Identifier
Created
Classification
Origin
04ABUDHABI1179
2004-04-18 11:03:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Abu Dhabi
Cable title:
UAEG TO COLLECT ROYALTIES FROM NEW TELECOM
null Diana T Fritz 03/15/2007 02:53:26 PM From DB/Inbox: Search Results Cable Text: UNCLASSIFIED SIPDIS TELEGRAM April 18, 2004 To: No Action Addressee Action: Unknown From: AMEMBASSY ABU DHABI (ABU DHABI 1179 - ROUTINE) TAGS: ECPS, AORC Captions: None Subject: UAEG TO COLLECT ROYALTIES FROM NEW TELECOM SERVICE PROVIDERS Ref: None _________________________________________________________________ UNCLAS ABU DHABI 01179 SIPDIS CXABU: ACTION: ECON INFO: AMB DCM P/M POL Laser1: INFO: FCS DISSEMINATION: ECON CHARGE: PROG APPROVED: A/DCM: HOLSIN-WINDEC DRAFTED: ECON: CCRUMPLER CLEARED: ECON: OJOHN VZCZCADI983 RR RUEHC RUEHZM RUEHGV RUEHDI DE RUEHAD #1179 1091103 ZNR UUUUU ZZH R 181103Z APR 04 FM AMEMBASSY ABU DHABI TO RUEHC/SECSTATE WASHDC 3993 INFO RUEHZM/GCC COLLECTIVE RUEHGV/USMISSION GENEVA 0547 RUEHDI/AMCONSUL DUBAI 3940
UNCLAS ABU DHABI 001179
SIPDIS
SENSITIVE
DEPT FOR EB/CIP AND IO/T
DEPT PASS NTIA AND FCC
E.O. 12958: DECL: N/A
TAGS: ECPS AORC TC
SUBJECT: UAEG TO COLLECT ROYALTIES FROM NEW TELECOM
SERVICE PROVIDERS
REF: ABU DHABI 1155
UNCLAS ABU DHABI 001179
SIPDIS
SENSITIVE
DEPT FOR EB/CIP AND IO/T
DEPT PASS NTIA AND FCC
E.O. 12958: DECL: N/A
TAGS: ECPS AORC TC
SUBJECT: UAEG TO COLLECT ROYALTIES FROM NEW TELECOM
SERVICE PROVIDERS
REF: ABU DHABI 1155
1. (U) Following the April 12 announcement that the UAEG
would end Etisalat's monopoly of the telecom sector (ref),
the UAEG revealed today that it would hold a 60 percent
equity stake in any new telecom service provider that
enters the UAE market. The announcement followed the first
meeting April 17 of the new Supreme Committee overseeing
the telecom liberalization program and presided by Minister
of State for Finance Dr. Mohammed Khalfan bin Khirbash.
The Committee also discussed setting up a separate and
independent telecom regulatory authority akin to the FCC in
the United States.
2. (SBU) The watershed decision to open the UAE telecom
sector to other providers was announced this week
coincidentally as MEPI-funded contractors conducted
training for the GCC states plus Yemen on Trade in Services
in Abu Dhabi. A Ministry of Communications employee
seconded to Etisalat who attended the seminar told Econoff
that even Ministry of Communications and Etisalat employees
were surprised by the decision, and heard about it through
the newspapers. He posited that the UAEG would license new
GSM and internet service providers (ISP) first, but require
them to use Etisalat's existing network infrastructure.
3. (SBU) Comment: The federal budget relies, in large
part, on revenue transfers from the two largest emirates of
Abu Dhabi and Dubai. Etisalat traditionally has
represented the single major independent source of income
for the UAE federal government. The Supreme Committee's
decision to require new telecom providers to pay royalties
to the federal government probably is an attempt to strike
a balance between liberalization of the telecom sector and
the need at the federal-level for an independent revenue
stream. End comment.
Wahba
SIPDIS
SENSITIVE
DEPT FOR EB/CIP AND IO/T
DEPT PASS NTIA AND FCC
E.O. 12958: DECL: N/A
TAGS: ECPS AORC TC
SUBJECT: UAEG TO COLLECT ROYALTIES FROM NEW TELECOM
SERVICE PROVIDERS
REF: ABU DHABI 1155
1. (U) Following the April 12 announcement that the UAEG
would end Etisalat's monopoly of the telecom sector (ref),
the UAEG revealed today that it would hold a 60 percent
equity stake in any new telecom service provider that
enters the UAE market. The announcement followed the first
meeting April 17 of the new Supreme Committee overseeing
the telecom liberalization program and presided by Minister
of State for Finance Dr. Mohammed Khalfan bin Khirbash.
The Committee also discussed setting up a separate and
independent telecom regulatory authority akin to the FCC in
the United States.
2. (SBU) The watershed decision to open the UAE telecom
sector to other providers was announced this week
coincidentally as MEPI-funded contractors conducted
training for the GCC states plus Yemen on Trade in Services
in Abu Dhabi. A Ministry of Communications employee
seconded to Etisalat who attended the seminar told Econoff
that even Ministry of Communications and Etisalat employees
were surprised by the decision, and heard about it through
the newspapers. He posited that the UAEG would license new
GSM and internet service providers (ISP) first, but require
them to use Etisalat's existing network infrastructure.
3. (SBU) Comment: The federal budget relies, in large
part, on revenue transfers from the two largest emirates of
Abu Dhabi and Dubai. Etisalat traditionally has
represented the single major independent source of income
for the UAE federal government. The Supreme Committee's
decision to require new telecom providers to pay royalties
to the federal government probably is an attempt to strike
a balance between liberalization of the telecom sector and
the need at the federal-level for an independent revenue
stream. End comment.
Wahba