to FCC approval. Sprint is already the largest WiMAX-capable spectrum owner in the US and plans to launch commercial 802.16e mobile WiMAX services in Chicago and Washington DC at the end of this year, with a national rollout to follow in 2008.

Posted by Judith — 4:45 AM

Monday, June 25, 2007

Glasgow invites the world to telecoms conference.

Source: Scotsman.

Glasgow will achieve what is believed to be a world first when a conference of leaders in the IT and telecoms sectors is broadcast live on the internet.
The opening forum of the five-day conference on communications will feature a number of chief executives, including Microsoft’s Steve Balmer, Arun Sarin of Vodafone and BT’s Ben Verwaayen.
Conference organisers have previously broadcast live proceedings of their conferences on their own websites, however, Glasgow City Marketing Bureau thinks it will be the first convention bureau to offer this service.

Posted by Judith — 3:41 AM

Yahoo! signs six mobile deals in AsiaPac .

Source: Converge.

Yahoo! has signed partnership agreements with six major mobile operators across Asia for distribution of its mobile search service, Yahoo! oneSearch, which launched in Asia in May of this year. The six mobile operators are Globe Telecom (Philippines), Idea Cellular Limited (India), LG Telecom (Korea), Maxis Communications Berhad (Malaysia), PT Telekomunikasi Selular “Telkomsel” (Indonesia) and Taiwan Mobile (Taiwan).
These carriers represent a combined subscriber base of nearly 100 million.

Posted by Judith — 1:37 AM

Saturday, June 23, 2007

Qualcomm’s request for stay on ITC order denied.

Source: Reuters.

The U.S. International Trade Commission has denied Qualcomm Inc.’s request to stay an order banning imports of new phones with Qualcomm chips that the agency said infringe a Broadcom Corp. patent.

Posted by Judith — 4:33 AM

Mobile voice revenues stalling.


Analysts this week warned that half of all Western Europe’s mobile operators recorded annual falls in voice revenues over the first quarter of the year, as revenue growth in the region as a whole stalls.
According to the report revenues per minute from wireless voice fell 12% as regulatory pressure and competition continue to bite.

Posted by Judith — 4:25 AM

Friday, June 22, 2007

Huawei wins US$700m. GSM contract with China Mobile.

Source: TeleGeography.

Huawei Technologies has announced that it has won a GSM expansion contract with China Mobile worth approximately US$700m. Under the agreement Huawei will expand China Mobile’s GSM coverage of 30 provinces, including Guangdong, Zhejiang, Fujian, Jiangsu, and Shandong, with the deployment of thousands of GSM core and radio products and services.

Posted by Judith — 4:55 AM

AT&T hires 2,000 extra workers for iPhone launch.

Source: Reuters.

AT&T has announced that it has hired 2,000 temporary store workers to handle its much-hyped introduction of the iPhone, the first cell phone from iPod music player maker Apple Inc.
The company will be the country’s only carrier to offer the device when it goes on sale June 29th.

Posted by Judith — 4:23 AM

Deutsche Telekom strike over.


Deutsche Telekom and the German workers union Ver.di finally reached an agreement on Wednesday afternoon, calling an end to industrial action.

Posted by Judith — 4:01 AM

One more for Orange.

Source: BWCS.

One, the third largest mobile operator in Austria, is set to change hands again. This time the bidding consortium is made up of France Telecom and Mid Europa Partners.
The French company, which operates under the Orange banner, says it will use the purchase to introduce its Orange internet, mobile and TV brands to the Austrian market.

Posted by Judith — 3:38 AM

AT&T unveils 3G videophone service.

Source: TeleGeography.

AT&T Wireless has announced the launch of AT&T Video Share, the first-ever service in the US that allows users to share live video over their wireless devices while participating in a voice call.

Posted by Judith — 3:18 AM

Nokia to regroup.

Source: BWCS.

Nokia, ever keen to move with, if not ahead of, the times, has announced a major restructuring to better align itself with what it claims is the coming convergence of the mobile and internet world. From the start of next year, Nokia will operate as three divisions, these will be: Devices, Services and Software and Markets.

