Thuraya Coverage Area

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Session III: Case Studies of

Telecommunication Market Liberalisation

Tuesday 22, January 2002

By:

Mohammad Omran

Chairman

Thuraya Satellite Telecommunications Company

Abu Dhabi, UAE

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Our vision is to be the market leader in our coverage

area, providing valuable and affordable telecom

solutions to our customers. Our strength comes from

our experience in Telecom technology and our

customer focused strategy. Our plan is to achieve this

through product excellence, continuous innovation and

quality customer service.

Thuraya Coverage Area

Ic e la n d F in la n d Norw ay Sw eden C h in a C o t e d ’I v o ir e L ib_eria S i e r r a L e o n e G u i n e a G u in e a B is s a u G a m b ia S e n ega l Mor occo M a u r i t a n i a M a li B u r k i n a F a s o G h a n a Tog oBeni n N i g e r i a Cam eroo n C e nt r a l A fr i c a n R e pu b li c S o m a li a D j i b o u t i E t h i o p i a Er_itrea S u d a n C h a d N i g e r A lg e r ia Tu ni si a L ib y a n A r a b J a m a h i r iy a E g y p t P o l a n d D e n m a r k S w it z erla nd L u x e m b o u r g G erma n y N e t h e r la n d s B e lg iu m U n ite d K in g d o m Ir e la n d F r a n c e P ort uga l S p a i n H u ng a ry S lov a kia C z e c h R e p u blic A u s tr ia T a jik is t a n K y r g y z s t a n T u r k m e n is tan U zbe kis_{ta n} K a z a k h s ta n A z e r b a ija n A r m e n ia G e o rgia R u s s ia n F e d e r a t io n U n it e d A r ab E mira te s K u w a it B a h r a in Q a t a r Oman Y em en J o r d a n S y r ia n A r a b R e p . Ir a q L e b a n o n S a u d i A ra b ia B e la r u s L ith u a n iaL a tv ia E s t o n ia U k r a in e M oldav ia R o m a n i a T u r k e y T u r k e y C y p r u s G r e e c e S p a in F r a n c e It a ly Ita ly G r e e c e B u lg a r ia M ac e do n ia A lb a n i a F R o f Y u g os l av ia B o snia & H e rzeg. C roatia S lo v e n ia Ita_ly C r o a tia S r i L a n k a I n d ia B a n g la d e s h B h u t a n N e p al I n d ia P ak i stan A f g h a n is t a n I r a n

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GSM Coverage: Middle East & Africa

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GSM Coverage: Europe

Thuraya handheld terminal features

ΠDual mode (Satellite / GSM) handheld terminals ΠSimilar in size, weight and features to GSM phone ΠLocation determination capability using GPS ΠVoice quality comparable to GSM

Teleservices ΠVoice telephony ΠEmergency services ΠGroup 3 fax ΠSMS beam broadcast Bearer Services

ΠAsynchronous Data Services (2.4 Р9.6 kbps)

Thuraya Integrates Terrestrial (GSM) & Satellite Services

Value Added Services

ΠShort Message Service (SMS) ΠVoice mail

ΠOperator assisted services

ΠInteractive Voice Response (IVR) Services ΠPrepaid Services

ΠHot billing

Supplementary Services

ΠCall forwarding, barring, waiting, hold ΠCalling Line Identification Presentation (CLIP) ΠConference calling

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ITU Filing Process-1995

Modifying ITU Radio Regulations-1997

Establishment of Multilateral Coordination Process-1997 Grant of L-band Spectrum-1999

Start Licensing Process-1999 Handsets Type Approval-2000 ITU GMPCS Arrangements-2000 Common Air Interface Standardization-2000

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United Nation Registration-2001

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Classification of Regulations

ΠSelf-regulation by the state-owned monopoly operator ΠMinistry of the government which is responsible for policy,

and in some cases retains overall responsibility for the dominant operator

ΠAn independent regulatory function which either reports to a government Ministry, such as that in UK, or an independent commission, such as in Jordan and Egypt

Thuraya obtained 3 important decisions in Europe on Free Circulation and Use of Thuraya Mobile User Terminals in CEPT member countries. Exemption from Individual Licensing of Thuraya Mobile User Terminals in CEPT Member countries. In addition to the milestone compliance. Examples for liberal markets are UK, Denmark, Netherland, Ireland, Germany, etc. In many cases no

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Stringent requirements to access the market: -Establishment of a gateway

-High revenue sharing -High entry fees

Example 2: Partially Liberal Market-India Subcontinent

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Clear regulatory process with reasonable fees Example 3: Market With Regulatory

Commissions-North African Countries

The Need For Liberal Market (Regulation) ΠTo protect public interest

ΠTo license service providers ΠTo regulate service providers ΠTo control and use frequencies ΠTo set technical standards

ΠTo monitor quality of service and initiate corrective action ΠTo set financial, administrative and technical terms for

interconnection

ΠTo control the type approval of customers premise equipment and its connection to the public network

ΠTo consider complaints from users and take corrective action if necessary

ΠTo allow open and fair competition

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Thuraya Service Providers Relation ΠExamination of Thuraya market (Monopoly, Ministry,

Commission, etc)

ΠSelecting competent service provider that can obtain the license, financially strong and have strong distribution channels

ΠWe train and support the service providers in marketing Thuraya services and monitor competition

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Impact on Telecom business due to Change in Policies ΠA majority of ITU Member countries have initiated telecom

sector reforms that have established telecom regulatory bodies, opened up huge untapped markets, introduced simplified regulatory / licensing framework, etc

ΠThe WTO regime has introduced new opportunities for foreign companies

Changes in Polices that will ensure better Market Access ΠLighter access regulatory procedures(General license, blanket approval) ΠRegional Regulatory Authorization (One Stop Shopping, Common

Application Form, etc) as against National Regulatory Authorization ΠMutual recognition arrangements and Free circulation of terminals

(GMPCS MoU, ERC Decisions, WTO, CITEL and APT MRA’s, etc) Œ Different treatment for satellite operators that have regional or global

coverage as against terrestrial networks that have limited national coverage

ΠMutual recognition of Licenses

ΠLicense fee to recover only Administrative costs associated with grant of License

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Thuraya’s perspective on competition as a satellite operator Œ Focus on regional market that lacks basic telecom infra-structure as

against global market

ΠCloser relationship with local service providers for marketing, billing and customer care

ΠMore user friendly terminals (smaller and compact in size, multi mode options, multi functional (GPS, Higher data rates, etc)) ΠReduction in end-user tariff as compared to earlier operators in

view of economic situation and affordability of the target market ΠCustomized solutions for different market segments (payphones,

fleet management, maritime applications, etc)

Œ Increased cooperation with national PTT’s for implementation of Universal Access and Rural Development

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Conclusion

ΠWe help in developing telecommunication polices in ITU ΠWe encourage the regulators to translate these polices into

legislation/decrees

ΠWe encourage the construction of regulatory organisations to establish regulatory procedures to protect both the public and governments and to allow competition

Thank You…

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