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NT eyes 60 pc penetration by 2014

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KATHMANDU, Feb 3: Nepal Telecom, the largest telecommunication operator in the country, has floated an ambitious expansion plan to raise its penetration to 60 percent of total population within the next four years.



Currently NT covers 17.5 percent of total population and the density of its landline stands at 2.06 lines per 100 persons. [break]



Anoopranjan Bhattarai, deputy managing director of NT, said the telecommunication giant plans to achieve its target by expanding New Generation Networks (NGN) and Global System for Mobile (GSM) systems. “We need to invest more than $350 million to expand our network. But since our previous expansion plans were carried out at amount less than the estimated cost, we are also expecting the same this time around,” Bhattarai told myrepublica.com.



Bhattarai also revealed that aggressive marketing and assurance of quality service would help NT accomplish its ambitious expansion plan. “If our expansion plan materializes, over 30 million people will be using the services of NT by 2014,” Bhattarai said.



To meet its target, NT will need to add 18 million new lines, 1.2 million of which is landline. The NT will add 5 million GSM connections to its existing subscriber base of 3.5 million.



Bhattarai said quality services along with lucrative offers and discounts are the only ways by means of which NT will be able to expand in the competitive market.



“NT is also planning to install IP CDMA (Internet Protocol Code Division Multiple Access) system which will have up to 3 million subscribers,” Bhattarai said.



The internet-enabled IP CDMA system will decrease power consumption by 30 percent. Bhattarai informed that the IP CDMA system is also cost effective as compared to its existing tariffs.



Along with the aggressive expansion plan, NT is also planning for early launch of high speed wireless internet system named Evolution Data Only (EvDO) which boasts of 3Mbps (megabyte per second) speed. Currently, NT offers wireless internet with 155 Kbps speed.



Rabindra Jha, manager at NT, said the NT will need to install new devices in its 600 base tower stations (BTS) to start high speed wireless internet.



Customers will need to have a new Removable Identification Module (RIM) card to avail the new high speed internet. NT is soon calling a tender for the supply of new RIM cards.

 

NT management is also mulling over introducing IP TV and Video on Demand systems. “With the launching of these systems, subscribers can access television channels and videos with normal telephone lines upon paying certain charge," Bhattarai said, adding, "For IP TV, we are searching contents available in the air and will soon negotiate with international TV channels."



NT hopes to improve the quality of its services with the expansion of optical fiber network. NT is soon entering into an agreement with Nepal Electricity Authority (NEA) that will enable it to use the latter´s tower by the end of this fiscal year. NT is also planning to use the towers of other internet service providers and other telecommunication service operators by mutual cooperation, as practiced in India.



Bhattarai also informed that the installation of 550 V-Sat terminals is underway. This will enable NT to expand its services in remote places.



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