Posted by Judith — 2:40 AM

French government bans BlackBerry.


French government officials have been ordered to turn in their BlackBerrys, amid growing security concerns over the popular push email platform.
Previously, Germany had banned the device for all officials above a given security classification and other governments and security conscious organisations are expected to do likewise.

Posted by Judith — 2:29 AM

Thursday, June 21, 2007

Bell Canada discussing a merger with Western Provinces Carrier.

Source: NYT.

Bell Canada, the target of at least three possible privatization bids, has announced that it is discussing a possible merger with Telus, the leading phone company in western Canada.
If combined, Bell, which is based in Montreal, and Telus, based in Vancouver, would have a market capitalization of CDN$53.2bn. (US$50bn.) based on Wednesday’s stock prices.

Posted by Judith — 4:14 AM

AT&T’s secret, cheap web service.


It has emerged that AT&T has been forced to offer a basic DSL internet service at $10 a month, compared to its current pricing of $20.
The cheap DSL plan apparently forms part of the concessions AT&T agreed to, to get the FCC to sign off its merger with BellSouth.

Posted by Judith — 2:06 AM

United Utilities to sell Thus stake.

Source: TeleGeography.

Water company United Utilities has announced it will dispose of its 22.63% stake in UK business telecoms provider Thus, through a share placing. The market capitalisation of Thus is currently around GBP360m. (US$714m.), making the stake worth about GBP80m.

Posted by Judith — 2:01 AM

Google wins latest battle with Microsoft over Windows Vista.

Source: Independent.

Google has chalked up a victory over Microsoft in a legal battle over its rival’s operating system, Windows Vista.
Under pressure from competition authorities, Microsoft has agreed to make it easier for Vista users to switch from the built-in desktop search tool to using Google’s alternative Google Desktop function. The capitulation is a blow for Microsoft because it had trumpeted its improved search tool as a key selling point for Vista.

Posted by Judith — 1:58 AM

Wednesday, June 20, 2007

AT&T names vendors for U-verse expansion.

Source: TeleGeography.

AT&T Inc has contracted Alcatel-Lucent and Ericsson to provide equipment for an expansion of its U-verse FTTH network. U-verse offers IP-based triple-play TV, telephony and internet services in 21 markets, including recent launches in San Diego, Detroit, Los Angeles, Kansas City and Dallas-Fort Worth.

Posted by Judith — 4:09 AM

European Agency backs in-flight calls.

Source: NYT.

Airbus has announced that European regulators have cleared the use of mobile phones and BlackBerry devices by airline passengers during flights.
Approval by the European Aviation Safety Agency means that from September, passengers aboard Airbus aircraft outfitted with the OnAir system will be able to make phone calls and send and receive SMS text messages and e-mail messages while flying above 9,840 feet.

Posted by Judith — 3:49 AM

Yahoo in global expansion of mobile phone services.

Source: Reuters.

Yahoo Inc. has announced that it will introduce later this week a faster, enhanced version of its Internet services for U.S. mobile phone users, while expanding into key markets in Asia, Canada and Europe.

Posted by Judith — 3:14 AM

KPN completes Tiscali acquisition.

Source: Digital Media Europe.

Dutch telco KPN has completed the acquisition of Tiscali’s Dutch operations for EUR236m. (US$317m.) following the unconditional approval from Dutch competition authority.
KPN takes over the provision of services to more than 295,000 broadband customers as well as Tiscali’s infrastructure in the Netherlands. As a result KPN’s retail broadband share increases by approximately 4 to 45%.

Posted by Judith — 3:03 AM

Tuesday, June 19, 2007

AT&T denies Vodafone bid plan.

Source: BWCS.

Randall Stephenson, the new head at US telco AT&T has moved quickly to quell rumours that he may be about to oversee a bid for Vodafone. He dismissed suggestions that AT&T was “mulling” a bid for the UK-based global mobile giant. Instead he said the US company would concentrate on smaller acquisitions.

