Three IT firms win WiMAX licences at a cost of Tk 6.35b
Thursday, 25 September 2008
FE Report
Three companies, Bangla Lion Communications, Brac Bdmail Network Ltd and Aguri Wireless Broadband Bangladesh Ltd, have won the licences to operate WiMAX or Broadband Wireless Access in Bangladesh at a total cost of Tk. 6.35 billion.
The companies were awarded the licenses as they emerged as the first threes highest bidders in an auction organised at a city hotel Wednesday by the Bangladesh Telecommunication Regulatory Commission (BTRC).
A total of nine companies participated in the auction, which started around 11:30 am at the capital's Radisson Hotel and ended at around 2:45 pm.
The bidding, starting at Tk. 250 million, came to a conclusion when no higher offer was made by any other participant against the bid of Tk. 2.15 billion made by BanglaLion Communications.
BRAC BDMail Network Limited was the second highest bidder of the day when the company made their bid at Tk. 2.125 billion.
Augere Wireless Broadband Bangladesh Limited with the fourth highest bid of Tk. 2.075 emerged the third choice as the third highest bid of Tk. 2.1 billion was offered by the same highest bidder BanglaLion Communications.
BanglaLion Communications, the topmost bidder chose 2585-2620 MHz as their preferred bandwidth from the offered spectrum while BRAC BDMail Network Limited opted for the 2320- 2365 MHz range. Augere Wireless Broadband Bangladesh Limited was awarded the 2365-2400 MHz bandwidth.
Terming the occasion as an epoch-making step, Special Assistant to Chief Adviser for the Ministry of Posts & Telecommunications M. A. Malek stressed on educating people about the advantages and proper utilization of WiMax technology.
"It must be ensured that the advantages of the lower cost of bandwidth reaches the people at the grassroots," he told a gathering of reporters on the eve of the event.
"This step would ensure increasing competition in the country's telecommunication market, resulting in the wider availability of higher speed internet connection even among the rural people," Chairman of BTRC Manzurul Alam told the reporters following the bidding.
"At the same time, the government would also be benefited by the significant increase in revenue from this sector," he observed.
The licenses will initially be for a term of 15 years. On expiry of the tenure, the licence may be renewed for subsequent terms, each of five years in duration, subject to the approval from the commission and other such conditions, including the payment of fees specified by the commission.
The annual license fee will be Tk 30 million and the licensees will have to submit a bank guarantee equivalent to Tk 150 million each in favour of the BTRC within 15 days from the date of issue of the license.
WiMAX; a wireless digital communications system intended for wireless "metropolitan area networks, can provide broadband wireless access up to 30 miles (50 km) for fixed stations, and 3 to 10 miles (5-15 km) for mobile stations.
The WiMAX technology is expected to boost greatly the current internet infrastructure in the country. All the government and non-government institutions, universities, medical colleges, technological research centres, ministries, educational boards and many other organisations are expected to benefit from WiMAX as it will provide data and telecommunications services, and also a wireless alternative to cable for broadband access.
Once fully functional, WiMax is expected to provide a very high-speed broadband internet service to all fractions of the society. It is also expected that WiMAX would be able to bridge the existing digital divide.
Three companies, Bangla Lion Communications, Brac Bdmail Network Ltd and Aguri Wireless Broadband Bangladesh Ltd, have won the licences to operate WiMAX or Broadband Wireless Access in Bangladesh at a total cost of Tk. 6.35 billion.
The companies were awarded the licenses as they emerged as the first threes highest bidders in an auction organised at a city hotel Wednesday by the Bangladesh Telecommunication Regulatory Commission (BTRC).
A total of nine companies participated in the auction, which started around 11:30 am at the capital's Radisson Hotel and ended at around 2:45 pm.
The bidding, starting at Tk. 250 million, came to a conclusion when no higher offer was made by any other participant against the bid of Tk. 2.15 billion made by BanglaLion Communications.
BRAC BDMail Network Limited was the second highest bidder of the day when the company made their bid at Tk. 2.125 billion.
Augere Wireless Broadband Bangladesh Limited with the fourth highest bid of Tk. 2.075 emerged the third choice as the third highest bid of Tk. 2.1 billion was offered by the same highest bidder BanglaLion Communications.
BanglaLion Communications, the topmost bidder chose 2585-2620 MHz as their preferred bandwidth from the offered spectrum while BRAC BDMail Network Limited opted for the 2320- 2365 MHz range. Augere Wireless Broadband Bangladesh Limited was awarded the 2365-2400 MHz bandwidth.
Terming the occasion as an epoch-making step, Special Assistant to Chief Adviser for the Ministry of Posts & Telecommunications M. A. Malek stressed on educating people about the advantages and proper utilization of WiMax technology.
"It must be ensured that the advantages of the lower cost of bandwidth reaches the people at the grassroots," he told a gathering of reporters on the eve of the event.
"This step would ensure increasing competition in the country's telecommunication market, resulting in the wider availability of higher speed internet connection even among the rural people," Chairman of BTRC Manzurul Alam told the reporters following the bidding.
"At the same time, the government would also be benefited by the significant increase in revenue from this sector," he observed.
The licenses will initially be for a term of 15 years. On expiry of the tenure, the licence may be renewed for subsequent terms, each of five years in duration, subject to the approval from the commission and other such conditions, including the payment of fees specified by the commission.
The annual license fee will be Tk 30 million and the licensees will have to submit a bank guarantee equivalent to Tk 150 million each in favour of the BTRC within 15 days from the date of issue of the license.
WiMAX; a wireless digital communications system intended for wireless "metropolitan area networks, can provide broadband wireless access up to 30 miles (50 km) for fixed stations, and 3 to 10 miles (5-15 km) for mobile stations.
The WiMAX technology is expected to boost greatly the current internet infrastructure in the country. All the government and non-government institutions, universities, medical colleges, technological research centres, ministries, educational boards and many other organisations are expected to benefit from WiMAX as it will provide data and telecommunications services, and also a wireless alternative to cable for broadband access.
Once fully functional, WiMax is expected to provide a very high-speed broadband internet service to all fractions of the society. It is also expected that WiMAX would be able to bridge the existing digital divide.