[🇧🇩] Telecommunication Industry in Bangladesh

[Saif]

Summit acquires 2,012 towers from Banglalink

Summit Towers Limited, a subsidiary of Summit Communications Group, has announced acquisition of 2,012 towers from Banglalink Digital Communications Limited, said a press release. The...

www.newagebd.net

Summit acquires 2,012 towers from Banglalink​

Business Desk | Published: 23:17, Feb 20,2024

Summit Towers Limited, a subsidiary of Summit Communications Group, has announced acquisition of 2,012 towers from Banglalink Digital Communications Limited, said a press release.

The acquisition was completed with transfer of Tk 1,100 crore to Banglalink. To celebrate this occasion, Summit Communications Group hosted an event titled ‘Celebrating Synergy’ at the Ruposhi Bangla grand ballroom of Hotel Intercontinental in Dhaka on Monday.

State minister of posts, telecommunications and information technology Zunaid Ahmed Palak was present as chief guest at the event. ICT division secretary Md Shamsul Arefin and Bangladesh Telecommunication Regulatory Commission chairman Md Mohiuddin Ahmed were present as special guests and Summit Group of Companies founder chairman Muhammed Aziz Khan was present as an honoured guest. Summit Communications chairman Muhammad Farid Khan, managing director and chief executive officer Md Arif Al Islam and executive director Fadiah Khan, among others, were present at the ceremony.

VEON group CEO Kaan Terzioglu and Banglalink CEO Erik Aas were also present.

Zunaid Ahmed Palak said, ‘I would like to appreciate the acquisition process for acquiring these 2,012 towers. With this huge number of towers, Summit Communications will be able to provide much more quality services to the mobile network operators.’

Kaan Terzioglu said, ‘This collaboration enables us to leverage our resources efficiently to create the country’s most diversified and innovative digital portfolio. With innovation, collaboration, and a shared vision, we can unlock the full potential of Bangladesh’s digital future.’​

 

[Saif]

BTRC allows mobile operators to offer wireless broadband

The internet regulator has allowed telecom operators in Bangladesh to provide fixed wireless access (FWA), enabling their users to get wifi connections without cables.

www.thedailystar.net

BTRC allows mobile operators to offer wireless broadband​

The internet regulator has allowed telecom operators in Bangladesh to provide fixed wireless access (FWA), enabling their users to get wifi connections without cables.

The move will likely transform the broadband internet business in the country, creating competition among current broadband internet service providers (ISPs) and telecom operators as users will have more options.

With the new 5G guidelines coming into force, operators with FWA service approval will be able to offer high-speed internet access through wireless networks to fixed locations like homes and businesses.

It will also extend broadband coverage efficiently, especially in areas with limited wired infrastructure.

FWA generally leverages the high-speed, low-latency capabilities of 5G networks to deliver broadband internet access wirelessly.

However, as the country's telecom operators are still reluctant to launch 5G commercially, the expansion of the service will take time, according to industry people.

In Bangladesh, telecom operators provide mobile internet services while ISP licensees provide broadband services.

Generally, mobile operators deliver mobile internet services through cellular networks, utilising technologies such as 3G, 4G and 5G. These networks enable wireless data transmission to smartphones and tablets, offering flexibility and mobility.

Broadband operators provide broadband internet via fixed-line connections like cables or fibre optics, ensuring stable and high-speed connectivity with greater bandwidth and reliability compared to mobile networks.

But now, mobile network operators will be able to offer similar services. Customers will just require an outdoor antenna for signal reception, an indoor modem or router, and a subscription plan from the operator.

"It is a good initiative to expand internet access. It will help realise the government's Smart Bangladesh vision as internet is the most important tool for it," said TIM Nurul Kabir, a telecom expert.

There are about 13.13 crore internet subscribers in Bangladesh, of which 11.84 crore are mobile internet subscribers. The rest 1.28 crore are broadband users, according to data of the Bangladesh Telecommunication Regulatory Commission (BTRC).

Shahed Alam, chief corporate and regulatory officer of Robi Axiata Ltd, welcomed the move.

However, he said, considering the complexities in the fibre ecosystem in Bangladesh, there are certain challenges that need to be addressed for providing such services.

"We also need to keep in mind that access to fibre and dense network sites is a precondition for a wider 5G FWA service. We are hopeful of introducing FWA services after resolving the complexities."

Hossain Sadat, a senior director at Grameenphone, said they appreciate the time-befitting initiative of the BTRC.

"We are currently assessing the guidelines and will determine our next course of action upon receiving the formal licence."

However, broadband service providers are alarmed by the new move, fearing a potential downturn in their business in the future.

Md Emdadul Hoque, president of the Internet Service Provider Association of Bangladesh, said thousands of young people are employed by broadband internet businesses.

"The government should protect these small entrepreneurs," he said, urging the government to backtrack from the decision.

Currently, there are more than 3,000 ISPs in Bangladesh.