Posted by Judith — 4:10 AM

Sony Ericsson in major Chinese move.

Source: BWCS.

The Swedish-Japanese mobile phone joint venture, Sony Ericsson, has announced that work has begun on its huge new factory in Beijing. At the same time the company said that it plans to make China its global manufacturing base.

Posted by Judith — 4:09 AM

Connect looks for 90% of PacNet.

Source: TeleGeography.

US-based Connect Holdings, which recently secured a 75% stake in internet services provider Pacific Internet (PacNet), says it is keen to raise its holding to above 90% as it looks to exploit a key gateway into the Indian and southeast Asian markets. Once it reaches its target, Connect plans to work with PacNet’s existing management to take advantage of and develop the latter’s strength in the SME segment through an aggressive regional expansion.

Posted by Judith — 3:59 AM

Ofcom considers allowing UK Broadband to offer mobile WiMAX across the UK.

Source: TeleGeography.

Ofcom yesterday published proposals to amend the Wireless Telegraphy Act licence held by UK Broadband. If granted, it will allow the company to offer mobile WiMAX services across the UK. UK Broadband’s current licence permits the company to operate broadband fixed wireless access in the 3.5GHz band. The company has asked Ofcom to vary its licence to make it technology and service neutral, giving it greater flexibility over how it can use the radio spectrum.

Posted by Judith — 2:02 AM

Anam banks on SMS money transfer.


SMS applications developer Anam Mobile, has announced a partnership with mobile payment services firm TR2 Communications, as the duo launch a global SMS-based money transfer service.
There is a ready market of consumers seeking cheaper, faster, more reliable and more accessible ways to get money to family and friends, particularly in developing markets, where mobile growth is at its strongest.

Posted by Judith — 1:55 AM

Monday, June 18, 2007

AT&T has no WiMAX plans.

Source: TeleGeography.

AT&T Inc has confirmed that it has no major plans in the WIMAX arena. A report quoting Chris Hill, the company’s VP of government mobility solutions, suggests that AT&T may employ WiMAX for backhaul, but it is looking at Long Term Evolution (LTE) equipment as the next generation of mobile technology beyond existing HSPA 3.5G systems. The telco does hold some spectrum in the 2.5GHz band, but most WIMAX-capable frequencies in the US are held by Sprint and Clearwire.

Posted by Judith — 5:30 AM

Australia Connected to make broadband available to all.

Source: TeleGeography.

The Australian government has launched an initiative to make broadband a reality for all households across the country by mid-2009. Called Australia Connected, the new network will provide 12Mbps connections to thousands of rural and regional communities, building on the 4.3m. homes and small businesses that are already connected to broadband. The new network will be built by OPEL, a joint venture between Optus and Elders.

Posted by Judith — 5:03 AM

Vodafone slashes mobile internet charges by half.

Source: Independent.

Vodafone has upped the ante in the burgeoning mobile broadband market by slashing the price it charges to connect to the high-speed internet from a laptop by half.
Over the past year, European mobile phone companies have competed fiercely for high-spending business users who use mobile phone networks to connect wirelessly to the internet. The deployment of the technology HSDPA across mobile phone networks has tripled the capacity for delivering broadband speeds akin to fixed-line services and has enabled companies such as Vodafone and T-Mobile to chase high-spending business users.

Posted by Judith — 3:50 AM

Saturday, June 16, 2007

iPhone spells churn for rival ops.


Research has shown that the 67% of US consumers most inclined to purchase an Apple iPhone are subscribers on networks other than AT&T.
It’s great news for AT&T and Rogers Wireless which have exclusive distribution rights for the much anticipated device in the US and Canada respectively, but potentially means increased churn for rival carriers.

Posted by Judith — 5:09 AM

Friday, June 15, 2007

Clearwire inks wireless deal with DirecTV, EchoStar.

Source: TeleGeography.

