The Nation (9 January 2008)
The delay in new cellular frequencies and the recent rules for frequency-rights transfers have sent some cellular operators to poach the spectra of rivals.
The delay in new cellular frequencies and the recent rules for frequency-rights transfers have sent some cellular operators to poach the spectra of rivals.
The floodgates were opened last year when the National Telecommunications Commission (NTC) imposed regulations on the transfer and sharing of frequencies, citing the country's need to maximise its bandwidth use.
True Move rushed to exploit the new regulations by informing the NTC of its intent to take over the right to use some bands of CAT Telecom. True Move, with 12 million subscribers, said it needed to ease the congestion on its 1800-megahertz spectrum.
Earlier, True Move parent True Corp filed an application for a new spectrum through its Samut Prakan Media subsidiary, but the NTC declined to consider it, due to the lack of new frequencies.
One telecom industrialist said True Move's concession would expire in 2013, so it had to seek a replacement spectrum now. After that, it may transfer the new spectrum to a subsidiary licensed to offer the service.
The NTC has proposed allocating third-generation and WiMax wireless spectra this year, but it is uncertain whether it dares to do so and risk a possible legal backlash.
The Frequency Allocation Act mandates the NTC and the National Broadcasting Commission (NBC) to award telecom and broadcasting spectrum licences jointly. But in 2005, the Central Administrative Court invalidated the process of selecting 14 candidates for seven NBC seats, citing the unconstitutionality of the process. Now the country is forming a new regulator, the National Broadcasting and Telecommunications Commission, to oversee both industries.
Earlier, there was speculation that the cellular operators would want to share the 1900MHz spectrum of Thai Mobile, the joint-venture cellular operator of CAT and TOT.
But they have reportedly hesitated to ask for NTC permission, in order to avoid the issue of spectrum ownership, because CAT has yet to agree to sell its 42-per-cent stake in Thai Mobile together with its ownership of the joint spectrum to TOT.
