Service providers Catel and Azerfon to set low tariffs Communication Ministry

ICT Materials 27 June 2006 15:32 (UTC +04:00)

Catel JV started providing mobile communication services in Baku, Sumgayit, Novkhani, Nabran, Alibayramli, Trend reports quoting Rashad Nabiyev, head of Financial and economic Analysis department with the Ministry of Communication and IT.

Nabiyev said JV is providing services based on CDMA technology. Catel agree to invest the least $100mln in infrastructure till the end of the year.

Similar amount will invest the second service provider, Azerfon JV (GSM), licensed at the end of 2005. It was founded by PA Aztelekom (10%), Siemens (30%) and two British companies (60%). Nabiyev said Azerfon is starting its operation in September 2006.

These two providers, he said, are intending to offer low tariffs to enter the cellular communication and compete with todays providers, Azercell and Bakcell.

Speaking on phone code of new providers, Nabiyev said Catels code is 040 and Azerphones is suggested to be 060.

The companies have been licensed based on the decision of Board with Communication Ministry dated December 28, 2005.

The basic requirement is to cover 85% of Azerbaijans territory with mobile network in 2 years.