Clearwire Corp has announced the signing of distribution deals with satellite TV companies DirecTV Group Inc and EchoStar Communications. Under the deal, DirecTV and EchoStar will be able to offer Clearwire’s high speed internet access service to their customers. In return, Clearwire will be able to provide satellite video services from either of the providers to its customers.
In a separate story, Sprint Nextel and Clearwire are reported to be exploring ways to cooperate together in the nascent WiMAX market, in a bid to speed up the deployment of the high speed broadband technology.

Posted by Judith — 5:37 AM

London leads in city wi-fi race.

Source: BBC.

London has taken the title of top wi-fi city. The RSA Security report looked at the growth of wi-fi in three key financial centres: London, New York and Paris.
According to the findings wireless access points in London grew by 160% in the last 12 months putting it ahead of the other two cities.

Posted by Judith — 5:31 AM

Hutchison Whampoa retakes majority control of telecoms unit.

Source: TeleGeography.

Property-to-telecoms conglomerate Hutchison Whampoa announced this morning that it has raised its ownership of Hutchison Telecommunications Holdings to just over 50%, to better capture growth opportunities in the international telecom firm’s existing markets.

Posted by Judith — 4:45 AM

Thursday, June 14, 2007

Mobile phone groups take on iPhone.


The mobile phone industry will launch a challenge to Apple’s iPhone by unveiling a low-cost, flat-rate music service that can be accessed on most handsets in Europe and Asia.
The MusicStation service has backing from the handset manufacturers Nokia, Sony Ericsson, Motorola and Samsung and 30 mobile phone operators and all four music majors - Universal Music Group, Sony BMG, EMI Music and Warner Music International - as well as several independent labels.

Posted by Judith — 4:30 AM

Telefonica’s bid for Telecom Italia stake gets EU clearance.

Source: TeleGeography.

The European Union has reportedly cleared the proposed acquisition by a group of firms, including Telefonica of Spain, of an 18% stake in Telecom Italia. A decision must also be made by authorities in Brazil, where Telecom Italia and Telefonica control around 50% of the mobile market via their separate subsidiaries.

Posted by Judith — 4:17 AM

US customers keen to buy Wi-Fi ready cellphones.

Source: TeleGeography.

A survey by market research firm In-Stat has found that almost half of US ‘early adopters’ plan to replace their mobile handsets with a Wi-Fi-enabled replacement when the time comes. The industry is gearing up for a surge in demand for Wi-Fi capable phones and by the end of 2007 around 100 different models are expected to be commercial available.

Posted by Judith — 4:05 AM

PCCW launches Asian converged fixed/broadband/mobile offering.

Source: TeleGeography.

Hong Kong’s largest telco, PCCW, yesterday launched One Communications, a range of business user packages that the company claims will form Asia’s first truly convergent fixed/broadband/mobile communications platform.

Posted by Judith — 3:58 AM

Wednesday, June 13, 2007

Horizon Wi-Com close to WiMAX launch.

Source: TeleGeography.

US wireless ISP Horizon Wi-Com says it has begun its first mobile WiMAX trials in a number of cities in northeastern states, including New York, Boston and Washington DC. The first commercial services are expected to be launched at the end of this month. Horizon began deploying 802.16e wireless broadband systems in January this year, using equipment supplied by Navini Networks.

Posted by Judith — 5:48 AM

Wireless coalition lobbies for open access.


A coalition of industry players, including the founders of Virgin Mobile USA, have petitioned the US regulator to open up a swathe of spectrum to give consumers more choice of wireless services.
The Wireless Founders Coalition for Innovation sent a letter to the FCC calling for open access rules to a single swathe of spectrum in the upcoming 700MHz auction.

Posted by Judith — 4:34 AM

iPhone to run third party web apps.


Steve Jobs almost made a U turn on his decision to lock developers out of the iPhone by announcing that third parties would be able to make web-based apps for the device.
According to an announcement made by Jobs, developers will be able to create Web 2.0 applications “which look and behave just like the applications built into iPhone.”

Posted by Judith — 4:25 AM

Verizon Business continues building national optical ULH Net .

Source: Converge.

