Algeria Telecom News

 

Wataniya Telecom Algeria updates core network (From itp.net, April 16, 2008)

 

- Wataniya Telecom Algerie (WTA) has signed an agreement with Nokia Siemens Networks to modernise its core network.

 

Nokia Siemens will deploy its 3GPP mobile softswitching solution for the operator, which will help reduce opex and allow WTA to deploy new services more rapidly.

 

Joseph Ged, CEO for Wataniya Telecom Algerie commented: "Wataniya Telecom Algeria is happy to extend its cooperation with Nokia Siemens Networks by selecting its MSC Server System for our network growth and modernization. The development of our core network is crucial to WTA's future success as our call traffic continues to increase. Implementing Nokia Siemens Networks 3GPP Release 4 architecture will improve our overall network capacity, better utilize network resources and optimize the costs of providing state-of-the-art services to our customers."

 

"We are pleased to have met Wataniya's demand for a powerful and cost-effective solution to deploy in their network. We look forward to a continued partnership with Wataniya Telecom Algerie, providing world class technology while bringing significant cost savings and a clear evolution in next generation networks," said Mahmud Awad, Wataniya International Cluster Head for Nokia Siemens Networks.

 

Report: Portugal Telecom eyes Algerie Telecom privatization (August 20, 2007)

 

LISBON (AFX) - Portugal Telecom SGPS is interested in bidding in the tender for Algeria's state-owned Algerie Telecom, Journal de Negocios reported, citing an unnamed source at the telecoms company.

 

The Algerian government is expected to offer investors 35-51 pct of Algerie Telecom next summer, the newspaper said, adding that the operator has 2.8 million fixed line clients and 7.4 million mobile customers.

 

The source was cited as saying that the company is waiting for the data room for the tender to open to consider the details of the possible operation.

 

Etisalat to bid for stake in Algerie Telecom (June 19, 2006)

 

Algiers (Reuters) - Dubai-based Emirates Telecommunications Corp (Etisalat) plans to take part in the partial privatization of Algerie Telecom to expand its presence in North Africa, Algerian state news agency APS said.

 

Algeria's minister for postal services, IT and communications, Boudjemaa Haichour, received a team from the UAE company on Saturday.

 

The team "expressed their willingness to participate concretely on the occasion of the opening of capital of Algerie Telecom", APS cited the ministry as saying in a statement.

 

Observers said other firms including France Telecom and Deutsche Telekom are likely to bid for a stake of around 35 per cent in the Algerian operator, expected by analysts to raise around $3.5 billion.

 

No date has been set for the sale, which is part of efforts by Algeria to end decades of economic isolation, but officials say it should take place before the end of this year.

 

Algerie Telecom has an estimated half a million fixed-line clients and over 4 million mobile subscribers.

 

NMTC reaches 1 million customers in Algeria (August 21, 2005)

 

KUWAIT (Reuters) - Kuwait's National Mobile Telecommunications Co has reached 1 million subscribers in Algeria, a few months ahead of its original target date, a top executive said in remarks published on Sunday.

 

NMTC's Algeria manager, Rene Patoine, was quoted by Kuwait state news agency KUNA as saying in Algiers that the company had reached its milestone about 10 months after it launched operations in the North African Arab nation.

 

In March, Patoine said that the company's goal was to reach 1 million subscribers at the end of 2005.

 

Patoine, whose remarks were carried by local Kuwaiti newspapers on Sunday, also said NMTC would invest $1 billion by year-end to upgrade its services in Algeria.

 

Algeria offers growth potential given the low penetration of fixed-line and mobile phone service in a country with relative wealth and a population of 33 million.

 

Egypt's Orascom Telecom is Algeria's leading operator with more than 5 million customers, and Algerian state-owned Mobilis earlier this month said the number of its subscribers surpassed 2.8 million.

 

NMTC's number of users has risen by 300,000 in the past two months from about 700,000 in June, Patoine said.

 

He said the company, which operates under the trade name Nedjma, currently offers service in 24 districts, effectively covering half the country.

 

Also known as Wataniya Telecom, NMTC has over 3.5 million subscribers across the Middle East and North Africa and soon plans to launch service in the Maldives.

 

Its shares fell 20 fils, or 0.88 percent, to 2.240 dinars on Sunday, bucking the rise of the Kuwait Stock Exchange main index of over 140 stocks, which finished up 0.42 percent at a new closing high of 9,443.40.

