Deals of the day in region’s telecom sector
Here is why telecommunication companies in the GCC states are in the news today.
Zain Saudi to provide all telecommunication services
Saudi Arabia’s telecom regulator has issued Mobile Telecommunications Company Saudi Arabia (Zain) a “unified licence” to provide all telecommunication services in the country, the firm said on Tuesday.
The Communications and Information Technology Commission (CITC) acted on its decision announced in November last year to allow the company provide land line and Internet services in addition to mobile services.
On path to 5G
In another development during the day, multinational Nokia said in partnership with Zain it conducted a successful trial of advanced 4.5G features including uplink carrier aggregation, 4X4 MIMO, downlink 256 QAM as well as uplink 64 QAM, achieving higher throughput.
The trial, which took place in Jeddah, will help Zain Saudi to improve the mobile broadband experience for its subscribers, and evolve toward the next generation technologies of 4.5G Pro, 4.9G and eventually 5G, the Finnish company said.
Ooredoo Kuwait swings to profit in Q4
Mobile communications operator Ooredoo Kuwait swung to a fourth-quarter net profit on Tuesday.
It reported a net profit of KWD14.47 million ($47.4 million) in the three months to Decemebr 31. This compares with a net loss of KWD1.4m in the year-earlier period.
Full-year profit was KWD46.67m, up from KWD26.7m in 2015.
Etisalat royalty fees
Abu Dhabi-listed Etisalat will pay the federal government a royalty fee of 30 per cent on the company’s profit for 2017-2021.
A royalty rate on Etisalat’s revenues of 15 per cent will only be based on domestic products and services, while revenues from international operations will be exempted from royalty fees, according to a bourse statement on Tuesday.
Rival du is yet to be given guidance by the government. Last year, du’s royalty payment increased to AED2.11bn compared to AED1.92bn in the previous year.
(With inputs from Reuters. Figures in this story may include those Reuters calculated from financial statements in the absence of a quarterly breakdown)