14 DAY TRIAL // The introduction of the 3G network represents an immense step forward for North Korea, given the fact that this country is one of the poorest in Asia, and also keeping in mind that it is one of the most tightly controlled states in the world. This development represents for Korean users one of the most useful services they've been given access to in years.
The network was put in use this morning, and is going to be operated by Cheo Technology, a company owned to an extent of 75% by Orascom Telecom in Cairo. The move was analyzed by the North Korean government from January 2007 and the deal was signed about a year after that, but it is only now that the company is able to implement the 3G cellular service.
Even though the situation regarding cell phone companies is explosive in this part of Asia, Cheo was given a 25-year license for this WCDMA network to be used in North Korea, mostly due to the stress that Orascom had been undergoing in order to get the network working. In addition, Orascom has stated that it is going to invest more than $400 million in the further development of the network and in the license fees only in the first three years. As part of the agreement, the company doesn't have to pay taxes for five years, and holds exclusive control to operate a cell phone service in the first four years.
In any case, even though this network is now functional, because of the situation in North Korea, things could degenerate any given moment, as it also happened with the cell phone service in 2004. Launched just a year before, it was restricted because of an explosion in a train depot, which was believed to have been triggered by cell phone and that was, in fact, an attempt to assassinate the North Korean leader Kim Jong II.
After the 2007 conference that led to the agreement for the development of the 3G network, the state-controlled Korea Central News Agency stated that, "Both sides agreed to realize long-term cooperation in the sector of telecommunication of the DPRK in the spirit of South-South cooperation and the principles of mutual respect and non-interference in internal affairs."