Page 98 - SAMENA Trends - July-August 2023

REGULATORY & POLICY UPDATES SAMENA TRENDS

Mob Telecom Returns 2.5GHz Licenses

Brazil’s National Telecommunications Agency (Agencia Nacional This spectrum was divided into roughly 9,000 regional parcels and
de Telecomunicacoes, Anatel) has rubberstamped the return distributed on a municipality-by-municipality basis. TeleSintese
of a pair of 2.5GHz spectrum licenses held by regional ISP Mob notes that a number of Mob Telecom’s fellow participants have
Telecom. Mob acquired the concessions in December 2015, during already returned spectrum acquired in the same auction, including
a multi-band auction of ‘leftover’ spectrum. The spectrum blocks the likes of XP Servicos de Comunicacao, Heptanet Consultoria
in question comprise a 1×35MHz block at 2585MHz-2620MHz e Internet, Interpira Telecom, Infoby, Horizons Telecomunicacoes,
and a 1×15MHz block in the 2570MHz-2585MHz range. As part Infoway, Unifique, Adyl Net Acesso a Internet, MKM Internet and
of the December 2015 auction Anatel received a total of 5,479 ‘Lot MHNet Telecomunicacoes.
C’ bids from 324 different companies, totaling BRL89.9 million.

CST Launches 4G, Covers 90% of Sao Tome and Principe

Companhia Santomense de Telecomunicacoes (CST), the
incumbent provider of fixed, mobile and data services in Sao Tome
and Principe, has announced the commercial launch of 4G services
nationwide. According to a press release from the operator, LTE
coverage is available in all districts via a network of 102 antennas
in 34 different locations, covering more than 90% of the population.
Around USD2.3 million has been invested in the new network,
which supports maximum download speeds of 150Mbps and
offers improved service quality and stability for end users with a
4G compatible smartphone and SIM card. Following the launch
of its LTE service, CST has lowered the cost of its ‘Netfone Daily’
100MB mobile data package from STN27.5 (USD1.2) to STN10,
while the price of its monthly data tariff has fallen from STN110
to STN80 and has seen the allowance rise from 900MB to 1GB.
CST also revealed that by the end of this month a 1.5Gbps link will
be installed between the two islands of Sao Tome and Principe,
tripling the current bandwidth capacity.

Ericsson Sued for Withholding Iraq Report

Ericsson shareholders sued the vendor seeking $175 million to $300 including a report outlining the results. In February 2022, the group
million in damages over an investigation into its business practices of shareholders claim, Ericsson was forced to admit and provide
in Iraq, claiming certain actions taken by the company depressed brief information on the existence and contents of the report, after
its share price. A statement revealed a total of 37 shareholders had key elements were leaked to the media. The admission of the
filed a claim against the vendor and more were expected to follow. report’s existence and contents, which came more than two years
The shareholders state they are seeking damages over pecuniary after the completion of an internal investigation, caused its share
losses linked to the company’s decision to withhold information price to tank more than 25 per cent. At the crux of the complaint,
about an internal investigation into its business practices in Iraq, shareholders argue Ericsson failed to comply with the European
Union’s Market Abuse Regulations, which obligates companies
to release inside information as soon as possible. Instead, the
complainants argue Ericsson had kept it “secret” for more than two
years. Ericsson has already been forced to pay the US Securities
and Exchange Commission (SEC) $1.1 billion, after reaching a
settlement in 2019 following a corruption probe. It then faced a
fine of $207 million in March 2023 for failing to properly disclose
information relating to the SEC probe. However, the shareholders
stated the fine issued earlier this year did not cover Ericsson’s
actions in Iraq.

98 JULY-AUGUST 2023