 

LogicaCMG to provide Next Generation Messaging solution to Wataniya Algeria (From menareport.com, September 23, 2004)

 

- LogicaCMG has announced it has been selected to provide a Next Generation Messaging solution to Wataniya Algeria. Wataniya has secured one of three GSM network licenses awarded in Algeria.

Wataniya Algeria is deploying the Next Generation Messaging architecture that provides network operators with a cost-effective solution in every phase of market development whilst preparing networks to accommodate future service demands. LogicaCMG’s Next Generation SMSC will support the launch of its range of value-added SMS and content delivery services targeting both consumer and corporate users.

The ability to provide these advanced messaging capabilities will unlock new SMS market opportunities for Wataniya in Algeria, increasing potential revenue generation and enabling it to speed the return on investment for the region. Wataniya Algeria and Siemens Mobile Networks selected LogicaCMG for its proven experience in mobile messaging.

Mr. Joseph Ged, Chief Technical Officer at Wataniya Telecom, said: “The market for mobile services is growing at an astonishing rate in Algeria, creating exciting new opportunities for us as a major provider of SMS and other value-added mobile services. Our strategy to invest in new markets such as this has led to us operating GSM networks in several high-growth territories, including Kuwait and Iraq where we are also working with LogicaCMG. We are pleased to continue developing this business relationship in the confidence that we are building a solid platform for our mobile services.”

Dr. Bhanu Sud, LogicaCMG’s director and general manager for the wireless business in the Middle East and North Africa, said: “This project with Wataniya enables us to secure a firm footing in the Algerian market and we see this agreement as a precursor to similar deals in the region. The African continent is one of the fastest growing mobile markets in the world, with mobile phone usage rocketing in many countries. LogicaCMG’s technology, in partnership with Siemens Mobile Networks, will enable Wataniya Algeria to deliver services that meet the growing demands of the region’s users.”

 

Wataniya Telecom Algerie launches new national GSM network (From ameinfo.com, August 28, 2004)

 

- Wataniya Telecom Algerie has launched Nedjma, the country's new national GSM network, equipped with advanced capabilities including national-class network support for high speed mobile Internet access based on the EDGE technology.

 

Wataniya Telecom Algerie is the first operator in North Africa to announce the deployment of the EDGE technology. The network also supports advanced content services and multimedia services.

'We have built a world-class network in Algeria that will open access to a wide range of new ways for people to work and play, supporting the development of Algeria's business community and helping to build its national technical capabilities,' said Faysal Al Ayyar, Chairman of Wataniya Telecom.

Since being awarded the license on December 2nd 2003, Wataniya Telecom Algerie has focused on developing a world- class network. The capacity to effectively develop operations is based upon experience in providing relevant mobile services, the speed with which an operator can roll out its coverage and the competitive pricing of its services.

Al Ayyar continued : « None of this would be possible - here in Algeria - without the dedication and commitment of more than 700 employees - most of them Algerians - who have been working diligently in their respective areas of this operation for the days, weeks and months leading up to this occasion. It's because of this tireless commitment, that today we are poised to offer Algerians a wide array of services at launch. In addition to providing essential mobile telephony services through our shops in Algiers, Constantine, and Oran, our state-of-the-art, feature-rich network is equipped to offer services such as GPRS, EDGE, MMS, WAP and Roaming. »

As Nedjma continues the deployment and move toward full network optimization throughout the country, these products and services will become available through more extensive distribution channels.

Wataniya Telecom today serves over 1.5 million customers through its networks across the Middle East and North Africa, in Kuwait, Iraq and Tunisia, and now Algeria. And by the end of 2005, Nedjma is expected to cover 48 states in Algeria. « With an initial investment of US$421 million, we are committed to offering the best GSM services in Algeria, and to becoming the network of choice for the Algerian people, » Al Ayyar ended.

 

Wataniya, GIC announce joint venture in Algeria (From The Daily Start, May 20, 2004)

 

- Wataniya Telecom Kuwait (Wataniya) and Gulf Investment Corporation (GIC) agreed to co-invest in the mobile telecommunication operations currently being set up by Wataniya in Algeria.

The agreement is subject to the approval of the Algerian authorities and provides for GIC to take an initial 20 percent stake in Wataniya Telecom Algerie (WTA), the local company incorporated by Wataniya in Algeria. WTA is capitalized at about $210 million. GIC will invest through a Bahrain-based subsidiary specializing in telecommunication investments.

