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Tuesday, March 11, 2008

 

CURE blames Sun Cellular for failure
to roll out its 3G cell-phone service

 
CONNECTIVITY Unlimited Resources Enterprises Inc. (CURE) is blaming the operator of Sun Cellular for its failure to roll out its 3G (third generation) mobile phone service.

In a letter to the National Telecommunications Commission (NTC), CURE said Digital Mobile Telecommunications Inc. (Digitel) has been rejecting its cellular network interconnection, which should pave the way for its 3G rollout by June.

Rodolfo Ma. A. Ponferrada, CURE chief legal counsel said the telecom company started to negotiate and enter into interconnection agreements with its rivals, including Digitel since September 2006.

However, the Sun Cellular operator refused to interconnect with CURE despite several demands and requests, he said.

Led by former trade minister Roberto Ongpin, CURE is one of four telcos granted a permit to operate 3G in a hotly-contested auction. The first two, Globe Telecom Inc. and Smart Communications Inc., are already offering the service on a commercial basis. Sun Cellular, like CURE, has yet to offer their service commercially.

 “The refusal of Sun Cellular to interconnect with CURE is a clear violation of one of the terms and conditions of the Supplemental Order dated January 3, 2006 issued by this Honorable Commission regarding 3G Radio frequency assignments granted to Smart, Globe, Sun Celluar and CURE,” Ponferrada said.

 The NTC circular said 3G license grantees shall interconnect their networks with all 3G operators, cellular mobile telephone networks, local exchange networks and other public networks pursuant to the laws, rules and regulations.

The CURE lawyer said the refusal of Sun Cellular to interconnect is a violation of Executive Order No. 59, Series of 1993, which mandates the interconnection between and among public telecom entities to be compulsory.

Given the regulator’s requirement that CURE commercially launch by June this year, Ponferrada said the NTC should intervene to facilitate the interconnection between the two telcos.

 CURE earlier told NTC that it set a P11.55-billion budget for its capital expenditure under its five-year 3G rollout plan. Of this, P3.95 billion was allocated for the first year.

 The company expects an estimated P143 billion in revenues within five years of operation.

CURE plans to install an initial number of 280 base transceiver stations that will serve an initial market niche of at least 200,000 subscribers in designated areas.

The company committed itself to cover 95 percent of provincial cities and municipalities and 90 percent of chartered cities.
-- Darwin G. Amojelar

  
 

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