Mobile Operators Face off New Virtual License

It seems that mobile operators in Egypt are preparing for a fierce round of pressures to stand against the New Mobile Virtual Network Operator (MVNO) license, which will be offered by the end of coming August.

Informed sources said mobile operators are preparing a memorandum to be offered to the coming Minister of Communications and Information Technology, who will be appointed after announcing the new government this Thursday. The note will explain the infeasibility of issuing a new Mobile Virtual Network Operator due to the state of saturation that Egyptian market witnesses at the current stage.

Sources added that companies will present proposals to the new minister to provide better investment opportunities for Telecom Egypt, which was one the first of companies applying for the new license, by increasing its investments in the infrastructure and renting call centers to mobile operators.

They also emphasized in the memorandum that the probability of license’s success in Egypt is very weak, taking the example of other countries where issuing the new virtual license incurred losses such as Tunisia.

Virtual mobile networks exist in the Middle East and North Africa in Oman, Jordon, Saudi Arabia and Tunisia, while hundreds of virtual operators are located in many countries in Europe and the Americas.