The CMC was established in 2004 to regulate government policy on communications but continues to rely on pre-2003 legislation. A new law is still waiting parliamentary approval.
The ITPC, established in 1919, has control over the fiber optic network, and works as a government entity and operator.
It has entered into partnerships with private firms to help develop infrastructure, but companies complain about its monopoly over fiber and say prices are exorbitant. The ITPC says it needs the capital to pay the wages of its 22,000 workers.
"Here in Iraq, for each megabyte, we pay $700 and this is only for local circuits, not international. But we have no other choice," said Munaf Sabeeh, chief executive of fiber optic network operator Scopesky, which signed a 3-year renewable contract with ITPC for fiber in 2009.
By comparison, the cost of a megabyte in Europe or the United States is around $50-$80, the ITPC says.
CMC Commissioner Ahmed Alomary said part of the reason 3G and 4G had not been introduced into Iraq's market was because operators did not have a strong fiber backbone.
Iraq's three mobile phone operators, AsiaCell, Zain and Korek, who in 2007 each secured $1.25 billion licenses to operate in Iraq, use microwave links instead of fiber and have been criticized for their patchy coverage.
Zain has blamed reception problems on military jamming.
By comparison, Iraq's semi-autonomous northern Kurdish zone is easier and more cost-effective to operate in, Zain and AsiaCell say, because it has steady electricity, a good fiber network infrastructure and is safer than the rest of Iraq.
(Source: Reuters)
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