Abu Saeed Khan, a senior policy fellow at LIRNEasia, a Colombo-based think-tank, said FWA is a universal tool for 5G and an integral part of it.

"It is the only way to achieve mass penetration of broadband across the country."

He thinks ISPs should be allowed to provide various digital services, including video-streaming, and the government must not dictate their prices.

Besides, ISPs and mobile operators should be permitted to purchase wholesale internet, eliminating barriers created by International Internet Gateway (IIG) and Nationwide Telecommunication Transmission Network (NTTN) services, Khan added.

In Bangladesh, IIG manages international internet connectivity while NTTNs facilitate nationwide fibre optic infrastructure.

An official of the BTRC said the regulator allowed mobile operators to launch the FWA service, keeping the future rollout of 5G in mind.

FWA services have gained traction in neighbouring countries in recent times.

In September last year, Reliance Jio launched its FWA device -- Jio AirFiber -- across eight cities in India, according to the Economic Times.

The move came just over a month after rival Bharti Airtel introduced its own device in two cities as both companies are making their initial attempts at monetising 5G services.

5G is developing rapidly worldwide, with more than 260 networks and more than 1.2 billion users.

5G FWA has become a mainstream service for half of 5G operators and amassed more than 10 million users, said Mobile World Live, the official news portal of GSMA, quoting Huawei Vice-President Yang Tao in September.
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[Saif]

Burnt with high tax, mobile operators become unable to pay good dividends: Robi chief

Telecommunication industry is highly capital intensive, on top of which huge tax burden remains a barrier to ensuring a good return to shareholders, said the head of Robi Axiata. In an interview with The FE, Robi Chief Executive Officer Rajeev Sethi said mobile network operators were required to i

thefinancialexpress.com.bd

Burnt with high tax, mobile operators become unable to pay good dividends: Robi chief​

ISMAIL HOSSAIN

Published :​

Feb 27, 2024 09:52

Updated :​

Feb 27, 2024 09:52

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Robi CEO Rajeev Sethi in an interview with The FE — FE Photo

Telecommunication industry is highly capital intensive, on top of which huge tax burden remains a barrier to ensuring a good return to shareholders, said the head of Robi Axiata.


In an interview with The FE, Robi Chief Executive Officer Rajeev Sethi said mobile network operators were required to increase investment every year from the previous year to stay competitive in the market.

"To take care of that capital expenditure, and to provide a decent return to the shareholders, we are not where we should be.

"You'd be surprised to know that for every Taka a customer pays, roughly around 55 -56 per cent goes to the government."

Against this backdrop, the smaller a player is in the industry the greater negative impact it endures.

Mr Sethi, who has been leading Robi since 2022, earlier worked as managing director and CEO of Grameenphone in Bangladesh. He has extensive experience working in the telecom sector in India and Myanmar.

He said Robi was confident about future profitability, which was why it had decided to pay investors more in cash dividends for 2023 than the profit it earned in the year.

The operator expects a significant profit growth over the span of next three to four years, added Mr Sethi.

Robi recorded an annual profit growth of 74.3 per cent year-on-year to reach earnings of Tk 0.61 per share or Tk 3.21 billion in 2023.

The telecom operator recommended 10 per cent cash dividends on its face value of Tk 10 per share for the year, exceeding what it paid -- 7 per cent-- for 2022. It provided 5 per cent cash dividends for 2021.

"Our dividend policy says that we should be giving an increased return as we move forward."

Bangladesh is a "pretty interesting place" to do business for telecom service providers for its geographical location, population density, and the size of young population, said the Robi chief.

Three private and one state-owned operators are good to create healthy market competition and for profitability and sustainability.

"If you have too many players, then nobody makes enough money to be able to invest in the networks and whatever is required to offer quality services to customers."

Mr Sethi said the regulator had been playing its due role but there needed some reforms.

According to him, the telecom industry is too fragmented; it has been broken down into small components to be navigated by different players.

"We need to have not only very good radio equipment at the tower, but also the ability to carry the traffic back to our data centres, but the link is missing."

The dependency on the third party impacts quality, lamented Mr Sethi.

According to him, telecom operators should be allowed to build infrastructure, especially of optical fiber to offer quality services.

Mobile network operators used to build their own network of optical fiber before Nationwide Telecommunications Transmission Network (NTTN) came into being around 15 years back.

The Bangladesh Telecommunication Regulatory Commission issued licences for developing, building, operating, and maintaining optical fiber network all over the country, known as NTTN, to prevent duplication of network, reduce wastage of national resources, and establish a common and affordable national telecommunication infrastructure for operators, according to NTTN licensing guidelines. Currently, there are three NTTN operators -- Summit Communications Limited, Fiber @ Home Ltd, and Bahon Limited.

Mr Sethi also spoke of SMP (significant market player) restrictions, which, according to him, have not been enforced fully.

"It's not about a player A or a B or a C, this [putting restrictions] is the right thing to do for the industry because this industry will require multiple strong players."

