New York City is one of the biggest commercial markets in the world, but it has long been one of the most difficult places to build infrastructure.  Manhattan is one thing, but few providers have historically been brave enough to venture out to the other boroughs like Brooklyn, Queens, and the Bronx in force.  With us today is Doug Turtz, who took over at Skywire and Xchange Telecom earlier this year.  Rebranding under the moniker ‘Skywire powered by Xchange’, the company is gearing up to take its hybrid fixed-wireless and fiber approach to a wide swath of underserved destinations around the metro area. … [visit site to read more]

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Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
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This Industry Viewpoint was authored by Mikko Jarva, Head of Portfolio & Architecture, Network Monetization Platform at Nokia

With 5G deployments now widespread in many markets, telecom network providers are ushering in a new era to enable the building of new and improved software applications that enrich the network experience of business customers and consumers while generating new revenue streams. … [visit site to read more]

The GSMA claims that Indonesia stands to lose US$14 billion in GDP gains over the next six years if it doesn’t rethink it 5G spectrum pricing in the next auction.

The Ministry of Communication and Information Technology (Kominfo) is planning to award several frequency bands over the next two years, including 700 MHz, 2.6 GHz and 3.5 GHz, as well as mmWave frequencies in the 26 GHz band. That would more than double the current total supply of mobile spectrum.

However, a new report from GSMA Intelligence points out that estimated annual spectrum costs for mobile operators in Indonesia have increased more than five-fold since 2010, mainly due to auction-related payments and spectrum fees associated with licence renewals.

Making matters worse, average revenue per unique mobile subscriber dropped 48% over the same period (in USD terms). The report estimates that annualised spectrum costs to recurring cellular revenue is currently at 12.2%, compared to the APAC and global median values of 8.7% and 7.0%, respectively.

At the very least, the report says, this could hamper the ability of Indonesian operators to meaningfully invest in 5G infrastructure, which will slow down rollouts and result in poor customer experiences.

The GSMA also frames the issue in terms of the expected socio-economic benefits that 5G will deliver to Indonesia, saying that the country could lose US$14 billion (IDR 216 trillion) in GDP between 2024 and 2030 if it prices 5G spectrum similar to the previous spectrum auction.

The report urges Kominfo to lower reserve prices below estimates of market value, and adjust the way it calculates annual spectrum fees to provide long-run incentives and avoid disproportionate increases in costs that aren’t aligned with market conditions.

The GSMA also recommends that Kominfo come up with a clear and comprehensive spectrum roadmap that accommodates current and future needs, particularly for mid-band spectrum. 

“According to our forecasts, 5G will reach 80% of the population by 2030,” said Julian Gorman, Head of Asia Pacific, GSMA. “For 5G to succeed in Indonesia, the government should focus on the right enabling policies, including spectrum supply and pricing. This requires a well-crafted regulatory framework for a successful auction that delivers a fair return for the government and encourages digital growth.”

Operator Zain KSA has announced a strong Q3 2023 financial performance driven, in part by tower-related business.

The Saudi operator reports its highest quarterly revenues, exceeding SAR 2.5 billion (about US$666.7 million) – a 10% increase compared to the SAR 2.2 billion (US$586.7 million) generated in the third quarter of the previous year, as well as recording SAR 285 million (US$76 million) in net profit, a growth of 234% compared to the corresponding period in 2022.

Importantly, this strong financial performance is in part attributed to Zain’s recent tower infrastructure sale and leaseback deal. This generated gains totalling SAR 139 million (US$37.1 million) during this quarter. However, this is just part of a total financial impact which the company expects to reach SAR 1.1 billion (US$293.3 million) over the 18-month period of the tower ownership transfer.

Saudi Arabia’s second-largest telecoms company completed a deal in January to sell a stake in its tower infrastructure for more than SAR 3 billion (US$800 million). As part of the deal, Zain KSA sold at least 3,000 towers, out of a total of 8,069, to Golden Lattice Investment Company (GLIC), which is owned by the kingdom’s sovereign wealth fund, the Public Investment Fund, Zain KSA, Prince Saud bin Fahad and Sultan Holding Company.

Towers are far from the sole reason for the strong balance sheet in Q3. Zain also cites sustained business growth across all sectors with strong demand for cutting-edge services and solutions such as cloud computing, the Internet of Things, and artificial intelligence.

Beyond the growth in 5G revenue, Zain KSA says it has also witnessed a steady uptick in its consumer services and a surge in demand for Yaqoot digital services and micro-finance solutions offered through Tamam, its fintech arm.

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Over in western Europe, euNetworks has made some new investments into its low latency connectivity between key financial exchanges. They are now claiming to deliver the lowest latency to the Euronext exchange from both London and Frankfurt. … [visit site to read more]