Two mobile phone operators are set to break Telikom's monopoly

May 29, 2007 14:22 GMT  ·  By

Digicell and Greencom are the newest private mobile phone operators in Papua New Guinea. They both have decided that this country is worth a serious amount of investment and, for this reason, have put up a large sum of money in order to reach the estimated profit.

First of all, they had to pay a great deal of money in order to obtain the right for introducing their mobile telecommunication services in this country. "In the same way as service have taken off in every other country, where this service has been opened up to competition, so too in PNG where it can be expected there would be a considerable expansion in use of mobile phones as new service operators commence their activities", said ICCC chief executive Thomas Abe at Telikom PNG.

At this point, Telikom PNG Limited is the main telecommunications company in Papa New Guinea. Still, this is a 100 percent government owned company that provides fixed network and cellular services. Telikom PNG Limited is known to work at high costs in exchange for their services. The reason for this is the low subscription rate and high costs for maintaining the terrestrial links that are currently present in this country.

Disconsidering this, Digicell and Greencom seem to look forward to set the base for properly providing mobile communication services to people in this country. This is great news especially for the locals, which will become free of the monopoly instituted by Telikom PNG up to now.

On the other hand, Thomas Abe states the fact that the operations of the two companies will actually increase Telekom's revenues. This comes as a result of the fact that Telikom will be charging Digicell and Greencom for the use of the telecommunication network as well as for the network services that it will provide for them.