Page 100 - SAMENA Trends - November-December 2021

REGULATORY & POLICY UPDATES SAMENA TRENDS
Bringing together industry leading
Verizon Gets FCC Nod for Tracfone Deal
value and premium brands on
America’s most reliable network.
The US Federal Communications policy and government affairs Kathy Grillo services”. The deal was announced in
Commission (FCC) cleared a $6.25 billion highlighted consumer benefits through September 2020 and received approvals
More value and flexible options for U.S. consumers.
Verizon acquisition of MVNO Tracfone “enhancements in devices, network from the Department of Justice and
Wireless, enforcing a number of conditions performance and innovative products and California Public Utilities Commission.
to ensure the tie-up is in the public interest
and protects low-income consumers. In a 90,000+
statement, the FCC mentioned it voted to
approve the deal following a rigorous review, retail locations
deeming Verizon and Tracfone would be A leading pre-paid and value mobile provider TracFone serves approximately 20 million
stronger providers of prepaid services and the largest reseller of wireless services subscribers through a network of over
in the U.S.
90,000 retail locations nationwide.
and the US Lifeline subsidy program. The
regulator stipulated protections against
price rises for low-income consumers to
ensure Tracfone remained influential to ~20 M $8.1 B
the broader Lifeline scheme, guarantee customers 2019 revenue
availability of affordable 5G handsets
and customers were not overlooked
as they transition to Verizon. Another
major condition requires Verizon to offer More than 13 M
Tracfone’s Lifeline-supported services Leading brands customers already
over the same service areas for at least on the Verizon network
seven years. The FCC explained it adopted
independent mechanisms for enforcing TracFone customers will have access
the conditions through an internal and to America’s Most Reliable Network.
external compliance officer with the aim
of ensuring the deal did not impact low-
income or other consumers. Verizon is 850
required to provide regular reporting to employees
prove it is meeting the conditions. In its own to join the V Team
statement, Verizon SVP and DGC for public

True, dtac Tie-Up Draws Regulatory Scrutiny

A proposed merger between True Corp and from both companies to discuss the chairman of the operator, predicted the
dtac which would create the largest mobile impact of consolidation, Bangkok Post combined “telecom-tech company” could
player in Thailand by connections and leave reported. The boards of both companies “help unleash the enormous potential of
the country with only two major operators, acknowledged plans to make conditional Thai businesses and digital entrepreneurs”.
attracted the attention of the National tender offers for all the shares of True and Sigve Brekke, president and CEO of dtac
Broadcasting and Telecommunications dtac, and approving proposals to work out parent Telenor Group, noted a focus on
Commission, which summoned executives a merger. The proposed transaction values boosting “Thailand’s digital leadership role,
the deal at THB282.8 billion ($8.6 billion), by taking global technology advancements
Reuters reported. GSMA Intelligence into attractive services and high-quality
figures show the merged company would products”. Any final agreement requires
have held a 53.7 per cent market share at approval by the operators’ shareholders of
end-Q3 versus the 43 per cent of leader and standard regulatory clearances. The
AIS. In a joint statement the companies deal comes as Telenor Group looks to pull
explained they aim to reach an agreement back its operators in Asia, which led to a
by Q1 2022. Suphachai Chearavanont, deal to combine its Malaysian unit with
CEO of True Corp’s main shareholder and Axiata Group and a move to exit Myanmar.

100 NOV-DEC 2021