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 Jun 13 2008 | 15:11
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Hondutel expects PHS launch in 30 days

Updated:2007/6/26 09:41

Honduras'' incumbent fixed line operator Hondutel expects to launch a quasi-mobile service, based on the Personal Handyphone System (PHS) concept, within 30 days, a Hondutel executive confirmed for BNamericas.

The service will launch first in Tegucigalpa with capacity for 25,000 users and after 60-90 days Hondutel will launch it in the second city San Pedro Sula, also with capacity for 25,000 people, he said. The operator''s traditional fixed line client base now exceeds 500,000.

Although the service is not true mobile, customers will be able to use their handsets anywhere in the city, the executive added.

Hondutel is able to launch PHS by virtue of its PCS license, and using infrastructure supplied by Ericsson, but true mobile is unlikely to come until late 2008, he said.

The company reportedly has US$130mn saved in foreign bank accounts, but experts believe it will need US$400mn to launch a full mobile operation and would therefore need a partner, Honduran daily La Prensa reported.

Such partners would most likely be international groups which would only commit if they are allowed a stake in Hondutel, the paper added.

The operator is under increasing pressure to launch full mobile service because the government is making progress with its plans to auction the country''s fourth mobile license.

Telecoms regulator Conatel is in the final stages of preparing bidding rules for the license auction, local daily La Tribuna quoted Conatel president Rasel Tom└ as saying. Conatel expects to award the license in December, so the winner is likely to launch in the first few months of 2008, he added.

The government is keen to attract large overseas telecoms groups and will endeavor to advertise the auction in international media, Tom└ said. However, local firm Multifon has said it is keen to offer mobile services, expanding on the personal handyphone system it already operates using an IP-based platform called personal access system.

Mobile service is currently available in Honduras though two operators, Tigo, of Luxembourg''s Millicom International Cellular, and Claro of Mexican group Am└rica M┏vil.


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