CAT-True contract amendments get NBTC approval

18 Oct 2013

The telecom committee of Thailand’s National Broadcasting and Telecommunications Commission (NBTC) has approved the amended wholesale-resale 850MHz 3G network operating contracts between state-owned CAT Telecom and True Corp, reports The Nation. The endorsement will enable CAT to begin collecting revenue earned via the UMTS-850 partnership, under contracts which were originally signed in January 2011 but underwent amendments after state investigations found them to be illegal. CAT’s president Kittisak Sriprasert was quoted recently as saying: ‘We expect to sign the amended contracts with True next month [in November] once it goes through the normal process of being approved by the Office of the Attorney General and CAT’s board.’ The Thai Cabinet earlier this month approved CAT’s THB14.545 billion (USD463 million) budget for investment in the development of 3G network services in partnership with True Corp’s subsidiary BFKT, which leases 850MHz network capacity to CAT – in turn resold by Real Move under the True Move H banner, while CAT offers its own retail ‘My’ branded 3G service over the same network. The state-owned operator projects that it will earn net profit of THB4 billion from the partnership this year and THB7 billion next year.