Telecom Egypt moves towards mobile service

Telecom Egypt is to provide Etisalat Misr, the local offshoot of mobile operator Etisalat, with infrastructure to offer fixed services to its customers.

At the same time government-controlled Telecom Egypt is wanting to start offering mobile services to its customers. Reports from Cairo say the government wants to allow Telecom Egypt to start offering mobile services while the three mobile operators in the market — Orange’s Mobinil, Vodafone and Etisalat — can begin to offer fixed services.

Etisalat and Telecom Egypt have not agreed an integrated licence, as stated in earlier reports — since corrected — from Cairo. Telecom Egypt told the Egyptian stock exchange that its £E600 million ($85 million) deal initial deal will allow Etisalat to use the incumbent’s basic infrastructure.

Terms under which Telecom Egypt will provide mobile services have not been completed, but it is expected that the company will have an MVNO arrangement with one or more of the mobile operators.