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Viettel Cameroon asks government to extend 3G exclusivity

Viettel Cameroon asks government to extend 3G exclusivity

Cameroon‘s third largest telecoms company Viettel has asked the president of the country to extend the company’s 3G monopoly, which has been the subject of complaints by other telecoms operators.

A concession contract signed in December 2012 gave Viettel Cameroon exclusive 3G rights, though the monopoly will expire in December 2014.

In a letter written to the Office of the President, Viettel said it had to postpone opening twice until September 2014, which is only three months before its 3G monopoly expires. The company is therefore attempting to convince the government to have the exclusivity clause remain applicable “after the start of business” instead of counting from the date the contract was signed.

If the government agrees to the company’s request, the period of 3G exclusivity will be extended until 2016. The monopoly held by Viettel had been extensively criticised by MTN and Orange, the two other networks operating in Cameroon.

The request could clash with the 15-year concession contract signed in 1999 by the Cameroonian government and Orange which will come to an end in July 2014, meaning both one of the issues to be addressed in the renegotiation would be a 3G licence.

In February of next year, the concession contract of 15 years between Cameroon and MTN, which was first established in 2000, will also have to be renewed before the actual expiration and the opening of negotiations for a new concession contract.

The Cameroonian subsidiary of the South African giant, led by its managing director Karl Toriola, has already announced it has presented the Cameroonian government with a request for a 3G licence.

Image courtesy of Shutterstock

Posted in: FeaturedTelecoms

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