Court may be asked to settle CAT-NBTC row

THURSDAY, DECEMBER 27, 2012
Court may be asked to settle CAT-NBTC row

The Central Administrative Court might be asked to decide whether CAT Telecom can continue using its 1,800-megahertz spectrum after the concessions it granted expire.

CAT is arguing with the National Broadcasting and Telecommunications Commission (NBTC) about this issue.

Information and Communications Technology Minister Anudith Nakornthap said yesterday that he believed the dispute could be settled between CAT and the regulator early next year.

CAT needs to keep its spectrum to serve customers of TrueMove and Digital Phone Co (DPC) after their 1,800MHz concessions expire next September 15, he said.

TrueMove has about 17 million subscribers and DPC about 80,000.

Under the Frequency Allocation Act, the NBTC can reallocate frequencies via auctions. The watchdog wants to reclaim the 1,800MHz band for wireless broadband such as fourth-generation services. CAT has informed the commission of its intention to keep the spectrum.

Anudith asked what would happen to TrueMove’s and DPC’s customers if the NBTC reclaims the 1,800MHz spectrum. If CAT can keep the spectrum, it can ask TrueMove and DPC to serve their customers on its behalf.

CAT has submitted its plan to deal with the end of the TrueMove-DPC concessions to Anudith, who will soon discuss with the telecom agency’s board about how to improve its revenue after the concessions end.

Anudith also said True Corp should be allowed to resell the 3G-850MHz service for CAT on only a mobile virtual network operator (MVNO) basis and CAT must allocate this third-generation capacity for others to provide service on a similar MVNO basis.

Real Move of True resells this service for CAT under a 14.5-year contract, which requires CAT to allocate up to 80 per cent of 3G-850MHz capacity for Real Move to resell the service during the first three years.

Real Move and Real Future, both subsidiaries of True, and CAT signed wholesale-resale and network leasing contracts in January 2011 to provide 3G-850MHz service jointly. In June this year the NBTC ordered them to revise the contracts to make them comply with the Frequency Allocation Law.

The contracts must be amended to show that CAT has the sole management power over its 850MHz spectrum.