The Government’s move in May 2022 to conduct a “full national security assessment” of last year’s decision by Patrick Drahi’s Altice UK, which increased its stake in UK broadband and telecoms giant BT from 12.1% to 18% (here), will result in “no further action” being taken by the Secretary of State. In case anybody has […]
China funding Huawei mobile tower build in the Solomon Islands
News
The EXIM Bank of China has authorised a loan of almost $100 million to help state-owned Solomon Telekom deploy 161 new mobile towers
This week, the Solomon Islands’s government has announced that it has a secured considerable loan from the Exim Bank of China, with the funds being used to deploy 161 new mobile towers across the country.
The loan of roughly $94 million will be repaid over 20 years, with an annual interest rate of 1%.
The government said that the towers will be gradually deployed over the next three years, aiming to have half of the total deployed before the Pacific Games take place in the nation’s capital, Honiara, in November 2023.
Chinese equipment giant Huawei will be contracted to provide the technology for the new towers, which will provide 3G and 4G services to the Islanders.
The decision to move forward with this project comes as something of a surprise, since an independent review conducted by consulting firm KPMG suggested that the three-year deployment target is overly optimistic and said that the Solomon Islands’ government also appeared to overvalue the indirect economic benefits from the towers’ deployment.
“It is less certain that they can be achieved as they rely on other social and economic initiatives,” said the report.
The decision will also be something of a blow to the Australian government, which had itself agreed a tower funding deal with the Solomon Islands earlier this year – albeit on a much smaller scale.
Back in March, the Australian government agreed a roughly $4.5 million in grant funding for the deployment of six mobile towers
These towers will use equipment from Ericsson and NEC and are expected to be operational by the end of 2022.
“We are grateful for Australia’s ongoing support to improving connectivity in Solomon Islands. The support is a testimony to the strong partnership between our two countries in the telecommunications sector that builds on the success of the Coral Sea Cable project to deliver improved internet connectivity to the people of Solomon Islands,” said the Solomon Islands’ Minister for Communication and Aviation, Peter Shanel Agovaka, following the deal’s announcement.
The Australian government has expressed scepticism about the financial feasibility of this new deal with the Chinese bank, questioning the Solomon Islands government’s ability to pay back a loan of this size, even with its concessional interest rate.
Nonetheless, a government spokesperson was keen to distance itself from the decision, saying that it was a matter for the Solomon Islands’ government alone.
“Australia supports infrastructure investment that is transparent and open, meets genuine needs, delivers long-term benefits and avoids unsustainable debt burdens,” said the government in a statement.
This is not the first time China and Australia have clashed over connectivity investments in the Pacific in recent years. Just a month ago, the Telstra announced it had completed its acquisition of Digicel Pacific for $1.6 billion, with the Australian government providing $1.3 billion of the required funds, largely in an effort to stop the region’s crucial telecoms infrastructure falling under the control of a Chinese firm.
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VMO2 boosting apprenticeship schemes
News
The operator says that it has launched a quintet of new paid apprentice schemes, aiming to nurture the next generation of telecoms talent
The post VMO2 boosting apprenticeship schemes first appeared on Total Telecom.
Connecting Kilimanjaro: Africa’s tallest peak to gain internet access
News
Infrastructure has initially been deployed around two-thirds of the way up the mountain, with plans to see the peak connected to the internet by the end of the year
The post Connecting Kilimanjaro: Africa’s tallest peak to gain internet access first appeared on Total Telecom.
Helios Towers eyes further acquisitions as new African towers boost revenue
News
With its African and Middle Eastern portfolios continuing to perform strongly, the independent tower operator has set aside a further $650 million for acquisitions in 2022
This week, Helios Towers have announced its latest financial results, showing a revenue increase of 25% from $212.4 million in HY1 2022 to $265.4 million in H2.
Helios attributes this significant bump to the strong performance of its newly acquired towers in Africa in recent years, with the company gaining towers from Free Senegal in Senegal in May 2021 and Airtel Africa in Madagascar and Malawi in November 2021 and March 2022, respectively.