Wataniya recently won a 15-year license to operate a GSM network in Algeria in competition with seven international operators from Europe, the Middle East and North Africa, and South Africa. WTA expects to launch its mobile service in Algiers, Oran and Constantine before the end of 2004 and has already signed contracts with two European GSM network technology and infrastructure providers.

Wataniya, which is one of two GSM operators in Kuwait, has extensive regional operations including networks in Iraq and Tunisia.

 

First Algerian mobile phone launched (From menareport.com, May 18, 2004)

 

- The first Algerian mobile, produced by National Telecommunications Company SITEL, has been put on sale on the national market for DA9,000, SITEL General Manager Amine Baghli announced Monday.

"The creation of the GM 882 mobile, in partnership with an Italian supplier, goes back to end 2003," he said, adding that "GM 882 price is very challenging."

Speaking to national radio channel III, on the occasion of the World Telecom Day marked Monday, Algerie Telecom CEO, Messaoud Chettih put forward the progress made by his company.

Algerie Telecom, and in an attempt to make up for lost time, plans to satisfy its customers' growing demand (900,000 demand for land lines) by using advanced technologies, more particularly in 44 provinces and more than 2,000 localities, he noted.

"Algerie Telecom, which subscribers do not exceed 600,000, has fulfiled its promise to launch 500,000 new mobile phone lines under the prepaid form," Chettih conveyed.

"The company invested €200 million to expand its GSM network, launched on 20th January 2004," he said.

 

Algeria gives final approval for Kuwait's Al Wataniya GSM bid (January 19, 2004)

 

(MENAFN) - The Algerian government has given final approval for Kuwaiti National Mobiles Telecommunications Co. (NMTC) to operate the country's third cellular phone license, Reuters reported.

NMTC, also known as Al Wataniya, was declared provisional winner last month when it placed the highest bid of $421 million. The other bidders were Spain's Telefonica Moviles and South Africa's MTN.

Egyptian telecom operator Orascom Telecom paid $737 million in 2002 for Algeria's second mobile phone license.

 

Orascom Telecom Algeria completes license payment, secures 545 mln debt and equity financing (December 31, 2003)

 

(MENAFN) - Orascom Telecom Holding S.A.E. (OTH) announces the closing of 545 million in debt and equity financing by its mobile services subsidiary in Algeria, Orascom Telecom Algeria s.p.a (OTA). A portion of the proceeds was applied to the $368.5 million final payment for the GSM license awarded in July 2001. The 435 million in debt facilities, the $104 million in new equity and 26 million in convertible shareholder loan completes the permanent capital structure of OTA. Beyond the payment of the GSM license, the financing will fully fund the expansion of OTAs network until end of 2004.

The debt financing arranged by Credit Lyonnais s.a. (France) and West LB AG (Germany) represents a landmark in international structured financings for Algeria. The six year tenor facilities include two export credit tranches of 282 million covered by COFACE and HERMES, a structured financing tranche of 135.8 million, and a mezzanine tranche of 17.5 million. In addition to the arrangers, the financing includes facilities from Proparco (France), CDC Capital Partners (UK), DEG - Deutsche Investitions und Entwicklungsgesellschaft mbH (Germany), and represents the first infrastructure financing in Algeria by these institutions. Citibank N.A. Algeria acted as a local advisor and agent.

The equity funding is comprised of a capital increase of US$104.0 million and 26.0 million in a convertible shareholder loan. Pro forma for the conversion of the shareholder loans, OTH will hold a total direct and indirect 60.7 percent controlling ownership stake in OTA. The equity transaction includes the largest ever foreign direct investment by a US backed investor in Algeria outside the oil and gas sector.

Orascom Telecom Algeria, operating under the brand name DJEZZY, is one of the most successful operations of its kind, and is a major contributor to OTHs scale, growth and mobile telecommunications leadership in the region. OTA commenced commercial operations under its brand in February 2002 and is already Algerias leading telecommunications services provider. The company has already more than 1.2 million subscribers representing over 88 percent of the countrys mobile market and a network coverage area serving over 70 percent of Algerias roughly 31.8 million inhabitants.

OTA has been EBITDA positive every quarter since its commercial launch. In the period ending on September 30th, 2003, OTA contributed 15.7 percent, 28.8 percent and 31.2 percent of OTH total subscribers, consolidated revenue and consolidated EBITDA respectively.

