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Packet One set to partner Chile's Inverca Telecom
By Kamarul Yunus
ahmadk@nstp.com.my
2009/04/06
PACKET One Networks (M) Sdn Bhd, the country's first Worldwide Interoperability for Microwave Access (WiMAX) telecommunications company, looks set to partner Chilean Inverca Telecom to provide wireless broadband network in Chile.
The company, through its subsidiary Packet One International Pte Ltd, has been playing an instrumental role in helping Inverca to secure a US$93 million (RM333.87 million) deal to carry out the digital infrastructure for competitiveness and innovation (DICI) project, aimed at providing wireless broadband in rural areas of Chile.
Subtel, a telecommunication regulator in Chile, had indicated Packet One's collaboration with Inverca in implementing the wireless broadband network as well as bid for the DICI project.
Online news reports quoted Subtel's head Pablo Bello as saying that he was encouraged by the fact that Inverca, which is linked to Packet One, is partnering an experienced WiMAX operator that has deployed the technology in topography in Asia, almost similar to that of Chile.
When contacted, Green Packet Bhd, which owns Packet One, confirmed that the latter has been helping Inverca in bidding for the project in Chile.
"We are pleased to confirm that Packet One International supported Inverca in a winning bid for the award of the Digital Infrastructure for the DICI project," Green Packet group corporate communications manager Shirley Ah Yong told Business Times.
"We are also delighted that Subtel awarded the country's sole WiMAX licence to Inverca. While we look forward to further lending our technical and operational expertise to the project, the full terms of our collaboration with Inverca has not been worked out," she added.
Subtel, in a statement posted on its website, said Inverca won the deal, beating three other bidders namely Rural Communication and Telecommunication Co SA, Intertel SA consortium with Telefonica SA Long Distance, and Entel Consortium.
It said the four private companies and consortia submitted technical and financial proposals to invest in building networks of digital connectivity in rural areas of Chile under the DICI programme.
News reports said that Inverca was chosen because in its offer, the company requested zero government subsidies. The other three bidders had, meanwhile, asked for subsidies of between 22 billion pesos and 31 billion pesos.
On details of the DICI project, Subtel said the project will involve in providing connectivity to 1,470 rural communities that consist of more than 850,000 households and three million individuals. The service will also benefit about 90,000 small and medium enterprises as well as more than 800 schools.
Under the term of the agreement, Inversa must establish 30 per cent coverage of the rural areas by October this year; 70 per cent by July 2010; and 100 per cent by March 2011, when Chile expects 92 per cent of its total population of about 16 million to have access to the Internet, from 71 per cent now.
www.kln.gov.my/perwakilan/santiago