Verizon Business will add 6,000 more miles to its ultra long haul (ULH) network this year, surpassing the halfway point in the company’s multiyear plan to deploy a 50,000-mile all-optical transport network across the United States. More than 15 new ULH routes connecting dozens of cities will be added.

Posted by Judith — 3:52 AM

VSNL to install 2,000 WiMAX base stations.

Source: TeleGeography.

The Tata Group-controlled VSNL is planning to roll out 2,000 WiMAX base stations across the sub-continent. The company will spend INR45bn. (US$1.1bn.) over two years on the project, which will see wireless broadband services being rolled out to business customers in five cities this year. The plan, when fully implemented, will cover 120 cities and towns across the country.

Posted by Judith — 3:46 AM

Nokia Growth Partners invests in

Source: Converge. a San Francisco-based start-up focused on user-generated content, social networks, and mobile services, received a financial investment from Nokia Growth Partners.’s service enables users to create interactive TV channels online and on the go, which are instantly broadcast to any website, blog, social network, and mobile phone.

Posted by Judith — 3:24 AM

Third Saudi licence goes to Kuwait.

Source: BWCS.

Saudi Arabia has decided to award the country’s third mobile licence to MTC, the telco based in neighbouring Kuwait.
According to the SPA, the Saudi state news agency, the new company beat off bids from six other firms, and will invest between US$6bn. and US$8bn. in its network and services over the first five years of operation.

Posted by Judith — 2:41 AM

Friday, June 8, 2007

Patent ruling strikes a blow at Qualcomm.

Source: NYT.

Millions of new mobile phones containing certain Qualcomm semiconductors could be barred from import into the United States under a ruling by a federal government agency in a patent dispute.
Qualcomm said the ruling by the United States International Trade Commission, if it withstands an appeal, could prevent the importation into the United States of tens of millions of new mobile handsets designed for the Verizon, Sprint and AT&T Wireless networks.

Posted by Judith — 3:30 AM

iPhone will be locked to partner networks.


Apple has dashed the hopes of consumers everywhere planning to pick up an iPhone without signing up for an AT&T subscription.
A revelation by Charles Dunstone, chief executive of UK retailer the Carphone Warehouse, shows that Apple’s reach extends far beyond the handset and deep into the network itself.

Posted by Judith — 3:28 AM

Deutsche Telekom, France Telecom swap assets.


Deutsche Telekom has agreed to acquire Orange Netherlands from France Telecom.
Under the deal, the German carrier also agreed to sell its Spanish broadband operation,, to France Telecom.
Deutsche Telekom is reported to be paying around Eur1.3bn. (US$1.76bn.) for the Dutch operation, but will receive Eur320m. (UD$433m.) for the sale of

Posted by Judith — 3:23 AM

Wireless energy promise powers up.

Source: BBC.

A clean-cut vision of a future freed from the rat’s nest of cables needed to power today’s electronic gadgets has come one step closer to reality.
US researchers have successfully tested an experimental system to deliver power to devices without the need for wires. The setup made a 60W light bulb glow from a distance of 2m.

Posted by Judith — 2:09 AM

Thursday, June 7, 2007

BT and HP expand alliance in outsourced IT, net services .

Source: Converge.

Citing growing customer demands for standardized and flexible collaborative IT and network services around the globe, HP and BT are expanding their alliance as preferred partners in the management of outsourced IT and network service.
This builds on a three-year go-to-market model that has attracted more than US$1.5bn. in contract revenue since 2004 and more than 25 customers, including FirstGroup, Aker Kvaerner and Anglo-American.

Posted by Judith — 4:28 AM

Flextronics to acquire Solectron for US$3.6bn.

Source: Converge.

In a deal likely to transform the contract manufacturing of high-end computing, networking and telecom gear, Flextronics International agreed to acquire Solectron Corporation for approximately US$3.6bn. in equity, based on the closing price of Flextronics ordinary shares on June 1, 2007. Both companies specialized in electronics manufacturing services for OEM customers.
The combined company will have approximately 4,000 design engineers, 200,000 employees, and annual revenues exceeding US$30bn.