The transaction underscores OTHs commitment to enhance its services, to extend its high quality network, and to continue to drive the rapid development of the mobile markets in Algeria and the Middle East North Africa Region.

 

Algerian mobile incumbent upstaged (From itp.net, April 22, 2003)

 

- New figures have shown that the new entrant into the Algerian mobile market, Orascom Telecom, overtook the government-owned GSM operator Algérie Télécom after only ten months in business.

The Egypt-based firm, which launched its Algerian operation in February 2002, had gained 70% of the GSM market by the end of the year, according to a new report entitled ‘Algeria Communications Projections 2003’ by the Arab Advisors Group.

The figures give a welcome boost to Orascom, which sold off its stake in Jordanian operator Fastlink in January to ease its debt position and focus on its “core operations” in Egypt, Pakistan, Algeria and Tunisia.

The company further strengthened its position in Algeria at the beginning of April after winning one of two VSAT (Very Small Aperture Terminal) licences, the other going to Asatnet.

According to Arab Advisors’ analyst Serene Zawaydeh, Orascom’s entrance into the market lifted Algeria’s GSM penetration rate at the end of 2002 to nearly 400% of its 2001 levels.

Around 330,000 new subscribers were added during the year, more than 14 times the rate of growth during 2001 when Algérie Télécom’s monopoly was still in place. The government-owned firm is now planning to undertake major new projects to remain in the competitive game, according to Zawaydeh.

Further growth is expected with the introduction of a third mobile license at the start of next year. Equipment vendor Ericsson has also recently struck a deal to supply at least 500,000 GSM lines in the country by August.

The figures are seen as evidence that Algeria is experiencing the growing phenomenon of ‘fixed to mobile substitution’. The fixed line network in Algeria retained its low penetration rate during 2002, ending the year with 6.18%, according to the report.

“The PSTN (public switched telephony network) service… has been the highest revenue generating service for Algérie Télécom, and constituted 73.81% of the total telecommunication revenues in 2001. This trend is set to change,” Zawaydeh says.

“(We) project the number of mobile subscribers to exceed 10 million in 2007, almost double the number of the PSTN subscribers that year. Revenues from mobile operations are expected to reach US$ 2.376 billion in 2007, while the PSTN revenues are expected to grow to US$ 577.500 million in the same year,” she adds.

The government is also now set to accelerate its liberalization process, which began with the introduction of the Algerian telecommunication law of August 2000 and the creation of a regulatory authority. Licenses for a fixed services operator in rural areas and an international and national long distance operator are also due to be introduced next year.

 

Ericsson wins GSM expansion contract in Algeria (From menareport.com, February 17, 2003)

 

- Algerie Telecom (AT) has selected Sweden’s Ericsson to install its second GSM network. The $162.3 million contract will establish 700,000 lines, providing services to 12 of Algeria’s 48 provinces. The deal has a target date of completion set for August 2003.

Ericsson beat competition from Siemens, Huawei Technologies, Zhongxing Technologies, Alcatel and the Motorola in the GSM tender launched in September 2002.

Egyptian Orascom Telecom (OT) owns Algeria's second mobile phone network after winning a license last year at the cost of $737 million. The state-owned Post and Telecommunications monopoly currently runs the country's first GSM network. OT said it would invest $200 million in its Algerian operations by 2003 and expected the North African country's mobile phone market to grow to eight million users within the next five years.

 

 

France Telecom links Algeria to Spain (from menareport.com, August 11, 2002)

 

- France Telecom has launched a new underwater telecommunications cable linking Algiers, Algeria to Spain’s Palma de Majorca Island. The cost of the installation is valued at €16.6 million, with €4.1 million ($3.9 million) financed by France Telecom, reported North Africa Journal .

The cable secures voice and data links between Europe and North Africa. The 312-kilometer line has a peak capacity of 160 gigabits per second using Dense Wave Division Multiplexing (DWDM) technology.

France Telecom is also active in the North African state’s Internet services. The company’s Internet subsidiary launched a new portal, Wanadoo Algeria providing Internet users with access to a range of communications tools. The provider will offer its customers the opportunity to purchase a prepaid card giving immediate access to the Internet.

