The New Nation - Internet Edition

ECONOMIC REPORTER

Two local companies--M&H Telecom Ltd and GETCO Telecommunications Limited--have won bids in an open auction to set up international and domestic telecommunication exchanges (ICX) that allow legal connections between international and local telecom operators carrying voice calls.

Announcing to provide 65.75 per cent of their revenue earnings to the government, the two companies, won the bids in an auction beating 26 other competitors.

The auction was organised by Bangladesh Telecommunication Regulatory Commission (BTRC) at Radisson Water Garden Hotel in the city on Wednesday to provide ICX licences to two local companies according to the International Long Distance Telecommunication Service Policy 2007.

ICX refers to switching system, which provides interconnections among the existing or future telecommunication networks of the operators and allows monitoring, lawful interception facilities and roaming number portability.

After wiining the bids, M&H Telecom Ltd chairman Mahfuzur Rahman said the entire process of auction was carried out in a very transparent way. Though some objections were raised earlier, no complaints were made subsequently. If this type of open auction was conducted in other areas, it would be more logical and acceptable.

Rahman, who is also the chairman of ATN Bangla, sought the cooperation of BTRC, in doing business with ICX licence.

In his reaction, GETCO Telecommunications Limited managing director KM Khaled said they got a major responsibility with the winning of the bid for ICX licence.

He also sought the cooperation of the BTRC to carry out the responsibilities smoothly.

Earlier on Tuesday, three local companies--Novotel Limited, Mir Telecom and Bangla Trac Communications Ltd-- won bids to set up international gateways (IGWs) to handle international phone calls to and from Bangladesh.

IGW service is a switching system through which international voice traffic is sent and received. The ICX services will have physical connections with IGW services. All voice calls, including VoIP (voice over internet protocol), will be routed through ICX and IGW services.

Following the auction, BTRC chairman Maj Gen (Retd) Manzurul Alam said a new era has began in the country's telecommunication industry.

Winning the bids for ICX licences by two local companies bring an end to the decades-old monopoly of the state-run Bangladesh Telegraph and Telephone Board (BTTB) as well as preventing all illegal international call termination.

Getco Telecommunications and M&H Telecom will receive licences to operate ICX services for 15 years. The licences are renewable.

According to the licensing agreement, the new companies will have deposit Tk 5 crore in licence fees each. Every year each firm will have to deposit Tk 2.5 crore for renewal of licence.

The new ICXs will be set up in the private sector in addition to the BTTB's existing ICXs and each firm can establish three ICXs. A company will be able to set up one ICX in Dhaka and other two ICXs in Chittagong and Khulna or Sylhet and Bogra.

The BTRC invited bids from local enterprises in October 2007 for ICX licences under the International Long Distance Telecommunication Services Policy 2007.