True asks CAT and TOT to sell network assets to infrastructure fund
True Corp has proposed to CAT Telecom and TOT that they sell their telecom network assets to the True Telecommunications Growth Infrastructure Fund in a move that is part of True's attempt to secure a partnership with both state agencies, a source at CAT
CAT and TrueMove were involved in a network ownership dispute involving 9,000 telecommunication towers and True also wanted those assets in the fund in order to end the dispute, the source said. TrueMove is True’s mobile phone subsidiary.
On a build, transfer, operate basis, TrueMove had to transfer all 9,000 telecom towers to CAT, which owns its concession.
But TrueMove refused, saying the towers belong to it. This prompted CAT to take the case to an arbitration panel.
Colonel Sanpachai Huvanandana, CAT’s board director and acting president, said that the agency was talking with True to try and solve the network ownership dispute.
CAT and True are long-standing partners in providing the 3G-850MHz service.
CAT has leased 4,360 telecom towers from the fund to wholesale 3G bandwidth to True’s subsidiary Real Move so it can provide a 3G-850MHz service.
True is building an additional 3,000 towers for the fund, which will be rented to other operators. They are slated to be in place by the end of this month.
The company plans to build another 3,000 towers next year for the fund to rent to operators.
Last week CAT and Total Access Communication (DTAC) signed a memorandum of understanding to establish a collaborative relationship and enter into constructive dialogue to promote the sharing of their network infrastructure and network-access business.
DTAC recently signed an agreement with the fund to lease more than 100 telecommunication towers this year to expand the coverage of its 3G broadband service on the 2.1-gigahertz spectrum.
True also spoke to TOT about putting the agency’s core telecom infrastructure in the fund as part of its proposal to become strategic partners.
Recently TOT invited all telecom operators to propose plans to become its strategic partner. Advanced Info Service, Samart Corp, and TT&T have already responded.
The state agency’s board is considering their proposals.
Both CAT and TOT want strong partners to help them survive after they began passing their annual concession revenue, their main revenue source, to the state coffers last December as required under the 2010 Frequency Allocation Act.