 

Four firms bid for Algeria network expansion (January 3, 2002)

 

ALGIERS (Reuters) - Four foreign major telecom equipment firms have bid for the expansion of Algeria's mobile telephone network, Telecommunications Ministry officials said on Thursday.

 

They named the bidders as French telecom equipment maker Alcatel, wireless technology giant Motorola Inc., Swedish telecom manufacturer Ericsson and Germany's Siemens.

 

The officials said the ministry, which launched the expansion tender last year, was expected to award the contract later this month. The winner would have to provide the infrastructure to expand the mobile phone network run by state-owned operator Algerie-Telecom, which intends to increase the number of users to 500,000 from 100,000 currently.

Egyptian Orascom Telecom (OT) owns Algeria's second mobile phone network after winning a license last year at the cost of $737 million and with a planned a capacity of 500,000 lines later this year.

Algerian mobile network ahead of schedule (from the itp.net, September 28, 2001) 

- Orascom Telecom has announced it will begin operating Algeria’s second mobile phone network in January, two months ahead of schedule.

The firm won the license in July with a $737 million bid, but it previously said it would not begin operating until March 2002.

The network will have capacity for 500 000 mobile phone users, according to Orascom’s chief commercial officer, Michael Herbert.

The firm has awarded France's Alcatel and German's Siemens contracts totaling $533 million to deliver and install its GSM network in Algeria.

Algerie Telecom, the state operator of the first phone network has less than 100,000 subscribers.

Orascom said it would invest $200 million in its Algerian operations by 2003 and expected the North African country's mobile phone market to grow to eight million users within the next five years.

Hebert said Orascom had already paid half of the fee for the license to the Algerian government. The rest would be paid by November 2003 as it has been previously agreed.

Alcatel wins Algerian contract (from the itp.net, August 24, 2001) 

Orascom has handed the multi-million contract to construct Algeria’s third mobile telephone network to French telecom specialists Alcatel.

The deal, worth over $380 million, will see Alcatel delivering a “significant portion” of the new GSM network which Orascom won the right to build and operate in July this year. It forms is the first execution of the Global Frame agreement signed by the two companies which will see them working together on installing and upgrading mobile systems throughout the region.

“Entering Algeria represents for us a significant breakthrough in our deployment in Africa and the Middle East, further enhancing our portfolio of assets and our leadership position in this area,” said Naguib Sawiris, chairman of the board at Orascom.

“By placing out trust in Alcatel, who played a key role in our success in winning this license, Orascom Telecom confirms its commitment to providing out international customers with leading-edge solutions.”

The first phase of the Algerian installation will take place next month, and will eventually form the highest-capacity network in the country. Up to three million subscribers will be able to use the system when complete.

Cairo-based Orascom won the license with a bid of $737 million, promising to deliver services by February 2002. Sawiris has been quoted as saying he expects to recruit 10 million subscribers by 2015, with $700 million being invested in the network over the next five years.

“We believe this cutting-edge network will empower Algerian consumers to embrace a whole new way of life and to truly become the mobile generation,” said Alcatel’s president of mobile networks, Michael Rahier. “Taking this step into Algeria is a major achievement for Alcatel since it is among the last major countries in Africa to grant a GSM license to a private operator.”

Algeria shortlists four for GSM license tender (May 29, 2001)

ALGIERS (Reuters) - Algeria has short listed four bidders for its first private GSM mobile phone license, to be awarded before July 23, the country's telecom watchdog ARPT said on Tuesday.

The four are France Telecom's unit Orange, Spanish telecom firm Telefonica, Portugal Telecom and Cairo-based mobile phone operator Orascom Telecom.

Algeria opened a tender for the first private GSM mobile license on May 10. The state-owned post and telecommunications monopoly currently runs the country's only GSM network, which has an estimated 100,000 subscribers.

The country plans a second private license in December 2003 as part of efforts to open the sector to competition.

Government officials say the mobile telephone business is set for a boom, forecasting that the number of subscribers will soar to 5.4 million within the next three years.

The government has set parameters for the tender, including requirements that bidders should have at least 1.5 million phone subscribers, capital of $3.0 billion and must offer the highest price for the license.

It said the winner would have to pay for the license in two installments, with the second disbursement set for December 31, 2003.

The license has duration of 15 years and could be renewed one or more times for five years and its owner will enjoy a 30-month-period of exclusive rights.

The owner of the private license and the Algerian PTT that holds the current GSM license will be shielded from competition until December 2003.

 

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