If the operators are unable to compete, then mobile network users will be the sufferers. That will ultimately come in the way of fulfilling the dream of smart Bangladesh.

"So, we have to look at the SMP regulations in that light."

Regarding complaints about service quality, Mr Sethi said telecommunication services are better in Bangladesh than in the neighbouring country India.

On deployment of 5G network, the Robi chief said he did not see the necessity of the network standards to be elevated to that level yet.

He said 5G network should be put in place "once the traditional 4G spectrum has been completely utilized and there's a demand beyond that".

"For a developing country like Bangladesh, we cannot waste any resources," said Mr Sethi, adding that Robi's $100 million investment in 5G network was a wrong move.

About subsidiary companies formed under Robi, he said it was permissible. "We'll create more value for customers."​

 

[Saif]

https://www.thedailystar.net/tech-startup/news/symphony-leads-xiaomi-slips-study-outlines-market-share-smartphones-bangladesh-3554931

Symphony leads, Xiaomi slips: Study outlines market share of smartphones in Bangladesh​

2023 witnessed a decline in the demand for 5G smartphones, with their share in total shipments dropping to 2% from 10% in 2022.

The Bangladesh smartphone market witnessed notable changes in its competitive landscape from 2022 to 2023, as detailed by a recent Counterpoint study. The year 2023 saw changes in consumer preferences and market shifts that significantly impacted brand standings.

Xiaomi observed a decrease in market share from 17.5% to 11.3%. Conversely, itel's market share ascended from 6.2% to 11.8%. Infinix and Tecno, both enjoyed growth in their market shares, with Infinix moving from 9.3% to 13.3% and Tecno from 5.9% to 15.8%.

According to Counterpoint, Vivo also saw an increase in market share from 11.4% to 16.1%, solidifying its market presence. The collective share of smaller brands categorised as 'Others' diminished from 49.7% to 31.6%, indicating a market consolidation favouring leading brands. Symphony maintained its leadership in the handset market with an 18% share, outlines the study.

2023 witnessed a decline in the demand for 5G smartphones, with their share in total shipments dropping to 2% from 10% in 2022, as 5G has not yet become a compelling feature for the majority of consumers. Despite this, Vivo led Bangladesh's 5G smartphone shipments for the second consecutive year, followed by Realme and Xiaomi.

The overall mobile handset market in Bangladesh declined by 25% year-on-year in 2023. The feature phone market also saw a 24% decline due to an accelerated transition to smartphones. Despite a flat smartphone share in overall handset shipments, Symphony continued to dominate the feature phone segment with a 39% share.

The study further details that consumer demand for smartphones was initially weak in 2023, attributed to higher inflation rates and currency depreciation. This resulted in the lowest quarterly shipments in the first quarter of 2023 in the past three years. Market consolidation occurred with the exit of over 10 brands, elevating the top five brands' share to 68% from 63% in 2022. These brands concentrated on the entry and affordable segments, responding to the predominant consumer demand.​

 

[Saif]

Number of mobile internet connections keeps dropping

The number of active mobile internet connections in the country decreased further by 0.21 lakh to 11.63 crore in January 2024 compared...

www.newagebd.net

Number of mobile internet connections keeps dropping​

Taufiq Hossain Mobin | Published: 23:00, Mar 01,2024

A file photo shows a man using internet on his mobile phone in the capital Dhaka. — New Age photo

The number of active mobile internet connections in the country decreased further by 0.21 lakh to 11.63 crore in January 2024 compared with that of 11.84 crore in December 2023, according to the latest data published by the Bangladesh Telecommunication Regulatory Commission.

The number of active mobile internet connections has gradually decreased from August 2023 to January 2024.

The number of active mobile users in the country was 11.97 crore in August 2023, which also gradually declined, reaching 11.63 crore by January this year.

According to the BTRC data, the number of broadband internet connections remained the same in January compared with that in the previous month.

The number of broadband connections is currently standing at 1.28 crore, after increasing by 0.04 crore in December last year. Before December, the broadband connections maintained a steady figure of 1.24 crore from September to November 2023.

According to the BTRC data, the number of active mobile connections in the country decreased by 4 lakh in January compared with that in the previous month.

At present, the number of active mobile connections in the country is 19.04 crore, whereas in December the figure was 19.08 crore. According to the BTRC data, Grameenphone and Teletalk saw increase in their connections in January, while Robi and Banglalink lost its customers.

In January, Robi Axiata lost a total of 4 lakh active mobile connections, reaching 5.82 crore from 5.86 crore in December.

Banglalink also experienced a slight fall, losing 40,000 of its active connections, bringing the number down to 4.34 crore in January.

Grameenphone recorded a slight rise, according to the BTRC data, by gaining 70,000 connections in January.

The state-owned telecom operator Teletalk also experienced a slight growth with its active connections rising to 64.8 lakh in January compared with that of 64.6 lakh in December 2023.​