In total, the company’s tower portfolio has increased by around 2,000 towers this financial year, with the company’s complete tower holdings numbering around 10,700 in eight African markets: Senegal, Ghana, Congo, Democratic Republic of the Congo, Tanzania, Malawi, South Africa, and Madagascar.
The company also recently entered the Middle East by purchasing almost 3,000 towers in Oman last year from state-run telco Omantel.
“We have delivered strong organic tenancy growth in the first half of the year, which combined with the successful integration of acquired assets in Senegal, Madagascar and Malawi has resulted in impressive year-on-year financial performance,” explained Helios CEO Tom Greenwood, who took over the role back in April.
Following these positive results, Helios says it will continue its M&A push in Africa and the Middle East, which it views as two exciting markets for connectivity infrastructure, given their young, growing population and strong GDP expansion forecasts.
The company says that its targeted capex for 2022 is between $810 million and $850 million for 2022, with up to $650 million of this earmarked for further acquisitions.
The post Helios Towers eyes further acquisitions as new African towers boost revenue first appeared on Total Telecom.
US Broadband News: more rural progress made across America
News
Connecting America: the Total Telecom roundup of broadband development news from around the web
Total Telecom are keeping track of the latest news from the USA as billions of dollars pour into developing internet access for all. If you are interested in a more in-depth look at how progress is being made, check out our new Connected America event.
19 August 2022
Kentucky’s Kenergy partners with Conexon Connect to bring fibre broadband to rural areas – telecompaper
18 August 2022
Brightspeed announces initial fiber build markets for Kansas – Press Release
Fast Fiber Internet Service coming to Pulaski – SCTonline.net
Spectrum Launches Gigabit Broadband, Mobile, TV and Voice Services in Marathon County, Wisconsin – Press Release
10 August 2022
New York’s MTA announces wireless connectivity plan for entire subway – telecompaper
9 August 2022
America’s Two Biggest Cable Broadband Monopolies Failed To Add Any New Customers Last Quarter – techdirt
States are Making Their Own Broadband Maps to Challenge the FCC’s Data – BroadbandBreakfast
8 August 2022
$30M Fiber-optic Broadband Infrastructure Project Coming to Holland, MI – Inside Towers
7 August 2022
Affordable Connectivity Program’ for broadband internet services offered to ND households – KFYR
4 August 2022
Congress Proposes Broadband Plan 2.0 – Multichannel News
Brightspeed Announces Initial Fiber Build Markets for Tennessee – PRNewswire
3 August 2022
Quantum Fiber launches multi-gig service, delivering symmetric 8 gigabit internet speeds in select cities – PR Newswire
2 August 2022
20 Providers Offering $30-a-Month High-Speed Internet Access – AARP
27 July 2022
The Fiber Broadband Association Recognizes More All Fiber Networks Across North America – Press Release
26 July 2022
La. state leaders announce major investment in broadband internet expansion, digital literacy program – WAFB9
22 July 2022
Rural US wireless carriers ask for more 5G subsidies – LightReading
19 July 2022
State of Indiana and AT&T Collaborate on Plan to Deliver Fiber-Powered Broadband to Portions of Nine Indiana Counties – Press Release / Cision
18 July 2022
Home Telecom supplies 1,400 homes with better internet with $2M grant – Live 5 NewsWire
United Communications secures $130M credit facility to support broadband grants – Williamson HomePage
16 July 2022
How Washington state could use federal infrastructure money to close the digital divide – Geek Wire
Peninsula Fiber Network Plans To Improve Internet Service – Radio results Network
FCC Chair Rosenworcel Proposes 4X Increase in Minimum Broadband Speeds – tvtech
14 July 2022
Despite External Challenges – RAN Still Expected to Surpass $40b by 2026 – PR Newswire
13 July 2022
AT&T claims first with 20 Gbps symmetric speeds in production network – Telecompaper
13 July 2022
Shentel Awarded Grant to Bring its Glo Fiber High Speed Network to Frederick County, Maryland – PR Newswire