Posted by Judith — 4:11 AM

Mobile web usage surges forward in the US.

Source: TeleGeography.

The mobile web tech vendor Bango has published statistics which it says ‘confirm that the United States is at the forefront of mobile web growth with a three fold increase in usage over the last year, taking it to second position behind the UK.’ According to Bango, the top three countries accessing the mobile web via Bango in April 2007 are the UK (27%), the US (21%), South Africa (11%). Bango works as a so-called ‘global exchange’ for the mobile web and can detect users from more than 190 countries who are using the mobile web.

Posted by Judith — 3:54 AM

Wednesday, June 6, 2007

Avaya accepts US$8.2bn. buyout from Silver Lake, TPG.

Source: Converge.

Avaya has accepted an US$8.2bn. buyout offer from Silver Lake and TPG Capital, both private equity firms.
The merger agreement provides for Avaya to solicit proposals from third parties during the next 50 days. In addition, the company may, at any time, subject to the terms of the agreement, respond to unsolicited proposals.
Avaya has some 20,000 employees, including some 2,500 research and development professionals worldwide. The company is a leading supplier of enterprise IP telephony, call center and PBX solutions worldwide.

Posted by Judith — 5:19 AM

China Mobile to seek bids for TD-SCDMA phones in October.

Source: TeleGeography.

China Mobile Communications Corp, parent of the world’s largest wireless operator by subscribers, will seek bids for as much as RMB6bn. (US$784m.) worth of TD-SCDMA handsets in October. About 20 handset makers including Motorola, Samsung, ZTE and Huawei are expected to bid to supply two to three million handsets.

Posted by Judith — 5:10 AM

Ericsson buys billing vendor LHS.

Source: Light Reading.

Having bought a number of hardware vendors and a messaging specialist in the past six months, Ericsson has now shifted its acquisition focus to the telecom software sector, targeting billing specialist LHS Group in a cash deal worth EUR310m. (US$420m.)

Posted by Judith — 4:16 AM

Tuesday, June 5, 2007

CRTC denies requests from Bell and Telus to change rates.

Source: TeleGeography.

Canadian telecoms regulator the CRTC has turned down requests from Bell Canada, Bell Aliant and Telus to make across-the-board changes to local telephone rates for residential customers. The companies had proposed to eliminate the connection charges for new customers and existing customers who move in exchange for approval to increase rates for all residential customers.

Posted by Judith — 5:30 AM

TDC to divest Talkline.

Source: TeleGeography.

Danish incumbent TDC has decided to divest Talkline, its MVNO business in Germany, to rival MVNO debitel AG. The business has been given a price tag of DKK4.2bn. (US$753.9m.)
Talkline launched MVNO services in 1992 and ended 1Q2007 with 3.7m. customers, debitel had an estimated 9m. subscribers at the same time, making it Germany’s fifth largest operator by customers, and the largest MVNO.

Posted by Judith — 5:04 AM

Sistema announces DVB-H rollout.

Source: TeleGeography.

Russia’s AFK Sistema group plans to invest US$200m. to create a new mobile TV network. The DVB-H network is expected to be launched next year and will cover 16 cities with populations of over one million, plus the entire Moscow region.

Posted by Judith — 4:39 AM

Value of FMC still lost on consumers.


Analysts have stated that although many new FMC services have launched in Europe over the past year, many of the operator launches have highlighted how difficult it is to get the service off the ground.
Industry analyst IDC believes that operators considering consumer FMC services should avoid positioning the technology as a new standalone product. Instead, it should be positioned as a complement to existing broadband and mobile services.

Posted by Judith — 3:47 AM

Monday, June 4, 2007

Amp’d attempts restructuring.

Source: TeleGeography.

The US MVNO Amp’d Mobile has filed for Chapter 11 bankruptcy protection. Amp’d is attempting to restructure its business after failing to keep up with rapid network and subscriber growth. The company says its reorganisation plan involves additional financing from an unnamed existing investor. Amp’d Mobile owes a total of almost US$100m.

