SA's second mobile operator MTN has lost out to Norway's Telenor and Qatar's Ooredoo in its bid for a telecommunications licence in the South East Asian country of Myanmar.
Myanmar's Telecommunications Operator Tender Evaluation and Selection Committee (TOTSC) announced the successful bidders today, about two and a half months after shortlisting the final 12.
TOTSC says a consortium - consisting of French operator Orange and Marubeni Corporation - was named as the back-up applicant, in the event one of the two successful applicants does not fulfil the committee's post-selection requirements.
The requirements include accepting the licences in accordance with the country's new Telecommunications Law, which brings foreign companies into the sector for the first time and is still making its way through parliament.
According to Reuters, this means Telenor and Ooredoo will roll out networks in a country that analysts say has the lowest mobile phone usage in the world, with only 4% to 9% of its 60 million people connected.
The 15-year licences are expected to be finalised by September, and the operators will need to launch services within nine months. They will have to provide voice services across three-quarters of the country within five years and data services across half of it.
Charm offensive fail
The news comes after MTN launched a charm offensive in Myanmar last month, in an effort to win the country over into its fold. MTN is Africa's largest mobile operator, with networks in 22 of the continent's countries.
MTN says it is disappointed to miss out on the opportunity to operate a network in Myanmar, but has congratulated Telenor and Ooredoo on their success.
MTN notes the MTN Consortium, which included Myanmar-based Amara Communications and M1 Telecom Limited, was part of a "highly competitive" bid process involving 11 other international operators.
"In keeping with our strategy to continue exploring and evaluating suitable opportunities for further growth in developing countries, MTN still considers Myanmar an attractive market. To this end, we will review other options as they become available, and make a decision after the appropriate due consideration."
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