13 July 2022
Arelion expands its long-haul network in Atlanta – Fierce Telecom
13 July 2022
All 50 States on Board for BEAD, Digital Equality Broadband Funding Programs – Telecompetitor
13 July 2022
Mesa, Arizona selects 4 fiber providers inlcuding SiFi Networks and Google Fiber – Fierce Telecom
13 July 2022
FCC Awards More Than $266M in ECF Program – Telecompetitor
13 July 2022
Starry adds record subs in Q2 as total nears 81,000 – LightReading
Stonepeak buys 29% of American Tower’s US datacentre business for $2.5bn – CommsUpdate
AT&T to bring fiber to City of Amarillo, TX – Converge! Network Digest
1 July 2022
FCC Awards Almost $159m in ECF Funding – Telecompetitor
30 June 2022
Construction Begins at Quantum Loophole’s Frederick Data Center Campus – Inside Towers
29 June 2022
Sen. Marklein: The battle for better broadband continues – WisPolitics
28 June 2022
Verizon delivers faster connections to 64 Native American reservations in 13 states – LightReading
27 June 2022
Clearwave Fiber Begins Buildout of Fiber Internet in Lansing, KS – PR Newswire
24 June 2022
Broadband internet provider Conterra expanding, investing nearly $10M now, $12M later in Union County – WRAL TechWire
Connectbase welcomes NYC’s Skywire Networks to Connected World platform – telecompaper
22 June 2022
Highline Commences Next Phase of Fiber Internet Expansion in Lumberton, Texas – Telecompetitor
20 June 2022
FPB wins $8 million in grants to fund broadband for unserved – The State Journal (Kentucky)
State of New York unveils broadband map – Inside Towers
18 June 2022
Hargray Fiber expands fiber Internet to Hinesville, GA – TelecomLead.com
17 June 2022
Biden aims to train more broadband workers to fend off labor crunch – Fierce Telecom
Washington County, Pa., Approves $3.2M for Internet Expansion – Government Technology
16 June 2022
Shentel Expanding its Glo Fiber High-Speed Network to Delaware – KLTV
Texas Broadband Plan Could Connect 2.8M Unserved Households – Government Technology
13 June 2022
Ohio State hosts first meeting for statewide broadband and 5G partnership – Ohio State News
11 June 2022
West Virginia Working To Avoid Past Broadband Mistakes – The Intelligencer
Connected America brings together the people and companies redefining the future of US connectivity and unites the leading stakeholders from the entire value chain. Join us in Dallas, 28-29 March 2023
The post US Broadband News: more rural progress made across America first appeared on Total Telecom.
Towercos set to do battle for Oi’s Brazilian towers
News
A bidding war for Oi’s 8,000 towers could just around the corner, with media suggesting that giants American Tower Corporation (ATC) and IHS Towers are poised to bid
Today, Brazilian media is reporting that both ATC and IHS Towers are lining up to bid for OI’s 8,000 mobile towers, situated throughout Brazil, according to anonymous sources close to the matter.
Oi has already received a binding offer of roughly $326 million in early August for the towers from NK 108 Empreendimentos e Participacoes (NK 108), an affiliate of Brazilian infrastructure developer Highline do Brasil II Infraestrutura de Telecomunicacoes (Highline). The deal would see around $210 million paid to Oi immediately, with the rest of the sum paid up until 2026, depending on the level of infrastructure usage.
Now, according to reports, any new proposals from other potential suitors are expected to be submitted by Monday afternoon, with the minimum bid at least matching that of Highline.
All three of these tower companies have been growing at pace in recent years, with tower infrastructure becoming an ever more attractive long-term investment, particularly in today’s unstable global economy.
Highline has increased its Brazilian tower portfolio significantly in recent years through a number of acquisitions, including buying 637 towers from Oi itself last year and over 3,000 via the acquisition of Phoenix Tower Brazil back in 2020.
ATC, meanwhile, most notably acquired Telefonica’s tower unit, Telxius, last year, giving it access to an additional 30,722 mobile towers spread throughout Germany, Spain, Brazil, Chile, Peru, and Argentina.
