EMAT News Feed

Comverse has announced that Communication Cellulaire d’Haiti, S.A. (ComCEL) under the brand name “Voilà”, one of Haiti’s wireless providers, will upgrade and expand its Business Support System (BSS) solution and text messaging (SMS) capabilities to enhance service features.

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See the Communication Cellulaire d’Haiti, S.A. (ComCEL) record in EMAT.

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Digicel Group has reported that its subscriber base rose by 15% over the year to 31st March 2010, ended with 10.8 million customers across 32 countries. Digicel closed out the year with revenues of USD $2.2 billion. This represents a 12% gain year on year and a compound annual growth rate of 24% from 2007 to 2010 aross all Digicel markets (Caribbean, Pacific, Central America).

In terms of Digicel Group (which comprises 24 markets across the Caribbean and the Caribbean), revenues were US$1.75 billion — up 1% year on year and 5% in constant currency terms — with EBITDA margin increasing to 43%, up from 39% the previous year.

In those 24 markets, Digicel achieved a 31% growth in data revenues year on year while the postpaid subscriber base grew by 18% year on year.

Digicel Group CEO, Colm Delves, comments; “It’s been another great year for Digicel. Our promise and commitment to our customers to deliver best value, best service and best network is continuing to translate into sustained growth and strong performance resulting in us once again over delivering against all of our internal targets.”

In the coming year, Digicel has the impending launch of consumer WiMAX services across Jamaica and 3G+ launches in the French West Indies and Bermuda.

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See Colm Delves and the Digicel Group record in EMAT.

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Cable and Wireless Communications has outlined plan to build a new major submarine cable in the Caribbean, more than doubling its carrier capacity in the region.

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­Cable & Wireless Communications says that it has been awarded its costs of successfully defending the claims by its Caribbean competitor, Digicel, in the UK High Court. The High Court last week dismissed the claims that Cable & Wireless Communications had unlawfully delayed Digicel’s entry as a competitor in Caribbean telecoms markets.

Today it ordered Digicel to pay Cable & Wireless Communications and defendant parties’ costs of their defence. The defendants expect to recover the substantial majority of their costs – which ran to at least £15.5 million (US$24 million). Cable & Wireless Communications’ costs recovery will be accounted for as an exceptional gain in its 2010/11 accounts. The case was heard over 77 sitting days in the High Court in London, UK, and heard evidence from 43 witnesses.

Digicel issued its proceedings in July 2007, the day before the Cable and Wireless plc AGM, and at the time announced its claim amounted to “several hundreds of millions of pounds” of damages.

The case involved claims that the Cable & Wireless Communications Group had breached the telecoms statutes in six Caribbean territories (Barbados, Cayman, St Lucia, St Vincent & the Grenadines, Grenada and the Turks & Caicos islands) which Digicel was entering as a competitor to Cable & Wireless Communications between 2002-06. Similar allegations were also made against TSTT, the Trinidad & Tobago-based telecom operator, in which Cable & Wireless Communications holds a minority stake.

The High Court ruled Cable & Wireless Communications was entitled to costs in six out of the seven jurisdictions on an enhanced “indemnity basis”. The seventh jurisdiction is Trinidad & Tobago, where the court ruled Digicel to pay 87.5% of its recoverable costs. The Court further ordered Digicel to pay the defendants £8 million (US$12 million) of the costs within 28 days on account of its ultimate liability for costs.

See the Digicel Jamaica and Cable & Wireless Jamaica, Ltd record in EMAT

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Digicel Bermuda says that it has awarded a contract to Ericsson for the deployment of a HSPA+ network upgrade. The contract is worth US$9 million, and deployment has already commenced.

Digicel Bermuda CEO, Wayne Caines, said of the announcement: “With the launch of 3G+ from Digicel, Bermuda joins only 12 other countries in the world who have upgraded to this elite new technology and it will put us firmly on the map for any potential businesses or investors looking at Bermuda as a base. In addition, our customers will benefit from a network that offers the fastest speeds and better quality of calls with widespread coverage. Our team is working around the clock to rollout the state-of-the-art 3G+ network which we look forward to launching in the coming months.”

Figures from the EMAT analysts shows that Digicel Bermuda ended last year with 33,000 subscribers. This represented a market share of 36% in the small island nation.

Wayne Caines contact record in EMAT.  Digicel Bermuda record in EMAT.

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Latin America based telecoms operator, Belize Telemedia says that it has learned that the British Caribbean Bank is seeking to wind up the company, accusing it of neglecting to pay US$25.172 million dollars. Belize Telemedia has responded saying that it considers the loan, taken out by the previous board of directors of Telemedia, to be unlawful and therefore void.

In August 2009 the company was nationalized by the Government of Belize, who bought over up to 94% of its shares from British Caribbean Bank (formerly Belize Bank), which is controlled by a company chaired by the UK’s Lord Ashcroft.

Belize Telemedia‘s Chairman, Nestor Vasquez held a press conference to explain the situation.

