ITC (CDMA UA) shutting, customers transferring to Intertelecom

15 Nov 2012

Ukrainian CDMA mobile operator International Telecommunication Company (ITC), operating under the ‘CDMA UA’ banner, is preparing to shut down its mobile operations and transfer its customers to rival Intertelecom (IT CDMA). An application has been lodged with the National Commission for Communications and Information Regulation (NCCIR) for revocation of ITC’s CDMA operating licence, reports proIT. Shareholder in ITC, Lutsk-based businessman Igor Yeremeyev, who heads the Continuum group, has reportedly decided to exit the mobile business based on commercial factors including the fact that ITC was trailing its CDMA rivals – with less than 380,000 mobile subscribers at end-September 2012 – while its wireless spectrum allocation requires more base stations to be installed nationwide compared to competitors. In contrast Intertelecom recently announced reaching one million – largely mobile – customers, and also received a newly optimised nationwide spectrum allocation via a regulator-endorsed frequency trade, CommsUpdate reported. ITC recently formed a partnership on joint selling of services nationwide with Intertelecom, in an arrangement also covering shared customer call centre services, paving the way for offloading its subscriber base to the larger CDMA provider. Furthermore, last week a meeting of the NCCIR approved a transfer of telephone numbers from ITC to Intertelecom, while a sales and marketing representative said that since September, a phased transfer of subscribers from ITC to Intertelecom has been taking place; existing ITC tariffs are continuing for the time being. TeleGeography’s GlobalComms Database notes that ITC (CDMA UA) is incorporated in Cyprus and was founded in 1996 as a US-Ukraine joint venture but is today 100% Ukrainian owned. Its shareholders include affiliates of Privat Group, which is the parent of larger CDMA mobile operator PEOPLEnet. In October 2008 CDMA fixed-wireless operator Velton Telecom became a consolidated subsidiary of ITC.