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Thu, May 25, 2006 : Last updated 21:03 pm (Thai local time)



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Home > Business > CAT mobile service launch faces delay





CAT mobile service launch faces delay

CAT Telecom Plc might have to delay the official debut of its mobile-phone service in 51 provinces until next year, pending the readiness of a marketing plan and a billing system and availability of handsets.

A CAT board member, Kraisorn Pornsutee, said yesterday that the state agency might have to wait until its supplier, China's Huawei Technologies, finishes installing an additional 800 base stations for the Code Division Multiple Access (CDMA) 2000 1-x network in the 51 provinces before it makes a move.

Huawei finished installing the first 800 base stations in January and is expected to finish the remaining 800 in January next year.

Kraisorn said CAT had yet to come up with a marketing plan, a billing system, and handsets for the service.

Under its existing plan, CAT is due to launch before the end of June using the first 800 base stations.

The agency's management declined to comment yesterday on the possible delay of the official launch, and a source in the agency said it was working on a marketing plan, but added that the board seemed to have no interest in it.

CDMA 2000 1-x cellular technology, which enables high-speed wireless data transmission between compatible devices, is the global rival of the predominant GSM cellular technology. The state agency hopes the service will create a new revenue stream alongside its overseas call service.

Earlier a source on the CAT board said the board had begun courting foreign firms to market the service in 51 provinces. The original plan was for CAT to do so itself.

The board source said a committee had been set up to invite foreign firms to make proposals for marketing the service, in the belief that CAT is inexperienced in marketing telecom services, especially in a highly competitive market.

So far about four companies from the United States, South Korea, Japan and China - along with Hong Kong telecoms giant Hutchison Telecom - have submitted CDMA marketing proposals.

Hutchison Telecom is the majority partner in Hutchison-CAT, while CAT holds the remainder.

Hutchison-CAT has been marketing a CDMA service in 25 provinces after leasing the network from BFKT, which is part of Hutchison Telecom.

CAT is talking with Hutchison Telecom about a joint operation to provide a nationwide cellular service using two separate CDMA networks - one in 25 provinces operated by Hutchison-CAT, the other in 51 provinces owned by CAT.

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