In July 2007, Belize Telemedia took out a loan from Belize Bank for US$22.5 million at an unsustainable interest rate of 12% with repayments over just four years. The company claims that the former directors of the company should not have agreed to such a loan as the firm wasn’t generating profits at the level necessary to support the terms. The bank is now seeking an additional US$2.25 million in fees.

Belize Telemedia‘s new directors say that they have since discovered that the loan was used by the company to buy its own shares – which they say would have been illegal. The shares were then distributed, and companies controlled by Lord Ashcroft received 94% of the allocation.

As the shares were brought back by the company, they shouldn’t have received any dividend payments. However, in 2008, although the company made a profit of $37 million, it paid out $70 million in dividends. Belize Telemedia says that this $70 million was given to Belize Bank who then gave shareholders loan notes instead of cash.

Vasquez concluded by saying that in their opinion, the previous owners had been “bleeding the company for years”. He also attacked the unreasonably low prices charged to its rival company, SpeedNet for access to infrastructure. Lord Ashcroft also has interests in the parent company of SpeedNet.

See the Belize Telemedia account in EMAT

­Digicel Group, which has operations in the Caribbean and Central American has reported a 10% increase in its half year EBITDA to US$364 million on revenues of US$857 million. Digicel has grown its subscriber base by 7% in the past 12 months to 7.3 million, and in its most recent quarter to September 30th 2009, it added 98,000 subscribers.

Colm Delves, Digicel Group CEO, comments: “These results demonstrate a strong start to the financial year with Digicel increasing profits and subscribers even in a tough economic climate. Despite increased competition, Digicel is winning market share as customers continue to prefer the better value offered by Digicel’s Bigger, Better Network.”

Digicel‘s revenues for the six months to September 30th were US$857 million – growing 3% in constant currency terms. The company does not publish a net income figure.

See the Digicel Group record in EMAT

See the Colm Delves record in EMAT

Haiti based wireless network, Communication Cellulaire d’Haiti, S.A. (ComCEL) under the brand name “Voila” has engaged a new advertising agency to revamp its marketing in face of increased competition in the market. The new campaign features a television spot with Haitian-born musician Wyclef Jean.

See the Communication Cellulaire d’Haiti, S.A. (ComCEL) account record in EMAT

­Digicel Jamaica has filed an Arbitration claim with the International Chamber of Commerce (“ICC”) in Paris against Cable &Wireless in relation to allegations of significant unpaid interconnection fees. Cable &Wireless recently rebranded its Caribean mobile networks with the “Lime” brandname.

Digicel says that since July 2009, Lime has been underpaying for its interconnection by approximately US$650,000 per month. Digicel is seeking various declarations and orders from the ICC Arbitration Panel as well as interest on the amounts due and owing together with legal costs.

This claim by Digicel follows the decision of the Jamaica High Court to stay Lime’s US$43 million claim against Digicel earlier this year. While Lime vigorously opposed Digicel‘s application to have those proceedings stayed by the Jamaican Courts, Justice McDonald-Bishop ruled in favour of Digicel.

Richard Fraser, Digicel Jamaica‘s Head of Legal and Regulatory Affairs, comments; “The fact that Lime vigorously opposed this reference to Arbitration before the Jamaican Courts – and that it did not even bother to show up to Court today – leads us to seriously question whether it has as any belief at all in the merits of its own claims. “We want this issue resolved quickly and effectively.

Lime has launched numerous spurious legal and PR offensives in recent months – all cynically and misguidedly calculated to detract from the fact that its business is limping along and it wants to walk away from a contract that it freely entered into in 2001. “

Digicel Jamaica record in EMAT

Cable & Wireless Jamaica, Ltd record in EMAT

­Digicel Bermuda has announced plans to offer a HSPA+ upgrade early next year – with the network deployment already under way.

Wayne Caines, CEO of Digicel Bermuda said; “From next year, Digicel’s Bigger, Better 3G+ Network will be the fastest network available in Bermuda. Digicel always sets new standards in everything it does – and this move is no different.

“Our 3G+ network will use the very latest in 3G technology which deliver speeds that are a number of times faster than the standard 3G speeds that customers in Bermuda have available. To ensure our customers always get the best, we have chosen what is known as “Evolved HSPA technology” – which is only in use by twelve other networks across the globe. That means Digicel customers will enjoy ground breaking internet speeds on their handsets and access to the biggest and best network wherever they are on the island and at an affordable price.” In addition to launching its 3G+ network, Digicel will continue to maintain and enhance its data-enabled island-wide EDGE network.

Wayne Caines contact record in EMAT.

Digicel Bermuda record in EMAT.

Comverse has announced that United Telecommunications Services (UTS), an incumbent telecommunications provider in the Caribbean, is in the final stages of deploying its ONE Billing and Active Customer Management solution across its entire subscriber base. UTS is deploying BSS in seven territories (Curacao, Bonaire, Sint Maarten [Dutch], Saint Martin [French], Sint Eustatius, Saba and Suriname).