Asiacell – the first and largest private Iraqi telecommunications company and the first mobile telecom company to provide coverage for all of Iraq – today announced rolling out mobile voice, broadband and SMS services across remote communities in Iraq using the Altobridge lite-site™ solution.

A satellite-backhauled, solar-powered, 2G/3G solution, the Altobridge lite-site™ enables mobile network operators to bring mobile connectivity to remote communities. Currently, the solution is being deployed in previously unconnected communities in Sulaimaniya in Northern Iraq.

“For over a decade, Asiacell has been pioneering the provision of products and services that enhance the quality of life and business for Iraqis. Telecommunications is the backbone of any progressive economy and is a key driver of socioeconomic growth, which is why we have made it our mission to ensure that telecom services are available to all Iraqis regardless of their location. Asiacell is the first telecom company to provide coverage for all 18 provinces, and to supply mobile voice, broadband and SMS services to remote communities that are not traditionally associated with revenue generating potential,” said Dr. Diar Ahmed, Asiacell CEO.

Dr. Ahmed went on to explain that the Altobridge lite-site™ is a cost-effective, energy-efficient solution that optimizes capital budgets while minimizing backhaul, making it an ideal choice for Asiacell’s plans towards efficiently expanding its nationwide coverage. “We are confident that by partnering with Altobridge, who are international mobile network solution leaders, we will enhance our ability to service the Iraqi community,” he said.

In turn, Mike Fitzgerald, Chief Executive Officer at Altobridge, said, “Mobile Network Operators are coming under increasing pressure to maximize their use of limited capital budgets. The Altobridge lite-site™ reduces capital expenditure and minimizes operational costs while providing superior coverage to targeted subscriber groups. Our solution is optimized for solar power, thereby removing the high cost barriers of diesel generators. Coupling this with industry leading transmission efficiency, Altobridge underwrites a return on investment from non-urban base station deployments. We are privileged to have been selected as a supplier to Asiacell and look forward to working together to drive prosperity throughout Iraq.”

The Iraqi Communications Ministry announced on Tuesday that it will launch the fourth round of licensing for mobile phone companies next week.

According to the report from AKnews, the licences will be granted next week but any agreements will have to be confirmed by the cabinet.

A statement from Communications Minister, Mohammed Allawi, said that the ministry will only grant licences to companies that will actually offer better services for customers and improve the technological infrasctructure.

There have been issues surrounding the licensing round due to clashes between the Communications and Media Commissio, an independent body established in June 2004, and the ministry. An unclear delineation of the legal powers of the two bodies has led to confusion and conflict.

(Source: AKnews)

The parliamentary hearing of an investigation into five million unlicensed mobile phone lines distributed by Iraqi telecom giant Zain Iraq has been postponed because of “political pressure”, alleged Ihsan al-Awwadi of the parliamentary communications and information commission.

Scheduled to be held on Monday, the hearing to confirm the allegations against Zain has been delayed until next week, according to AKnews.

If found guilty of the distribution of unlicensed lines – seen as a serious security risk in a country still rife with insurgency – Zain will have to pay a $262 million fine.

Mr al-Awwadi told AKnews that “Pressures from some political parties have caused the postponement of the reading of the report about the unlicensed lines.”

Zain, along with Korek and Asiacell are the three telecom companies currently licensed to operate in Iraq.

(Source: AKnews)

Iraqi operators Asiacell, Korek Telecom and Zain are facing a mandatory deadline for an initial public offering of stock, with reports stating that the companies have to sell-off a 25 percent holding on the local stock exchange within four years of acquiring their licences, according to Mobile Business Briefing.

This means that the companies must move toward a listing by the end of August 2011. According to Reuters, Asiacell, a Qtel affiliate, has expressed concerns about the timings, stating that it is worried that low liquidity on the bourse could stop it from raising enough cash. It notes that “the timing of an IPO may depend on clarifications on how to implement the requirements of the license, the stock market rules and Iraqi company law.”

Dow Jones Newswires said that an executive at Korek Telecom has stated that the company will “commit to the licence condition” that a stake has to be offered on the local market, and that its plans are “ready and maturing.”

As we reported last week, Zain is working towards a listing and says it will meet its commitments under the licence agreement. In addition to Reuters stating that the Iraq Stock Exchange has a market capitalisation of less than US$4 billion, with daily turnover averaging just US$1.6 million during May 2011, an unnamed analyst told Dow Jones that three telco IPOs in three months is “ambitious and aggressive.” The timings also mean the listings will coincide with summer and Ramadan, which may affect progress.

(Source: Mobile Business Briefing)

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Kalimat, being a strong presence and a leader in Iraq in the 3 G and 4 G spectrum, is unveiling state‐of‐the‐art and novel services in the Iraqi market, which many more advanced countries are yet to launch.

These services will enable Kalimat’s Iraqi subscribers, to do a lot more than just make calls or use the internet with Kalimat. The services include: money transfer (K‐money); an online store (K‐store); an online Iraqi social networking club (K‐Club); and data storage services (K‐Cloud).

K‐Club is a social networking club inside Kalimat where the members can share thoughts, photos, videos and where they can blog. It will be targeted specifically to local Iraqis, and will be a single stop for all search engines and products of Kalimat. Kalimat Club will also bring to the forefront news, media and activities in Iraq while letting its subscribers know what is new and what is best in Iraq. It will provide news and entertainment channels for its subscribers with all service support provided within the K‐Club site.

