Serbia awards fixed-wireless licences

20 May 2009

Serbian telecoms regulator RATEL has issued two ten-year CDMA licences designed to introduce competition for the first time to the fixed line telecoms arena. The majority state-owned wireline monopoly Telekom Srbija and local firm Media Works agreed to pay EUR540,000 (USD734,000) each for the fixed-wireless licences, after rival bidders KDS and Digi Sat declined to bid above the reserve price of EUR520,000. The two winners are required to start offering services within six months. Media Works was recently acquired by Greenhouse Telecom, which had received a EUR22.5 million loan from the European Bank for Reconstruction and Development to enter the Serbian market. Greenhouse Telecom also bought local internet provider Neobi Net and is reported to be eyeing other similar acquisitions. ‘This technology will make internet and landline telephony accessible to more people in Serbia,’ Aleksandra Stefanovic, spokesman for RATEL told Reuters. ‘We expect the tender for (the second) landline operator to be called by the end of the year,’ she said.

Serbia, Telekom Srbija (MTS)