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WiMax Licence Awarded to Cablenet in Bulgaria

6:12 am   -   November 26th, 2005

Cablenet Ltd. is pleased to announce, that the Bulgarian Communications Regulation Commission was awarded with a WiMax license on Nov. 9, 2005, after the company won the tender organized by the Bulgarian authorities.

The Company will be providing services under the brand name of Max Telecom.

In its first months of activity the Company will focus on fixed network substitution, providing broadband for domestic and business customers. Max Telecom will be a Company with low overhead costs, with a small but highly motivated staff, and with some of the best value for money in equipment available today. This will mean that Max Telecom will be able to substantially undercut present fixed network access fees and line rental charges.

In addition to supporting existing businesses at lower prices, Max Telecom will additionally develop as a telecommunications operator in its own right. The Bulgarian market is ready for consolidation of a lot of the smaller operators into entities that have economies of scale. A WiMax licensed company is in an ideal position to act as a consolidator, and Max Telecom will be looking hard at how to do this.

Max Telecom has already completed the first round of its equipment tender process, with no less than 10 companies providing offers, and is now proceeding with a short list.

Max Telecom plans to roll out a nationwide network based on the mobile 802.16e standard. During 2007 we expect to see data devices – such as laptop computers and PDA’s – that will take advantage of the technology which is seen as a complement to 3G cellular with phones to match.

John Munnery, who will serve as Executive Director of the company stated, “Finally we can introduce to the Bulgarian telecommunications market the sort of competition which is now driving tariffs downwards all over Europe. We will bring to the Bulgarian market a new dimension in fast data access, whether it is in replacing expensive links, or allowing a cheap upgrade for dial-up Internet customers to Broadband.”

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