K‐Store is a virtual mall in Iraq, providing access to many products available worldwide. K‐Store is the Mall or Cyber‐shopping complex in Iraq. The dealers and suppliers will have a portal on the K‐store to showcase their products and Kalimat Subscribers can buy the products using Kalimat Prepaid cards by paying into the portal, and choosing an outlet from the drop‐down menu the outlet to be delivered with a small delivery charge.

This facility will help Kalimat subscribers shop online without a Credit or Debit card, in a country where their are no credit cards or debit cards available; and will encourage Iraqi’s to buy within Iraq and thus lifting the Iraq economy.

K‐ Money is your virtual money, providing flexibility to transfer, make payments and to make purchases with the utmost security. K‐money is redeemable at any bank or Kalimat authorized outlet in Iraq. The list of outlets is provided from the Kalimat helpdesk or by SMS. K‐money facilitates money transfer between subscribers and can also be exchanged at approved automatic terminals for cash. This facilitates payment settlement between Kalimat subscribers for a variety of services. For example, if a Kalimat subscriber takes a taxi and if the taxi driver is a Kalimat Subscriber the payment can be made by K‐money. The taxi driver can then pay for groceries or fuel the same way, and the fuel station or grocery store can visit the bank or any Kalimat‐authorized outlet to exchange the K‐money for cash.

K‐cloud from Kalimat is an ultimate data storage solution for Kalimat subscribers. K‐Cloud can be used for a variety of tasks, from simple backing‐up of your phone contact list and data, to the huge security data storage and backup requirements for the emerging corporate environment of Iraq. All of this with the speed of an intranet, and with a highly secured data encryption. This service facilitates eluding of data storage systems in the corporate premises, and companies and individuals can now depend on the responsible, secure and safer K‐Cloud.

Mr. Wilson Varghese, CEO of Kalimat said “With this array of Value Added Services, Kalimat will be the operator of choice in Iraq, by providing full 3G and 4G services and also recognizing and responding to our Subscriber needs.”

Please click here to download this article in Arabic.

Zain‘s Iraq subsidiary is preparing for an initial public offering (IPO) on the Iraq Stock Exchange that will raise an estimated $80 million [96 billion Iraqi dinars] for a 20% stake, the Kuwait Arabic daily al-Qabas reports.

As a condition of its operating licence, the company is required to list its shares on the Iraqi stock exchange within four years of receiving the license. Under that condition, the listing will have to take place by August.

“We are working on this process. The process for the listing is long. We hope that we can meet the deadline,” Emad Makiya, CEO of Zain Iraq, told Reuters. “This is a part of the licence requirement and we’re going to fulfil it.”

“Officials in Iraq will be informed about Zain’s readiness and (the firm will) enquire whether or not the current time is appropriate for the economy,” said Kuwait Arabic daily al-Qabas.

Zain Iraq recently raised US$400 million in a 7-year debt facility to help fund its network expansion in the country.

Zain Iraq provides a multitude of mobile voice and data services to 12 million customers, representing over 50 percent of the country’s mobile phone market.

(Sources: Reuters, al-Qabas)

Kuwait’s Zain is considering several tender offers to manage its telecoms network in Iraq and will likely award the contract in the next few weeks, a company spokesman has said.

According to Reuters, Zain refused to name bidders for the managed service agreement, but said there were at least three, with international players such as Nokia Siemens Networks, Huawei Technologies and Ericsson likely candidates.

As a specialist, the winner will be better able to improve network quality, the spokesman said, while Zain can focus on marketing, sales and improving customer service.

The Iraqi government has criticised Zain and other providers for patchy coverage, but Zain blames reception problems on military jamming as security forces try to prevent militants from detonating bombs. In some areas, Zain also relies on generators to power its infrastructure.

Zain’s 12 million subscribers in Iraq make it the market leader, but it faces stiffening competition from AsiaCell, part-owned by Qatar Telecom (Qtel), and Iraqi Kurdistan-based Korek Telecom.

(Source: Kipp Report)

According to a report from Reuters, Iraqi telecom operator Kalimat plans to invest $250 million in 2011, and to launch an initial public offering (IPO) next year.

The company’s chief executive, Wilson Varghese, said the planned IPO should help the company to expand as it eyes a nationwide rollout of services by the end of this year.

“The main growth driver for us will be the roll-out across the country and (the provision of) … value added services that will increase our subscriber base,” he told Reuters on the sidelines of a telecoms conference in Abu Dhabi.

Kalimat, majority owned by Kuwait’s royal family and which operates in six major Iraqi cities, plans to provide mobile, fixed and data services throughout the country by November this year. Its current subscriber base of 300,000 would more than triple by the end of 2011, Varghese said.

As it expands coverage, Kalimat expects subscribers to grow to 3 million by the end of 2012, he said. Penetration rates in 3G are around 24 percent with more potential to tap, he said.

Iraq, with a population of 29 million, has three licensed players in the 3G and 4G market where Kalimat operates. There are three 2G operators.

Kalimat plans to go public before end of 2012, having delayed an IPO which had been scheduled for this year. “It is part of our exit strategy,” he said, but declined to give more details on the planned offering.

Although stability has been restored in Iraq, telecom operators continue to face challenges. “It is primarily from the political side, because Iraq does not understand the private sector running this industry. It is hard for us to gain recognition,” he said.

(Source: Reuters)