Saturday, Mar 10, 2007

(Updates with consortia names, comment from CITC spokesman)

RIYADH (Zawya Dow Jones)--Saudi Arabia's telecom regulator said Saturday that 10 regional and international consortia have bid for the kingdom's new fixed-line licenses.

In a statement, Saudi Communications and Information Technology Commission, or CITC, announced that it has received 10 applications for public fixed services licenses, including Optical Communication Co. with the American Verizon Co; Khaled Ahmed Al-Jafaly Co. & WorldCALL Telecom limited Consortium; Telecommunication Holding Co. Saudi with Qtel-Atco Clearwire Telecom; Al-Mutakamilah Consortioum with PCCW of Hong Kong; Electronet Consurtioum, with the Italian Autelia; Etihad Etisalat (Mobily); Atheeb Telecom Consortioum with the Bahraini Batelco; Makkah Telecom Consurtioum with China Telecom Co; Al-Shola Consurtioum with MTNL of India; and Bayanat Consortium in alliance with Korea Telecom.

The CITC's official spokesman Sultan Al-Malik stated that during the coming two to three weeks, the CITC will study and evaluate the applications based on the requirements and criteria specified in the Fixed RFA and will determine the Qualified Applicants.

The procedure for assignment of frequencies to Qualified Applicants who applied for spectrum will then be initiated, based on the process detailed in the Fixed RFA. This will be followed by the finalization of the process for issuance of licenses to the winning applicants, Al Malik added.

The new operator would end Saudi Telecom Co.'s monopoly over the fixed-line sector in the country. Currently, STC is the only landline service provider in the kingdom, while STC and Etihad Etisalat Co., a unit of U.A.E.'s Etisalat, provide mobile phone services.

The regulator said it will grant "more than one fixed-line license."

"We will give out one or more licenses...we will decide on it in the next three weeks," said Sultan Al Maliki, spokesperson at the Saudi Telecom Regulatory Authority.

The regulator is currently considering bids for the country's third mobile telecom license.

Nine international companies, including Egypt's Orascom Telecom, Kuwait's Mobile Telecommunication Co. and South Africa's MTN, are competing for third mobile license.

Other bidders include Dubai-based Oger Telecom, an alliance of Kingdom Holding - which is owned by Saudi Prince Walid Bin Talal - and Turkish mobile operator Turkcell.

-By Anees Al Qudaihi, Dow Jones Newswires, +966 1 2914872, anees.alqudaihi@dowjones.com 


   (Majdoline Hatoum of Dubai contributed in this story)

Copyright (c) 2007 ABQ Zawya Ltd. and Dow Jones & Company, Inc.

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10-03-07 1404GMT