Posted by Judith — 5:46 AM

PCCW’s chairman joins Cerberus bid for BCE.

Source: TeleGeography.

Pacific Century Group, an investment vehicle controlled by Richard Li, the chairman of Hong Kong’s incumbent fixed line telco PCCW, has revealed that it has joined a consortium led by US private equity group Cerberus which aims to launch a takeover bid for Canada’s largest telecoms group Bell Canada Enterprises.

Posted by Judith — 5:21 AM

Palm is to sell stake to Equity firm in revamping.

Source: NYT.

Palm Inc., the company that makes the Treo, has reportedly reached a deal to sell a quarter of the company to Elevation Partners, a private equity firm, for about US$325m. as part of a plan to reorganize the company.

Posted by Judith — 4:07 AM

Launch date for iPhone revealed.

Source: BBC.

Apple has confirmed that its much-anticipated iPhone product will launch on 29 June in the US.
The date was given in a series of TV adverts broadcast on Sunday, and was later confirmed by a spokesman for the California-based company.

Posted by Judith — 4:02 AM

Scottish consortium in telecoms buyout from Siemens.

Source: Scotsman.

A Scottish-led consortium has bought a telecoms network services business from Siemens, the German engineering group, for GBP50m.
Keith Cameron, the former European boss of US communications group Global Crossing, led the buyout which created a new telecoms company, Solution1, based in Edinburgh.

Posted by Judith — 3:41 AM

Saturday, June 2, 2007

VSNL claims WiMAX first.

Source: TeleGeography.

VSNL has announced the commencement of WiMAX services for enterprise customers in Bangalore. The operator claims it is the first launch of WiMAX in India. According to VSNL President (Global Data and Mobility Solution) Vinod Kumar, the WiMAX network will be extended to about 120 cities for enterprise customers and five cities for retail customers by the end of the current financial year.

Posted by Judith — 4:17 AM

Clearwire completes US$300m acquisition of 2.5GHz spectrum.

Source: TeleGeography.

Clearwire Corp has completed its US$300m. purchase of wireless spectrum in the 2.5GHz band from AT&T Inc. AT&T offloaded the frequencies as a condition of its 2006 merger with BellSouth Corp. As a result of the purchase - and other pending transactions - Clearwire now has spectrum rights covering around 223m. of the US population.

Posted by Judith — 4:14 AM

Vonage loses court challenge over payments to a Federal fund.

Source: NYT.

A federal appeals court has denied Vonage’s challenge of a rule requiring telecommunications companies to contribute to a fund that supports service for schools, libraries and rural and low-income households.
The FCC rule, which went into effect last year, required Vonage and other providers of Internet telephone service to pay into the Universal Service Fund. Vonage claimed that the FCC had overstepped its authority and overestimated how much it should pay.

Posted by Judith — 4:13 AM

EC to shake up telecoms regulation this year.


The European Commission is reported to be going ahead proposals to create a single European telecoms regulator in October.
Fresh from her victory over mobile roaming charges, European Commissioner for Information Society and Media, Viviane Reding, is expected to detail plans for greater powers for the EC in the form of an independent Europe-wide regulatory body.

Posted by Judith — 3:18 AM

Friday, June 1, 2007

5 companies win U.S. telecom contract.

Source: NYT.

Five companies, AT&T, Level 3 Communications, Qwest Communications, Sprint Nextel and Verizon, have been awarded a federal telecommunications contract that is worth up to US$20bn. over 10 years.
The companies, winners of the so-called Networx Enterprise contract, must now compete with one another to win business from agencies looking to improve their voice, data and other telecom services.

Posted by Judith — 4:08 AM

Patent disputes may hurt 3G.


Qualcomm has suffered a major blow when a US federal jury awarded rival Broadcom US$19.64m. in damages and found Qualcomm guilty of infringing three Broadcom patents.
The jury ruled that the three patents, related to cellular baseband chips and software, are valid and found Qualcomm’s infringement to be willful. As a result, the court may increase damages up to three times the amount awarded by the jury.

Posted by Judith — 3:18 AM

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