Orange Egypt said it has decided not to apply for a 4G service licence due to terms and conditions of the proposed licence. In a statement, Orange confirmed its interest in investing in Egypt and in the 4G technology but said the quantity of spectrum currently availed does not allow it to launch a 4G service with the required level of quality according to international standards.
Orange said it has invested EGP 32 billion in Egypt and is willing to continue to invest in country. The operator has launched 4G services in 16 countries. It thanked the National Telecommunications Regulatory Authority for the great effort they have made to provide the regulatory framework for the 4G licence. Unfortunately, it said, it considers that the quantity of spectrum offered is not enough to offer the Egyptian customers the quality of 4G services that they deserve. The operator says it remains available to discuss the 4G licence further in case a new framework is offered.
The deadline for the Egyptian operators to apply for the licence was 22 September. The NTRA set the prices for the 4G frequencies at EGP 3.5 billion for Vodafone and Orange, EGP 4.5 billion for Etisalat Misr, and EGP 5.5 billion for Telecom Egypt (TE). The authority decided that 50 percent of the value should be paid in US dollars. Although Egypt gave domestic mobile operators the priority, the government said that it will launch an international tender in case they declined.
Telecom Egypt has already accepted the conditions to the licence in order to enter the mobile market for the first time. Vodafone and Etisalat are thought to be also considering rejecting the terms.