Finally, IHS Tower’s most recent acquisitions have been on the African continent, most notably paying telecoms giant MTN $412 million for around 13,000 sites in South Africa. However, IHS has also expanded its Brazilian tower holdings already this year, with its acquisition of São Paulo Cinco Locação de Torres Ltda. (“SP5”) increasing their portfolio in the country to over 7,000 sites.
The post Towercos set to do battle for Oi’s Brazilian towers first appeared on Total Telecom.
Singtel mulling the sale of cybersecurity firm Trustwave
News
Sources suggest that a sale could raise up to $300 million, with both private equity and other industry players as potential buyers
Singtel first acquired Chicago-Trustwave back in 2015 for $770 million, with the operator hailing the cybersecurity firm as a step towards diversifying its telecoms portfolio amid the sluggish growth of its traditional revenues.
Since then, however, Trustwave’s performance has been mixed, with Singtel in recent years suggesting that the coronavirus pandemic has affected the company’s ability to scale up effectively.
In the latter half of 2021, Singtel booked an impairment charge of roughly $240 million for Trustwave, with Singtel’s new CEO Yuen Kuan Moon, suggesting a strategic review of its assets, most notably Trustwave and digital marketing company Amobee and Trustwave in May 2021.
Now, roughly a year later, and Singtel has just concluded the sale of Amobee for $239 million and sources suggest that Trustwave could be next on the chopping block.
Anonymous sources speaking to Bloomberg suggest that Singtel has been speaking with financial advisors regarding a sale of Trustwave, with the firm’s price tag reportedly set at around $300 million.
According to reports, Trustwave could draw interest from both within the industry and from investment funds.
Investors have been increasingly interested in the acquisition of cybersecurity firms in recent months, with the global economic situation seeing the majority of these companies slip in value. Just last week, US private equity firm KKR announced it had completed its acquisition of California security firm Barracuda for roughly $4 billion, with the head of KKR’s Technology team noting that cybersecurity remains “a highly attractive sector”.
These sales would not be the only streamlining that Singtel has undertaken of late. The company has also been monetising the assets of its Australian subsidiary, Optus, having sold a majority stake in the operator’s mobile tower unit to Australian pension fund AustralianSuper for $1.3 billion late last year.
In addition, at the start of 2022, rumours suggested that Singtel was also holding talks with potential suitors for a stake sale of Optus’ fibre assets, though no further details on any talks have yet to be announced.
As traditional telco revenues continue to dry up, operators are increasingly looking to new revenue streams for growth. Join us at the live Total Telecom Congress later this year to hear the operators in discussion about their rapidly evolving business models
The post Singtel mulling the sale of cybersecurity firm Trustwave first appeared on Total Telecom.
CityFibre undergoes colourful rebrand
Press Release
The refreshed brand will help cement CityFibre’s position as the UK’s second largest full fibre network
CityFibre, the UK’s largest independent full fibre platform, has today launched a major overhaul of its brand, updating its visual identity, messaging and tone of voice to reflect its status as the nation’s digital infrastructure challenger and to more effectively engage millions of people as it rolls out its new networks across the country.
Research conducted on CityFibre’s behalf demonstrates that consumer confusion is endemic in the broadband market, with 64% of consumers unaware of the difference between full fibre and part fibre broadband. The updated brand’s assets have been designed to help cut through this confusion, explaining the superior user-experience when connected to CityFibre’s network, made possible by a new, fibre-only infrastructure platform, unencumbered by legacy network or systems.
CityFibre is already directly engaging with over 2.5m homes and businesses each month through direct mails, letter drops, digital advertising and email marketing to drive awareness of the benefits of switching network and the availability of its partners’ compelling service offerings. The new messaging and brand has also been optimised to support and augment its partners’ marketing communications, helping them to drive customer acquisitions and migrate existing customers at volume.
Dan Ramsay, Chief Marketing Officer at CityFibre, said: “Thanks to years of forced-reliance on outdated copper and cable networks, people across the country are underwhelmed, confused and mistrustful of the broadband industry. Given its importance to every aspect of our lives, we don’t believe that’s acceptable.
