VEON’s Uzbek unit Unitel contests possible loss of frequencies

TASHKENT, May 11 (PRIME) -- Unitel, an Uzbek unit of mobile giant VEON, has filed a lawsuit to a Tashkent economic court against distribution of frequencies in favor of other mobile companies, a spokesperson for Unitel said on Thursday.

The Uzbek radio frequency body decided on March 31 to redistribute the resource in a 900/1,800 megahertz range between GSM operators on a parity basis within six months, the spokesperson said.

“We started litigating the decision at court, as we find it legally unjustified. The first session was supposed to take place earlier, but it was delayed,” the spokesperson said.

The spokesperson added that the move deprives Unitel of 30% of its frequency resource in favor of other companies.

“In order to adjust our work, we have to invest unplanned additional money in the network, but it will take time, while withdrawal of resources will immediately worsen connection quality,” the spokesperson said.

VEON’s Russian unit, VimpelCom, acquired Unitel from an international consortium headed by Greece’s Germanos S.A., and GSM operator Bakri Uzbekistan Telecom, known as Baztel, in 2006. The firms were merged into Unitel, working as Beeline, with a license granted until 2031.

As of the end of 2016, Unitel serviced 9.5 million subscribers out of the country’s total mobile base of some 22 million.

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