“That’s why we’re excited to unveil our new brand identity. It’s bold and straight-talking, designed to cut through, engage and inform people that the best way to improve their experience, is to change their network.
“As the UK’s undisputed full fibre challenger, we’re showing millions of people across the country how connecting to a CityFibre network can transform their experience of living and working online.”
The brand update builds on CityFibre’s gathering momentum which has seen the company fully finance its rollout, securing over £5bn in debt and equity raises in the last year. Its rollout has now exceeded 1.9m passed homes and more than 30 ISPs, including TalkTalk, Vodafone and Zen have made CityFibre their network of choice. The company’s partnership model and close cooperation with ISPs to drive awareness throughout the build process has also proved highly effective, with its most mature locations such as Milton Keynes now exceeding 20% take-up.
With the UK’s fibre rollout still accelerating, are the government’s lofty coverage goals now within reach? Find out what the experts think at this year’s live Connected Britain conference
Also in the news:
Veon offloads stake in Omnium Telecom Algeria
INWIT board resigns as TIM stake sale closes
US Department of Defense launches trio of 5G projects
The post CityFibre undergoes colourful rebrand first appeared on Total Telecom.
Vodafone offloads Hungarian unit for €1.8bn
NEWS
The sale to ICT firm 4iG and state-backed Corvinus will dramatically alter the dynamics of the Hungarian telecoms market
Today, Vodafone has announced that it has entered into a binding agreement to sell its Hungarian unit, Vodafone Hungary, to local ICT giant 4iG and state holding company Corvinus.
The deal, worth €1.8 billion, will create “a clear #2 operator across mobile and fixed communications”, with the Hungarian government having long sought to create a “national ICT champion” for many years.
“The Hungarian Government has a clear strategy to build a Hungarian owned national champion in the ICT sector,” said Vodafone Group CEO, Nick Read. “This combination with 4iG will allow Vodafone Hungary, which has a proud history of success and innovation in the country, to play a major role in the future growth and development of the sector as a much stronger scaled and fully converged operator. The combined entity will increase competition and have greater access to investment to further the digitalisation of Hungary.”
Vodafone Hungary is Hungary’s second largest mobile player, with around three million mobile subscribers, as well as roughly 800,000 landline users, 700,000 pay-TV customers, and 700,000 fixed broadband subscribers.
For 4iG, on the other hand, the acquisition is the latest step in the company’s ongoing quest to transform from ICT company to telecoms operator.
Back in March last year, 4iG purchased Digi Communications’ Hungarian business for an undisclosed sum, gaining the company’s roughly 1.1 million fixed line subscribers. The move quickly made 4iG a significant player in the Hungarian telecoms market, with both fixed and mobile assets. However, its mobile brand lacked scale – something that the acquisition of Vodafone Hungary will instantly provide.
4iG says that it will have roughly five million customers once Vodafone Hungary is integrated with its existing business, with the company expecting synergies worth around $370 million from combined income, costs, and investment savings.
“The purchase of Vodafone Hungary may be the most significant domestic telecommunications transaction of the past thirty years, on a similar scale to the privatization of Matáv [now Magyar Telekom] after the regime change. With the acquisition, a mainly Hungarian-owned infocommunications company group could be created, which could become the country’s second largest service provider,” explained Jászai Gellért , the president and CEO of 4iG. “After the successful completion of the acquisition, our group of companies can have one of the largest digital infrastructures in Hungary, which, thanks to its prominent role, can become a key player in domestic telecommunications for many decades.”
Assuming regulatory approval, Vodafone says the deal should be concluded by the end of the year.
In related Vodafone news, this week the company has reportedly entered talks with Canadian pension fund Caisse de depot et placement du Quebec (CDPQ) regarding the sale of its final 21% stake in its Indian tower business, Indus Towers.
Numerous alternative suitors have been reported for the business after Vodafone announced its intention to sell its stake earlier this year, including American Tower, Crown Castle International, and Brookfield Asset Management.
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The post Vodafone offloads Hungarian unit for €1.8bn first appeared on Total Telecom.